Sports and Energy Drinks Market Overview:
The global fitness industry is booming. In their 2018 Health Club Consumer Report, the International Health, Racquet and Sportsclub Association reported 9.1 million non-member US citizens exercising routinely in fitness club spread across the continent. 1 out of every 4 Americans is now enrolled in a fitness club, trying to actively alter their lifestyles. These statistics are a meagre representation of the enormity of the fitness industry growth that has taken place in the past decade. Consumers are more likely to be enrolled in multiple clubs in order to try out new things. As the world is becoming fitter, and healthier, food and beverage brands have left no stone unturned in utilizing that opportunity. Sports and energy drinks marketplace has capitalized immensely on this factor, and transformed their products in accordance with customer needs. This market basks on the premise of instant boost of energy required during athletic or aerobic activities. Athletes get drawn towards the sugar rush offered by the drinks, and the market players have witnessed immense growth on this aspect.
IndustryARC analysts have evaluated the global sports and energy drinks market, and estimated its 2018 value between $49 billion to $52 billion. According to the analysts, the market is set to grow with an outstanding CAGR of 9%-10% during the forecast period of 2019-2025.
Sports and Energy Drinks Market Outlook:
Energy and sports drinks are beverages that are rich in electrolytes, amino acids, vitamins, essential nutrients, and carbohydrates. Athletes are routinely advised to consume energy drinks right after working out, because they provide them with the instant boost of energy they need. Energy depletion is a common problem while working out, and the body often requires an instant source of glucose or sugar rush. Energy and sports drinks market products do the needful along with providing essential vitamins and electrolytes. They are of many kinds, some of which are- isotonic, hypertonic, hypotonic, and carbonated. North America leads the sports and energy drinks market regionally with a market share of 38%-40% as of 2018. Home to leading energy drinks companies like Red Bull, the market thrives in the continent due to an elevated consumption, and sponsorship of sporting events. Energy drinks type is dependent on the amount of sugar present in them. Product type will continue to influence the sports and energy drinks market with an application CAGR of around 10%-12% through to 2025.
Sports and Energy Drinks Market Growth Drivers:
Marketing At The Right Place, and The Right Time
Sports and energy drinks market players are incessantly credited and appraised for their marketing techniques. The entire gamut of energy drink sales relies on how well the product is marketed, and how to make it ubiquitous.
Sponsorship Of Sporting Events
Red Bull has exceedingly utilized sportsmen as role models for marketing their products. In countries like United States of America, where athletes are given a divine status, customer engagement for sports and energy drinks market players becomes an easy process.
Energy drinks companies target power and endurance as the themes while designing their logos. Red Bull, in their logo, use an image of two bulls fighting head on, which is symbolic of strength, and power. Consistent promotion of the logo in sporting events also leads to an increase in sales of the product.
Sports and Energy Drinks Market Challenges:
The most prominent challenge faced by this market is the protest against the sugar content in the product. A single Monster drink can is estimated to have 14 teaspoons of sugar, a statistic that completely goes against the rulebook followed by the fitness industry. Like other beverage conglomerates, energy drinks companies have also come up with sugar-free or diet versions of the drinks in order to boost up their sales, and not let the market witness a negative growth.
Sports and Energy Drinks Market Key Players Perspective:
Though Red Bull has been a leading player in the sports and energy drinks market, it is now being overtaken by newer, and finer companies like Monster Drinks. In 2018, Monster held a 43% of the sports and energy drinks market share and became the largest producer of energy drinks in North America.
According to out analyst, some of the other key players in the market are Monster Energy, PepsiCo, Coca-Cola, Red Bull Runa Beverages, All Sport, Gusto Organic, Labrada Nutrition, Enerzal, Staminade, Amp Energy, and Pacific Health Labs.
Sports and Energy Drinks Market Trends:
The Advent of Sugar-Free Energy Drinks
Energy drinks, while consisting of important electrolytes, were also high in sugar content. This led to massive abandonment of the product by its consumer base once the ill-effects of sugar were highlighted. The market players are now releasing up sugar-free energy drinks that contain the same amount of nutrients, but use natural ingredients for flavoring like stevia. This has resulted in revamped sales, eventually leading to the growth of the market.
Sports and Energy Drinks Market Research Scope
The base year of the study is 2018, with forecast done up to 2025. The study presents a thorough analysis of the competitive landscape, taking into account the market shares of the leading companies. It also provides information on unit shipments. These provide the key market participants with the necessary business intelligence and help them understand the future of the Sports and Energy Drinks Market. The assessment includes the forecast, an overview of the competitive structure, the market shares of the competitors, as well as the market trends, market demands, market drivers, market challenges, and product analysis. The market drivers and restraints have been assessed to fathom their impact over the forecast period. This report further identifies the key opportunities for growth while also detailing the key challenges and possible threats. The key areas of focus include the types of cheese in the Sports and Energy Drinks Market, and their specific applications in different areas.
Sports and Energy Drinks Market Report: Industry Coverage
The Sports and Energy Drinks Market report also analyzes the major geographic regions for the market as well as the major countries for the market in these regions. The regions and countries covered in the study include:
- North America: The U.S., Canada, Mexico
- South America: Brazil, Venezuela, Argentina, Ecuador, Peru, Colombia, Costa Rica
- Europe: The U.K., Germany, Italy, France, The Netherlands, Belgium, Spain, Denmark
- APAC: China, Japan, Australia, South Korea, India, Taiwan, Malaysia, Hong Kong
- Middle East and Africa: Israel, South Africa, Saudi Arabia
Key Questions Addressed in the Sports and Energy Drinks Market Report
Is the market demand for Sports and Energy Drinks growing? How long will it continue to grow and at what rate?
Which type of home security system presents the major growth opportunities?
Is there a possibility for change in the market structure over time?
Are additional developments needed for the existing product or services offerings or do the existing products meet the customer demands?
Do the key vendors look for partnerships to expand their businesses with respect to geography or product?
What are the short-term, long-term, and medium-term growth drivers for the market?
What are the short-term, medium-term, and long-term challenges for the market?
What are the short-term, medium-term, and long-term opportunities for the market
Who are the top players/companies of the market?
What are the recent innovations in the market?
How many patents have been filed by the leading players?
What are the types of patents filed by the leading players?
What is our Vision 2030 for Sports and Energy Drinks market?
A Few Focus Points Of This Research Are Given Below:
- Give a deep-dive analysis of the key operational strategies with focus on the corporate structure, R&D strategies, localization strategies, production capabilities, and sales performance of various companies
- Provide an overview of the product portfolio, including product planning, development, and positioning
- Discuss the role of technology companies in partnerships
- Explore the regional sales activities
- Analyze the market size and giving the forecast for current and future global Sports and Energy Drinks market during the forecast 2018–2023
- Analyze the competitive factors, competitors’ market shares, product capabilities, and supply chain structures