NEW YORK (TheStreet) -- Coca-Cola (KO) - Get Report has a market cap of $172 billion. PepsiCo (PEP) - Get Report has a market cap is $136 billion. This 'forgotten beverage company' has a market cap of only $14.7 billion, less than one-tenth the size of Coca-Cola.

But despite its smaller size, this company offers investors serious total return potential. Over the next several years, expect this company to generate total returns of between 9.5% and 13.5% a year. That's well above what the S&P 500 is expected to do.

One thing that is going in this company's favor is that it doesn't have a presence outside North America. I know, I know, normally being geographically diversified is good for business. But over the last year, the United States dollar has strengthened tremendously against other currencies. And this has hurt global beverage companies like Coca-Cola and PepsiCo.

But the company I'm talking about generated 88% of its revenue in the United States in its last fiscal year. This allows the company to focus its advertising budget -- which has hovered between $470 and $490 million over the last 3 years -- on just North America.

So, what is the beverage company with up to 13.5% total return potential every year?

It is none other than Dr. Pepper Snapple Group (DPS) .

One reason Dr. Pepper Snapple Group gets much less coverage than PepsiCo or Coca-Cola is because it is smaller. But that's not the only reason. Dr. Pepper Snapple Group is a relatively new corporation, despite having such well known and historical brands.

Dr. Pepper Snapple Group was created in 2008 when the company was spun-off from Cadbury Plc.

The company owns over 50 brands, the most important of which are listed below:

  • A&W Root Beer
  • Canada Dry
  • Dr. Pepper
  • Snapple
  • Sunkist
  • 7 Up

13.5% Total Returns

Dr. Pepper Snapple Group should generate annual total returns of up to 13.5% a year over the next several years. High total return dividend growth stocks can help fund your early retirement.

Returns will come from the following sources:

  • Dividends (2.5%)
  • Revenue growth (3% to 5%)
  • Share repurchases (3% to 4%)
  • Margin improvements (1% to 2%)

The company currently has a 2.5% dividend yield. Over the last several years, Dr. Pepper Snapple Group has reduced its share count at an average of 3.8% a year. It is highly likely the company continues to repurchase shares and pay steady or increasing dividends.

Revenue growth will come from the company's targeted advertising budget and continued expansion in Mexico.

Finally, Dr. Pepper Snapple Group is very focused on margin improvements. The company practices continuous improvement to increase efficiency wherever possible.

The company has increased returns on equity from 18.0% in 2008 to 30.6% in 2014.

Dr. Pepper Snapple Group is currently trading for 20.1 times expected 2015 earnings. This is around fair value for a business with strong, durable brands and double-digit total return potential. Dr. Pepper Snapple Group operates in a slow-changing industry. The beverage industry should change little over the next several years.

The unique characteristics of the beverage industry make Dr. Pepper Snapple a suitable investment choice for dividend growth investors.

This article is commentary by an independent contributor. At the time of publication, the author held PEP.