KFC to Swap Pepsi for Coca-Cola in US Restaurants After 40-Year Partnership

Last updated Oct 16, 2026

KFC Ends 40-Year Beverage Partnership with Pepsi in Favor of Coca-Cola

In a key alteration to its beverage offerings, KFC declared on Thursday that it’s set to replace Pepsi with Coca-Cola at its U.S. based eateries. This shift brings to a close a 40-year long partnership between KFC and PepsiCo.

KFC’s Transition to Coca-Cola

The renowned fried chicken chain anticipates initiating the transition to Coca-Cola products by January 2027, with an expectation of all U.S. outlets offering the new beverages by spring. Despite PepsiCo’s divestment of KFC in 1997, it continued to provide the fast food giant with beverages as part of the Yum! Brands parent company.

With this change, PepsiCo’s products, including Doritos, Ruffles, SunChips, and sodas, are potentially facing price increases.

KFC’s Motivations for the Switch

According to Catherine Tan-Gillespie, KFC’s President, the new partnership forms part of a wider initiative to modernize the chain and present customers with more reasons to visit. “This partnership is about more than what’s in the cup. It is another step in our work to evolve KFC, strengthen our restaurants, and menu offerings and create a more relevant experience for today’s customers,” Tan-Gillespie said in her statement.

Under the agreement, Coca-Cola’s extensive beverage portfolio will replace Pepsi products across KFC’s approximately 3,700 U.S. locations.

Future Prospects of the Partnership

The partnership could potentially lead to fresh food-and-drink combinations and additional beverage options as the chain expands its offerings. Dagmar Boggs, Coca-Cola’s president of foodservice and on-premise, also expressed her excitement about the collaboration.

Effects on PepsiCo

Despite the termination of KFC’s U.S. business, PepsiCo continues to retain beverage partnerships with several major restaurant chains. As per Reuters, PepsiCo recently renewed agreements covering Taco Bell and KFC’s international restaurants.

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