Zevia PBC (ZVIA) 27th Annual ICR Conference 2025 summary

Brand positioning and market trends

• Focus on clean label, zero-sugar soda at accessible prices, aligning with macro trends away from sugar and toward clean label products.

• Single-digit household penetration signals significant growth potential in a massive total addressable market.

• Walmart's creation of the Modern Soda set and national distribution is seen as a precedent for the evolving soda category.

• The brand aims to serve both current and future primary soda consumers, emphasizing inclusivity across income levels.

• Industry forecasts predict strong growth for diet, zero, and better-for-you sodas over the next five years.

Marketing strategy and execution

• Achieved upper end of Q4 revenue guidance at $39.5 million, driven by a viral marketing campaign and expanded Walmart distribution.

• Incremental marketing spend in Q4 was a calculated risk to boost brand awareness and household penetration.

• Viral campaign used humor and parody to position the brand as authentic, contrasting with artificiality in competitors.

• Marketing priorities include digital, social, out-of-home, and opportunistic TV, with a focus on always-on digital presence.

• Sponsorships and authentic partnerships, such as with a leading college football podcaster, are leveraged to reach new consumers.

Distribution expansion and strategy

• Distribution expanded to over 4,200 Walmart stores, with Walmart's Modern Soda set expected to influence other retailers.

• Broad presence in grocery, natural, and drug channels, with new opportunities in club, convenience, and food service.

• Emphasis on quality distribution, ensuring strong velocities and sustainable growth at each new point of sale.

• Direct store delivery (DSD) piloted regionally to improve merchandising and unlock single-serve opportunities, with a hybrid route to market envisioned.