The global energy drink market is projected to grow at a CAGR of 4.05% to reach US$25.067 billion by 2025, from US$19.754 billion in 2019. The rising number of athletes and sportspeople involved in high-octane sports are consuming energy drinks fortified with proteins and other recovery ingredients. The individuals involved in high-octane sports activities need a quick replenishment of their energy levels in order to maintain their strength and muscles and to boost the diminished energy levels, which is spurring the demand for energy drinks.
However, steps and measures being taken by the UK government in order to prevent the consumption of energy drinks by younger individuals as it poses threats to health and is a rising cause for health concerns is impacting the growth of the market.
The government of the UK launched a public consultation in order to make the sale of energy drinks illegal to children, so as to prevent them from harming their organs and getting involved in hospitalizations. This step is being taken as an increasing number of younger individuals are consuming energy drinks products more than the recommended limit of 400 mg of caffeine per day, whereas some of the individuals are mixing the energy drinks with alcohol, which only intensifies, the effects. In addition, the ban is being supported by organizations and institutions such as the Children's Food Campaign (CFC), and the Royal College of Paediatrics and Child Health. Thus, this factor acts as a restraint in the market growth over the forecast period
Product Offerings by Major Market Players in the Energy Drink MarketSpace
The offering of better and advanced varieties of Energy Drink with enhanced technologies such as quality and durability among other properties by existing and new players in different markets is estimated to lead to increased adoption and propel the market growth further over the forecast period.
Some of the examples of product offerings are as follows:
The North American region to hold a considerable share over the forecast period and the Asia Pacific region is expected to witness a significant increase in its market share over the forecast period
The North American region is expected to hold a considerable amount of share over the forecast period owing to the fact there are market players such as PepsiCo involved in catering to the demands of the end-user by offering enhanced varieties and flavors of energy drinks to cater to the tastes of the consumers.
In addition, the Asia Pacific region is expected to witness a significant increase in its market share over the forecast period, which is attributable to the fact that there is an influx of investment in order to boost the development of the food and beverage sector in the countries such as India. Moreover, there are new players entering the energy drink market to appeal to the taste of younger consumers with healthy variants.
Sugar-Free Energy Drinks to witness a noteworthy growth
The increasing cases of obesity due to the high consumption of sugary drinks, owing to the sedentary lifestyles of a majority of the consumers, is making them aware of the ill-effects of consuming high amounts of sugar and is boosting the demand for sugar-free drinks is providing this segment with a platform to witness noteworthy growth over the forecast period.
Online Distribution Chains to be a significant share over the forecast period
Online ordering of different items such as beverages and other terms is the recent trend that has gained rapid traction and immense popularity among the younger and the middle-aged population in the last few years, this is majorly attributed to the fact that these products can be purchased at the lucrative discounts, with the convenience of ordering from homes. In addition, the penetration of e-retail and e-commerce channels are also contributing to the growth of this segment.
Report Metric | Details |
Market size value in 2019 | US$19.754 billion |
Market size value in 2025 | US$25.067 billion |
Growth Rate | CAGR of 4.05% from 2019 to 2025 |
Base year | 2019 |
Forecast period | 2020–2025 |
Forecast Unit (Value) | USD Billion |
Segments covered | Product Type, Alcohol Content, Packaging Type, Distribution Channel, And Geography |
Regions covered | North America, South America, Europe, Middle East and Africa, Asia Pacific |
Companies covered | Monster Energy, RED BULL, Cellucor, S. Spitz GmbH, Energy Beverages LLC, Bang Energy, Reign Beverage Company LLC, A SHOC BEVERAGE LLC, THE COCA-COLA COMPANY, HELL ENERGY |
Customization scope | Free report customization with purchase |
Segmentation:
Frequently Asked Questions (FAQs)
Q1. What are the growth prospects for the energy drink market?
A1. The global energy drink market is projected to grow at a CAGR of 4.05% over the forecast period.
Q2. What will be the global energy drink market size by 2025?
A2. Energy Drink Market is projected to reach a market size of US$25.067 billion by 2025.
Q3. What is the size of the global energy drink market?
A3. The energy drink market was valued at US$19.754 billion in 2019.
Q4. What factors are anticipated to drive the energy drink market growth?
A4. The individuals involved in high-octane sports activities need a quick replenishment of their energy levels in order to maintain their strength and muscles and to boost the diminished energy levels, which is spurring the demand for energy drinks.
Q5. Which region holds the largest market share in the energy drink market?
A5. The North American region holds a considerable share over the forecast period and the Asia Pacific region is expected to witness a significant increase in its market share over the forecast period.
Monster Energy
RED BULL
Cellucor
S. Spitz GmbH
Energy Beverages LLC
Bang Energy
Reign Beverage Company LLC
A SHOC BEVERAGE LLC
THE COCA-COLA COMPANY
HELL ENERGY
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