There are a bunch of companies with their brands of energy drinks, in fact; their numbers have shot up tremendously in the recent few years. The rise in competition is due to the universal market growth for the product which is growing in heaps and bounds. Energy products industry is well spread and there are segments like bars, protein shakes and gels; however energy drinks available in pet bottles and cans are the most popular form of energy product consumed. These drinks are in form of beverages containing energy stimulators; most of them include caffeine which is believed to have a stimulating effect on the physical and mental states of consumers. These drinks are available in both carbonated and non-carbonated forms. They have a latest variant which is the sugar free versions especially marketed for diabetics. Citing the success of these energy drinks, some alcohol companies introduced alcoholic drinks that contained caffeine in the 1990’s but they were banned shortly after their launch as they were found to be highly injurious to health.
The global consumption of energy drinks was around 1.5 billion liters in the year 2007, however the increasing market awareness gushed up the sales and it reached a massive quantity of 4.8 billion liters by 2011.This is calculated as an increase of 14% within the short span. The sales have gone up on an average of 13% per annual. The global market of energy drinks was worth $ 37,000 million by the close of 2011. New Zealand, Israel, Saudi Arabian, Austria and Australia have the maximum per person consumption; making them big markets for the drinks. The region of North America remains No.1 market with a share of 36% of the global demands, APAC countries and Western European regions fall next on the list with 22% and 17% respectively. Areas like Latin America and Australia have shown some notable improvement in their markets with a rise of 7% and 4% respectively.
The worldwide market for this segment of drinks highly depends on teenagers and youngsters. However, sport persons from all age groups do consume it and thus are regular consumers. As the product is marketed effectively, they have reached the youngsters successfully. As accorded, to the current sales chat majority 66% consumers are aged between 13 to 35 years, 65% of gross consumers are accounted to be males. According to a market research, a sizable 20% of the consumers aged between 21 to 30 years agreed to have consumed these energy drinks during their high school days, in order to stay awake for long study sessions or to write a paper. A total of 70% respondents said they knew somebody who used the energy drinks to stay awake for long hours (mainly for studies). These energy drinks enjoy a great success as drink mixers too. Therefore, their market booms further during the party seasons.
There are multiple companies serving these energy drinks Hyper Energy Drinks, Monster and Red Bull are some popular brands. These companies have both sugar and sugar free varieties with different flavored options in the market. These brands have come up in bigger containers since 2002 as there are restrictions on maximum amount of caffeine allowed per serving. Packaging of these drinks into bigger cans allows companies an easier production line and record greater sales.
These energy drinks also have a variant which is known as “energy shots”; these are available in smaller quantities such as 50ml and 100ml bottles. They serve the same purpose in a better way as they carry lesser amount of calories compared to the big cans which generally include 250 calories or even beyond. The present industry (2014) is worth $ 27.5 billion and is forecasted to grow further.
The Asia Pacific region, which is famous as the birthplace of energy drinks, is eyed as potential market. Consumers in these high beverage consuming countries are now swinging to the low caffeine and low calorie products for a healthier consuming experience.