Single-Serve Cold Beverage Solutions Go Into Overdrive

For The Home:Keurig Kold makes single-serve, chilled beverages without the use of ice, and also delivers carbonated beverages without a CO2 cartridge. It uses a chiller with an aerospace-inspired thermal transfer system to rapidly cool room temperature water to the ideal temperature. Carbonation can be stored in Kold pods. Kold delivers beverages at in 8-fl.oz. portion size, and most have 100 calories or less. To prepare a drink, the user removes the freshness seal from the bottom of the pod, pops it in and pushes the button.

Lavit's system, which has been under development for five years, uses an all-aluminum capsule to prepare a chilled 12-fl.oz. iced tea, lemonade, flavored water, energy drink or sports beverage -- still or sparkling. It debuts with 20 flavors, including raspberry lemonade, green tea with ginseng and spicy ginger ale. Beverages contain no sugar or low sugar and are preservative-free. Each naturally flavored drink provides 10 calories or less and is rich in vitamins.

At home, Keurig Kold allows consumers to make a wide variety of sparkling and still cold beverages. It's now sold at Keurig.com, and by select retailers in Atlanta, Boston, Chicago, Dallas, Los Angeles and New York.

Kold also has been in development for five years, and Keurig has more than 50 related patents, the first of which expires in 2031. That work has allowed the company to create a machine that delivers cold drinks with the proper amount of carbonation at a 39° temperature in about 60 seconds. The machine, if filled with cold water, can make six to eight drinks in a row before it needs a recharge period.

Notably, Kold can deliver carbonated beverages without a CO2 cartridge. Rather, it uses Karbonator beads, which are contained within the capsule and hold beverage-grade CO2. During the drink-making process, CO2 is released into the beverage to carbonate each drink.

Keurig has product deals with Coca Cola, which holds a 16% stake in the company, as well as Dr Pepper Snapple Group and other brands. Kold's first brands include Coca-Cola Co.'s namesake cola, Diet Coke, Coke Zero, Sprite and Fanta, and DPS's Dr Pepper and Canada Dry. It also makes craft and fountain-style sodas, zero- and low-calorie flavored seltzers and waters, sports hydration drinks and iced teas. Cocktail mixers will be released in the near future. Kold capsules need no refrigeration.

At The Office:Lavit's cold beverage dispenser can be plumbed into the location's potable water line (and equipped with a filter), or draw water from a 5-gal. bottle. It measures 17.5" x 14" x 19", weighs 42 lbs. empty and has a 60,000-use requirement to meet the high demands of commercial placement. Components include anti-microbial surfaces, an ozone disinfection system, 1-liter carbonation tank and a large, interactive touchscreen. Lavit's system also avoids cross-contamination of ingredients because each capsule acts as its own mixing chamber. The user inserts an all-aluminum Lavit capsule into the countertop dispenser and touches a button to prepare a 12-fl.oz. chilled beverage.

The Keurig Kold drink machine launched on Sept. 29 with a suggested retail price of $369.99. Kold pods retail for $4.49-$4.99 for a 4-ct. box. Some industry analysts say Kold is too pricy as a home appliance and a DIY serving (about $1.25 per drink). By contrast, machines sold by SodaStream International Ltd., which came up with the notion of make-it-at-home soda in 1991, cost $80 to $200 and its drinks cost 8¢ to 20¢ a serving.

A month before Kold's launch, and feeling the squeeze of a new rival, SodaStream recast itself as a "sparkling water'' dispenser. As part of its makeover, SodaStream said it plans to begin home pickup of its used carbon-dioxide cylinders. Additionally, it will spend more than 70% of this year's roughly $30 million U.S. marketing budget in the second half.

Lavit did not disclose product costs in its announcement, but said its beverage system is available at a base price comparable to traditional countertop water dispensers, and beverage capsule pricing is similar to single-cup coffee units. It did say that its system could generate annual gross profit of more than $1,200 when installed in a midsize office. It also provides technical service, onsite training and a warranty program for its new machine.

"The office services market continues to grow with new and innovative products, as employers are starting to embrace more reliable, stylish, progressive options," said Lavit's Gian Matteo Lo Faro. "Single-serve capsules are one of the fastest-growing, high-margin products in today's economy."

Lavit is also focused on providing an environmental, social and sustainable product. Its capsules are 100% recyclable (they can go right into the recycling container) and have one-seventh the aluminum of a 12-fl.oz. can. For every Lavit capsule purchased, the company commits funds to water charity partners around the globe.