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bigbottom
03-16-2008, 10:41 AM
Just like a fast rising stock, as quick as the category climbed to be the fastest growing of all segments, It has hit the wall. The fall out will be significant and the carnage is beginning to show up everywhere, Big lots will have a field day with request for this junk. Just look at the beverage spectrums last issue of energy drinks how many of them will still be around? Think of the 10's of thousand and even millions spent on this junk and they will have nothing to show for all this? What a waste of hard earned dollars, I wonder if the federal government will bail these companies out for making such poor judgments into bad investments? Like a wilder beast mentality they all followed the heard into a river of blood thirsty alligators, now the river will run red in ink for years to come from all this waste and not one dollar to show for any of it.

The Distributors don't want it, the Stores don't want it.

The back lash for these caffeine drinks, will be followed by law suits, for drugging the nations youth, just like the tobacco and obesity suits, weve seen a few but more are to follow as the obvious begins to rear its ugly head in time, this stuff has so much sugar it is rotting the teeth right out of our heads, not to mention the caffeine destrying the central nervous system, will leave them with ticks as adults.

At least the aluminum market is thriving they can get money for the empty containers as scrap.

Caffeine King
03-16-2008, 11:12 AM
Big lots will have a field day with request for this junk..

good news for me:p

scum1
03-16-2008, 05:38 PM
"this stuff has so much sugar it is rotting the teeth right out of our heads, not to mention the caffeine destroying the central nervous system, will leave them with ticks as adults."

Really? I think just regular sodas are just as bad sugar wise and caffeine is not the devil many make it out to be. 300mg per day of caffeine is not harmful. It is just like fast food. If you don't control your intake that is your fault. If your kids drink 3 Monster per day that is the parents fault not the ED producers fault. Starbucks has probably caffeinated more kids than energy drinks and added a lot of fat to go along with it.
Everything You Need to Know About Caffeine (http://www.ific.org/publications/brochures/caffeinebroch.cfm)

iPwnd
03-16-2008, 06:00 PM
honestly, i think the boom is just really starting. sure alot of startups have gone out of business, but look at monster. almost anyone you know has tried it or heard of it. it is truly becoming an alternative to coffee. I saw on some business magazine just a month ago about investing in the ed market. More and more money is going in, and the succesful companies are reaping the benefits. sure alot of products in this category fail, but truly is growing.

Mr Zabe
03-16-2008, 08:13 PM
"this stuff has so much sugar it is rotting the teeth right out of our heads, not to mention the caffeine destroying the central nervous system, will leave them with ticks as adults."

Really? I think just regular sodas are just as bad sugar wise and caffeine is not the devil many make it out to be. 300mg per day of caffeine is not harmful. It is just like fast food. If you don't control your intake that is your fault. If your kids drink 3 Monster per day that is the parents fault not the ED producers fault. Starbucks has probably caffeinated more kids than energy drinks and added a lot of fat to go along with it.
Everything You Need to Know About Caffeine (http://www.ific.org/publications/brochures/caffeinebroch.cfm)
I agree and well said.

lordmadone
03-16-2008, 09:44 PM
Sorry mr.doomsayer..Energy drinks category continues on an upswing and is one of the more profitable categories now as it is and its not really showing any signs *knocks on wood* of slowing down much..it will level off a bit but its going to be strong for quite some time to come.

SonicFury
03-17-2008, 01:12 AM
This is all I read...

Unfounded opinions... blah blah blah... strong bias against energy drinks... blah blah blah... more unfounded opinions influenced by bias... blah blah blah... no research of any kind to back up statements

greg
03-17-2008, 08:57 AM
What kind of intoxicated rhetoric are you spewing out without any definitive data to back up your claims?
I can provide you with at least 10 articles stating that the Energy Category is still in great shape. Some of the articles even go so far as to state that if it weren't for ED's that the beverage industry would be seeing less growth than if it still relied on CSD's for growth. Heck, just do a search on this site alone and you will find all the information you need to verify that ED's are still a good choice for distributors and retailers.

I notice that you are a distributor. Perhaps you are bringing in the wrong energy drink. Perhaps you aren't bringing in what your retailers and what your end users really want.

