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View Full Version : Why is Hansen's Monster doing so well?



themill77
04-18-2006, 08:51 PM
Hi, guys,

Novice here; interested in your real world experience. Since mid-2005 Hansen's stock is up 500-600% -- what do you attribute that too?

Do you find their drinks to be vastly superior to its direct competitors - Red Bull, KO, PEP, etc? Do they give retailers better deals (and hence get greater distribution?)

Do you think they can continue this success in light of other competitors? Why?

Interested to hear your thoughts; thanks for sharing,

Patrick.

bullman
04-19-2006, 12:20 AM
Last week being my first week vending Red Bull and Monster in the same machine:

Red Bull: 4 cans
Monster: 14 cans

I have other energy drinks in my machine as well, but this is just what these two have done the first week side by side, literally.

Red Bull Vendor
04-19-2006, 01:32 AM
I have 2 new machines coming, I have them set up 3 of the columns for the 16.6 oz redbull, incase it ever go to the shelves for real. For now I will be vending Fullthrottle and monster. Just to see what kind of vends I can get.

EntreEnergy
04-19-2006, 06:37 AM
red bull vendor post the sales stats...bullman are you vending monster and rb at the same price? those stats are interesting.

SumPoosieCat
04-19-2006, 08:41 AM
Bullman I will give you a case of SumPoosie to vend for free to see how it does next to Monster and Red Bull. I think you will be shocked.

Spartan Dan
04-19-2006, 12:02 PM
Im new to the Energy Business here. Been drinking many kinds for 2 years though, and I have some research on each of the ones ive had. How did you guys get into the vending business? Where did you get your start?

Spartan Reaper

themill77
04-19-2006, 09:12 PM
That's interesting, Bullman,

Why do you think that is? Is Monster that much better tastng / give more energy than Red Bull? Or is it a pricing difference? Or do you like working w/ the Monster people better?

Interested to hear your thoughts,
Pat

EntreEnergy
04-20-2006, 09:47 PM
Monster is definitaley too sweet for me on a regular basis...but if I need to get something done fast I go with monster of anything. Tallthinblonde I am moving to multiple product vending machines, I can see your products sales stats in the future.

reset man
04-20-2006, 10:09 PM
I've sold both Monster and Red Bull at one time. Monster does have much better pricing and the larger can makes it a great value. Monster supports a buy 3 get 1 free program which nets down to $24/case or $1/can to the retailer. It allows them to double their money at $2 a can or even run a 2for$3 promotion and still make a great profit margin. I'm also impressed with the quality of their product and think it's the best combination of taste/energy kick out there. A great choice/variety of flavors and an unlimited supply of P.O.S. material made it much more fun for me to sell than Red Bull. That, and I've always liked chasing the #1 brand. I think I might buy some of that stock!

bullman
04-20-2006, 11:13 PM
Yes, I'm vending Red Bull and Monster from the same machine, and Monster is selling circles around Red Bull. In fact, it's outselling all of my Sobe drinks as well. I'm not sure why it sells so much, but I love it because my lowest cost drink is Monster.

In about 2 weeks, I will have another 2 machines on location with the same product configuration. It will be interesting to see how the sales stack up.

bullman
04-20-2006, 11:16 PM
Originally posted by Red Bull Vendor:
I have 2 new machines coming, I have them set up 3 of the columns for the 16.6 oz redbull, incase it ever go to the shelves for real. For now I will be vending Fullthrottle and monster. Just to see what kind of vends I can get. Red Bull Vendor,

How are you buying Full Throttle? I would nearly give my left nut to bring in Full Throttle Fury. I live in a subdivision, and my Coke distributor won't run a semi through here for delivery (they require a business address). I'm trying to find someone with a business address who will accept delivery and let me pick up later. They tell me they can't just write up an order and have me pick up at their building the way Pepsi allows me to do. That's why I'm stocking a full line of Sobe.

[ 04-20-2006, 10:23 PM: Message edited by: bullman ]

bullman
04-20-2006, 11:21 PM
Originally posted by themill77:
That's interesting, Bullman,

Why do you think that is? Is Monster that much better tastng / give more energy than Red Bull? Or is it a pricing difference? Or do you like working w/ the Monster people better?

Interested to hear your thoughts,
Pat I think Monster has its own following. People seem to be gravitating to it from my selection of 16 ounce drinks. My contact at my first location tells me people have commented about the kick it gives them and in fact, one guy told her (my location contact) that he might have to get a second job to support his new Monster habit. I would think that people who are new to energy drinks would not have a preference of one over the other.

DudeMan
04-22-2006, 06:40 AM
Good point. Red Bull is for people who are new to energy drinks. I used to speak to consumers a lot. Those who have tried many different brands will prefer a Monster. Those who are new to energy drinks are rather confused by all the different brands and don't know which one to buy so they go for the one with the most facings/marketing, Red Bull.

bullman
04-22-2006, 01:10 PM
My point of contact for this particular location raised a good question, though. She asked me if the reason Monster was selling so well was because of the larger can size. When you consider that an employee could just as easily choose a different 16 ounce selection: any one of three Sobe drinks (each in 16 ounce cans), AMP (Tall Boy, 16 ounces), or Monster - what specifically drives a customer to picking Monster over the others?

What I'd love to bring in is Full Throttle Fury and Rockstar. I can't seem to work it out with my Coke distributor yet, but I'll find a way.

Ooylara
04-29-2006, 05:47 PM
Let me take a stab at answering your question-

The number one reason why customers choose the 16 oz Monster is packaging. The Monster can flat out looks cooler than any other brand's packaging.

Equally important is that customers have already tried Monster and loved it, or heard about how it tastes by word of mouth (this is especially true for Monster Khaos, which is new and 70% juice, its popularity has spread by word of mouth in my area like wildfire).

Other possible answers include Monster's sponsorship activities, as well as product placement. Are distributors and stores giving Monster prime location in the cooler? From what I've seen, it appears so. This could be a testament to the working relationships between Monster and distributors.