New York to become the Big Snapple
amenities in the city of New York in a deal worth more than $200
million over the next five years. The drinks supplied to the city's
schools will meet strict nutrition guidelines in a bid to avoid
criticism.
A landmark agreement between the city of New York and the Snapple Beverage Group unit of Britain's Cadbury Schweppes is the latest in a number of often controversial partnership deals between major companies and US public services.
Under the terms of a $106 million (€94.4m) deal with the New York authorities, represented by Mayor Michael Bloomberg, Snapple will have the exclusive rights to sell its bottled water and fruit juices in vending machines in all the public services buildings across the city, including the schools.
Snapple will begin supplying schools immediately, with other city-owned buildings coming on stream from January. The full range of Snapple's drinks brands will be available through the vending machines: juices, ice tea, bottled water and the Yoo Hoo chocolate drink. The deal does not include Cadbury's other US soft drinks operation, Dr Pepper Seven Up.
In addition to the initial payment, Snapple will spend a further $60 million on marketing and promoting New York over the next five years.
Although soft drinks companies have brokered deals with schools, this is the first time that a partnership has been formed with an entire city authority. New York has more public schools than anywhere else in the US, with 1,200 schools and 1.1 million pupils.
Other soft drink producers such as Coca-Cola have in the past come under fire for promoting their often sugar-laden products to students, but Snapple hopes to head off similar criticism by creating a range of 100 per cent fruit juices which meet the strict nutritional guidelines set out by the New York authorities.
The Green Apple, Orange Mango, Grape and Fruit Punch drinks will sell for $1 each.
Cadbury Schweppes recently introduced a scheme in the UK offering free sports equipment for schools in exchange for chocolate bar wrappers - a promotion which critics said encouraged children to eat more unhealthy food and did more harm than good.
