Swot Analysis : The Energy Drink Industry

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SWOT Analysis: The energy drink industry is a fairly new market, with the top products being little under 30 years old. There are several strengths, weaknesses, opportunities and threats in the sector that are unique to this particular industry. Through a SWOT analysis, I will analyze this markets’ main components. The strengths of energy drinks are the specific branding, low rivalry, mainstream products, low pricing points, and powerful sponsorships. Each energy drink producer has a specific brand that they have maintained to appeal to their audience, for example Red Bull’s brand is taking the ordinary man and making him extraordinary were as the Monster 's brand is maximizing your lifestyle and whatever that might entail whether that is sports or even music. Although the brands are both amplifying, they are essentially of two different types of people. This makes the rivalry among competitors fairly low. The specific branding allows for marketing towards specific people, eliminating the need for a rivalry. Energy drinks are also very mainstream products, energy drinks are a familiar product to the public and everyone has a general idea of what it does and where to purchase one, so it is not an undiscovered commodity. Because energy drinks can be found in your local grocery or corner store, the price range is fairly the same ranging from $4.00-$6.00 per pack. The top energy drinks also maintain powerful sponsorships, Red bull is partnered with Felix Baumgartner and Monster

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