After paying $9 million to settle a lawsuit, PepsiCo Inc. will be dropping Naked’s signature “all natural” label. The lawsuit was filed after a complaint was made that the juices’ ingredients weren’t exactly “natural.”
Although the company stated in an email that is uses “an added boost of vitamins” in select drinks, the lawsuit noted that the vitamins were synthetic ingredients, including a fiber manufactured by Archer Daniels Midland. According to USA Today, PepsiCo did not respond when questioned about the use of synthetic fibers in their juices.
The lawsuit further stated that the company knew its target market would pay more for “natural” drinks and cultivated a “healthy and socially conscious image” in order to bolster drink sales (each bottle normally costing $4 each).
At the moment, the Food and Drug Administration does not have an official definition of what constitutes a “natural” product. However, the FDA does not object to the term’s use for food void of any “added color, artificial flavors or synthetic substances.” Despite this, PepsiCo. will remove “natural” from its Naked juices until more terminology guidance is made.