And were do you get off saying that 10's of millions of dollars are wasted? Yes, perhaps it seems that way, but for every failure we should learn something. Look how many car companies went of business before someone realized that perhaps mass production is best, or look how many software companies have come and gone because someone could do it better or more effeciently.
You almost sound jaded because some joker came in and sold you some crap drink and now your salesmen can't move it because you bought a crap drink.
Stop whining that the sky is falling and admit your mistake and move on. We all make mistakes when it comes to product selection. Stop carrying energy drinks, let your competitor sell them to the retailer and watch as his or her business thrives on higher margin sales while you sell your soda and Arizona tea and barely pay for the gas for your trucks with those paltry margins.

The end of Energy drinks is not imminent. The catgeory is, by some accounts, only 10 years old, it is still maturing. It is still evolving.

greg
03-17-2008, 09:03 AM
I just went over some of your old posts and it seems you have tried or are trying to come out with your own drink.

By your last post, if you did come out with your own drink, you seem to be getting a lot of "NO's" when you try and sell it.

Welcome to brand ownership! If I got discouraged everytime I heard "no" I probably would have folded a long time ago and got a nice cushy job working 9-5 M-F making only enough money to support my alcohol habit.
But you have to continue to persevere and press on. You can sell an energy drink. Retailers just don't open their doors for you like they used to. I say it again, the category is maturing, that means you must change the way you present, sell, market, price, etc. the energy drink.
Don't give.

the saint
03-17-2008, 02:59 PM
While I am not saying that the energy drinks segment as a whole is slowing down, dying off, running stagnant or any other term to that effect, I do believe that there is a shakeup looming in the amount of drinks carried in the very near future. I believe that between monster, red bull, whatever coke brings in as a whole and whatever Pepsi brings in as a whole, possibly a FEW (meaning MAYBE 1-2 shelf) independant companies are what is going to be available to the masses. I am not saying that there will not be more brands available but I see the retailers saying "no more, this is what we are going to carry". I may be wrong but there is only so much space in cold vaults and the way coke, Pepsi, Bud, red bull contracts are worded/ enforced there just isn't going to be any room for any thing else. Most of the retailers would rather have the contract money from the previously mentioned companies than the "buy 5 get 2 free energy drink" company that will more than likely not be around long enough to place a second order.

greg
03-17-2008, 03:27 PM
Saint,

You make valid points and I must concede some of my argument to them,however, innovation is key in the ED business. RB started it by becoming a grass roots marketing machine, Monster upped it with twice as much for the same price, and Rockstar.....well, other than getting in the CCE system( or whichever system it landed in) I have no idea how they got that big.
At anyrate, ED's are the highest margin itiems( for the most part) in the cold vault. I understand the reluctance of retailers to fill their store with ED's and miss out on other sales, but the retailer is there to make money and if he only carries the same old stuff that the guy next door does he will have to compete with him somewhere else, be it the gas pump, cigarettes, beer, snacks, whatever. Choosing a possible next "big thing" will always be on his list of priorities.

boy scout
03-17-2008, 03:42 PM
I just went over some of your old posts and it seems you have tried or are trying to come out with your own drink.

By your last post, if you did come out with your own drink, you seem to be getting a lot of "NO's" when you try and sell it.

Welcome to brand ownership! If I got discouraged everytime I heard "no" I probably would have folded a long time ago and got a nice cushy job working 9-5 M-F making only enough money to support my alcohol habit.
But you have to continue to persevere and press on. You can sell an energy drink. Retailers just don't open their doors for you like they used to. I say it again, the category is maturing, that means you must change the way you present, sell, market, price, etc. the energy drink.
Don't give.
I agree. I believe the ED market will continue to grow, as the Consumer demand for products like these is still high. That stated, however, Big Brother is on his way in! Mark my words: regulation is just around the corner for ED's. I'm not sure if regulation will come in the way of age and/or potency restrictions, but something is bound to happen.

