Since launching in 1992, the CEO behind AriZona Iced Tea says he refuses to raise the brand’s infamous 99-cent price! Don Vultaggio, chairman and co-founder of AriZona Iced Tea, says for the “foreseeable future” he is committed to keeping the 99-cent price tag on the infamous 23 fl oz drinks.
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Vultaggio co-founded AriZona Beverages USA 30 years ago, on May 5, 1992, and launched the infamous AriZona Iced Tea 23 fl. oz. aluminum can for 99 cents. At the time, a gallon of whole milk was about $1.13, and a gallon of gas was about the same, according to ‘TODAY.’
While sitting down for an interview with TODAY’s Savannah Sellers, Vultaggio said that despite living through decades and surviving surging inflation rates, AriZona Iced Tea hasn’t ever increased its infamous 99-cent price. Instead of raising prices for consumers, the company has opted to cut out extra expenses that would could drive price hikes.
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Vultaggio said, “People say, ‘How do you do that?’ We make it faster. We ship it better. We ship it closer. The cans are thinner. We’re successful. We’re debt-free. We own everything. Why? Why have people who are having a hard time paying their rent have to pay more for our drink? Maybe it’s my little way to give back.”
When asked if he ever plans on raising the prices of his infamous 99-cent AriZona Iced Tea drinks, Vultaggio, whom TODAY estimates to be worth $3 billion, confirmed, “Not in the foreseeable future. We’re gonna fight as hard as we can for consumers.”
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The AriZona Iced Tea CEO also spoke with TODAY back in 2022, where he explained that despite witnessing inflation rates hit a 40-year high, he was still able to keep his prices intact. At the time, Vultaggio said, “To me, the worst day as a salesman is to go to a retailer and say, ‘Hey, by the way, I’m raising the price on that can today. What you want to do is have a customer come in and get a fair value on a can of tea or juice and then buy other things in your store to offset those costs.”
The AriZona Iced Tea CEO knows that price hikes have negative trickle-down effects, which he’s made a point to avoid. Vultaggio added, “One day, I was on the George Washington Bridge, and it was backed up. It was like two o’clock in the afternoon. And I said, ‘We’ve got to get our trucks off the roads during the day. We’ve got to come in at night.’ It was a simple decision … We’ve now shipped all of our products overnight so that our trucks will be more efficient.”
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