United States Energy Drink Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

The United States Energy Drink Market is segmented by Product Type (Drinks, Shots, and Mixers), Packaging Type (Bottles, Cans, and Other Packaging Types), and Distribution Channel (Supermarkets/Hypermarkets, Specialty Stores, Convenience Stores, and Other Distribution Channels).

Market Snapshot

United States Energy Drink Market Overview
Study Period: 2016 - 2026
Base Year: 2020
CAGR: 7.63 %
United States Energy Drink Market Major Players

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Market Overview

The US energy drink market is projected to witness a CAGR of 7.63% during the forecast period (2021-2026).

The net sales of energy drink manufacturers declined considerably during the COVID-19 pandemic due to limited demand from the consumers coupled with a reduction in inventory by the major companies, including Monster Beverage. Additionally, the slowdown of numerous product launches, thereby hindering the market growth over the medium term.

Energy drinks are gaining immense popularity among the millennial population of the country. The primary reason for this popularity is directly related to the aggressive marketing campaigns, which are mainly directed toward young consumers. Furthermore, advertisements are promoting that energy drinks ignite the mind, refresh the body, and enhance performance and stamina.

The manufacturers of energy drinks are focusing on expanding their product lines by introducing new flavors in order to encourage frequent consumption. The re-introduction of decadent flavors, such as chocolate and fruit flavors, helped brands in improving their functionality while attracting consumers toward energy drinks.

Moreover, increasing functionality of new age beverages to target health-conscious consumers is emerging as a trend among manufacturers. Companies are focusing on functionalities, such as nutrition, energy, muscle relaxation, replenishment of salt levels, anti-oxidation, blood circulation, alertness, virility, and potency, in order to make their products multifunctional, as well as to attract consumers, primarily for daily consumption.

Scope of the Report

Energy drinks consist of stimulant compounds, mostly caffeine, that are advertised as providing mental and physical stimulation. The market has been segmented by product type, packaging type, and distribution channel. By product type, the market can be segmented into drinks, shots, and mixers. By packaging type, the market can be segmented into bottles, cans, and other packaging types. By distribution channel, the market covers distribution channels, such as supermarket/hypermarket, specialty stores, convenience stores, and other distribution channels. For each segment, the market sizing and forecasts have been done on the basis of value (in USD million).

By Product Type
By Packaging Type
Bottle (Pet/Glass)
Other Packaging Types
By Distribution Channel
Specialty Stores
Convenience Stores
Other Distribution Channels

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Key Market Trends

Increasing Expenditure on Advertisement and Promotional Activities

The surging expenditure on advertisement and promotion by the leading players is widely strengthening the market growth. Monster’s expenditure on advertisement and promotion increased with a 14% growth rate during 2016-2018. Apart from promotional expenditure, endorsements and sponsorship are also a few of those key factors influencing the market growth. A significant amount of the key player’s promotional expenses result from payments under endorsement and sponsorship contracts. As part of the promotional strategy, key players, like Red Bull, own football teams, with clubs in Austria, Germany, the United States, and Brazil featuring the Red Bull trademark in their names. By associating the drink's image with these activities, the company seeks to promote public image and raise brand power. To compete with market leaders in the United States, key players in the soft drinks business, such as Pepsi and Coca-Cola, entered the energy drinks market, and these companies are intentionally spending more on the advertisement to compete with Red Bull, Rockstar, and Monster Energy drinks.

United States Energy Drink Market Trends

Drinks Segment Dominates the Energy Drink Market

Energy drinks are an integral part of social gatherings, parties, and celebrations. Manufacturers, such as Red Bull, Monster Beverages, and others, are offering their energy drinks in multiple flavors and two major packaging types, which include PET bottles and cans, providing consumers a wide range to choose a suitable drink in terms of both packaging and flavor. Additionally, soda consumption is substantially declining in the country, which, in turn, has provided a great opportunity for manufacturers like Coca-Cola and PepsiCo, who are trying to leverage the name recognition of their legacy brands by making a bigger dent in the growing energy drink category. For instance, in 2019, Coca-Cola announced the launch of its first energy drink under its brand in four varies, which include Coca-Cola Energy, Coca-Cola Energy Zero Sugar, Coca-Cola Energy Cherry, and Coca-Cola Energy Cherry Zero Sugar.

United States Energy Drink Market Growth

Competitive Landscape

The US energy drink market is competitive. Red Bull GmbH, Monster Beverage Corporation, and Rockstar Inc. have the highest market share. The market is highly consolidated with other players, such as Campbell Soup Co., Arizona Beverages, National Beverage Corp., and others are the leaders in the industry. The US energy drinks market is expected to witness significant growth over the forecast period, owing to the development of several marketing strategies, which greatly rely on product innovation, product differentiation policies in terms of ingredients added, and packaging and branding of the products via social media, to attract the target group of consumers.

Recent Developments

  • In October 2019, The Coca-Cola Company European Partners (CCEP) entered a partnership with the Monster Beverage Corporation to launch the gym-focused US energy drink, Reign.
  • In October 2019, Java Monster launched its first Oatmilk Energy drink that is 100% Vegan. The 200mg caffeinated beverage also incorporates both imported premium coffee and the Java Monster supercharged energy blend.
  • In February 2019, Red Bull launched two energy drinks, globally, in 12 fl oz single-serve cans, namely, Peach Edition and Sugar-free energy drinks in the United States.

Table of Contents


    1. 1.1 Study Assumptions and Market Definition

    2. 1.2 Scope of the Study




    1. 4.1 Market Drivers

    2. 4.2 Market Restraints

    3. 4.3 Porter's Five Forces Analysis

      1. 4.3.1 Threat of New Entrants

      2. 4.3.2 Bargaining Power of Buyers/Consumers

      3. 4.3.3 Bargaining Power of Suppliers

      4. 4.3.4 Threat of Substitute Products

      5. 4.3.5 Intensity of Competitive Rivalry


    1. 5.1 By Product Type

      1. 5.1.1 Drinks

      2. 5.1.2 Shots

      3. 5.1.3 Mixers

    2. 5.2 By Packaging Type

      1. 5.2.1 Bottle (Pet/Glass)

      2. 5.2.2 Cans

      3. 5.2.3 Other Packaging Types

    3. 5.3 By Distribution Channel

      1. 5.3.1 Supermarkets/Hypermarkets

      2. 5.3.2 Specialty Stores

      3. 5.3.3 Convenience Stores

      4. 5.3.4 Other Distribution Channels


    1. 6.1 Most Adopted Strategies

    2. 6.2 Market Share Analysis

    3. 6.3 Company Profiles

      1. 6.3.1 PepsiCo Inc.

      2. 6.3.2 Monster Beverage Corporation

      3. 6.3.3 National Beverage Corp.

      4. 6.3.4 Campbell Soup Co.

      5. 6.3.5 Red Bull GmbH

      6. 6.3.6 Rockstar Inc.

      7. 6.3.7 Arizona Beverages

      8. 6.3.8 Living Essentials Marketing LLC

      9. 6.3.9 Vital Pharmaceuticals Inc.

      10. 6.3.10 Nor-Cal Beverage Co. Inc.

    4. *List Not Exhaustive


**Subject to Availability

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Frequently Asked Questions

The United States Energy Drink Market market is studied from 2016 - 2026.

The United States Energy Drink Market is growing at a CAGR of 7.63% over the next 5 years.

Red Bull GmbH, Monster Beverage Corporation, Campbell Soup Company, Rock Star Inc, National Beverage are the major companies operating in United States Energy Drink Market.

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