SumPoosieCat
03-17-2008, 07:27 PM
I could not disagree with you more Saint. 5 years ago everyone talked about the dominance of Red Bull and how Red Bull was this and Red Bull was that. Along comes Monster and knocks Red Bull all over the place. Consumers want choice and the Energy Drink market is very profitable for C stores. Why would they want to limit selection in such a profitable and growing segment? Energy Drinks continue double digit growth and there seems to be no end in sight. Energy Drinks that have a Niche will continue to do well and those that fail to get a following will fall to the side.

Red Sox fan
03-17-2008, 08:56 PM
1. The Energy Drink category is not dying. Ofcourse it's not growing like a weed like it was a couple years ago but this is natural in any maturing category. Bottom line, on the net whole, retailers will add more space in their sets for ED's in 2008 than they had in 2007. This is a fact. The reason is because it's one of the only segments in the beverage biz that continues to show double digit growth.

2. I am slightly concerned about looming regulation. When and if it comes all the blame may be lodged on a few stupid companies who decide to push the limits too far in an attempt to get attention/be more extreme than the next guy. Examples of brands almost about to ruin it for the rest of us would be:

-High potency ED's ( I would put Redline in this category, sorry Greg)
-Monster 32oz (just a matter of time before this shi*t hits the fan on this one, MARK MY WORDS)
-Drinks with stupid drug names (Cocaine/Blow etc)

Red Sox fan
03-17-2008, 09:01 PM
Let me retract one part of my comment. I should not have said the companies were "stupid". Clearly Monster has demonstrated their capabilities and I would say redline has carved out a nice cnche for itself... so let's give credit due...HOWEVER, I would say that certain decisions these companies have made, either about their package size/potentcy/brand name, are putting all ED's companies (including their own) at risk in an attempt to market their brands. No animosity toward any competing brand here, Just calling them like I see em..

greg
03-18-2008, 09:38 AM
Let me retract one part of my comment. I should not have said the companies were "stupid". Clearly Monster has demonstrated their capabilities and I would say redline has carved out a nice cnche for itself... so let's give credit due...HOWEVER, I would say that certain decisions these companies have made, either about their package size/potentcy/brand name, are putting all ED's companies (including their own) at risk in an attempt to market their brands. No animosity toward any competing brand here, Just calling them like I see em..

I accept that the potency issue is an important one. In my opinion I would not object to showing age identification for a drink that has over 200-250 mg in it.( Total per bottle) If adults want to use a drink that has 200+mg of caffeine in it then they should be able to buy it.


And I don't even need to tell you about my position about ED companies that come out with drug names or common drug alternative/slang names for their drink.

boy scout
03-18-2008, 09:59 AM
I accept that the potency issue is an important one. In my opinion I would not object to showing age identification for a drink that has over 200-250 mg in it.( Total per bottle) If adults want to use a drink that has 200+mg of caffeine in it then they should be able to buy it.


And I don't even need to tell you about my position about ED companies that come out with drug names or common drug alternative/slang names for their drink.
It'll be interesting to see what the Fed's do in the next year or two. With adverse event reporting being mandatory for all supplement manufacturers - not to mention the major increase & focus the media are drawing to these events, it's just a matter of time 'til the Government has enough "facts" to regulate. We saw this happen with ephedra, and it looks like the process to regulate has started with ED's.

the saint
03-18-2008, 03:01 PM
I could not disagree with you more Saint. 5 years ago everyone talked about the dominance of Red Bull and how Red Bull was this and Red Bull was that. Along comes Monster and knocks Red Bull all over the place. Consumers want choice and the Energy Drink market is very profitable for C stores. Why would they want to limit selection in such a profitable and growing segment? Energy Drinks continue double digit growth and there seems to be no end in sight. Energy Drinks that have a Niche will continue to do well and those that fail to get a following will fall to the side.

So when they fall to the side where exactly is the retailer going to put all of his "buy 5 get 2 free" brands?? If a drink doesn't get a following it is merely taking up space in the cold vault. The retailers are not gonna throw 7 cases in the garbage, it is gonna sit on the shelf for years until one of the big guys offer to buy it all for the space it takes up. The brands that "have a niche" and "continue to do well" will eventually be incorporateds into the cold vault during the contract allocations. I am all for the stores having products that sell, it is the ones that have a rep that comes in sells his 7 cases and is never seen again while the product just sits and collects dust that are the problem. "cocaine" should come to mind for most as while it was "IT" for some time, IT now is dead and sits and sits. This is the reason chain accounts do not authorize every tom dick and harry energy drink that comes along, when it becomes popular then it gets space allocated for it, when it dies they are not sitting on 6 1/2 cases PER store.

