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Energy Drink & Sports Drink Market Reaches $25 Billion

Millennials, women, and parents are trading sodas for energy and sports drinks

Packaged Facts Logo. (PRNewsFoto/Packaged Facts)

News provided by

Packaged Facts

May 16, 2017, 09:44 ET

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ROCKVILLE, Md., May 16, 2017 /PRNewswire/ -- Over the past five years, the U.S. retail market for energy and sports drinks expanded in vigorous fashion culminating in sales of $25 billion in 2016 after rising at an annual rate of 7% over the preceding half decade, according to market research firm Packaged Facts in the brand new report, Energy & Sports Drinks: U.S. Market Trends & Opportunities. Looking ahead, Packaged Facts forecasts that energy and sports drinks will remain among the fastest growing sectors of the beverage market.

Between 2011-2016, notable year-over-year gains were the result of consumers seeking beverages with functional properties along with novel and healthier-seeming alternatives to carbonated soft drinks. The promise of a convenient, on-the-go caffeinated beverage also drew coffee and tea drinkers to energy drinks.

"Many consumers perceive sports drinks as healthier than sodas and other carbonated beverages due to their association with sports and physical activity in general. Although originally designed for athletes, these products soon garnered mainstream sales as anytime drinks, particularly among teen and young adult males. The novel flavor profile of energy and sports drinks also appealed to consumers seeking a change from sodas," says David Sprinkle, research director, Packaged Facts.

Energy and sports drink producers also benefited from above-average population growth among important 25-to-34-year-olds, who are significantly more likely to consume these drinks. While the general U.S. population grew at a rate of 0.7% annually between 2012 and 2016, the number of people in this Millennial cohort increased 1.4% annually.

Though Millennial men are arguably the face of sports and energy drinks, these products are gaining traction with other consumers as well. While women in general are less likely to consume sports drinks, Millennial women are an exception to this rule and consume sports drinks at levels that exceed their male counterparts. Similarly, women aged 50 and older also exceed their male peers in consumption of energy drinks.

Consumers with one or more children in their household are also significantly more likely to purchase energy and sports drinks for themselves. Having a single child in the home is sufficient to see this bump in reported usage, and energy drink usage tends to increase with each additional child—a clear indication that parents are a ripe demographic for marketers in this beverage segment. The age of children in the household influences usage rates for energy drinks but not for sports drinks. In fact, energy drink users are significantly more likely to have young children in their household. These findings suggest that many initially seek out energy drinks as a tool to keep up with the demands of caring for young children. In contrast, parents may be introduced to sports drinks when purchasing them for their children, perhaps as a refreshment for sports practices and games.

About "Energy & Sports Drinks: U.S. Market Trends & Opportunities"

This new Packaged Facts report, Energy & Sports Drinks: U.S. Market Trends & Opportunities, identifies key trends influencing the energy and sports drinks market, highlights key market opportunities, and reveals consumer attitudes that will help shape the market through 2021. Key players in the market – and the factors shaping their evolution – are also discussed.

View additional information about Energy & Sports Drinks: U.S. Market Trends & Opportunities, including purchase options, the abstract, table of contents, and related reports at Packaged Facts' website: https://www.packagedfacts.com/Energy-Sports-Drinks-10836915/.          

More Packaged Facts food and beverage reports are available for purchase at: https://www.packagedfacts.com/food-beverage-market-c84/. 

About Packaged Facts 

Packaged Facts, a division of MarketResearch.com, publishes market intelligence on a wide range of consumer market topics, including consumer demographics and shopper insights, consumer financial products and services, consumer goods and retailing, consumer packaged goods, and pet products and services.  Packaged Facts also offers a full range of custom research services.

For more essential insights from Packaged Facts be sure to follow us on Twitter and Google+. For infographics, tables, charts and other visuals, follow Packaged Facts on Pinterest.

Please link any media references to our reports or data to www.packagedfacts.com.

Press Contact:                                                        
Daniel Granderson
240.747.3000 
[email protected]

SOURCE Packaged Facts

Related Links

http://www.packagedfacts.com

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