Industry Background:
Energy drinks are classified under beverages that contains high level of stimulant ingredients such as caffeine, sugars and other supplements. Energy drinks market is expected to mark significant growth over forecasted period owing to increasing consumers spending on health consciousness products, providing organic food & beverages and product innovation. There has been significant rise in number of young adults age between 20 to 39 consuming energy drinks with figure stood up to 5.5% in 2016 up from 0.5% in 2003 at United States, the future energy drinks looks promising. Energy drinks offers health benefits, other energy supplements ingredients which offers instant energy and provide output. This result in rising popularity of sugar free energy drinks and escalating need for low calorie energy drinks, and growing popularity of consumer health & fitness may trigger demand and help in industry expansion.
According to AMA, the market for Energy Drinks is expected to register a CAGR of 7.3% during the forecast period to 2026. This growth is primarily driven by Increasing Consumption of Energy Drinks by Young Adults and Adolescents. and Rapid Demand due to Consumer Focus on Low Calorie Energy Drinks..
Globally, a noticeable market trend is evident Growing Demand For Organic Products
. The Beverages sector in the North America region has been increasing at a sustainable rate and further growth is expected to be witnessed over the forecast period, owing to the robust investments and expansion in production facilities in the region. Major Vendors, such as Red Bull (Austria), Monster (United States), Rockstar (United States), Pepsico (United States), Big Red (United States), Arizona (United States) and National Beverage (United States) etc have either set up their manufacturing facilities or are planning to start new provision in the dominated region in the upcoming years.
Key Developments in the Market:
In June 2018, Vita Coco owner All Market Inc. acquired energy drink brand Runa. This acquisition is beneficial in providing eight flavours which rich in nutrients like flavonoids and polyphemols.
In April 2019, Coca-Cola launched its first energy drink at United Kingdom regions which is beneficial in providing direct competition with top market leaders. The drink consist of caffeine from naturally derived sources guarana extracts and B vitamins and aim at young age groups.
Market Drivers
- Increasing Consumption of Energy Drinks by Young Adults and Adolescents.
- Rapid Demand due to Consumer Focus on Low Calorie Energy Drinks.
Market Trend
- Growing Demand For Organic Products
- Rising demand of Energy Drinks by sports personality.
Restraints
- High Cost Associated within Energy Drinks.
- Stiff Competition between the Major Players.
Opportunities
Proliferation of Energy Drink at Social Gatherings, Parties and Celebrations., Upsurge Demand of High Alcoholic Energy Drinks. and Rising Demand due to Celebrity Endorsement through Social Marketing.
Challenges
Limitation Due to Excess Intake Leads to Health Risk Such as Sleeplessness, Abnormal Heart Rhythms and Others Are Anticipated to Challenge the Market., Stringent Government Regulation Threat the Energy Drinks Market. and Fluctuation of Raw Materials is Anticipated to Challenge the Market.
AMA Research follow a focused and realistic research framework that provides the ability to study the crucial market dynamics in several regions across the world. Moreover, an in-depth assessment is mostly conducted by our analysts on geographical regions to provide clients and businesses the opportunity to dominate in niche markets and expand in emerging markets across the globe. This market research study also showcase the spontaneously changing Vendors landscape impacting the growth of the market. Furthermore, our market researchers extensively analyse the products and services offered by multiple players competing to increase their market share and presence.
Customization in the Report
AMA Research features not only specific market forecasts, but also include significant value-added commentary on:
- Market Trends
- Technological Trends and Innovations
- Market Maturity Indicators
- Growth Drivers and Constraints
- New Entrants into the Market & Entry/Exit Barriers
- To Seize Powerful Market Opportunities
- Identify Key Business Segments, Market Proposition & Gap Analysis
Against this Challenging Backdrop, Energy Drinks Study Sheds Light on
The Energy Drinks Market status quo and key characteristics. To end this, Analyst at AMA organize and took survey of the Energy Drinks industry Vendors. The resultant snapshot serves as a basis for understanding why and how the industry can be expected to change.
Where Energy Drinks industry is heading and what are the top priorities. Insights are drawn from financial analysis, the survey and interviews with key executives and industry experts.
How every company in this diverse set of Vendors can best navigate the emerging competition landscape and follow a strategy that helps them position to hold value they currently claim, or capture the new addressable opportunity.