Sports, Energy Drink-Contenders Punch it Up

July 1, 2005
/ Print / Reprints /
ShareMore
/ Text Size+

Sports, Energy Drink-Contenders Punch it Up

While Gatorade still enjoys a mammoth 80-plus share in the bottled sports drink category, other entries continue to hang in there. An increasingly active consumer base, combined with the maturation of the category’s credibility, has made it a profitable place to be … even for those bringing up the rear.
Seven sublines of Gatorade now exist beyond the original flavors (Lemon Lime, Orange, Fruit Punch), which remain the biggest sellers. Frost, Fierce, X Factor, All Stars, Ice, Xtremo! and the newest addition, Endurance Formula, all cater to different preferences. Gatorade Endurance Formula, for example, contains twice the sodium (200 mg.) and three times the potassium (90 mg.) of regular Gatorade as well as chloride, calcium and magnesium. The new formula is designed to replace the fluids and electrolytes lost in sweat during longer, more intense activities such as all-day tournaments or training for marathons.
Global functional drink sales
(millions of dollars)
Subsector 2004 Forecast
2005
Functional drinks$24,943.9$27,473.7
Sports drinks$15,368.3$16,683.2
Energy drinks$8,774.4$9,944.9
Elixirs$801.2$845.6
Source: Euromonitor International, 2005
Gatorade’s nearest competitor, Powerade, is concentrating on its own success by innovation. The brand has been growing robustly for the past several years and saw a 17 percent increase in sales this year. Powerade is now leveraging its relationship with the NBA’s LeBron James, and has introduced Flava 23, the first sports drink actually designed by a superstar athlete, and the first to be launched in conjunction with a related comic book.
Like sports drinks, the energy drink category is dominated by one product – Red Bull – but that hasn’t stopped smaller companies from grabbing their share of the remaining half. Innovators and mavericks alike have had success in this category, with high profit margins making it an attractive proposition.
Top energy drinks by brand
Brand Dollar Sales % Change Vs. Prior Year Market Share % Change Vs. Prior Year
Red Bull$192,954,70067.357.7-1.2
Rockstar$30,352,410105.89.11.5
Monster Energy$26,137,550206.97.83.5
Sobe Adrenaline Rush$18,249,20031.15.5-1.7
AMP$17,084,97031.85.1-1.5
Sobe No Fear$13,352,71091.74.00.4
Full Throttle$8,886,300NA2.72.7
Hansen’s Energy$2,252,797-37.30.7-1.2
Hansen’s Lost Energy$2,184,804623.80.70.5
Rip It$1,803,258NA0.50.5
Category Total$334,742,80070.3
Source: Information Resources Inc., Total food, drug and mass merchandise (excluding Wal-Mart) for the 52 weeks ending June 12, 2005
Effective May 31, Coca-Cola North America and Coca-Cola Enterprises have taken on distribution rights for Rockstar Energy Drink. The cola companies will carry the product in most of the United States and Canada, with the exception of the West, Northern California and the Northwest, where Rockstar will maintain its current contracts. Under the agreement, Russ Weiner, Rockstar Inc.’s president and chief executive officer, will retain brand ownership. Coca-Cola and CCE will share profits on Rockstar, but the companies aren’t disclosing the details.  
Rockstar expanded its energy drink selection this year by adding a 24-ounce Diet and Original Rockstar to its 16-ounce and 8.4-ounce sizes. Also per the distribution agreement, Rockstar will be removing Rockstar Cola from the CCE distribution territories.
Another top contender is Hansen, with myriad product offerings including Monster, Lost and Enerade. Lost Energy Drink, which launched last year, offered an option for younger consumers who were missed by other energy drinks. It teamed with the surfing industry’s Lost International LLC to license the name, and decorated the can with art that is identified with the surf and skate cultures. In 2004, Hansen also introduced four-packs of Monster Energy drinks including a Lo-Carb version, and toward year end, launched new Monster Energy Assault energy drink in 16-ounce camouflage cans.
In December 2004, Hansen launched a new non-carbonated energy juice under the Rumba brand name in 16-ounce cans. Rumba Energy Juice is a 100 percent juice product that targets male and female morning beverage consumers and is positioned as a substitute for coffee, caffeinated sodas and 100 percent orange or other juices. BI
Top bottled sports drinks by brand
Brand Dollar Sales % Change Vs. Prior Year Market Share % Change Vs. Prior Year
Gatorade$562,991,3008.847.5-1.4
Powerade$169,898,77017.114.30.6
Gatorade Frost$122,919,700-0.510.4-1.3
Gatorade Fierce$96,230,1702.18.1-0.8
Gatorade X Factor$80,169,440241.26.84.5
Gatorade All Stars$73,958,87035.06.21.1
Gatorade Ice$40,098,760-43.33.4-3.3
Gatorade Xtremo$23,006,31024.91.90.2
Private Label$7,120,344-10.10.6-0.1
Gatorade Endurance Formula$4,842,265NA0.40.4
Category Total$1,186,059,00012.0    
Source: Information Resources Inc., Total food, drug and mass merchandise (excluding Wal-Mart) for the 52 weeks ending June 12, 2005

 Did you enjoy this article? Click here to subscribe to Beverage Industry.  

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

International Pineapple Day at Bahama Breeze

In celebration of International Pineapple Day on April 2, Bahama Breeze locations across the country invited the media and consumers to celebrate with cocktails that feature the tropical flavor of the pineapple. (Photos by Liz Parker and Jennifer Haderspeck)

10/10/13 2:00 pm EDT

Ditch the weighting agents: A cost effective solution for delivering flavors and actives

Available On Demand Learn how to reduce costs and energy use by enabling high oil load emulsions, eliminating the need for weighting agents like brominated vegetable oil (BVO).

Beverage Industry Magazine

BI April 2014 cover

2014 April

The April 2014 Beverage Industry includes a cover story on moonshine, as well as articles about CSD brands, whiskey, and more. Check it out today!

Table Of Contents Subscribe

Beverage Insider eNewsletter

Are you an Insider? Subscribe to Beverage Industry’s weekly e-newsletter to receive news headlines, new product information and magazine highlights.   

Spirits Segments

Which spirits segment will perform the best in 2014?
View Results Poll Archive

THE BEVERAGE INDUSTRY STORE

cleaning-in-place-dairy-foo.gif
Cleaning-in-Place: Dairy, Food and Beverage Operations, 3rd Edition

This book addresses the principles of cleaning operations, water supply issues and the science of detergents and disinfectants.

More Products

Webinars

Beverage Industry Webinars are an easy, effective and convenient way to get educated and informed on the latest industry trends and topics. All Webinars are FREE unless indicated. For more information, check out our Events page!

STAY CONNECTED

facebook40 twitter    youtubelinked