Caleb Bradham and Pepsi Cola Company

In 1902, he launched the Pepsi-Cola Company in the back of his New Bern pharmacy room and applied to the U.S. Patent Office for a trademark.

At first, The Pepsi-Cola Company simply sold Pepsi-Cola syrup to drug stores in eastern North Carolina. He mixed the syrup himself and sold it exclusively through soda fountains. But soon Caleb recognized that a greater opportunity existed to bottle Pepsi so that people could drink it anywhere.

The business began to grow, and on June 16, 1903, "Pepsi-Cola" was officially trademarked with the U.S. Patent Office. That year, Caleb sold 7,968 gallons of syrup, using the theme line "Exhilarating, Invigorating, Aids Digestion."

By 1905, demand for Pepsi-Cola had increased so much that Bradham decided to was time to offer Pepsi-Cola for sale in bottles. To facilitate the sale of Pepsi-Cola in bottle, Bradham issued the first of many franchise agreement.

Building a strong franchise system was one of Caleb's greatest achievements. Local Pepsi-Cola bottlers, entrepreneurial in spirit and dedicated to the product's success, provided a sturdy foundation. They were the cornerstone of the Pepsi-Cola enterprise.

Soon the name Pepsi-Cola was known throughout the southeastern United States. By 1907, the new company was selling more than 100,000 gallons of syrup per year.

In 1910, there were Pepsi-Cola franchises in twenty-four states. Bradham erected a spectacular headquarters in New Bern, and the city hosted the first Pepsi-Cola bottlers’ convention.

Pepsi had been one of the first companies in the United States to switch from horse-drawn transport to motor vehicles, and Caleb's business expertise captured widespread attention. He was even mentioned as a possible candidate for Governor. A 1913 editorial in the Greensboro Patriot praised him for his "keen and energetic business sense."

Pepsi-Cola enjoyed 17 unbroken years of success. Caleb now promoted Pepsi sales with the slogan, "Drink Pepsi-Cola. It will satisfy you." Then, during World War I, things began to change.  The cost of doing business increased drastically. Sugar prices fluctuated wildly, which had a significant impact on the production of Pepsi.

Caleb was forced into a series of business gambles just to survive, until finally, after three exhausting years, his luck ran out and he was bankrupted. By 1921, only two plants remained open.
Caleb Bradham and Pepsi Cola Company

The invention of Pepsi Cola by Caleb Bradham

Summer 1898, the weather was hot and humid. In New Bern, North Carolina pharmacist named Caleb Bradham began experimenting with various combinations, of spices, syrups and juices in search of a refreshing soft drinks to serve parched customers.

Caleb poured a sample of his mixture into a beaker and gave it to his assistant to taste it. When he saw his assistant’s face light up upon tasting it, Caleb knew he had created a winner.

His creation became so popular his customers named it "Brad's Drink." Caleb decided to rename it "Pepsi-Cola," after its two main ingredients pepsin and the cola nut and advertised his new soft drink.

People responded, and sales of Pepsi-Cola started to grow, convincing him that he should form a company to market the new beverage.

Caleb Bradham originally bought the name ‘Pep Cola’ from a bankrupt Newark, NJ, competitor for $100 and renamed the soft drink Pepsi Cola. In 1902, he founded the Pepsi-Cola Company in the back room of his New Bern pharmacy.

At first, he mixed the syrup himself and sold it exclusively through soda fountains. The business began to grow, and on June 16, 1903, "Pepsi-Cola" was officially registered with the U.S. Patent Office. That year, Caleb sold 7,968 gallons of syrup, using the theme line "Exhilarating, Invigorating, Aids Digestion." An artist and neighbor of Caleb designed the first Pepsi advertisement, and he was able to move his business into larger warehouse.

By 1905, demand for Pepsi-Cola had increased so much the Caleb Bradham decided it was time to offer Pepsi-Cola for sale in bottles. To facilitate the sale of Pepsi-Cola in bottles, Bradham issued the first of many franchise agreements.

In just six years, Pepsi was franchised in 24 states.
The invention of Pepsi Cola by Caleb Bradham

Early History of Pepsi Cola

Pepsi-Cola is one of the drinks that trace its root back to the corner drugstore. In 1893, Caleb D. Bradham, a pharmacist of New Bern invented it.

Bradham poured a sample of his mixture into a beaker and gave it to his assistant to taste it. Then he saw his assistant’s face light up upon tasting it, Bradham knew he had created a winner.

Like many drugstores of its time, Bradham provided ‘soda’ mixes for his customers and friends. His favorite was ‘Brad’s Drink’.

The name ‘Brad’s Drink didn’t convey the nature of the beverage and he decided to rename it ‘Pepsi-Cola’ in 1898.

The word “Pepsi’ was probably a reference to the idea that his drink would aid digestion like pepsin, an enzyme found naturally in the body.

By 1900, Pepsi-Cola had become so popular, that Bradham started the Pepsi-Cola Company. At first, the Pepsi-Cola Company simply sold Pepsi-Cola syrup to drug stores in eastern North Carolina.

By 1905, demand for Pepsi Cola had increased so much that Bradham decided it was time to offer Pepsi-Cola for sale in bottles. To facilitate the sale in bottles Bradham issued the first of many franchise agreement. Soon the name of Pepsi-Cola was known throughout the southeastern.

By end of the first decade of 20th century, Bradham had organized a network of more than 250 bottles in 24 states.
Early History of Pepsi Cola