Overview of How Poppi’s founders built a new soda brand worth $2 billion
This episode of Masters of Scale tells the origin and growth story of Poppi, the better-for-you soda brand founded by married entrepreneurs Allison and Stephen Ellsworth. What began as a homemade apple-cider-vinegar drink for Allison’s health issues evolved into a category-defining beverage brand that scaled through Whole Foods, Shark Tank, TikTok, Amazon, and a last-minute Super Bowl ad, eventually leading to a nearly $2 billion acquisition by Pepsi.
How Poppi Started
A personal health problem became a product idea
- Allison’s initial motivation was solving her own digestive and skin issues.
- Apple cider vinegar helped, but she hated the taste.
- She began experimenting in the kitchen to create something healthier and more drinkable.
- The early product was called Mother Beverage and was sold in mason jars.
Stephen’s early skepticism
- Stephen initially thought the idea was a little out there.
- He supported Allison, but wasn’t immediately convinced it was a real business.
- Once the product became more enjoyable to drink, he saw the potential.
The First Signs of a Real Business
Farmer’s market traction
- They started selling at a local farmer’s market on weekends.
- The product kept selling out, week after week.
- They spent weekdays bottling at home while Stephen worked to help cover the mortgage.
Whole Foods validation
- A Whole Foods buyer named Kelly discovered them at the market.
- She encouraged them to get into Whole Foods and helped guide them through compliance and retail preparation.
- This was the moment they realized the product was more than a hobby.
Going all in
- They invested their life savings.
- They built a manufacturing facility and learned retail operations as they went.
- They sold into individual Whole Foods stores in Dallas and used that momentum to grow.
Shark Tank and the Rebrand
Why they went on the show
- By the time they considered outside help, the business was doing well but needed capital and expertise.
- They were approached by an investor, but turned it down because the investor had no beverage experience.
- Then they applied to Shark Tank after seeing Mark Cuban’s post about auditions.
The deal that changed everything
- They pitched while Allison was pregnant and eventually landed a deal with Rohan Oza, who had deep beverage experience.
- Rohan told them the product was strong, but the branding needed a complete overhaul.
- The founders embraced the criticism and rebranded from Mother Beverage to Poppi.
Brand strategy
- They tested names, packaging, bottle vs. can formats, and visual identity.
- They wanted a brand that felt modern and cool, not overly literal or gimmicky.
- The rebrand helped define Poppi’s mission: to make soda lovable again in a healthier form.
COVID Accelerated the Business
Launching during lockdown
- Poppi launched in early March 2020, right as COVID shut down normal retail plans.
- Surprisingly, the timing helped:
- Consumers were buying shelf-stable items online.
- Amazon sales surged.
- A Shark Tank update aired during lockdown, giving Poppi a national visibility boost.
Digital-first growth
- Poppi leaned heavily into TikTok and social storytelling.
- Allison, in particular, became central to the brand voice by posting personal, authentic content.
- One simple video about her story and Poppi’s sugar content went viral and drove major Amazon sales.
A smart Amazon strategy
- Their model captured customer data through their website, then routed purchases to Amazon.
- They used affiliate links so Amazon paid them for the traffic they sent.
- This let them combine Amazon’s logistics with their own marketing and customer acquisition.
The Super Bowl Gamble
A bold, last-minute move
- After creating a strong campaign called “The Future of Soda,” they realized it could be a Super Bowl ad.
- They found a spot just four days before the game.
- The ad was a floater, meaning they didn’t know exactly when it would air.
Why it worked
- The ad aired right before halftime, one of the most valuable moments in the game.
- The exposure dramatically increased awareness.
- Revenue followed: the business reportedly moved from a forecast of $200–350 million to over $500 million in 2024.
Selling to Pepsi
Why they sold
- The founders said they wanted a larger partner to help truly revolutionize soda at scale.
- In beverage, distribution is a huge challenge, and a major strategic partner matters.
- They had ongoing conversations with Pepsi for about a year and a half before the deal closed.
Deal details
- Pepsi bought Poppi for $1.95 billion.
- The founders sold 100% of the company.
- They did not stay in operational leadership roles, but remained involved in advisory and brand-facing capacities.
Emotional reality after the exit
- Even after a huge win, there was a real mourning period.
- They missed the daily intensity, team leadership, and clear mission.
- The transition required them to redefine their relationship to work and to each other.
What They Learned
Advice for founders
- Know your numbers — especially if you’re appearing on Shark Tank or pitching investors.
- Don’t go on TV if you’re just chasing publicity; the sharks can tell.
- If you want to scale, be willing to learn fast, take criticism, and do the uncomfortable work.
What made Poppi work
- A real consumer problem
- A strong, authentic founder story
- Willingness to rebrand and adapt
- Early retail validation
- Social-first marketing
- Smart use of Amazon and TikTok
- A strategic investor with category expertise
What’s Next
- The couple says they want to start another company.
- They’re already working on a new beverage idea, though details are still under wraps.
- They plan to skip some of the hardest early-stage steps this time, especially manufacturing and the farmer’s market phase.
Key Takeaways
- A personal pain point can become a billion-dollar category play.
- Branding matters as much as product quality in consumer packaged goods.
- Digital-first marketing can unlock rapid scale, especially when paired with a strong story.
- The right strategic investor can reshape a company’s trajectory.
- Big exits can still come with emotional complexity and identity shifts afterward.