While each and every single brand/ flavor has the potential to become "the next greatest thing" reality is that it won't. If there is a new brand that ultimately is going to be the next "hot" item, well then the distributor should offer a buy 5 and get a cheap ice barrel to merchandise it in rather than the buy 5 get 2.

just my .02

greg
03-21-2008, 09:10 AM
BIG BOTTOM!?!?!? BIG BOTTOM?!?!?!?

Where are you???????

bigbottom
03-21-2008, 09:58 AM
Greg for a man that has so much to say, it seem you spend very little time in the field selling. Yes, we launched an energy drink, from start to finish, it took 6 months, trademark formula to production of the first 1600 cases, we only spent 25k and it is on an alternative market, online, vending and private label. Only 120 mg of caffeine for a 12 oz package. The fact is this Greg if you are not Red bull, Monster, Coke, Pepsi or Cadbury which are throwing Hugh dollars to conquer and divide the shelf you are just another sucker company paying to play in the up and down the street convenience and grocery trade. Any one can give it away the real deal is getting a store to pay for it!!!! I am not trying to be a domes day speculator, but the facts are obvious, to me that is on the street everyday talking the talk and walking the walk, not glued to the board speculating on the trends. The information I deliver here is direct from the retailers, direct from the distributors I sub with and work with. Yes the margins are great, but the exposure to taking on a pallet of energy that will sit and cost 3000.00 and then going into an account that tells you it does not sell, and if you don't take it back, swap it out or relive them of the lost financial burden will not buy your items that do sell.

Do yourself a favor and get Google news on energy drinks, you will see first hand across the country and across the board there is a rumbling to the negative effects of this categories excessiveness in becoming the next great thing. Time will show you that what I say is factual, and it is not merely my words it is the words and print I have reiterated to this board from the news wires and hundreds of papers that are spewing the negative news.

I think I saw you have something to do with redline, they are scared for their proverbial lives, they are ready and willing to throw minuscule money at a school were three kids took ill:( if and when one drops dead it's over and it will only be a matter of time, cause speed kills, to much of a good thing is just that too much. 25k is that what a child's life is worth? you tell me Greg is it?

scum1
03-21-2008, 10:40 AM
I think death is highly unlikely. Those kids only had a sip each. It was all in their heads(they probably read all that negative news). People od on alcohol on a regular basis and last time I checked you could buy it most everywhere. There might be some regulation of energy drinks in the future but I don't see them going anywhere. I also hope some parents get a clue soon. I have kids and one is 14. I have probably 50 energy drinks in my fridge and she never gets to drink any asides from maybe a few sips of a monster I might be drinking. She also does not have unlimited cash to go around buying energy drinks everyday. If you don't pay attention to your kids then you have much more to fear than energy drinks.

greg
03-21-2008, 12:14 PM
Greg for a man that has so much to say, it seem you spend very little time in the field selling. Yes, we launched an energy drink, from start to finish, it took 6 months, trademark formula to production of the first 1600 cases, we only spent 25k and it is on an alternative market, online, vending and private label. Only 120 mg of caffeine for a 12 oz package. The fact is this Greg if you are not Red bull, Monster, Coke, Pepsi or Cadbury which are throwing Hugh dollars to conquer and divide the shelf you are just another sucker company paying to play in the up and down the street convenience and grocery trade. Any one can give it away the real deal is getting a store to pay for it!!!! I am not trying to be a domes day speculator, but the facts are obvious, to me that is on the street everyday talking the talk and walking the walk, not glued to the board speculating on the trends. The information I deliver here is direct from the retailers, direct from the distributors I sub with and work with. Yes the margins are great, but the exposure to taking on a pallet of energy that will sit and cost 3000.00 and then going into an account that tells you it does not sell, and if you don't take it back, swap it out or relive them of the lost financial burden will not buy your items that do sell.

