Pouring Rights Contracts with PepsiCo

Pouring Rights Contract with PepsiCo at UC Davis

Pouring Rights Contract (PRCs) are when a beverage company (primarily The Coca-Cola Company or PepsiCo) have exclusive rights to sell and market beverages in an institutional setting, such as a university. Through these multi-year, multi-million dollar contracts, universities sell exclusive access to their own campus community, allowing beverage companies to push sugary drinks on students, faculty, staff, and campus visitors and promote those products with on-campus advertising in exchange for funds. 

UC Davis has a PRC with PepsiCo for beverages. The only area on campus that is not within in the contract is the ASUCD Coffee House (CoHo).

Negative effects of the Pouring Rights Contract with PepsiCo

  • Nearly exclusive (90%) contract – unable to have partnerships with healthier or more sustainable brands

  • The PRC with PepsiCo is a 10 year long contract (2014-2024), UC Davis was unable to meet their zero waste 2020 single e-use plastic goal.

  • PepsiCo’s branding is representative on campus and as the second largest plastic producer in the world, it contradicts UC Davis’ values of sustainability.

  • The money received from the contract is 10 million over 10 years (i.e. – 1 million a year), which is 0.015% of the total annually revenue.

  • Pepsi does not have healthy or sustainable drinks options for students on campus.

  • Pepsi lobbies against sustainable businesses

  • The PRC conflicts with the Healthy Beverage Initiative (UC HBI)

    • UC HBI is to encourage the consumption of tap water as a healthy, free, and sustainable alternative to sugary drinks.

  • Majority of the money goes to college athletics department which represents 650 undergraduate students of 30,000 total (2% of study body).

EPPC's Vision for UC Davis without a PRC

  • Partnering with small businesses

  • More opportunities for reusable containers

  • More healthy, environmentally friendly options for students

EPPC’s work

  • Pouring Rights Letter

  • ASUCD Senate Resolution (SR #6)

  • Rally on June 1st, 2023, on Quad on campus

  • Social Media Campaign on our instagram

Current Standing

  • UC Davis’ contract with PepsiCo PRC is set to expire June 2024

  • UC Berkeley is in the process of finalizing their renewal of a PepsiCo Pouring Rights Contract.

  • Possibly that UC Davis will be offered to “piggyback” on Berkeley’s contract on the contract and sign a similar Pepsi PRC.

Collaborations

EPPC has worked with Professor Jennifer Falbe (a professor of human development whose research in nutrition emphasizes the dangers of sugary food and beverages). We have also worked with CSPI (Center for Science in the Public Interest) and other UCs undergraduate student and faculty members who do not support PepsiCo Pouring Rights Contract.