The global energy drinks market was valued at USD 46.2 billion in 2022 and is projected to expand at a compound annual growth rate (CAGR) of 5.9% from 2023 to 2030. The growing demand for energy drinks among consumers is primarily driven by the launch of new products with innovative ingredients and flavors. Furthermore, the growing trend of healthy living is propelling the demand for energy drinks as they provide an energy boost. The increasing awareness about the health benefits of energy drinks is further boosting the market growth. Moreover, the presence of a wide variety of energy drinks products in the market, such as energy shots, ready-to-drink, and powdered energy drinks, is boosting the demand for these products.

The introduction of healthy energy drinks containing natural ingredients and vitamins & minerals is expected to drive the demand for the market. The health-conscious population is increasingly seeking products that offer health benefits, such as improved cognitive performance, improved physical performance, and enhanced immune system. For instance, in March 2021, Coca-Cola Co. introduced a new energy drink called Vio, which contains natural ingredients such as ginseng, guarana, and vitamin B-12.

The growing popularity of sports and the increasing number of sports events worldwide is also driving the demand for energy drinks. This is due to the fact that energy drinks help athletes and sportspersons in improving their performance and providing energy. Furthermore, energy drinks are increasingly being marketed towards athletes, which has led to a growth in demand. For instance, in November 2020, Red Bull partnered with the National Basketball Association (NBA) to launch a new energy drink.

The growing adoption of energy drinks among the younger population is also driving the market growth. The younger population is increasingly preferring energy drinks over traditional beverages as they provide an energy boost. Furthermore, the rising popularity of energy drinks among students is expected to contribute to the growth of the market. The increasing number of marketing campaigns and product launches targeting the younger population is further propelling the market growth.

In addition, the presence of a wide variety of flavors and ingredients in energy drinks is driving the demand for these products. Manufacturers are launching new flavors to attract more customers. For instance, in October 2021, PepsiCo launched an energy drink called Game Fuel with new flavors such as Monster Energy, which offers a combination of tropical, citrus, and cherry flavors. Furthermore, the increasing number of online sales channels is boosting the market growth. The availability of energy drinks on various online platforms is providing convenience to customers and is leading to an increase in sales.

The carbonated energy drinks segment dominated the market and accounted for a market share of around 36.2% in 2022. Increasing awareness among consumers regarding the benefits of energy drinks has been driving the demand for carbonated energy drinks. According to an article by The New York Times, in October 2020, the demand for energy drinks has grown due to their convenience, affordability, and taste. Furthermore, macro-level factors such as increasing disposable income among consumers and the emergence of various distribution channels are also driving the market revenue.

The vitamin-based energy drinks segment is expected to grow at the fastest CAGR of 8.7% over the forecast period. The increasing popularity of vitamin-based energy drinks among consumers is one of the key factors driving the market growth. According to an article by the University of Florida, in October 2020, vitamin-based energy drinks are becoming increasingly popular as people are looking for healthier energy drink options. In addition, rising health consciousness among consumers and the availability of various flavors are also contributing to the growth of the market.

The supermarkets and hypermarkets segment accounted for the major share of the global energy drinks market in 2022. At present, the supermarkets and hypermarkets segment is the most preferred distribution channel for energy drinks. The availability of a wide range of products, coupled with the convenience of shopping, has made supermarkets and hypermarkets the most preferred distribution channel for energy drinks. Moreover, the presence of a large number of these stores in major cities and towns has further boosted the sales of energy drinks through this channel.

The online distribution channel is anticipated to register the highest CAGR of 12.6% during the forecast period. This is attributed to the increasing penetration of the internet in developing countries and the increasing number of e-commerce stores. Furthermore, the increasing use of mobile applications by the consumers to purchase energy drinks is further expected to boost the segment growth. For instance, in August 2020, energy drinks manufacturer Rockstar Energy Drink launched its own mobile app, which allows users to purchase energy drinks directly from their smartphone.

The canned segment accounted for the largest revenue share of 65.1% in the year 2022. The availability of various flavors and sizes of canned energy drinks is one of the key factors driving the growth of this segment. Also, the convenience in handling and carrying are some of the factors that have increased its demand. Moreover, the availability of low-calorie options in the canned segment has increased its attractiveness. For instance, in April 2021, Monster Energy Co. launched a new low-calorie energy drink, Ultra Sunrise, containing zero sugar and 10 calories per can. This is anticipated to further boost the segment.

