You’d never have guessed that a company that was once best known for Chaser, an anti-hangover pick-me-up, could somehow evolve into the standard-bearer for a brand new category that offered major competition to the energy drink business, but Living Essentials, the makers of 5-Hour Energy, has done just that.
By running against the prevalent “bigger is better” trend and taking the very essence of the energy drink – the energy boost – and putting it into a smaller package, Living Essentials has grabbed the attention of retailers and marketers alike and built a sales organization that will sell more than $500 million worth of 5-Hour Energy this year.
But the road has not been without bumps, and many of them have been supplied by beverage industry giants like the Coca-Cola Co., PepsiCo, and powerful independents like Monster and Red Bull. They have rushed similar energy shots into the market, used cash, massive sales forces, and in some cases litigation, to try to fight a scrappy, innovative competitor – one who nevertheless has maintained a 75 percent market share in a category that has fast become synonymous with its top product.
That ability to survive and thrive when facing titanic competition is what makes the appearance of Living Essentials CEO Manoj Bhargava such an informative opportunity for entrepreneurial beverage marketers who will be attending the BevNET Live winter event in Santa Monica, CA, on Dec. 8.
Bhargava will present a case study on 5-Hour Energy’s strategy for preparing for and enduring the inevitable competition with the beverage establishment with an insurgent product. It’s the same dilemma that has faced the makers of other revolutionary beverage brands like Vitaminwater, Fuze, and even Red Bull and Monster themselves.
Following Bhargava’s speech, an exciting panel of other beverage marketers who are also “Taking on the Big Guys” will discuss their own strategies for success against larger competitors, while also taking questions from audience attendees and providing the usable examples and insights for which BevNET Live is known.
About BevNET Live: BevNET Live is being held on Tuesday, Dec. 8 at the Loews Santa Monica Beach Hotel. During the full-day event, attendees will hear from and discuss the beverage industry with some of the most innovative marketers, suppliers, investors, distributors and retailers in the business. Run by BevNET.com, the leading online and print resource for non-alcoholic beverages, BevNET Live offers unmatched insight, case studies, and networking and community-building opportunities. A special Beverage School will also be held at the same location on Dec. 7 as a way for early-stage entrepreneurs to learn the beverage business from BevNET and its special team of instructors.
About Manoj Bhargava: Mr. Bhargava, 56, is founder (2001) and CEO of Living Essentials which produces and sells 5-Hour Energy, the leading energy shot in the United States. Mr. Bhargava is a successful entrepreneur with extensive management, operations and marketing experience that he applies to new business start-ups. His portfolio of companies in the United States includes several firms in various fields including insurance, coal, railroads and pharmaceutical development.