In what might seem like an unconventional pivot, Swiss herbal candy manufacturer Ricola has launched Drink Cubes, sugar-free effervescent tablets infused with Alpine herbs and vitamins. The move marks a significant strategic shift for the 80-year-old Laufen-based company, transforming from a single-product legacy into a diversified wellness brand poised for global growth.
The innovation isn’t reckless. It’s calculated. And CEO Thomas P. Meier just spent the week promoting the new cubes at Zurich’s main train station, giving away 80,000 free samples, making it clear: Ricola is serious about this market disruption.
The Partnership That Made It Possible
Ricola didn’t go it alone. The Swiss company partnered with Waterdrop, an Austrian startup that specializes in sustainable beverage solutions. This collaboration was intentional, a recognition that entering the highly competitive beverage market required expertise they didn’t possess internally.
“We spent a long time analyzing how best to enter the beverage market,” explains Meier. “With Waterdrop, we found the ideal partner to launch our drink cubes successfully in our home market.”
The result is a product that feels like Alpine herbs, natural ingredients, and Swiss quality distinctly, while leveraging Waterdrop’s innovation in compact, portable beverage solutions. It’s a masterclass in strategic partnership.
Revolutionary Packaging: From Medicine Cabinet to Drink Aisle
The first thing you notice about Ricola Drink Cubes is the packaging. It looks like something you’d find in a pharmacy, individual blister packs, clinical and precise. This is an intentional strategy.
The medicine-box aesthetic signals efficacy and quality. More importantly, it solves a fundamental problem: these cubes need airtight individual packaging to preserve flavor and freshness. Traditional PET bottles, the standard in the beverage industry, are becoming unnecessary.
This is where the sustainability angle kicks in. By eliminating logistically complex plastic bottles, the brand reduces its environmental footprint while creating a more portable, convenient product. One cube dissolves into 400-600ml of water, making it perfect for travelers, commuters, and anyone seeking convenience without compromise.
Price Point Strategy: Premium Positioning in a Mass Market
At nearly ten Swiss francs per pack, Drink Cubes aren’t positioning themselves as impulse buys. They’re premium products aimed at health-conscious consumers willing to pay for quality and Alpine heritage.
But the pricing logic becomes clearer when you do the math. One cube, costing less than 80 centimes, creates 400-600ml of vitamin-enriched herbal water. Compare that to specialty vitamin water in retail stores, and Ricola’s cubes are competitive, even advantageous.
Still, Meier acknowledges the challenge. “For a so-called impulse buy, the price is on the high side. It’s quite possible that we’ll offer smaller packages in the future.”
This transparency reveals their approach: launch premium, gather market data, then optimize. The Swiss market is essentially a test run for a global multi-billion-dollar beverage market.
Switzerland as Testing Ground for Global Expansion
The beverage industry has a brutal statistic: two-thirds of new products fail within a year. Ricola is aware of this risk. But the company is betting on something critical: brand loyalty.
“Everyone loves our brand,” Meier says with the confidence of someone leading an 80-year-old institution.
The Swiss launch, beginning now in supermarket chains across the country, is explicitly framed as a test run. In the second half of 2027, Ricola will take stock. If metrics look promising, the company will decide which international markets to enter and how to adapt the product for different regions.
This measured approach reflects maturity. Rather than rushing into global expansion and risking reputation damage, Ricola is gathering real-world data in its home market, where brand recognition is strongest, and consumer feedback is most valuable.
Asia: Where Ricola Is Already Young and Cool
While the brand struggles to attract younger audiences in Switzerland and faces price sensitivity in Germany, the company has cracked a different code in Asia. Here, Ricola isn’t positioned as a heritage candy brand. It’s cool, contemporary, and aspirational.
The proof is in the partnerships. K-Pop star Cha Eun-woo became the face of Ricola in South Korea, sparking significant consumer interest. When he entered military service and became unavailable, Ricola pivoted immediately, signing artist IU, a singer with 34 million Instagram followers and undeniable momentum in the region.
In Switzerland, the company is working with influencer Emma W., known as Wemmse, who helped promote the launch of Drink Cubes at Zurich Main Station.
