PepsiCo names new CMO as it expands functional beverage strategy

PepsiCo doubles down on functional beverages with a leadership shake-up and a $2 billion bet on prebiotic soda. Credit: Shutterstock

PepsiCo has appointed Mark Kirkham as Chief Marketing Officer (CMO) of its U.S. beverages division, effective 7 April 2025. His promotion comes as the company strengthens its focus on functional drinks.

The move follows PepsiCo’s recent $2 billion acquisition of Poppi, a prebiotic soda brand gaining popularity among health-conscious consumers. This deal positions PepsiCo to compete in the fast-growing gut-health beverage market.

A leader in global beverage marketing

Kirkham, a PepsiCo veteran with over 14 years of experience, previously led international beverage marketing. He played a key role in expanding zero-sugar options and refreshing PepsiCo’s global branding. He replaces Greg Lyons, who is leaving the company for an external opportunity.

PepsiCo’s leadership change reflects its strategy to meet shifting consumer demands. More people are choosing functional drinks that offer added health benefits, such as prebiotics, electrolytes, and enhanced hydration.

Competing in the functional drinks market

The acquisition of Poppi signals PepsiCo’s intent to strengthen its position in the functional beverage sector. The brand competes with disruptors like Olipop and challenges Coca-Cola, which has also been expanding its health-focused offerings.

Ram Krishnan, CEO of PepsiCo Beverages U.S., praised Kirkham’s expertise. “Mark’s ability to drive consumer engagement and build strong brand identities will be key as we evolve our portfolio to meet changing preferences,” he said.

Navigating a changing market

PepsiCo’s marketing strategy is shifting as consumer habits change. Although organic revenue increased by 2.1% in late 2024, North American beverage sales declined. Many shoppers are now more price-conscious, making strategic marketing even more important.

The company has also refreshed Mountain Dew’s branding with a new campaign and character, the “Mountain Dude,” in an effort to keep the brand relevant.

As Kirkham steps into his new role, PepsiCo is expected to further integrate Poppi into its marketing strategy. His leadership will likely shape the company’s approach to next-generation health-focused drinks.