The Global Energy Drinks Market reached US$ 91.4 billion in 2022 and is projected to witness lucrative growth by reaching up to US$ 166.6 billion by 2030. The market is growing at a CAGR of 7.8% during the forecast period 2023-2030.
Energy drinks, also known as energy beverages or energy-boosting drinks, are formulated with performance-enhancing ingredients to promote mental alertness and provide a boost of energy. Brands are focusing on creating energy drinks that are low in sugar, free from artificial additives and enriched with natural ingredients such as vitamins, minerals and adaptogens which drives the energy drinks market size. The nutritional values of energy drinks can vary depending on the brand and specific product.
Most energy drinks typically contain caffeine, with levels ranging from around 80 milligrams to over 300 milligrams per serving which further drives the energy drinks market revenue. Other common ingredients include sugar or artificial sweeteners, B vitamins, taurine, amino acids like L-carnitine and herbal extracts like guarana or ginseng. Additionally, some energy drinks may contain high levels of carbohydrates, calories and electrolytes.
Metrics |
Details |
CAGR |
7.8% |
Size Available for Years |
2021-2030 |
Forecast Period |
2023-2030 |
Data Availability |
Value (US$) |
Segments Covered |
Type, Ingredients, Packaging, Distribution Channel and Region |
Regions Covered |
North America, Europe, Asia-Pacific, South America and Middle East & Africa |
Fastest Growing Region |
Europe |
Largest Region |
Asia-Pacific |
Report Insights Covered |
Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and Acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, Porter’s Analysis, Pricing Analysis, Regulatory Analysis, Supply-Chain Analysis and Other key Insights. |
Consumers Increasingly Prefer Low Sugar or Sugar-Free Beverages
Due to the high prevalence of diabetes and other chronic illnesses, individuals are increasingly recognizing the significance of maintaining a healthy diet and an active lifestyle. Consequently, they are opting for dietary patterns in food and beverages that are low in calories, low in sugar or completely sugar-free.
These are driven by growing health concerns and efforts to prevent lifestyle-related ailments. Consumers show a preference for natural sweeteners like stevia in their beverages. Major companies such as PepsiCo Inc. and Coca-Cola have pledged to remove artificial additives and reduce sugar content in their products.
For instance, on May 15, 2023, Javo Beverage launched “All-Natural Functional Energy Lemonades”. Javo introduced a line of energy lemonades that not only fulfill the demand for functional beverages with an energy boost but also offer the additional advantage of enhanced mental focus. With a serving size of 12 ounces, each drink provides 100 mg of natural caffeine and 100 mg of natural L-theanine.
The High Caffeine Content Limits the Consumption of Energy Drinks
The consumption of energy drinks is limited due to the high caffeine content they contain. Excessive intake of caffeine can lead to various health concerns, including increased heart rate, elevated blood pressure, insomnia and jitteriness. Individuals with underlying health conditions, such as heart problems or caffeine sensitivity, are particularly advised to exercise caution when consuming energy drinks. It is important to moderate consumption and be mindful of one's caffeine tolerance to avoid potential adverse effects on health and well-being.
The global energy drinks market is segmented based on type, ingredients, packaging, distribution channel and region.
Cans Segment Accounts for the Highest Share in the Global Energy Drinks Market
The cans segment dominated the market with a majority revenue share of over 50% in 2022 and is projected to maintain its leadership throughout the forecast period. As consumers become more discerning in their preferences and tastes, they are increasingly choosing beverages packaged in cans over alternatives like canned wine and other alcoholic drinks.
Metal cans are particularly favored by younger consumers due to their portability and durability compared to glass containers. The impact of the COVID-19 pandemic, which led to the closure of bars, pubs and restaurants, has further fueled the demand for beverages in cans and this trend is expected to continue in the foreseeable future. For instance, on March 1, 2022, Starbucks launched BAYA Energy – the coffee chain's first-ever line of energy drinks in cans.
Source: DataM Intelligence Analysis (2023)
North America is the Dominating Region During the Forecast Period.
By region, the global energy drinks market is segmented into North America, South America, Europe, Asia-Pacific, Middle-east and Africa.
With a revenue share of over 32.18% in 2022, North America emerged as the leading market for energy drinks. This growth can be attributed to various factors, including the rise in disposable income among consumers, the emergence of domestic energy drink brands and increased marketing and promotional efforts to drive product growth.
The changing demographics and evolving tastes and drinking habits of North American consumers have contributed to their higher consumption of energy drinks compared to other geographic markets worldwide.
For instance, on February 7, 2022, PepsiCo and Starbucks partnered and launched energy drinks in the US. The 12-ounce ready-to-drink cans of liquid energy will come in three fruity flavors: Pineapple Passionfruit, Raspberry Lime and Mango Guava.
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Source: DataM Intelligence Analysis (2023)
The major global players include Arizona Beverage Company, PepsiCo, Coca-cola, Dr. Pepper Snapple Group, Extreme Drinks Co, Living Essentials, Monster Beverage Corporation, Mountain Fuel Co, National Beverage Corp and Otsuka Holdings.
Covid Impact
The COVID-19 pandemic had a mixed impact on the energy drinks industry. Initially, the industry faced challenges due to the closure of bars, restaurants and entertainment venues, limiting consumption in those settings. Supply chain disruptions and logistical issues also posed obstacles.
However, with more people working from home, there was an increased demand for energy drinks as a way to stay alert and productive. Additionally, heightened health and wellness concerns during the pandemic led some consumers to seek energy drinks with added functional benefits. The long-term effects on the industry will depend on factors such as the duration of the pandemic and evolving consumer behaviors.
By Type
By Ingredients
By Packaging
By Distribution Channels
By Region
Why Purchase the Report?
The global energy drinks market report would provide approximately 77 tables, 82 figures and 195 Pages.
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