The pattern is clear: Ricola understands regional dynamics. In Asia, the brand leans heavily into Swiss identity, Alpine imagery, and nature themes. These resonate powerfully with Asian consumers, justifying Ricola’s premium pricing in those markets.
The US Challenge: Tariffs, Price Increases, and Market Resilience
No market matters more to Ricola than the United States. Yet 2024 brought unprecedented turbulence. Trump’s tariffs on Swiss imports created millions in losses for the company. Ricola raised US prices by around ten percent despite economic headwinds affecting American consumers.
The surprising result? US business declined “surprisingly little,” according to Meier. This suggests either exceptional brand loyalty or the reality that Americans across income levels are absorbing price increases across all consumer categories.
But Meier isn’t complacent. “With President Trump, you never know what might happen next.”
Ricola has submitted claims to US customs authorities for tariff refunds, expecting to receive “several million Swiss francs” in reimbursements soon. More than one-third of Ricola’s added value already occurs in the US, where semi-finished products manufactured in Switzerland are packaged and prepared for retail. This supply chain integration provides some insulation against future tariff shocks, but uncertainty remains.
Germany: The Price-Conscious Market
Germany, Ricola’s second-most important market, presents a different challenge. German consumers are watching their wallets more carefully than ever, comparing prices obsessively. German retailers are aggressive negotiators, squeezing margins for premium product manufacturers.
This dynamic makes premium positioning harder. Ricola’s Alpine heritage and Swiss quality command premium prices, but German market conditions are increasingly hostile to that positioning. The company hasn’t announced specific strategies for Germany, but the CEO’s candid assessment suggests difficult choices ahead.
Retail Ambitions: Two Stores, Infinite Possibilities
Ricola currently operates two retail locations: one in Laufen (the company’s headquarters) and one in Paris (a prime location that reflects aspirational positioning). These aren’t core to the business strategy yet. They’re experiments.
However, regular social media posts from Swiss travelers worldwide, proudly showcasing Ricola products found in Costa Rica, Thailand, or other unlikely locations, suggest market potential for branded retail stores. Meier is exploring expansion possibilities in Switzerland and other countries, but no decisions have been finalized.
The retail strategy, like everything else at Ricola, reflects patience and data-driven decision-making.
Manufacturing at Scale: Laufen and Lenzburg
Ricola’s main production facility has remained in Laufen, Basel-Landschaft, the heart of the company’s operations for decades. But the company is also developing a significant expansion at Lenzburg, Aargau, a facility acquired from Hero.
The Lenzburg location is strategically positioned near the port in Aarau, making it efficient for shipping to the US market, Ricola’s largest revenue generator. Building permits have been finalized and plans are ready. However, the tariff turbulence of 2024 caused Ricola to slow the project. The company expects to get back on track in 2025 or 2026.
This expansion, when it happens, will represent substantial capital investment and signal Ricola’s confidence in long-term demand despite short-term uncertainty.
What This Innovation Means for Swiss Business
Ricola’s Drink Cube launch exemplifies how heritage Swiss brands can modernize without losing their identity. The company remains rooted in Laufen, manufacturing in Switzerland, and committed to Alpine quality. Yet it’s partnering with startups, engaging influencers, and entering entirely new product categories.
The innovation also highlights Swiss agility. While Ricola is traditional, it’s not bureaucratic. A decision to enter the beverage market led to a strategic partnership, a distinctive product, and a launch timeline measured in months, not years.
Most importantly, Ricola is being honest about risk. The company knows two-thirds of new products fail. It knows tariffs could return. It knows German consumers are price-conscious and younger Swiss consumers might ignore heritage candies. Yet it’s proceeding anyway, testing methodically, gathering data, and adjusting course as needed.
This is how Swiss companies survive and thrive for 80 years. Not by resting on heritage, but by respecting it while constantly innovating.
The Drink Cubes are now in Swiss supermarkets. By 2027, we’ll know if Ricola’s bet on beverage innovation pays off globally. But one thing is already clear: this 80-year-old Alpine institution isn’t slowing down. It’s just getting started.
