A spotlight on energy drinks
UBS Evidence Lab is a team of alternative data experts, independent of UBS Research, that work across 55+ specialized areas creating insight-ready datasets. The experts turn data into evidence by applying a combination of tools and techniques to harvest, cleanse, and connect billions of data items each month.
The library of assets, covering over 5000+ companies of all sizes, across all sectors and regions, is designed to help investors answer the questions that matter to their investment analysis. This week they took a closer look at the consumption, and brand loyalty of Energy Drinks...
Here are a sample of some of the questions they addressed.
Which energy drink brands do US consumers prefer?
Red Bull and Monster have a dominant mind share in the traditional energy drink market, according to UBS Evidence Lab’s survey of 700 US consumers.
• 75% of respondents mentioned Red Bull and Monster as their most consumed brands.
• Rockstar and recent entrant Coke Energy are distant challengers.
Is consumption of energy drinks increasing or declining?
Respondents have generally increased consumption in the last 6 months and expect to drink more in the coming 6 months.
• 46% of consumers increased consumption in the last 6 months vs. 15% who consumed less, resulting in a net 31% increase.
• The ratio of those who consumed “much more” vs.
“somewhat more” was 1.6x.
• 38% of consumers expect to drink more in the coming 6 months vs. 10% who expect to drink less, resulting in a net 27% increase.
• The ratio of those expecting to consume “much more” vs. “somewhat more” was 1.6x.
Which age group is driving the increase in consumption of energy drinks?
35-44-year-olds are the key age group to watch for energy drinks.
• The 35-44 age group has the highest percent of frequent consumers and the highest percent who expect to increase consumption.
• 73% of energy drink consumers in the 35-44 group are frequent consumers (consume at least a few times per week).
• 54% of 35-44-year-olds expect to increase consumption in the coming 6 months.