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Soda suppliers are raising prices more than usual this year. Operators in many parts of the country are finding they are unable to absorb the higher prices, but are also unable to raise their own prices enough to cover the increases. Many are contemplating new cold drink strategies.

Coca-Cola Enterprises Inc. (CCE), the nation's largest bottler, is seeking price increases this year due to what officials call unprecedented increases in raw goods and aluminum costs. The increases vary by geography and have caused many vending operators to seek alternative products to reduce exposure to the higher prices.

CCE's case price increases have been as high as 30 percent on 20-ounce bottles in some markets. In many instances, vending operators must raise prices to $1.25, which is a 25 percent increase.

The prices for cans has also increased more than normal this year, and in some markets, suppliers are seeking a bigger percentage increase for cans than bottles. In most markets, however, bottlers are seeking bigger percentage increases for bottles.

By the time this article goes to press, operators who get Coke rebates from the Better Vendors Association buying cooperative will no longer receive rebates under an agreement signed between BVA and CCE in January. BVA was the only buying cooperative that had a program with CCE.

Many operators worry that Coke's competitors will match the price increase, although this has not happened in most markets as of this report. In select markets, Coke competitors have sought higher price increases than Coke.

"The numbers are just staggering," said Len Salzman, owner of S & S Vending Inc., Melbourne, Fla. "This is the biggest increase in the history of vending in Florida." He recently began buying Coke cans for $5.25 a case at a warehouse club. His bottler wants $7.10 a case.