Energy Drinks Market Size, Share and Growth Rate Analysis:
Energy Drinks Market size was estimated at USD 53.01 billion in 2018 and is predicted to garner a compound annual growth rate of 7.20% to reach USD 86.01 billion by 2026. Energy drinks are a kind of functional beverages, which also includes sports drinks and nutraceuticals. These drinks are usually consumed at times of exercise to avoid dehydration. While nutraceutical drinks contain a bioactive compound that helps promote and improve health. Energy drinks primarily include a high percentage of caffeine, sugar, and other energy-enhancing ingredients, such as plant extracts, B vitamins, and taurine. It was initially introduced as a dietary supplement, but its characteristics have been improved to provide consumers with sustained energy and reduce physical and mental fatigue. For consumers, energy drinks are offered in capsules, powdered, and ready-to-drink (RTD). Among all these forms, drinks are consumed mainly by consumers.
Energy Drinks Market Recent Developments:
PepsiCo seeks to strengthen its presence in the fast-growing energy drink category by announcing that it will purchase Rockstar Energy Beverages for USD 3.85 billion. The deal reflects the tendency of large beverage companies like PepsiCo and Coca-Cola to review their portfolios to redirect their reliance on sales of sugary and carbonated beverages and toward options ranging from tea and coffee to water varieties that are flat and shiny, appealing to millennial and health-conscious consumers. Neither PepsiCo nor Coca-Cola have a significant brand in the energy drink category, which is expected to reach more than $ 80 billion in the next five years, and which is currently dominated by Red Bull.
Market Drivers and Restraints:
Sports drink is the fastest-growing segment of the energy drink market and has excellent prospects for future growth and increased sales. Industry participants emphasized the representation of these products as beverages for specific nutritional benefits. Marketing campaigns aim to portray them as sports drinks formulated to be consumable by all consumer groups during periods of high metallic effort or vigorous mental, physical activity. This type of brand promotion and sales activity, in addition to micro and macroeconomic factors, has played a crucial role in increasing the consumption of energy drinks in recent years and rising demand. Changes in consumer lifestyles and the growing demand for alcohol blends are just some of the factors driving demand for products. The functional aspects of these drinks are another determinant of the need for different uses.
Growth in product sales is also seen in terms of volume and is significantly driven by the emphasis on convenient packaging and attractive designs to attract customers. Japan and the United States are the main world markets in the current market scenario, but the dynamic developing markets are in China, Brazil and India. These products represent approximately 16% to 18% of non-alcoholic beverages and compete directly with other non-alcoholic drinks, such as coffee and energy drinks. Tea and ready-to-drink energy drinks are among the most widely consumed non-alcoholic beverages and offer fierce competition as they provide antioxidant benefits that also increase caffeine. Energy plans are among the new product trends adopted in several new emerging countries, such as their current strong demand in the United States and the United Kingdom.
The growing acceptance of consumption of these beverages worldwide is a new trend recently observed. Visibility and acceptability are most likely to encourage impulsive purchases and increase the frequency of use. Since these are part of the high or expensive beverage segments available, consumers consider price as a primary attribute before buying. Furthermore, consumers in this beverage segment are the most loyal to the brand. Therefore companies like Red Bull benefit from its first advantage and these consumer attributes have created a significant gap in the growth trends of players and to market leaders who can maintain a strong position and new entrants, thus extending their period of brand loyalty.
The energy drink manufacturers, in an attempt to offset rising commodity prices, exchange rate fluctuations, and increasing electricity costs, have recently increased prices for these beverage categories, which is considered a factor that limits sales growth.
Energy Drinks Market report is segmented and sub-segmented into following:
Based on Type:
Based on Ingredient Type:
Based on Packaging:
Geographical Classification and Regional Analysis:
The Global Energy Drinks Market is segmented by region into North America (U.S. and Canada), Europe (U.K., France, Germany and Rest of Europe), Asia Pacific (Japan, China, India and Rest of APAC), Latin America (Brazil, Mexico and Rest of Latin America), and Middle-East & Africa (GCC and Rest of MEA).
Asia Pacific Market:
The Asia-Pacific energy drink market was the largest in 2017, with a share of around 30%. Japan is the largest consumer of these products in the region, leaving behind the fast-growing markets of India and China. In 2017, the Japanese energy drink market continued to grow both in volume and out of the trade. Middle-aged men dominate the country's energy drink consumption base, but the trend has developed among men and women of the younger generation, in the current market scenario. The country's classic brands continue to be the principal shareholders. With several differences compared to international brands, famous brands in Japan, especially Dekavita C, Oronamin C, and Real Gold, have a more extensive consumer base in each generation. However, international brands are gaining popularity in recent times. The expansion of flavors and the establishment and maintenance of a robust distribution network have been the primary strategy of the country's multinationals.
