Coke and Coffee Maker's Collaboration Causes Social Media Stir

Coke and Coffee Maker's Collaboration Causes Social Media Stir

Social media was abuzz last week on news that Coca-Cola has agreed to both invest in and partner with Green Mountain Coffee Roasters .

Is Coca-Cola suddenly interested in entering the coffee-business fray? No, not exactly. It's more that Green Mountain is leaving the friendly smells of the coffee shop for the big time that is the cold beverage sector.

Green Mountain is betting its future that it can replicate and exceed its success putting individual-cup coffeemakers in 15 million U.S. households, with a machine dubbed the Keurig Cold. And with a megabrand like Coca-Cola behind it, success suddenly seems much more likely than failure.

The value of the partnership is clear for Green Mountain -- powerful brands on the platform, access to world-class expertise, distribution, and resources in the U.S. and abroad -- but the positives for Coca-Cola are more subtle.

Coke is certainly looking for first-mover advantage on the assumption that Keurig Cold will eventually become a significant delivery channel for cold beverages. And with $11 billion in cash on the balance sheet as of the most recently available pubic filing, Coca-Cola certainly has the money to write big checks to gain an edge in emerging beverage innovations.

In the video below, Motley Fool contributor Jay Jenkins gives the rundown on Green Mountain, Coca Cola, and PepsiCo and explains why this is a very big deal for investors.

Coca-Cola is investing just like you in this deal. Here's how you can benefit
It's no secret that investors tend to be impatient with the market, but the best investment strategy is to buy shares in solid businesses and keep them for the long term. Coke's 10-year strategic agreement with Green Mountain is just the latest example. In the special free report "3 Stocks That Will Help You Retire Rich," The Motley Fool shares investment ideas and strategies that could help you build wealth for years to come. Click here to grab your free copy today.

For more business and investing news trending on social media, "Like" Jay here!

The article Coke and Coffee Maker's Collaboration Causes Social Media Stir originally appeared on

Jay Jenkins owns shares of Green Mountain Coffee Roasters. The Motley Fool recommends Coca-Cola, Green Mountain Coffee Roasters, and PepsiCo. The Motley Fool owns shares of Coca-Cola and PepsiCo. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2014 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.