Global energy drinks market reaches $62.89 billion in FY23

The global energy drinks market’s value reached $62.89 billion in 2023, posting a 7.5 percent compound annual growth rate (CAGR), with the strategic addition of new flavours emerging as a key trend.

According to The Business Research Company, the increased demand on emerging distribution channels, notably e-commerce, is driving the growth of the energy drinks market.

The research firm forecasts that the market, dominated by Red Bull, Monster Beverage Corporation, PepsiCo, and Coca-Cola Company, will further increase to $83.83 billion in 2027 at a sustained CAGR of 7.5 per cent.

It noted that introducing new flavours is an emerging trend, such as Red Bull’s launching of Coconut Edition Sugar-free energy drinks in 2021, a mix of coconut and B-group vitamins, taurine, and acesulfame-K as a sweetening agent.

Such innovations, which seek to attract new customers and boost sales, demonstrate the dynamism of the energy drinks industry.