In a lot of retail areas, there seem to be two clear-cut market leaders, and most people have a favorite.
You might prefer Lowe’s over Home Depot, or Sam’s Club over Costco.
The same logic applies to food. Some people are diehard Hostess fans, while others ride or die with Little Debbie.
In some areas, these choices can be polarizing and divisive. One person might be all in on the Big Mac, while their partner greatly prefers the Whopper.
The most polarizing battle, however, might be the choice between Coca-Cola and Pepsi.
Both companies have made public claims to be better than the other, and each one has restaurants and other partners such as theme parks, movie theaters, and arenas under exclusive deals.
When a brand switches from Coke to Pepsi or vice versa, it’s going to anger some customers, and that’s exactly what Costco has done in its food court. The warehouse club has switched back to Coca-Cola products from PepsiCo brands.
Costco completes its soda switch
Because Coke and Pepsi both have a large fan base, switching can anger some customers.
I experienced a similar reaction last year aboard Carnival Celebration when the cruise line switched from Pepsi products to Coca-Cola mid-sailing. As inventory ran out, Coke fans hunted for remaining Coke products, while Pepsi drinkers searched for the last Mountain Dew and Pepsi, highlighting how emotionally charged soda loyalty can be.
Costco rolled out the change toward the end of 2025 and finished swapping Pepsi products for Coca-Cola brands in the beginning of 2026.
That’s not something Costco has commented on extensively, but CEO Ron Vachris addressed it during the question-and-answer session of the retailer’s annual meeting.
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“Yes, that is accurate,” Vachris said. “This summer, we will begin converting our food court fountain business back over to Coca-Cola.”
Costco had been under an exclusive deal with Pepsi since 2013.
Costco has opted for Coke products in its food court.
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Why did Costco make the change?
“Costco originally made the switch to Pepsi in 2013 as a cost-saving measure, in order to keep the price of their famous hot dog and soda combo at $1.50. At the time, Pepsi was offering Walmart a better pricing deal that Costco couldn’t match. When Costco asked Coke for the same pricing, Coke refused, leading Costco to pull all Coke products from their stores for an entire month,” Costco Insider reported.
Costco has not shared why it switched back, but Costco Insider, which is not affiliated with the company, shared its take on the change.
“While the original switch was a cost-saving measure, the return to Coke products is likely driven by customer preference and Coke’s renewed commitment to quality and partnership with Costco,” it shared.
The question of Coke versus Pepsi, however, is a triggering one for some people
“Coke vs. Pepsi has always been a cultural dividing line, like Yankees vs. Red Sox or Apple vs. PC,” Manhattan-based psychotherapist Jonathan Alpert said, reported The Independent. “People attach memories, family traditions, and even a sense of who they are to a brand. So when Costco suddenly took sides, it triggered a reaction far bigger than soda itself.”
Related: Costco vs. Sam’s Club: Memberships, prices & perks compared
Coke and Pepsi: Each has a distinct fan base
- Coca-Cola’s market leadership: Coca-Cola Classic has consistently dominated the U.S. soda market, with its share at around 19.2% of carbonated soft drink sales, while Pepsi’s share sits near 8.3%, according to Visual Capitalist data.
- Consumer preference polling: A CivicScience survey of more than 15,000 U.S. adults found that about 52% of Americans expressed a favorable preference for Coke, compared with 40% for Pepsi, indicating broader popular support for Coca-Cola, reported Civic Science.
- In addition, 19% of those surveyed have an unfavorable view of Coke, while 29% felt that way about Pepsi.
Given Coca-Cola’s larger market share and stronger consumer preference, Costco’s food court switch likely reduces friction for members, helping maintain traffic and satisfaction at one of its most visible touchpoints.