Do yourself a favor and get Google news on energy drinks, you will see first hand across the country and across the board there is a rumbling to the negative effects of this categories excessiveness in becoming the next great thing. Time will show you that what I say is factual, and it is not merely my words it is the words and print I have reiterated to this board from the news wires and hundreds of papers that are spewing the negative news.

I think I saw you have something to do with redline, they are scared for their proverbial lives, they are ready and willing to throw minuscule money at a school were three kids took ill:( if and when one drops dead it's over and it will only be a matter of time, cause speed kills, to much of a good thing is just that too much. 25k is that what a child's life is worth? you tell me Greg is it?

Nice rebuttal, however, I must take exception to the fact that it is accurate.

First off, I am past the point of being in the street selling my drink. With that being said I applaud the frontline guys that do. That is where I got my start.

2nd, With only 120mgs of caffeine I hope you really made your drink different than all the rest. What type of innovation did you put into it? What have you offered the customer that they are willing to "try" your drink over their regular choice? What type of price point do you have? Have you successfully hit your targeted demographics? Did you use the right message to get the attention of your target audience?

3rd- You have already set yourself up for failure if you have the notion you can't be successful going up against the big guys. Sure they have tons of cash for marketing, but you have the ability to make quick decisions and act on them without having to form a committee to set an appointment to have a meeting about what to change in your ingredient profile or marketing approach.

4th- YES, You were being a doomsday speculator. Like I said, perhaps you need to take a new approach. Sure ED sales are not 75%, 50% over last year. There has to be a leveling out sometime, however, sales growth is still in the doublke digits......Please tell me when soda last experienced double digit growth.

5th-Are you telling me that a $3k pallet to a distributor is out of line? Surely a distributor has at least 98-140( depenind on pallet size qauntity and weight) accounts he can sell one case to.

6th- I have read several stories about energy drink abuse and not being used as directed. You can bring up that lame a$$ excuse about kids drinking it, however, Redline specifically calls for noone under the age of 18 to use its products as well as only drinking half a can to assess tolerance. Are you telling me that every kid out there obeys the rules? I will sit here and tell you when I was 15 I could get beer, liqour, weed, just about anything I wanted. The news stories are sensationalized for you so that you will buy their newspaper or watch their program. Of course I understand the sensitive nature of too much caffeine in the hands of children, look around this board and you will see where I over and over talk about the issue of kids and energy drinks.


Lastly- You are correct, you did read where I had somehting to do with Redline, however, the relationship is over. Yet, this does not mean that I do not agree with Mr. Owoc's and his decision to make a donation to the Broward county School district after 3 kids fell ill after drinkng a redline.( Thier story is suspect to begin with, 3 kids taking a sip or two of a redline would garner them each less caffeine than what is in a Pepsi!) Mr. Owoc and Redline have always taken the high road and let all its consumers know of the potency of the product as well as its recommeded age restrictions.

Your last question is redundant and therefore I will not even address it. It is assinine.

rollntider
03-21-2008, 03:15 PM
well i recently discovered ED's I like them in the morning instead of coffee now.
I have become a monster regular (and yet trying other flavors). While a friend of mine in the past 6 months picked up red bull and swapped over to full throttle (he likes the blue one). While yet another has been telling me to try NOS. I like my energy drinks and prefer them to coffee now. I drink one a day. I dont see them going anywhere.

Joey
03-21-2008, 06:50 PM
I think there's plenty of room for growth. The problem is that everyone's trying to mimic the "big guys". Its going to take more than a cool name with a catchy design to compete in the market "unless its a value brand". Our company is seeing rapid growth with our new drink but it doesn't come without expense. Everthing about our drink is differant than anything else on the market "Custom bottles, holographic shrink labels, unique flavoring, and one of a kind formulation. Some people think it's like the good old days when products would sell just because its on the shelf and theres only a couple options. If you don't come thru with something differant you might as well approach Biglots and the Dollartree with your product right out of the gate.

