Energy Drinks

Tuesday, May 1, 2007

Are Energy Drinks going healthy?

Healthy Energy Drinks? Is it possible?

Are Energy Drinks going healthy?

Well, in one word, YES.

Now, will they do a big splash or stay as small players? Read on…

The new trend in food and beverages is Healthy Alternatives. We see it in specialty stores like Whole Foods and Organic food and drinks.

Now we see it more and more in beverages, and yes, they made their way up to Energy Drinks.

New companies are developing new organic, sugar free, caffeine free, no taurine, healthier alternatives. Will the market follow? We’ll see!!!

These healthier drinks have an advantage and disadvantage from a purely MARKETING perspective.

Marketing Advantage:
-Capture older, healthier crowd
-Capture woman, who make a minority of Energy Drinkers at about 30%
-Sell more at supermarkets. Traditionally this category sells much better at convenience stores

Marketing Disadvantage:

-The majority of Energy Drinkers don’t care much about healthier alternatives… they are too young!
-Sugar Free and other healthy Energy Drink line extensions account for about 10% of total sales of a leading brand
-Not big enough pool of distributors or retailers willing to give up shelve space to try these new products

In my opinion, there is a future for the healthy energy drink. It will not be main stream now, but when all the “x gamers” and “y generation” energy drinkers grow up they will like to keep energy drinks, maybe in a healthier way. This is when they will make a big splash. The better positioned energy drinks will survive.

Thanks again,


Jorge Olson

www.LiquidBrandsManagement.com

Labels: , , ,

0 Comments:

Post a Comment



<< Home