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Business Longevity: History of SodaStream
Someone has well said that the two most important rules of business are: 1) Stay in business; and, 2) Don't forget rule number one. You cannot serve your clients if your business fails. No doubt we can learn lessons about staying in business from those who have already done so.
SodaStream began in 1903. It was a carbonation system invented by Giles Gilby which made standard water into fizzy water, and was originally sold to the upper classes. In the 1920s, a variety of flavours were introduced. Sarsaparilla and cherry ciderette were two of these. It enjoyed widespread success in the 1970s and 80s, becoming a big hit in countries such as the UK, Germany and Australia.
SodaStream underwent numerous changes in ownership, at one stage even being part of the Cadbury Schweppes empire. 1998 was the year the company changed hands for the final time when purchased by Soda Club, which at that time was Israel's biggest supplier of SodaStream. After Soda Club's unsuccessful bid to change the brand from SodaStream to Soda-Club, SodaStream remained the name of the brand.
More recently Soda Club sought to retool the SodaStream brand. SodaStream was relaunched along with a new machine and many more new flavours, concentrating on marketing a healthy alternative to fizzy, sugar-rich drinks such as Coca Cola and Pepsi, and focused on health and diet issues so prevalent in this day and age.
The SodaStream product is essentially a home carbonation kit, allowing you to change water into sparkling water, as well as allowing you to add low-calorie flavours such as cola and orange. A large assortment of calorie-free flavours to flavour sparkling water to great taste is sold at allfreightfree.com.
The SodaStream machine works by forcing co2 into a bottle suitable for pressurising that is filled with water. it is the co2 that turns the water into sparkling or carbonated water. This process (dissolving co2) is referred to as carbonation. The carbonated water can then be drunk on its own as sparkling water, or mixed with flavours to create tasty, healthy treats. Once the co2 canisters have been used up they can be sent back to Soda-Club who recycle the canisters by refilling them with co2 then sending them back out.
Regarding actual health and diet benefits gained from drinking SodaStream, the company maintains that all their flavours are completely sugar-free and contain a maximum of 2 calories per 100ml; this is, assuredly, good news for every parent concerned about a child's diet.
The SodaStream machine adds only co2 to the water, meaning it does not have the added sugar that some bottled sparkling water contains; consequently, there is little, if any, difference from normal water.
SodaStream have made much of their environmental and health credentials, going so far as to claim that each litre bottle of SodaStream saves three aluminum cans. So, over a 3 year span, a family of four could slash their soft-drink-related packaging usage by over 90%. This is a significant claim, one that in this environmentally conscious age will stand them in good stead. Obviously, Sodastream has developed into a realistic alternative to the big players in the soft drink world.
Every year thousands of new businesses are started, and thousands of others are closed. By analyzing businesses like SodaStream we can identify qualities and strategies that might help our own businesses survive.
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