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ResearchWikis Energy Drinks Marketing Research

ResearchWikis Energy Drinks Marketing Research



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Published by ryanyahoo
This is a summary of the free marketing research available on the energy drinks industry gathered by ResearchWikis.
This is a summary of the free marketing research available on the energy drinks industry gathered by ResearchWikis.

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Published by: ryanyahoo on Jun 06, 2008
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ResearchWikis Energy Drinks Marketing Research
This is a summarized view of  free marketing researchon the energy drinks industry and includes some background, market structure and major players of the energy drinksindustry.
Energy drinks are non-alcoholic beverages which are intended to provide a quick burst of high energy to the consumer. These may be prepared with a composition of methylxanthines, caffeine, natural flavors, some herbal components or specific vitaminsincluding Vitamins B. They may also contain taurine, guarana, maltodextrin, ginseng,carnitine, inositol, glucuronolactone, creatine and ginkgobiloba. Most products includeartificial sugar. The primary active component is generally caffeine.
Market Structure
The primary consumers of this industry are under 35 years of age and are predominantlymale. Teenager and college students are core target market segments for themanufacturers and consist of the core age group of 12 to 30. A recent survey estimatesthat around 35% percent of energy drink consumers are above 35 years old. Furthermoreenergy drinks with high sugar levels are more popular among children and women, whileenergy drinks with strong taste and flavor are more preferred by male consumers. Recentstudies also indicated that 65% of the energy drinks market consists of male consumers.There are several types of energy drinks products. Different varieties of tea and coffeealong with green tea forms one group. Second are traditional energy drinks such as RedBull and others. In emerging market, however, several producers have introduced new products. Combining energy drinks with alcohol has resulted in new products including“Hair of the Dog”. Mixing energy drinks with smart drinks has also created new brandnames such as NOS.
Market Metrics
Energy drinks were launched in the U.S. in 1997 with Red Bull which has the largestmarket share. By 2001, the energy drink market had developed to almost $400 million per fiscal year accounting the retail sales. The current market valuation in 2005 isapproximately $4 billion. Japan pioneered the energy drink phenomenon. The emergenceof the energy drinks market dates back to the early 1960s, with the launching of Lipovitan. In 1929, Lucozade of UK was launched.
The major market regions of the energy drinks industry, according to a 2004 survey, are:Geography Market Share (%)Asia Pacific 58.1% North America 14.7%The market share of the Asia Pacific region is anticipated to steadily decrease due to therise in other emerging markets. The US is anticipated to become the largest consumer market by 2009.
Industry Players
Red Bull is the industry leader. There are constantly new energy drinks manufacturersunveil such as yerba maté, green tea and ginkgo biloba. And also they are utilizing other revitalizing elements such as schizandra.The top energy drinks players are as follows based on December 2006:

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