In today’s market, sitting back and waiting for success isn’t an option. Instead, innovation is a catalyst to success for brands big and small, which is exactly what energy drinks are doing. Energy drink companies have been creating fun flavors with new clean ingredients such as green tea extract and ginger root.
Along with that, Energy drinks can provide an extra boost in energy, hydration, elevated mood, and improved alertness all in one can. These benefits appeal to a broad audience. Energy drinks come in a wide range of flavors from fruity and sour to chocolate and coffee. There is a little something for everyone.
Also, energy drinks are easy to grab on your way to the checkout line and take to work, school, or wherever else on your busy shoppers are heading. Since health benefits is top-of-mind with Millennials and Gen Z shoppers these days, offering an affordable and health focused drink will keep them coming back.
Health and Wellness Demands
Energy drink companies are making shifts in how they present their products. Their energy drinks are not going to offer a boost in energy but provide health benefits that other carbonated beverages might not have. According to NielsenIQ, many consumers are reevaluating what is good for them, their future, and their bodies. In 2023, food and beverage searches for “contains caffeine” grew 17%, and searches for “high caffeine” saw a 113% increase. Many energy drink brands are well-positioned to leverage these developing wellness trends and grow market share in the wellness industry. Consumers are also seeking out low sugar and no added sugar when buying food and beverages. This trend offers a unique opportunity for energy drink brands that offer low-sugar or sugar-free options to grow in popularity.
Energy drinks are not the only beverages that are focusing on health and wellness. Many consumers are actively looking for drinks that can hydrate them efficiently, such as Liquid IV. That means that energy drink brands have stiffer competition for consumers seeking instant hydration and a boost of energy, especially after working out or after a long day. Energy drink manufacturers need to properly utilize promotional marketing and product attributes, so energy drinks are not swept to the side in the beverage market.
Innovation is Key
There are countless energy drink companies on the market with their own unique products. It is extremely easy to be overlooked by shoppers. According to NielsenIQ, in 2023 there were 258 new items launches in the energy drink category, many with unique functional claims and ingredients.
To show off these with unique functional claims and ingredients, QR codes on the packaging can link to detailed product information, such as ingredients, nutritional facts, and manufacturing details. For example, QR codes can show the customer if the drink is low-sugar or sugar-free, and QR codes can be used for traceability. By scanning the code, consumers can track the product’s origin, production date, and distribution process.
Offering a broad assortment of easy to grab energy drinks can drive drink sales. Shoppers’ preferences do not stop at flavors; they can also connect to allergens or diet. This can include gluten-free, plant-based, nut-free, keto friendly, and so much more. This inclusivity within energy drinks will attract new customers who have these preferences and have them keep buying those specific products. Allergens and dietary restrictions can be highlighted on the labels to attract discerning shoppers.
In the beverage market, innovation is crucial for energy drinks to thrive when there are countless products out there. By looking at the growing trends, energy drink companies can focus more on creating drinks that meet health and wellness demands, along with more functional and eye-catching packaging. This will be key in attracting the attention and loyalty of consumers.