Coca-Cola Faces Backlash Over Arizona Tea Packaging Changes Amid ‘Shrinkflation’ Accusations
Coca-Cola has come under fire from consumers after making quiet changes to the packaging of its popular Arizona beverages, sparking criticism over alleged “shrinkflation” tactics. Shoppers are voicing frustrations online after discovering that the 128-ounce (gallon-sized) jugs of several Arizona tea products have been discontinued, with no prior announcement.
The bulk-sized containers, known for offering value to budget-conscious consumers, have quietly disappeared from store shelves in recent months. Meanwhile, Coca-Cola has shifted focus to smaller, higher-margin PET bottles, a move that some consumers see as reducing choice while increasing per-ounce prices.
Arizona’s position has long been synonymous with value. Its flagship 99-cent tall cans have remained at the same price point for over three decades, standing as a symbol of price consistency even as inflation pressures mount across the beverage sector. However, the larger-format teas were part of a separate licensing deal — Coca-Cola distributes Arizona’s refrigerated jugs and other multi-serve products through a partnership with its subsidiary, the Beverage Company (TBC).
Shoppers on social media have accused the company of “quiet quitting” the gallon jugs, with multiple Reddit threads calling out what they see as a “sneaky” product discontinuation. One widely circulated post drew thousands of reactions and sparked debate over the perceived lack of transparency. Critics argue the move undermines Arizona’s value-driven branding.
Coca-Cola has yet to confirm whether the gallon jugs have been permanently discontinued but acknowledged that product offerings regularly evolve based on market demand and distribution strategies.
The controversy surfaces amid broader scrutiny of shrinkflation across FMCG categories. As manufacturers grapple with rising production and logistics costs, many are reducing pack sizes or discontinuing less profitable formats while maintaining or increasing price points. This trend has sparked consumer distrust and regulatory attention globally, particularly as discretionary incomes remain constrained in many markets.
Industry observers note that while SKU rationalization and portfolio management are essential for driving profitability, brands risk alienating loyal customers if changes are not communicated transparently. For companies with legacy products tied to price perception, such as Arizona, the stakes are particularly high.
As inflation-driven pricing strategies continue to evolve, FMCG companies face the challenge of balancing margin protection with customer