In Utah, Arizona and Idaho there are an increasing number of juice stores such as Sodalicious, Swig and Fizz. Located in areas known as the Mormon Corridor (although the Mormon church is now called The Church of Jesus Christ of Latter-day Saints), these stores prospered in part because the church banned coffee and tea.
So these western stores that specialize in soft drinks instead of coffee operate much like Starbucks in much of the country. Sodalicious president Kevin Ornig even told the New York Times, “What Starbucks originally did with coffee was the same with soda.”
Experts wonder if these soft drink stores in the West will grow if soft drink consumption in the United States is allowed to decline.
Based in Provo, Utah and co-founder of Sodalicious with his wife Annie with 25 offices in Utah, Arizona and Idaho, Auernig expects to double that number in the coming years. All properties, as well as new facilities, are owned by the company. Nobody has a franchise. Well, be it in Richmond VA, Boise ID, Price UT or Phoenix AZ, you can now hop into a Sodalicious store that prepares and serves a mix of cold drinks, soft drinks and soda that are instant refreshers and a perfect side after a heavy meal.
“We want to keep it a secret for now,” Auernig says when asked which states, except three, it will cover. “We are expanding beyond the mountain states,” he admits.
Will it work in multicultural California? “That wouldn’t be safe,” said Auernig. This includes educating consumers and showing them services other than coffee,” he said.
His store in Price, Utah, for example, is thriving despite an 80 percent Catholic population. Some stores in Arizona also attract a diverse clientele.
And he has received no venture capital or private equity funds. The entire expansion will be financed from existing cash and credit lines.
Since launching Sodalicious in 2013, the pair have reinvested their profits in the company and own 100% of the shares. They prefer doing business with banks over venture capitalists because there are fewer people and banks don’t plan to sell the company in three to five years.
“They are necessary,” he says of venture capitalists. We’re still building it and we don’t have to report to anyone. Answering no one is the American dream.”
Sodalicious offers juices such as Coca Cola, 7 Up, Dr. Seuss and other branded juices. Cheese, Pepsi or Mountain Dew, or mix with energy drinks, flavored syrups and fruit purées. For example, Castaway infused 7 Up with coconut guava and fresh lime.
Sodalicious also sells energy drinks like Monster and Red Bull, as well as cocktails like Blue Buzz, which contains red bull, blue raspberry, and coconut.
He also specializes in a variety of cookies, including pink glazed sugar cookies, a snickerdoodle, and, during the holiday season, mint fudge cookies.
It no longer serves sandwiches or food, and it’s “not a place for lunch and dinner,” Auernig said.
Sometimes they tried to sell breakfast and a few sandwiches, but they knew that ‘our customer brings soft drinks and biscuits’. Because he has his own bakery and makes cakes, he keeps costs low and profits high.
“You have a famous lemonade stand,” someone once told Auernig. Answer: People want it, but why bother with success?
Although he is not specialized in food, he has a very long working day and closes at 8 in the morning. at 9 p.m. and later on weekends. It’s also driving sales through third-party delivery service DoorDash.
He describes the target audience as many shoppers who pass by in the morning on their way to work, parents who take their children to school, shop assistants during their lunch break and soccer moms who stop by before their children train.
What sets Sodalicious apart from competitors like Swig and Fitz? Auernig replies that he sells more than just soft drinks. “I sell experience. It’s like “Good luck” when everyone knows your name, but we know the order of the regulars,” he said.
The impact of the outbreak on Sodalicious’s business has been “a rollercoaster … we had to temporarily close our lobbies and use only drive-thru windows.” Since most of his business is through sales, sales were only marginally impacted.
“They had to reevaluate our bottom line and look for ways to move traffic more efficiently, resulting in more sales,” he said.
In the past, she has owned and refurbished numerous outlets, including restaurants, bike shops, and insurance companies. But since it relies heavily on access windows, it needs less space. According to him, his new stores don’t even have lobbies.
In two years, he expects to double the number of stores, “promoting the brand and finding new ways to collaborate with customers and retailers.”
He describes three keys to his future success: 1) retaining existing employees and attracting new employees, 2) innovating and 3) maintaining his culture of fun, play and free judgment.
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