SPECIAL REPORT
PHOTO COURTESY OF SWIG
HOW SWIG AND HTEAO ARE POWERING THE BEVERAGE BOOM One concept is a destination for dirty sodas, the other for iced teas, but both share similar strategies that are driving growth in the competitive beverage segment.
S wig was first to the dirty soda trend and HTeaO got a head start as an iced tea-only chain. But as the beverage category heats up with more competitors, how are these two hot concepts contin- uing to stay ahead? Alex Dunn, CEO of Swig and Heath Nielsen, president of HTeaO, each tackled that question at Informa Connect’s Future of Beverage conference, held in Austin, Texas. Although the two beverage compa- ny heads spoke during different sessions, they related several similar strategies. Top of both lists: Customization and personalization are at the core of their success. “Sodas are a $300 billion industry, so the demand is there. But con- sumers wanted more—more options and more flavor profiles,” said Dunn, in talking about Swig’s mission. “At Swig, people order ‘their drink,’ like at Starbucks. It’s customization with a base of soda instead of coffee or tea.” When Swig was ready to expand from its home base in St. George, Utah, there was a lot of skepticism from investors as to whether dirty sodas were sustainable outside the state, said Dunn. “I spent a lot of time answering those questions, then something clicked,” he said. “I posi- tioned Swig as the Starbucks of carbonated drinks … we were reimagin- ing the way people consumed sodas, just as Starbucks did with coffee.” HTeaO is also in the reimagining business, this time, with iced tea as a base. “You walk in and there are 26 flavors of iced tea, all in bubblers,” said Nielsen. “The average size drink is 40 ounces, and customers mix and match, adding blueberry, watermelon, peach and more to sweet tea.” The combinations are practically endless and as at Swig, every per- son is crafting “their drink.” At HTeaO, customers can also get energy shots, protein additions, hydration boosts and other add-ons, but while 80% of the business is self-serve, an employee has to add the extras. Both concepts are also very picky about their base product. “Our black and green tea is brewed in house every day with a team of 20
PATRICIA COBE
PATRICIA.COBE@INFORMA.COM
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RESTAURANT BUSINESS JANUARY 2026
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