PepsiCo Bets on Zootopia 2 to Win China's Zero-Sugar Beverage War

SHANGHAI, China – December 31, 2025 – As the calendar turns, PepsiCo is unleashing a massive marketing offensive in China, strategically hitching its wagon to one of the most anticipated film releases of the year: Disney's Zootopia 2. In a sweeping collaboration with Disney, the beverage giant is rolling out a campaign for its Pepsi and 7UP brands under the banner "Zero Sugar for City-Wide Craze," a move designed to cement its leadership in one of the world's most dynamic and competitive consumer markets.

The partnership introduces a series of limited-edition cans featuring beloved characters from the franchise, backed by an immersive, multi-city marketing blitz. But this is more than just product placement; it's a calculated play to capture the hearts and wallets of China's discerning Gen Z and young families, leveraging the potent intersection of pop culture, health consciousness, and brand identity.

The Zero-Sugar Gold Rush

The campaign's timing is no coincidence. It lands squarely in the middle of China's explosive demand for healthier beverage options. The country's sugar-free beverage industry has seen meteoric growth, skyrocketing from just RMB 2.26 billion in 2015 to nearly RMB 20 billion in 2022, with forecasts projecting it to exceed RMB 61 billion by 2025. This shift is overwhelmingly driven by younger consumers, with nearly 80% of Gen Z prioritizing health benefits in their food and drink choices.

This health-conscious demographic has transformed the market, viewing zero-sugar drinks not merely as a healthier choice but as a form of self-expression and a marker of a modern lifestyle. This trend has fueled intense competition, with agile domestic brands like Chi Forest and its zero-calorie sodas rapidly gaining market share and challenging established international players. Competitors are also deep in the collaboration game; Coca-Cola recently partnered with Oreo for a limited-edition zero-sugar flavor and previously worked with local tech brands on AI-developed drinks.

Against this backdrop, PepsiCo's "Zero Sugar for City-Wide Craze" message is a direct appeal to this core audience. By positioning Pepsi Zero Sugar and 7UP Zero Sugar as the drinks of choice for the urban, trend-aware consumer, the company aims to infuse its products with the social currency that Gen Z craves. The collaboration isn't just about selling soda; it's about embedding the brands within the cultural conversation.

Betting on a Proven Champion

The choice of Zootopia as the vehicle for this campaign is a masterstroke of strategic precision. The original 2016 film was a cultural phenomenon in China, becoming the highest-grossing imported animated movie of its time and building a massive, loyal fanbase. Its themes of ambition, diversity, and navigating the complexities of a modern metropolis resonated deeply with Chinese audiences, making characters like the determined Judy Hopps and the witty Nick Wilde household names.

The return of these characters in Zootopia 2, scheduled for release in November 2025, is a highly anticipated cultural moment. PepsiCo is tapping into this pre-existing emotional connection and social buzz, effectively de-risking its investment. The campaign features four limited-edition can designs: Pepsi Zero Sugar channels the courage of Judy Hopps, 7UP Zero Sugar captures the charm of Nick Wilde, and two new characters, Gary and Nibbles, make a surprise appearance, stoking fan curiosity.

These cans are designed to be more than just packaging; they are collectibles, shareable content, and tangible links to the movie's world. By turning a simple beverage into a piece of the Zootopia universe, the brands empower fans to express their identity through their consumption choices, bridging the gap between cinematic fantasy and real-life moments.

The Art of the Alliance

This ambitious campaign is made possible by a deep, long-standing relationship between PepsiCo and Disney. The beverage company has been a strategic alliance partner with Shanghai Disney Resort since its grand opening, a partnership that has refined a collaborative model built on what the press release calls "speed, precision,and impact." This is not the first time the two giants have joined forces, with previous successful campaigns centered around powerhouse IPs like Star Wars and Fantastic Four.

This established alliance provides a significant competitive advantage. It moves beyond simple, one-off licensing deals to create a framework for deeply integrated, multi-faceted marketing experiences. It allows for streamlined planning and execution, enabling the rapid rollout of large-scale activations across a vast market. The partnership grants PepsiCo prime access to Disney's coveted portfolio while offering Disney an additional, powerful marketing channel to promote its films to a massive audience.

The synergy is evident in the campaign's execution. By aligning its products with the magic of Disney storytelling, PepsiCo infuses its brands with a layer of emotional resonance and family-friendly appeal, extending its reach from its core youth demographic to include young families—a key target for both the beverage giant and the entertainment conglomerate.

Crafting an Immersive Urban Craze

True to its theme, the "City-Wide Craze" is being brought to life through a comprehensive integrated marketing strategy that blurs the lines between online and offline engagement. The campaign is not confined to supermarket shelves; it is taking over major urban centers, including Shanghai, Beijing, Chengdu, and Shenzhen.

Consumers will encounter eye-catching out-of-home installations, interactive pop-up events, and a flurry of activity across social media platforms. The goal is to create a full-scenario experience, seamlessly blending the brands into the daily lives and entertainment habits of young city dwellers. This holistic approach aims to forge an emotional bond that transcends the product itself, turning the simple act of opening a can into a shared social moment.

To further fuel the excitement, the campaign includes a series of free Zootopia 2 merchandise giveaways, creating tangible incentives that help convert public buzz into sales. This strategy transforms every interaction, from a social media post to a 'pop of the can,' into a moment of heightened engagement and joy. For PepsiCo, this campaign serves as a powerful demonstration of its role as an innovation leader in the APAC region, showcasing a playbook for how global brands can co-create culture and achieve a deep fusion of brand, content, and context to brighten every moment for consumers.