KFC to switch to Coca-Cola beverages in U.S. restaurants for the first time in decades
KFC is switching from PepsiCo to Coca-Cola as its beverage supplier for U.S. restaurants.
Key points
- KFC will switch from PepsiCo to Coca-Cola beverages in its U.S. restaurants next year.
- The change ends a relationship dating back to Pepsi's 1986 acquisition of KFC.
- KFC expects all U.S. locations to serve Coke by the end of the first quarter of 2027.
KFC's U.S. restaurants will stop serving PepsiCo beverages and switch to Coca-Cola next year, the company said Thursday. The move marks the first time in decades that the Yum Brands chain has changed its drink supplier.
KFC's U.S. locations have served Pepsi drinks since Pepsi bought the fried chicken chain in 1986. At that time, KFC was Coke's second-largest fountain account, behind only McDonald's. Pepsi later spun off KFC along with Pizza Hut and Taco Bell, but the combined Yum Brands kept its loyalty to Pepsi.
Why the change
The switch is part of KFC's effort to win back U.S. diners who have left for rivals such as Chick-fil-A and Popeyes. KFC U.S. President Catherine Tan-Gillespie wrote in a memo to franchisees and employees that the decision is a critical step in the Kentucky Fried Comeback.
Tan-Gillespie said the new beverage offering with Coca-Cola gives KFC a platform to innovate, meet changing tastes and give customers more reasons to choose the chain.
This decision is a critical step in the Kentucky Fried Comeback
— Catherine Tan-Gillespie
Timing and industry context
KFC expects to be pouring Coke beverages in all of its U.S. restaurants by the end of the first quarter of 2027, Tan-Gillespie said. She also said Pepsi remains an important partner for KFC's parent company and its international markets.
Beverage providers often compete for restaurant partners. In 2024, Pepsi took Subway from Coke. Coke has also won several Pepsi customers in recent years, including Culver's, Arby's and Panda Express.
