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Energy Drinks Market Size Forecast 2030 | The increased popularity of alternative fitness activities such as yoga and aerobics, as well as the expanding trend of half and full marathon participation, has fuelled global demand for energy drinks

08-11-2021 02:41 PM CET | Business, Economy, Finances, Banking & Insurance

Press release from: Decisionforesight

Energy Drinks Market

Energy Drinks Market

According to the research study, The global energy drinks market size was valued at USD 60.8 billion in 2020 and is anticipated to reach USD 120.7 billion by 2030 with a CAGR of 7.10% over the forecast period. in the research report, titled, “Global Energy Drinks Market, 2020-2030.”Carbonated beverages, fruit and vegetable juices, bottled water, sports drinks, beverage concentrates, ready-to-drink tea, and ready-to-drink coffee are all included in the soft drink category.

Energy drinks, along with multivitamins, are the most popular supplements for teenagers and young adults in the United States, according to experts. Men aged 18 to 34 consume most of these beverages. Growing incomes, as well as a rise in sports activities and urbanization, are all contributing factors. The expansion of the distribution network for these beverages, which includes supermarkets, convenience stores, and e-commerce sites, is projected to aid sales development in this business.

COVID-19 Impact: Negative Commercial Business Sales Observed amid Pandemic

As the impacts of COVID-19 spread throughout the world, firms producing consumer goods like as energy drinks are seeing lower consumption and supply chain disruptions. While at-home consumption has increased over the previous two weeks, out-of-home consumption has remained stagnant. This will have an immediate impact on the P&L, as out-of-home has typically produced the largest profit, but some suppliers are attempting to minimise this by shifting their supply to retail locations.

Agricultural output is down, and supply networks have been disrupted, owing to rapidly changing consumer demand and behavior. Young people, who are the main consumer category for energy drinks had to spend more time at home as a result of the coronavirus epidemic. The quarantine interrupted everyday routines and prompted nutritional adjustments. Caffeine and energy drink use was shown to be higher among young people who experienced more stress during e-exams and as a result of social isolation.

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The global energy drinks market can be segmented as follows: On the basis of product the market is categorized into drinks, shots, and mixers. Furthermore, by distribution channel the market is classified as supermarket/hypermarkets, food services, online retail and specialist store. Because of well-established marketing channels and long-term cooperation with sellers, energy drink demand in the on-trade sector dominated the worldwide business. Furthermore, it is easily accessible to customers in areas such as pubs, coffee shops, and hotels. Geographic segmentations of the regions include North America, Europe, Asia-Pacific, and RoW.

Drivers and Restraints

The increased popularity of alternative fitness activities such as yoga and aerobics, as well as the expanding trend of half and full marathon participation, has fuelled global demand for energy drinks

Energy drinks can be carbonated or not. Sports drinks, on the other hand, are used to replenish electrolytes and water during or after physical exercise. They're also distinct from tea and coffee, which are brewed, have fewer ingredients, and may be decaffeinated. Energy drink manufacturers claim that their goods boost energy levels. The fact that energy drinks give rapid energy, as well as mental and physical stimulation, is one of the main reasons for their rising popularity. Taurine, another important component, is required for cardiovascular function as well as skeletal muscle growth.

The increased popularity of alternative fitness activities such as yoga and aerobics, as well as the expanding trend of half and full marathon participation, has fuelled global demand for energy drinks. Furthermore, as customers become more aware of the health risks associated with consuming non-organic sports and energy drinks on a daily basis, some producers are introducing beverages incorporating natural components such as organic guarana and raw green coffee bean extracts. Consumption of energy drinks has become a trend, particularly among the youth. This sort of consumer behaviour is likely to boost overall demand. In metropolitan areas, mixing alcoholic beverages with these energy drinks is fairly common.

Manufacturers of energy drinks say that their products minimise muscular tiredness, improve mental performance, and safeguard heart health. However, a scientific agreement to back up these claims has yet to be reached. The major reasons predicted to drive future demand include growing health consciousness, changing consumer lifestyles, and increased knowledge of health wellness goods.

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Regional Insights

Over the last few years, the energy drink industry in North America has seen the most growth. Many individuals in the United States live an extremely busy lifestyle as a result of increasing urbanisation. As a result, people are becoming more reliant on energy drinks to give them a boost. Furthermore, these drinks are promoted as a healthier alternative to carbonated beverages, particularly among health-conscious consumers.

The largest geographical demand was in Asia Pacific, where the market is mostly driven by young adults. India and China have had considerable expansion in the retail sector, indicating that there are several chances for product marketing in the area.The growing popularity of sports in China offers enormous potential for boosting a company's brand and cultivating consumer awareness and loyalty.

Competitive Landscape

Innovative and AdvancedTactics Adopted by Key Players to Sustaintheir Position

There may be opportunities in the energy drink industry for firms that stand out from the pack, which has a lot of similarities in terms of advertising, promotions, and sponsorships. Distribution, securing shelf space, and generally offering something different from the big three are key problems that competitors confront. Red Bullis on top of the energy drink and soft drink industry's trends.

Monster and Rockstar has significant dominance over the market, allowing them to diversify their product offerings and fight against smaller competitors like Bang.This brand grew significantly in the market in 2020, outperforming other natural energy drinks due to its variety of flavors and strong caffeine level, which is preferred by frequent drinkers.

Industry Development

April 2020:PepsiCo have agreed to buy Rockstar Energy Beverages for $3.85 billion. The agreement, which is scheduled to conclude in the first half of this year, would also give $700 million in payments over up to 15 years for future tax advantages connected to the transaction.

List of Key Players Covered in this Market Report

• Red Bull
• Monster Beverage Corporation
• Rockstar Inc.
• The Coca-Cola Company
• PepsiCo
• Arizona Beverage Company
• National Beverage Corp.
• Cloud 9.

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Decision Foresight is a market research organization known for its reliable and genuine content, market estimation and the best analysis which is designed to deliver state-of-the-art quality syndicate reports to our customers. Apart from syndicate reports, you will find the best market insights, strategies that will help in taking better business decisions on subjects that may require you to develop and grow your business-like health, science, technology and many more. At Decision Foresight, we truly believe in disseminating the right piece of knowledge to a large section of the audience and cover the in-depth insights of market leaders across various verticals and horizontals.

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