SonicFury
03-23-2008, 02:56 AM
I just read same thing again. Biased opinions... blah blah... STILL no facts to back up claims (if the info is as rampant as you claim, you can't provide even one reputable link?)... blah blah blah... incredibly lame closing sentence.

By the way, in regards to your closing sentence about energy drinks being the new future corporate child killer, I think this quote from energyfiend.com defends it the best,
(Taken from this EF article, Boy Hospitalized After Red Bull Overdose (http://www.energyfiend.com/2008/02/boy-hospitalized-after-red-bull-overdose))

"It’s odd how caffeine makes the headlines - but we never see this: 'Boy gets intoxicated after beer overdose'. Despite the fact that happens every single day (or hour). And despite the fact that 1,400 college students lose their lives each year due to alcohol-related injuries"
And this one DOES have a source: Journal of Studies on Alcohol (http://www.collegedrinkingprevention.gov/SupportingResearch/Journal/hingson2.aspx)

greg
05-14-2008, 10:00 AM
From todays BevNet front page......Looks like Big Bottom has been proven wrong yet again.

Posted: 5/13/2008 5:12:00 PM
Energy drink sales continued to surge while CSD sales continued to flounder in the four weeks ending April 19.

ACNielsen data reported by Bank of America’s Bryan Spillane showed energy drinks up by 15 percent in convenience stores, with Monster growing 35.2 percent and Red Bull up 15.7 percent.

It is my contention that an anaylst from bank of America may know a thing or two about what he is doing.
Furthermore, Isn't there some other guy out there that thinks that the C-store is a bad place for Energy drinks and that there are far more better places to grow your brand?

Xefex
05-16-2008, 05:36 PM
honestly, i think the boom is just really starting. sure alot of startups have gone out of business, but look at monster. almost anyone you know has tried it or heard of it. it is truly becoming an alternative to coffee. I saw on some business magazine just a month ago about investing in the ed market. More and more money is going in, and the succesful companies are reaping the benefits. sure alot of products in this category fail, but truly is growing.


well said, i too, think the energy drink "boom" is just starting. it only gets bigger from here, the industry is spreading more and more every month. Last week in a resaurant in greenvill, sc i was reading the alchohol drink menu, on of the drinks ( i forgot what it was called ) had Rockstar in it. And im sure that coffee is just as "unhealthy" if not more so, than energy drinks.

MileHigh83
05-20-2008, 05:07 PM
HMMMMMM?????? I can understand the poisition that you are taking with this catagory. A lot of different drinks have come and gone in the past eight years. The large total of these have c ome in the past four years. To play in this game you have to come with enough poker chips to get in, and then not bet it all on your first hand. So many have done just that and have failed or given up because they have not seen any growth over night. With the way the world is today, 24/7 energy drinks are a must to keep going, and with the continual growth it has it will not be going any where for a long time.

NRGSLLR@
05-21-2008, 04:33 PM
From todays BevNet front page......Looks like Big Bottom has been proven wrong yet again.

Posted: 5/13/2008 5:12:00 PM
Energy drink sales continued to surge while CSD sales continued to flounder in the four weeks ending April 19.

ACNielsen data reported by Bank of America’s Bryan Spillane showed energy drinks up by 15 percent in convenience stores, with Monster growing 35.2 percent and Red Bull up 15.7 percent.

It is my contention that an anaylst from bank of America may know a thing or two about what he is doing.
Furthermore, Isn't there some other guy out there that thinks that the C-store is a bad place for Energy drinks and that there are far more better places to grow your brand?

Greg, It's been a while since we have corresponded, I am sorry to hear you have ended your relationship with Redline. In response to this post, do you agree that the growth in the energy drink category will be in innovation, not only in new drinks but from the market leaders(case in point Monster Java) I don't think brand Monster, is growing at 35% but I could be wrong.

greg
05-22-2008, 12:40 PM
Greg, It's been a while since we have corresponded, I am sorry to hear you have ended your relationship with Redline. In response to this post, do you agree that the growth in the energy drink category will be in innovation, not only in new drinks but from the market leaders(case in point Monster Java) I don't think brand Monster, is growing at 35% but I could be wrong.

It has been a while. I hope all is well.

