Don Vultaggio: AriZona Beverage Company - The Snap Decision That Outsmarted Snapple

In this episode of "How I Built This," Guy Raz interviews Don Voltaggio, co-founder of the Arizona Beverage Company. Don shares how he and his partner John Ferrolito transitioned from a beer distribution business to creating Arizona iced tea in the early 90s. They noticed Snyder's iced tea sales were soaring, and in a moment of inspiration, Don decided to enter the iced tea market. Arizona's initial products boasted vibrant, eye-catching packaging which helped grab consumer attention.

The journey of establishing Arizona iced tea was not without its challenges. The duo faced many ups and downs, including a decade-long legal battle following tensions in their partnership. Issues grew as John became less involved in the company, leading to disagreements about selling. Ultimately, the business found success, thanks in part to their iconic packaging and strategic pricing, which kept their product affordable.

Over the years, Arizona iced tea has become a household name and is one of the leading iced tea brands in the U.S. Don discusses the importance of staying true to their values and providing good products at fair prices. After a tumultuous partnership saga, he emphasizes a commitment to family and the potential for the next generation to continue the legacy of Arizona.