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KFC plans switch from Pepsi to Coca-Cola drinks at U.S. restaurants

The chain says the change will begin in January 2027 and reach its U.S. restaurants by the end of the first quarter, ending a beverage partnership that began in 1986.

Interior of a KFC restaurant in Castelldefels, Spain.
Interior of a KFC restaurant in Castelldefels, Spain, photographed in 2020. This is a file photograph. Jorge Franganillo, “KFC Restaurant (50157593053).jpg” (resized and converted to WebP). CC BY 2.0.Image sourceImage licence: CC BY 2.0
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KFC announced on October 15 that it plans to replace Pepsi beverages with Coca-Cola products at its U.S. restaurants, ending a drinks arrangement that dates to 1986. The switch is scheduled to begin in January 2027, WDTN reported, and KFC U.S. President Catherine Tan-Gillespie told CNBC the company expects it to reach all U.S. restaurants by the end of the first quarter. Customers will therefore continue to see the existing drinks during the transition.

Why KFC is changing its U.S. drinks

In a memo to franchisees and employees obtained by CNBC, Tan-Gillespie described the new beverage partner as a way for KFC to develop products, respond to changing tastes and give customers more reasons to visit. WDTN also quoted her saying the partnership was intended to help evolve KFC, strengthen its restaurants and menu offerings, and create a more relevant customer experience. Those are the company’s stated aims for a change that has yet to take effect.

CNBC placed the announcement alongside KFC’s efforts to win back U.S. diners as it competes with chains including Chick-fil-A and Popeyes. It reported that KFC recently introduced iced coffees and shakes at its Open House innovation restaurant in McKinney, Texas. The beverage agreement gives KFC another potential route for developing its drinks menu, although the company’s stated plans do not establish how customers will respond.

A U.S. change to a partnership dating from 1986

KFC’s U.S. restaurants have served Pepsi drinks since Pepsi acquired the chain in 1986, CNBC reported. WDTN said Pepsi’s food operations were later spun off into a separate company. The new arrangement applies to U.S. restaurants: Tan-Gillespie said Pepsi remains an important partner for KFC’s parent company and its international markets, according to CNBC. Some KFC restaurants outside the United States already serve Coca-Cola products.

A supplier change is unusual for a large restaurant chain, CNBC reported, though it cited recent switches involving Subway, Culver’s, Arby’s and Panda Express. KFC’s timetable puts the start of its U.S. rollout in January and its expected completion by the end of March 2027; WDTN described the endpoint more broadly as spring 2027. For franchisees and customers, the practical change will arrive as locations move to the new drinks during that period.

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