I believe that although the ED category as a whole is still young it is maturig at a rapid pace. The frontrunner, RB was the king for quite a while( Keep in mind it was only introduced in the States in 1997), however, now there is Monster and Rockstar nipping at their heels. The success of Monster and Rockstar, IMO, came markedly on the "pepsi" platform, that is doube the volume for the same price. The difference was not marketed as a better drink or better ingredients but rather just plain old MORE product for the same price. Don't get me wrong, I understand the marketing, grass roots efforts, and market approach may have been somewhat different, however, the "product" resembled the market leader.
Many products have tried and failed at this approach. As someone said earlier, it comes down to how much money you have and how long can you afford to play the game in a crowded market.
Now, as I see it, Innovation will be the next marker for a money maker in the ED business. Notice I didn't say Sales leader. Just as Coke and Pepsi have endured all these years they were at the forefront of CSD's and were able to outlive their competitors due to brand recognition , awareness, and loyalty.
Same with RB and Monster for sure.
Innovation hits at the niche market and creates a sub-category if you will. Those included in my opinion are drinks such as Redline, Engage, Spike, 5 Hr Energy, and others like them. These companies have taken an idea and created something better and more aligned with certain demographics withing the ED category.
Redline hits athletes(read crossover) that want more than a lift and a lot of sugar. They created the SUPER Energy drink with Zero sugar.
Engage- Builds on the REDLINE idea but adds the element of Mood enhancers to create a better overall feeling of well being while providing great energy without the Jitters.
5HR uses the concept of a neat and tidy package that can be handled effeciently( read: put in purse or pocket) that attracts truckers for its B vitamin energy and low "pee" factor. Less liquid, less frequent urination. It also does a remarkable job of marketing to the average adult user that may need something to combat the cubicle crash.
Albeit, none of them are bringing in the volume like Monster and RB they are all doing well respectively and have loyal followings. They have created something different and are providing the market with choices other than the status quo. Companies that provide innovation will be rewarded by brand loyalty.

At this point, although the category is young, I do not see anyone coming close to knocking down #1 or #2 for years to come, if they do it will be a Pepsi or Coke product with more than just a marketing approach of "just getting in the category". It will take an honest approach through innovation to bring a superior product to market in a cost effecient manner that can be embraced by a great range of demographics. Not another "me too" product.


Side note-This reply written while drinking an 8.4 oz Spike Shooter-'Quila Lime flavor. D-LICIOUS

SumPoosieCat
05-27-2008, 09:04 PM
Make no mistake its all about the brand. Energy Drinks will continue to come and go and most will go because the drink simply does not sell. My brand SumPoosie Cat Energy Drink is still around for one reason and one only.... it sells! Red Bull, Monster, and Rockstar sell too but many Distributors can't sell one of the big 3 and turn to strange brands that simply do not sell. A good example of that is Bookoo. Last year they spent a lot of money to create flavors and get them placed of the shelf but know one cared to buy them.... simply put the product does not sell. I run into that all the time with my brand. Distributors are really gun shy right now about taking on new energy drinks because they assume it won't sell. We show them and prove a brand like ours not only sells but will sell well even when placed next to the Big 3.

greg
05-28-2008, 10:26 AM
Make no mistake its all about the brand. Energy Drinks will continue to come and go and most will go because the drink simply does not sell. My brand SumPoosie Cat Energy Drink is still around for one reason and one only.... it sells! Red Bull, Monster, and Rockstar sell too but many Distributors can't sell one of the big 3 and turn to strange brands that simply do not sell. A good example of that is Bookoo. Last year they spent a lot of money to create flavors and get them placed of the shelf but know one cared to buy them.... simply put the product does not sell. I run into that all the time with my brand. Distributors are really gun shy right now about taking on new energy drinks because they assume it won't sell. We show them and prove a brand like ours not only sells but will sell well even when placed next to the Big 3.

BUT WHY DOES YOUR SELL????? INNOVATION!
You used real cane sugar when everyone else was using artificial sweetners. That is innovative in the ED category. Plus you used glass bottles, only one other volume ED does that to my recollection and that is Bawls.