Global energy drinks market reaches $62.89 billion in FY23
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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.
Questions & Answers
Q.What is the projected value of the global energy drinks market by 2027?
What is the projected value of the global energy drinks market by 2027?
The research firm forecasts that the global energy drinks market will increase to $83.83 billion by 2027. This growth is expected to continue at a sustained compound annual growth rate of 7.5 per cent.
Q.What are the main factors driving the growth of the energy drinks market?
What are the main factors driving the growth of the energy drinks market?
Increased demand on emerging distribution channels, particularly e-commerce, is a significant driver of market growth. The strategic addition of new flavours is also a key trend contributing to this expansion.
Q.Which companies currently dominate the energy drinks market?
Which companies currently dominate the energy drinks market?
The energy drinks market is primarily dominated by several key players. These include Red Bull, Monster Beverage Corporation, PepsiCo, and the Coca-Cola Company, according to the research firm.
Q.Could you provide an example of a recent flavour innovation in the market?
Could you provide an example of a recent flavour innovation in the market?
Red Bull launched Coconut Edition Sugar-free energy drinks in 2021 as an example of flavour innovation. This product combines coconut with B-group vitamins, taurine, and acesulfame-K as a sweetener.
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