Keurig introduces new pod design that lacks one significant trait

The company revealed the K-Rounds alongside its Keurig Alta brewer

Keurig Dr. Pepper has a single-serve Keurig coffee pod that doesn’t have any plastic in the pipeline.

The beverage company revealed the sustainable type of pod, K-Rounds, earlier this month, saying they would be free of both plastic and aluminum.

The new pods were "created from expertly roasted coffee beans that are ground, pressed and wrapped in a proprietary, protective plant-based coating," Keurig Dr. Pepper said.

The company is also in the process of getting them certified as compostable.

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K-Rounds notably won’t be able to be used with existing Keurig coffee brewers. Instead, Keurig Dr. Pepper has geared them toward its yet-to-be-released Alta brewer.

With the coffee machine, the company aims to "allow consumers to make a variety of hot and cold barista-style beverages … without having to master complex brewing techniques," according to a press release.

The Alta-compatible K-Rounds will have different sizes and codes for various drinks, the company said. Meanwhile, the traditional K-Cup pods will also work with the Alta.

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Keurig Dr. Pepper said the K-Rounds and the Alta machine arise from a "multi-year innovation project which incorporates significant intellectual property in beverage, pod, appliance and manufacturing design and processes."

The company expects to start putting the Alta and K-Rounds through beta-testing later this year. It said it would "refine and optimize" them based on the feedback before officially putting the products on the market.

Ticker Security Last Change Change %
KDP KEURIG DR PEPPER INC. 33.38 -0.18 -0.54%

The number of U.S. households that use Keurig brewers hit roughly 40 million in the fourth quarter, according to Keurig Dr. Pepper.

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In addition to its Keurig coffee business, the company has brands like 7-Up, Snapple, Canada Dry and Sunkist under its purview.

Keurig Dr. Pepper's market cap hovered around $41.16 billion on Thursday afternoon.

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