U-M has selected Coca-Cola as its exclusive university-wide beverage supplier. The decision was shared with the Board of Regents on May 21.
The university’s Procurement Services Department is now engaged in final contract negotiations with Coca-Cola and a multi-year pouring rights and sponsorship agreement is expected to be signed in the near future.
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Coca-Cola was chosen from a field of other beverage companies that included Keurig Dr Pepper, Pepsi, and Red Bull, and the agreement will cover UM-Ann Arbor (including athletic venues), UM-Flint, UM-Dearborn and Michigan Medicine. In the past, numerous companies provided beverage service to U-M under several different contracts.
The new agreement will offer value across U-M in several ways, including direct sponsorship funding, student scholarships, internships, ambassadorships, support for sustainability initiatives and nutrition programs, enhanced customer service, streamlined beverage operations, and updated equipment. The process to establish a university-wide exclusive pouring rights and sponsorship agreement with a beverage company started over a year ago and involved the entire U-M community in numerous ways.
An evaluation committee composed of representatives from UM-Ann Arbor, UM-Dearborn, UM-Flint and Michigan Medicine evaluated the bids submitted by Coca-Cola and other beverage companies on a variety of factors, including the financial component, customer service, sustainability, support of the U-M community, and beverage selection. In addition, more than 3,000 students, employees and retirees completed an online survey or attended a virtual town hall about pouring rights.
“Beyond reviewing RFPs, participating in supplier presentations, and carefully evaluating and scoring the beverage companies on several criteria, the evaluation committee really wanted to hear from our students, employees and retirees,” said Tally Thrasher, assistant vice president and chief procurement officer at U-M.
“And the feedback that we received from these groups via the survey and town halls was invaluable in the selection process. I really want to thank everyone who took the time to complete an online survey or attend a virtual town hall about pouring rights. Whether their questions related to sustainability, student support, a diverse selection of beverages, or anything in between, we gave significant weight to their perspective.”
A broad range of Coca-Cola beverages will be available at the university, including soft drinks, water, fruit juices, sports drinks, and bottled teas and coffees. Many of the beverages offered by Coca-Cola will be available at fountains as well as in bottles and cans.
The agreement will also include the Athletics Department, which has had its own arrangement with Coca-Cola for several years.
“We’re looking forward to continued growth in our relationship with Coca-Cola under this new UM-wide pouring rights and sponsorship agreement,” said Warde Manuel, U-M’s Donald R. Shepherd Director of Athletics. “Coca-Cola has been a strong supporter of Michigan Athletics over the years and the new agreement will offer many benefits to the entire university while furthering the investment in our student-athletes and teams.”
Thrasher noted that exclusive beverage agreements have existed for years and are very common in higher education, hospitals, hotels, theme parks, resorts and other industries. Within the Big Ten, for example, the vast majority of the conference’s 18 members, including Indiana, Ohio State and Penn State, currently have pouring rights agreements.
“On behalf of our entire team, I want to thank the University of Michigan for choosing Coca-Cola to be its exclusive beverage provider,” said Felicia Hale, vice president, Frontline Marketing at Coca-Cola North America. “As an organization, we share many of the same values as U-M, including a focus on sustainability and community engagement. We’ve had a relationship with different areas of the university for many years and are looking forward to bringing our broad range of beverages and long-standing commitment to community support and exemplary customer service to the entire U-M community.”
More details on the UM-wide transition to the Coca-Cola line of products will be available in the near future, with full implementation expected to be complete by the beginning of the fall 2026 school term.
“We’ve taken a very deliberative, methodical, and, above all, inclusive approach from the outset of the selection process. And the support and input that we’ve received from our colleagues across the university since we began this effort has been extremely beneficial,” Thrasher said. “Moving forward, our intent is to make this transition as seamless and easy as possible for everyone. We’re going to continue working closely with the U-M community to bring Coca-Cola online in the most efficient and effective way possible.”
Visit the Procurement Services website for more information on pouring rights, including an FAQ and a video produced by Coca-Cola that was shared at the pouring rights town halls earlier this year.
Moira Dowling
I am deeply disappointed that UM has chosen a suppler that operates in illegal Israeli settlements and that Coca Cola’s Israeli franchise has made a contribution to a right wing Israeli group. Perhaps the regents were not aware?
Amy Chait
Does this mean that the hospitals will start carrying regular beverages as well as sugar free? The sugar-free only beverage options for the hospitals is anything but healthy and has gone on far too long.