Mountain Dew is returning the mountain to its logo CNN Business

“Mountain Dew” is getting a makeover with the word “Mountain” reappearing on cans and bottles after a gap of nearly two decades.

The PepsiCo-owned beverage is unveiling a new logo and packaging design Wednesday that ditches the acronym for its sharply angular font and image that evokes its rustic roots, as well as bringing back its namesake title on cans and bottles. Consumers will see the new look roll out from next May.

The changes come amid slowing demand in North America for PepsiCo's beverages, and more specifically, a sharp decline in Mountain Dew volumes, which fell 7% in the first half of 2024, according to figures provided to CNN by Beverage Digest, a trade publication.

“Mountain Dew appears poised to shake off the adrenaline rush that defined the brand's marketing for nearly two decades, when a key strategy was to market dew as an energy drink to an energy drink crowd,” Duane Stanford, editor and publisher of Beverage Digest, told CNN. .

Tapping into nostalgia, the new logo marks the return of the “mountain”. It was dropped in 2009 as part of a larger rebrand of PepsiCo's soda portfolio, which also included a fresh look for the now-defunct Sierra Mist.

Accenting the word mountain is “a direct link to the origins of the brand, which is mountains and the outdoors,” said Mauro Porcini, PepsiCo's senior vice president and chief design officer, who led the redesign. A nod to its founding date in 1948, when it was built as a mixer in the Tennessee Smoky Mountains, was also added to the logo.

Hardcore Duet fans will recognize that the new logo bears some resemblance to the one used in the 1990s, but Porcini told CNN that it has been “modernized and projected to feel the three-dimensionality of the words”, giving it a more current look with softer angles.

Other touches include a leaf to dot the “i” and a mountainous background with a citrus-inspired yellow hue, which Porcini says connects to the drink's fruity flavors.

“In previous designs, we weren't very clear in communicating refreshment cues,” Porcini admits. “It was more about the force of the sharp corners exploding on the can.”

Mountain Dew has long been marketed as an energy drink because of its sugar and caffeine content, but the new look is a “different kind of energy that's coming from outside to conjure up,” Porcini said.

The soda brand recently brought back its famous “Do the Dew” tagline and introduced Mountain Dude, a new character that encourages Gen-Z to take their eyes off screens and enjoy the outdoors.

A major marketing overhaul is essential for Mountain Dew. PepsiCo has “little choice” but to improve sales since the beverage is one of its biggest brands, Stanford said. PepsiCo also owns Rockstar Energy and has a half-billion dollar investment in Celsius, a trendy energy drink brand, so “the need for dew isn't as important to compete as an energy brand.”

The roll out of a refreshed look comes at a difficult time for soda makers. Drinkers are shifting their preferences away from sugary sodas to sparkling water, hydration drinks and “better-for-you” options.

PepsiCo lowered its full-year revenue outlook Tuesday, partly due to slower volumes for the North American beverage unit. “The increasing impact of inflationary pressures and higher borrowing costs over the past several years has continued to affect consumer budgets and spending patterns,” PepsiCo CEO Ramon Laguerta said in a statement.

Also, smaller rivals like Poppi and Olipop are growing in popularity and distribution, with the latter brand recently releasing a Mountain Dew-like flavor called “Ridge Rush” — which even has mountains on the can.

Mountain Dew's new look is “the evolution and nurturing that we wanted to give to this beloved franchise,” said JP Bittencourt, vice president of marketing for Mountain Dew. “This design has been in the works for a while, so it's not a reaction to anyone.”

A rebrand could also attract drinkers who may have forgotten about Mountain Dew. Bittencourt told CNN that the brand “has seen a huge lift with our most ardent fans and, equally important, with those who haven't tried us in a while.”