Frequently Asked Questions: Pepsi

The original campus beverage relationship was set to expire in July 2021. During that time, the 2020 Beverage Working Group recommended moving forward with a two-year contract extension between PepsiCo and UC Berkeley. The Advisory Committee subsequently elevated such recommendation to the Finance Committee, who approved the recommendation to extend the relationship with PepsiCo in February 2021. The recommendation also took into consideration the campus and national climate at that time due to the pandemic, the increasing concerns around health and wellness and sustainability, and the appropriate long-term solution for beverage on UC Berkeley’s campus. 

The 2021 Beverage Working Group reconvened during the extension period to continue researching and evaluating the best model for a new beverage service on campus and a potential vendor that would address the broad needs of the campus community, and support and improve campus initiatives within the areas of health and wellness, sustainability, equity and advertising. 

A decision to move forward with a campus request for proposal (RFP) was made in 2022 by campus leadership. Various considerations were considered noting the significance of a beverage relationship for the campus, including beverage procurement and sales, partnership funding, marketing activities, and enforcement of university policies that touch priority values and initiatives for many Berkeley stakeholders.

PepsiCo was selected as the official beverage partner of UC Berkeley following a seven-month collaborative process that included a competitive request for proposals, gaining input from an engaged Beverage Working Group, and responding to the areas that the working group identified as most meaningful and beneficial to the campus. 

You can learn more about the RFP process by viewing our Beverage Industry FAQs

Following the UPP Governance Model, a committee was formed to include representation from a variety of UC Berkeley stakeholder groups. The Beverage Working Group includes representation drawn from The Associated Students of the University of California (ASUC), Graduate Assembly, ASUC Student Union, Berkeley Dining, Berkeley Recreation & Wellbeing, Cal Athletics, Office of Sustainability, Supply Chain Management, University Health Services and UC Berkeley faculty.

The Advisory Committee is composed of voting and non-voting members drawn from the campus student body, faculty, administration and affiliates. Voting representation includes members from the ASUC, Graduate Assembly, Cal Alumni Association, Cal Athletics, Capital Strategies, Communications and Public Affairs, Human Resources, Industry Alliances Office, Student Affairs, University Development and Alumni Relations and UC Berkeley faculty.

Participating campus units are identified by the UBPS Advisory Committee. Working Group representatives are appointed by leadership from each identified campus unit.

Undergraduate and graduate working group representatives are appointed by the ASUC Executive Vice President and the Graduate Assembly, respectively.

A list of the current Beverage Working Group members can be found on our UPP Working Groups page. The list of current Advisory Group representatives can be found on our Governance Committees page

Beverage Working Group members scored bidders based on six criteria they developed as part of the RFP process. The Beverage Working Group used these criteria to score initial proposals submitted in response to the RFP. After meeting with the bidders, the working group rescored proposals and arrived at an evaluation that was forwarded to the Advisory Committee. 

The criteria included:

• Beverage Service

• Sustainability

• Health and Wellness

• Campus Engagement and Partnership Communications

• Financial Consideration

• Values

UPP will oversee the PepsiCo relationship, with guidance provided by the Beverage Alliance. The Beverage Alliance is composed of representatives whose departments have a relationship built into the current campus agreement.

PepsiCo will continue to be served at Berkeley Dining locations, including residential dining halls, retail locations and catering. Additionally, on campus beverage vending, Athletic concessions, the Student Union and the International House will also serve PepsiCo products. 

PepsiCo will work with university stakeholders to better meet the needs of students, faculty, staff and alumni by bringing new products, services and more convenient options to the campus.

In addition to supporting the campus non-essential single-use plastics roadmap and Berkeley’s Food and Beverage Choices Policy, the partnership will also:

• Provide the campus with significant capital investment in emerging beverage technologies

• Guarantee wholesale prices at competitive pricing

• Support the campus’s emergency preparedness with water products relevant to disaster relief

• Support of Berkeley Career Engagement 

• Provide an annual donation to the university's Pepsi ASCEND (Accelerating Success Can Enable New Dimensions) scholarship fund

• Provide monetary support and/or complementary product donations to campus departments in support of special events and programming that benefit Berkeley students, employees, visitors and fans 

• Explore opportunities to further Berkeley research and innovation initiatives, and impactful projects and programs

PepsiCo has committed to meeting Berkeley’s non-essential single-use plastics roadmap by transitioning approximately 90% of its beverage products sold on campus to non-essential single-use plastic containers by 2024. By 2030, all Pepsi products provided to the university, including giveaways, will be free of single-use plastics in both their composition and packaging.

As part of the agreement and PepsiCo’s pep+ (PepsiCo Positive) business model, the company will also supply Berkeley with energy-efficient beverage distribution and cooling equipment while also providing funds to support campus priorities related to sustainability.

Through the relationship, PepsiCo will offer a selection of products that will enable Berkeley Dining, Cal Athletics, International House, the Student Union and the campus’s beverage vending machines to meet the UC Berkeley Food and Beverage Choices Policy guidelines. PepsiCo will supply a product mix that complies with university limitations on sugar and caffeine content, as well as product sizes, shelf placement and pricing. 

The campus’s progress of the FBC Policy is monitored through a campus audit which is conducted annually by University Health Services (UHS) and students enrolled in the campus’s Nutrition in the Community class.

UPP adheres to a set of Guiding Principles when reviewing and selecting partners. These principles help to ensure the campuses are entering into a well-rounded partnership that aligns with the university’s mission and values.

The principles are:

• Strategic Brand Alignment – Develop authentic partnerships that are aligned with and support the university’s mission of teaching, research and public service.
• Priority Services and Engagement – Secure partnerships that provide support through products or services that contribute to and enhance the daily experiences of our students, faculty, staff and alumni.
• Campus Impact – Enhance the lives of our students, faculty, staff, alumni and our community through support of priority campus programs that highlight the University of California’s Values.
• Revenue Growth – Pursue strategic, significant partnerships that unlock new campus revenues and program support aimed at advancing the mission of the university.

The agreement is for 10 years, effective August 1, 2023.