How Much Revenue Energy Drinks Market Will Generate Globally Till 2025? |Grand View Research, Inc.


The global energy drinks market size is expected to reach USD 84.80 billion by 2025, expanding at a CAGR of 7.0%, according to a new report by Grand View Research, Inc. Consumers looking for breaking the monotony in daily beverages include these energy drinks in their routine to improve their performance, and keep them hydrated at the same time.
Energy drinks which include high caffeine are expected to drive its demand as it helps the consumers to regain energy and increase their stamina. Both young, as well as aged customers are attracted towards these beverages, which promise to keep them healthy and active. More than 50% of the world population live in urban areas. Hectic lifestyle and rising disposable income coupled with a need for instant energy are expected to drive the market growth over the forecast period.
The non-alcoholic segment is expected to emerge as the largest and fastest growing product variant and is anticipated to account for a revenue share of 56% by 2025 at a CAGR of 7.8% over the forecast period.
The major players operating in the global energy drinks industry include Red Bull GmbH, PepsiCo. Inc, Monster Energy, Rockstar, Inc., Taisho Pharmaceutical Co. Ltd, Amway Global (Xs Energy), and Coco Cola Company. Competitive pricing, product improvements and sponsoring sporting events are the major strategies of companies.
Manufacturers concentrate on product innovation to gain first mover advantage. Companies have been continuously trying to differentiate their products from the competitors to penetrate existing market. Red Bull separates its products with the help of taurine and positions itself as a premium product by selling at a high price. Moreover, companies such as RedBull and Monster have penetrated the industry to a great extent by sponsoring premium sports events such as Moto GP, Formula One, MotoCross, and mountain biking.
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Further key findings from the report suggest:
·         The global energy drinks market is estimated to grow at a CAGR of 7% from 2017 to 2025
·         The organic segment is expected to emerge as the fastest product type segment in 2015 and is anticipated to reach a net worth exceeding USD 32 billion by 2025
·         The teenager’s consumer segment generated revenue worth of USD 16.33 billion in 2016 and is projected to grow at a CAGR of 6.8% over the forecast period
·         The geriatric population growth in the market is anticipated to reach 12 billion by 2025 over the upcoming years
·         On-trade distribution is projected to emerge as both largest and fastest segment and is estimated to reach USD 71.65 billion by 2025 at a CAGR of 7.1% from 2016 to 2025
·         The Asia Pacific energy drinks industry is expected to witness the fastest growth in terms of revenue. It is expected to reach USD 24.17 billion by 2025, growing at a CAGR of 7.5% from 2016 to 2025
·         Demand for alcoholic beverage sector in the China was valued at USD 1.14 billion in 2015 and is expected to grow at a CAGR of 7.5% from 2016 to 2025
·         Energy drinks market share in Europe is expected to grow at a CAGR of 6.7% over the forecast period and to reach USD 19.12 billion by 2025
·         Major players Red Bull GmbH, Monster Energy and Rockstar. Other players having significant stake in the market include PepsiCo. Inc., Xyience Energy, and Amp
The alcoholic segment was worth USD 22.34 billion in 2016 and is anticipated to grow at a CAGR of 6% from 2016 to 2025. These alcoholic energy drinks rapidly gained popularity among the party goers over the past decade. Also, lack of knowledge about the choice of drinks is expected to drive the market of alcoholic energy drinks.
The non-alcoholic segment is projected to witness high consumption growth rates and over take the alcoholic sector to emerge as the largest segment by next five years. Growing awareness among the consumers about its benefits and the ill effects of consumption of its counterparts are projected to aid the global market.
The non-organic segment is expected to remain the largest product variant and is anticipated to account for a revenue USD 35.34 billion by 2025. Due to high intial market penetration and no specific focus on the target market, these products are projected to aid the market. At the same time, lack of customer awareness about the choice of products and these happen to be cheaper than their counterparts. 
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Grand View Research has segmented the global energy drinks market on the basis of product, product type, target consumer, distribution channel:
Energy Drinks Product Outlook (Revenue, USD Billion, 2014 - 2025)
·         Alcoholic
·         Non-Alcoholic
Energy Drinks Product Type Outlook (Revenue, USD Billion, 2014 - 2025)
·         Non-organic
·         Organic
·         Natural
Energy Drinks Target Consumer Outlook (Revenue, USD Billion, 2014 - 2025)
·         Teenagers
·         Adults
·         Geriatric Population
Energy Drinks Distribution Channel Outlook (Revenue, USD Billion, 2014 - 2025)
·         On-trade
·         Off-trade & Direct Selling
About Grand View Research
Grand View Research, Inc. is a U.S. based market research and consulting company, registered in the State of California and headquartered in San Francisco. The company provides syndicated research reports, customized research reports, and consulting services. To help clients make informed business decisions, we offer market intelligence studies ensuring relevant and fact-based research across a range of industries, from technology to chemicals, materials and healthcare.


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