The ready-to-drink segment is expected to register the highest CAGR of 9.2% over the forecast period. The increasing availability of RTD energy drinks has led to an increase in its demand. Furthermore, the rising trend of energy drinks in the form of shots is also expected to contribute to the growth of the segment. For instance, in January 2021, 5-Hour Energy Shots launched a new energy shot, 5-Hour Energy Extra Strength, containing 200 mg of caffeine. This is anticipated to further boost the segment.

Europe accounted for the largest market share of over 46.2% in 2022. The rising number of health-conscious consumers, who are increasingly shifting towards healthier beverages, is a major contributing factor to the growth of the market in this region. Moreover, due to the changing lifestyle and increasing disposable income in the region, consumers are inclined towards purchasing energy drinks. For instance, in April 2021, Vita Coco launched a new range of energy drinks in the UK.

The Asia Pacific is expected to be the fastest-growing region with a CAGR of 8.2% from 2021 to 2022. The growth in the region can be attributed to the presence of a large population and rising disposable incomes. Moreover, energy drink manufacturers are launching innovative products to cater to the changing consumer preferences. For instance, in February 2021, Red Bull launched a new flavor of its energy drink, Red Bull Summer Edition Mango, in the region.

In this part of the energy drinks products business plan, we will provide a detailed breakdown of all income and expense categories of the business. These forecasts include cash flow projections and capital requirements for your energy drinks products business. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions
The main source of revenues for an energy drinks products business comes from the sale of energy drinks. Other possible sources of profit include advertising, sponsorship, and partnerships.

Projecting Expenses
In this section, all the regular expenses related to keeping the energy drinks products business running will be described. The list of operating expenses includes wages, raw materials, advertising, marketing and promotional activities, overhead costs, and others.

Some of the key companies operating in the energy drinks market are increasingly focusing on product launches and expansion of the distribution channel to gain prominent visibility among consumers. Some of the initiatives are:

– In June 2022, Monster Beverage Corporation launched a new range of energy drinks called ‘Monster Ripper’.

– In August 2022, Red Bull GmbH launched a new range of energy drinks called ‘Recharge’.

– In October 2022, Rockstar Inc. launched a new range of energy drinks called ‘Rockstar Energy’.

Some of the prominent players in the energy drinks market include:

– Monster Beverage Corporation
– Red Bull GmbH
– Rockstar Inc.
– PepsiCo
– Coca-Cola Company
– Living Essentials
– Arizona Beverage Company
– Hansen Beverage Company
– National Beverage Corporation
– Cott Corporation

This report forecasts growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global energy drinks market based on product type, distribution channel, and region:

1. Product Type Outlook (Revenue, USD Million, 2017 – 2030)

– Carbonated Energy Drinks
– Non-Carbonated Energy Drinks
– Others

2. Distribution Channel Outlook (Revenue, USD Million, 2017 – 2030)

– Supermarkets & Hypermarkets
– Online
– Others

3. Regional Outlook (Revenue, USD Million, 2017 – 2030)

– North America
– Europe
– Asia Pacific
– Central & South America
– Middle East & Africa

[Q]: What are the Major Players in the Global Energy Drinks Market?
[A]: Major players in the global energy drinks market include The Coca-Cola Company, PepsiCo, Inc., Red Bull GmbH, Monster Beverage Corporation, Rockstar Inc., and Arizona Beverage Company.

[Q]: What is the Potential of Product Innovation?
[A]: Product innovation is expected to drive market growth over the forecast period. Companies are introducing new flavors, packaging, and packaging materials in order to differentiate their products from rivals and to promote them in more attractive ways. Companies are also focusing on introducing healthier and more natural ingredients into their energy drinks.

[Q]: What are the Different Types of Energy Drinks?
[A]: The different types of energy drinks include stimulant energy drinks, functional energy drinks, natural energy drinks, and caffeinated energy drinks. Stimulant energy drinks contain caffeine, taurine, and other stimulants that help to boost physical and mental energy. Functional energy drinks contain vitamins, minerals, and other nutrients that help to improve overall health and performance. Natural energy drinks are made from natural ingredients, such as fruits and herbs, and are generally low in calories. Caffeinated energy drinks contain caffeine but no other stimulants, and are usually sweeter than other energy drinks.

[Q]: What are the Factors Driving the Energy Drinks Market?
[A]: Factors such as increasing health consciousness, rising disposable income, and increasing demand for convenience products are driving the energy drinks market. Additionally, the availability of a wide range of flavors and the fact that energy drinks are a convenient source of energy are also driving the market.