India has been the fastest-growing market in the APAC region in recent times, with Red Bull leading the sale of caffeinated energy drinks and Gatorade leading the sports drink segment. In India, the consumption of energy drinks can be considered more like an urban phenomenon limited to mini meters and meters. Products are mainly distributed through relatively easy organized channels. However, packaging specific locations for products on the shelves of popular brands has become a challenge for startups planning to enter the dynamic Indian market.
Leading key Companies Covered in this market report are:
1. Introduction
1.1 Market Definition
1.2 Study Deliverables
1.3 Base Currency, Base Year and Forecast Periods
1.4 General Study Assumptions
2. Research Methodology
2.1 Introduction
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Econometric Modelling
2.2.4 Expert Validation
2.3 Analysis Design
2.4 Study Timeline
3. Overview
3.1 Executive Summary
3.2 Key Inferences
3.3 Epidemology
4. Drivers, Restraints, Opportunities, and Challenges Analysis (DROC)
4.1 Market Drivers
4.2 Market Restraints
4.3 Key Challenges
4.4 Current Opportunities in the Market
5. Market Segmentation
5.1 Type
5.1.1 Introduction
5.1.2 Isotonic
5.1.3 Hypotonic
5.1.4 Hypertonic
5.1.5 Y-o-Y Growth Analysis, By Type
5.1.6 Market Attractiveness Analysis, By Type
5.1.7 Market Share Analysis, By Type
5.2 Ingredient Type
5.2.1 Introduction
5.2.2 Aqua/Water
5.2.3 Additives
5.2.3.1 Sweeteners
5.2.3.2 Polysaccharides and Oligosaccharides
5.2.3.3 Acidulants
5.2.3.4 Caffeine and its derivatives
5.2.3.5 Others
5.2.4 Y-o-Y Growth Analysis, By Ingredient Type
5.2.5 Market Attractiveness Analysis, By Ingredient Type
5.2.6 Market Share Analysis, By Ingredient Type
5.3 Packaging
5.3.1 Introduction
5.3.2 Bottles
5.3.2.1 PET
5.3.2.2 Glass
5.3.3 Cans
5.3.4 Other Packagings
5.3.5 Y-o-Y Growth Analysis, By Packaging
5.3.6 Market Attractiveness Analysis, By Packaging
5.3.7 Market Share Analysis, By Packaging
6. Geographical Analysis
6.1 Introduction
6.1.1 Regional Trends
6.1.2 Impact Analysis
6.1.3 Y-o-Y Growth Analysis
6.1.3.1 By Geographical Area
6.1.3.2 By Type
6.1.3.3 By Ingredient Type
6.1.3.4 By Packaging
6.1.4 Market Attractiveness Analysis
6.1.4.1 By Geographical Area
6.1.4.2 By Type
6.1.4.3 By Ingredient Type
6.1.4.4 By Packaging
6.1.5 Market Share Analysis
6.1.5.1 By Geographical Area
6.1.5.2 By Type
6.1.5.3 By Ingredient Type
6.1.5.4 By Packaging
6.2 North America
6.1.1 Introduction
6.1.2 United States
6.1.3 Canada
6.3 Europe
6.2.1 Introduction
6.2.2 U.K
6.2.3 Spain
6.2.4 Germany
6.2.5 Italy
6.2.6 France
6.4 Asia-Pacific
6.3.1 Introduction
6.3.2 China
6.3.3 India
6.3.4 Japan
6.3.5 Australia
6.3.6 South Korea
6.5 Latin America
6.4.1 Introduction
6.4.2 Brazil
6.4.3 Argentina
6.4.4 Mexico
6.4.5 Rest of Latin America
6.6 Middle East & Africa
6.5.1 Introduction
6.5.2 Middle-East
6.5.3 Africa
7. Strategic Analysis
7.1 PESTLE analysis
7.1.1 Political
7.1.2 Economic
7.1.3 Social
7.1.4 Technological
7.1.5 Legal
7.1.6 Environmental
7.2 Porter’s Five analysis
7.2.1 Bargaining Power of Suppliers
7.2.2 Bargaining Power of Consumers
7.2.3 Threat of New Entrants
7.2.4 Threat of Substitute Products and Services
7.2.5 Competitive Rivalry within the Industry
8. Market Leaders' Analysis
8.1 Red Bull GmbH
8.1.1 Overview
8.1.2 Type Analysis
8.1.3 Financial analysis
8.1.4 Recent Developments
8.1.5 SWOT analysis
8.1.6 Analyst View
8.2 Monster Beverage Corporation
8.3 Rockstar, Inc.
8.4 Coca-Cola
8.5 PepsiCo.
8.6 Arizona Beverage Company
8.7 National Beverage Corp
8.8 Dr.Pepper Snapple Group
8.9 Living Essentials
8.10 Cloud 9
9. Competitive Landscape
9.1 Market share analysis
9.2 Merger and Acquisition Analysis
9.3 Agreements, collaborations and Joint Ventures
9.4 New Product Launches
10. Market Outlook and Investment Opportunities
Appendix
a) List of Tables
b) List of Figures
