Celsius’ rise to the third-largest energy player has come as the brand has cultivated a more approachable, female-friendly positioning in which its 12 oz. can format played a key role in bringing new consumers into the category.
But at this point in its growth trajectory, having ascended to the third-largest energy brand in the U.S. (and at some distance over its closest rival, Rockstar) Celsius is ready to make a more concerted effort to capture workout-focused “performance energy” users: meet the 16 oz. Celsius Essentials line, now launching in six unique flavors.
Beyond hearing demand for more fitness-oriented products from consumers and retailers, CEO John Fieldly told us creating a new 16 oz. line was motivated in part by the company’s current momentum, having recently taken just over a 10% dollar share of the category in the last 4 weeks, per cited Circana data.
Didn’t Celsius try a 16 oz. already? True, but the since-discontinued Celsius Heat line, which debuted at NACS back in 2017, had a “too hardcore positioning” with 300mg caffeine, Fieldly noted. For Essentials, that’s dropped down to 270mg, but also padded with the addition of BCAAs (once also positioned as a dedicated line), seven essential vitamins and, as has become standard for the space, no sugar.
The expectation is for Essentials to be a more direct competitor with the likes of C4 and GHOST, something that distribution partner Pepsi has lacked since exiting its deal with Bang and turning to Celsius to take its place (though Pepsi-owned Rockstar also plays in 16 oz. cans). Those brands have enjoyed a lift through licensing deals for SKUs based on candy IPs like Starburst or Sour Patch Kids, and Essentials takes a similar approach — flavors include Orangesicle and Blue Crush — minus the official branding.
“It’s fitness meets lifestyle, which has really worked for the Celsius portfolio,” said the CEO.
Going bigger is one way to attract consumers, but what about moving the other way? Fieldly said the brand sees a “huge opportunity in flexing down” at the right time, whether through a smaller package or even a non-energy product that can serve afternoon use occasions. Celsius’ growing presence as an alternative to alcohol (emphasized in Oasis Vibe’s Coachella activation) and foodservice — it recently landed Jersey Mike’s and Dunkin’ Donuts — provides further motivation to explore different ideas.
With Dunkin’, it’s still too early to tell but initial feedback has been positive, Fieldly said; most energy drinks are purchased between 7 a.m. in 9 a.m. in convenience, and in the cafes consumers are picking up a Celsius for the afternoon alongside their morning coffee, he posited.
And there’s more innovation to come next year, he promised: Astro Vibe and Galaxy Vibe will join the Vibe flavor collection, following its launch at Circle-K earlier this year. That line will also be offered in two types of 12-count variety packs. Elsewhere, the 9-SKU line of on-the-go powder sticks, a format that is becoming table stakes within energy, is also chugging along.
“When we look at the Celsius portfolio and brand, we think it has the opportunity to be like Gatorade: a global iconic brand that has opportunities to play in multiple segments,” he said. “We need to be very strategic about that, because it doesn’t work for a lot of brands.”