The Energy Drink Industry Is A Growing Market With A Large Consumer Base

Based on data obtained from limited English sources dated 2005 to 2010, energy drinks have become more popular among teenagers and young adults (Rath, 2012). SixWise.com’s (2008) article “What is really in a hot dog?” provided evidence that just because the product is purchased by the public does not automatically mean it is beneficial long term (Wyrick). This new craze of energy drinks has the world consuming them at a staggering rate. The debates concerning the effects among energy drink consumption in all age groups are real and impacts most of us in some shape or form. Some people will argue there are benefits found in some of the ingredients that enhance the psychological and physiological mental and cognitive performances such as

Barry Meier, the author of Energy Drinks Promise Edge, but Experts Say Proof Is Scant,

Although Rockstar is only the second best-selling energy drink, its competitive edge can be seen in a positioning matrix, as seen in Appendix Exhibit C. Energy drink consumers have rated Rockstar high in quality, convenience, signaling and pricing, making it on par with the leading Red Bull. In terms of quality, Rockstar is equal or better than its competitors, including Red Bull, in effectiveness, taste, ingredient content and

Text shows that nearly 2 in 3 people wish they had more energy, but 40% of consumers do not believe energy drinks are healthy for them (South University Online. 2015). The Campbell Soup Company is expanding into the energy category through the V8 brand with the introduction of V8 V-Fusion + Energy drinks. V-Fusion + Energy are refreshing and energizing beverages made with a blend of vegetable and fruit juices and powered naturally by green tea. This product would be the first of its kind in the market, one of the major advantages of the drink is user get energy without the harsh effects of caffeine. V8 V-Fusion + Energy drinks provide people with a healthier alternative to most energy drinks on the market today. Each single-serving can contains one combined serving of vegetables and fruit (1 serving = 1/4 cup of vegetables and 1/4 cup of fruit), and provides an "excellent source" of B vitamins.

Introduction, growth, maturity and decline are the four stages of a product’s life cycle. Energy drink manufacturers are seeing increased sales and market share for their products in the larger non-alcoholic beverage marketplace. The energy drink industry, as a collection of drink and smaller energy shot products, also is fighting lawsuits related to adverse effects, Food and Drug Administration

3. What target consumer market should be chosen for a new energy beverage brand? § Seeing as the heaviest users of energy beverages are males between the

Sodas, sports drinks, and energy drinks are being increasingly consumed as they become less expensive yet continue to stay addicting due to their high sugar content. In fact, since the 1950s, the American consumption of sugary carbonated beverages has tripled (“The Real Bears”). Today, carbonated beverages account for 7% of the total calories consumed in America, more than any other food item. These facts are clearly stark indicators of America’s obesity problems, and have accordingly convinced many people to limit their soda intake or stop drinking soda entirely. In my own personal experience, I am meeting more and more people even my own age who refuse to drink soda, and I myself do not drink soda either. This causes quite a dilemma for the

To start with, market segment for energy drinks is targeted at group of people in their late teens to early thirties. The age group is determined between 18 to

Consumer Behavior Monster Energy Target Market Because the energy drink is still part of a new and developing industry, the energy drink target market is different than in some of the other beverage industries. Monster energy drinks have become a very popular, “hip” part of society, but the market at which they are aimed is not as wide and expansive, or diverse, as some might think. Early in energy drink history, when they were first being sold in the United States, athletes were the primary consumers. This shows that even initially energy drinks were directed at a select crowd, a group of people with specific interests. Although the consumer base for energy drinks has now expanded beyond that of simply athletes, the target market is

There are (3) reasons why I have chosen energy drinks as my NAB. First off, there is a growing market for energy drinks. Red Bull and Monster Beverage Corporation, together, form over 80% of domestic energy drinks volumes by estimates. Dollar sales for energy drinks grew almost 6% to $6.67 Billion in measured channels in 2013, which propelled sales growth for convenience stores (Team, 2014). A growing thirst for caffeinated “energy” drinks, which include the likes of Red Bull, Monster, and Rock star, has spurred a heart-thumping surge in sales. Globally, the energy drink industry has gone from a $3.8-billion business in 1999, to a $27.5-billion

If one has to analyze the profitability scheme of Red Bull Energy Drink, perhaps it can be safely said that it is in a very uncompromising situation. First and foremost, the stiff competition have paved the way for the emergence of many small time players (Helm 2005). With every bottled drink that aims to steal the limelight nowadays, Red Bull should capitalize more on its creativity and ingenuity—this is of course, in relation to advertising and marketing. The company should never disregard that Coca Cola and Pepsi are still top competitors (Helm 2005). More so, even if the two share equally different components as with Red Bull, still, it is evident that the two continue to partake into the market share. Meanwhile, the notion that energy drinks offers no variety in taste is an important marketing aspect that the company should take into full consideration (Laing 2005). In 2001, Pepsi had already released AMP Energy Drink (“Amp Energy Drink” n.d). It is the company’s maidens venture into the energy drink arena. Evidently, AMP’s raison d’ etre is to capitalize on Mountain Dew’s established image. The concept would be to introduce something new, yet very familiar (“Amp Energy Drink” n.d).

A slow growing market is a great way to characterize the energy beverage category in late 2007. This industry was increasing in profits still but was not increasing in profits as quickly due to factors such as market maturity, increasing in prices, competition and new hybrid products (Kerin & Peterson, 2010). The market was still very small but was dominated by Red Bull due to it being one of the first energy drinks, which caused it to dictate the market and have more of an advantage than the other energy beverages. So in late 2007 the market for energy drinks was still

In Brazil, there is not as much of a market for energy drinks as there is in places like the United States. Still, introducing 5-hour energy shots to Brazil could cause the desire for energy drinks to grow in that country. That would open up an entirely new market for energy drinks that could make millions or even billions of dollars for companies that manufacture energy drinks throughout the world. In order to clearly understand how marketing will take place in Brazil and the issues that must be addressed, there are four specific areas that will be considered here. These will be the social-cultural environment of Brazil, the economic environment, the political environment, and the technological environment. Since all of those areas play a role in how an energy drink could be marketed and how much success it might have, they all must be discussed before any decisions are made.

Energy drinks have outperformed the growth in carbonates in the last few years, and present a substantial opportunity for beverage manufacturers to extract further growth from their sales. There are many driving forces of change and critical success factors in the energy drink industry. Companies such as Coke Cola and Pepsi contend with criticism from health officials due to the excessive caffeine in most high-energy drinks. However, before the 2000’s consumers were accustomed to carbonated soft drinks as the traditional beverage. The shift to an energy drink, sports drink, and vitamin enhanced waters increased sales while becoming an alternative beverage choice for a fast-paced mobile society. Therefore, this industry endures many

When it comes to Monsters Energy there are a few threats they have like competitors, government regulations, people learning about the harm from energy drinks, and people moving to healthier alternatives. Monsters biggest threat to their business it would be one of their competitors, Red Bull. In 2015, Red Bull had a market share of about 43%, while Monster in a close second had 39% of the market, allowing them to have that slight advantage (“Packing a punch”, 2016). With them each having two of the top four energy drinks sold in the United States the competition is fierce ("2017 State of the Industry", 2017). However even though there are none at the moment, Monster will have