AriZona Iced Tea CEO vows to keep 99-cent price ‘for as long as we can’

WOODBURY, N.Y. — AriZona Iced Tea drinkers may have noticed their favorite fix appears immune to inflation, and the company’s chief executive officer confirmed Friday that that affordability is by design.

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“For as long as we can, we’re going to hold our price,” Don Vultaggio, founder and CEO of the billion-dollar beverage company, told CNBC regarding its standard 23-ounce tall cans with the striking cherry blossom design sold for 99 cents each.

According to the network, the price of AriZona’s canned refreshment has hovered just below the $1 mark for 30 years, and Vultaggio said that that affordability is what sets the brand apart from heavy hitters in the ultra-competitive beverage market.

“I tell people every day I go to a gunfight with Coke and Pepsi. I have a water gun, and they have machine guns. And the way I succeed is by doing things differently,” he added.

For instance, Vultaggio relies on word-of-mouth among satisfied customers to sell the product as opposed to costly, flashy advertising, and high-volume sales of reasonably priced beverages have allowed the family-owned company to weather the highest U.S. inflation rate in four decades without passing along those costs to consumers, Fox Business reported.

In addition, the company recently redesigned its can lids in a way that lowers manufacturing costs without affecting the drink’s quality, CNBC reported.

“I know what drives our base,” Vultaggio told the network, adding, “We taste good consistently. We look good consistently, and we’re priced fairly consistently.”

According to Fox Business, inflation in September rose 0.4% month-over-month and 8.2% year-over-year, while food-specific costs increased 0.8% month-over-month and 11.2% year-over year.

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