Poppi founders are going after PepsiCo's Gatorade with new beverage startup Jetty

After disrupting the soda category with Poppi, founders Allison and Stephen Ellsworth are now taking aim at hydration with their new brand, Jetty.

Starting Monday, Jetty drinks and ready-to-mix electrolyte packets will be on shelves at Whole Foods grocery stores and available online at Target and Amazon .

The new, self-funded venture directly pits the Ellsworths against PepsiCo , which bought Poppi for $1.95 billion in 2025. Pepsi owns Gatorade, which dominates the U.S. sports drink category with about 60% market share, according to Numerator data.

Poppi shook up the soda category with prebiotic fiber, low calorie and sugar counts and its fun marketing aimed at Generation Z and millennials. Jetty looks to upend the hydration category through a similar strategy. To do so, it will face off not only against Gatorade but also a swarm of other upstarts looking to get in on the electrolyte-fueled trend.

For decades, Gatorade and other sports drinks have pitched their products to athletes who need electrolytes and fluids after an intense workout, although many consumers drink them every day without even sweating. Jetty is aimed at people who need a hydration boost, but not the same level of electrolytes or sugar as a traditional sports drink.

"No one has really created a product for just everyday hydration — literally everyday hydration for normal people," Allison Ellsworth, Jetty's chief brand officer, told CNBC. "Like I woke up this morning, I didn't run a marathon."

Following Poppi's sale to PepsiCo, Ellsworth stayed on as an advisor to the brand, although she said she is no longer involved in the day-to-day operations.

After 10 years building Poppi, Ellsworth said, she finally had free time. As Ellsworth tells it, she went to the doctor for the first time in a decade. She started using a GLP-1 medication and lost 60 pounds.

Ellsworth's husband, Stephen, now CEO of the new brand, noticed she wasn't hydrating, even when she came back from the gym.

GLP-1 medications such as Ozempic and Mounjaro can make people less thirsty. But because staying hydrated can also help mitigate some of the drugs' side effects, such as nausea and headaches, it can become more important.

"I physically struggle getting liquid into my body," Ellsworth said.

Plain old water is often less appealing to consumers, even dehydrated GLP-1 users, but more flavorful options with added benefits can be tempting. About 44% of GLP-1 users report consuming more functional beverages, according to EY-Parthenon's third annual survey of more than 3,600 current or former GLP-1 users.