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Energy drinks are booming. So much so that it has become the biggest category in convenience in the last two years, worth £698 million1. It also represents a strong trade-up opportunity for the category with stimulants having 30% higher average price per litre than the average soft drinks average2.
The soft drinks sector is vast and ever-growing, and stimulant energy drinks are also the largest category in impulse⁷. It’s important that your drinks chiller is clearly located and signposted for consumers. Lead with the stimulants drinks first due to the growing interest in the segment. Merchandise all stimulants together and lead with major products such as Red Bull and Monster, supported with brands such as Rockstar to appeal to more people. List a mix of core ranges and flavours as we know that new variants can help to bring in additional customers. Compliment this with POS to drive footfall to your soft drink selection.
A massive 41% of convenience store shoppers claim to buy a product because they have seen it highlighted on a gondola end⁸. So, when dealing with a category in demand such as energy drinks, placing stimulants in high footfall secondary locations can ensure they are as visible to as many as possible.
Building offers and promotions with soft drinks around complimentary categories, such as crisps or snacks, can be a great way to boost sales. Think of what deals you can create to meet the needs of key energy consumption occasions – for example, meal deal variations around morning, lunchtime, and the afternoon snacking opportunity. Meal deals are also exempt from HFSS regulations, so can allow you to showcase your full product range to shoppers.
Generate excitement amongst shoppers and encourage impulse purchases by making the most of stimulant brand campaigns. Think about other calendar dates that could see a spike in energy drink demand. There’s a strong correlation with video game players and energy drink consumption – is there a major game launch you can highlight in store? Fresher’s Week is another moment on the stimulants calendar, whilst big shopping occasions in the lead up to Christmas is another time people are looking for a little boost during the day.
At the moment, stimulant drinks are largely consumed by young, male shoppers3. Although there is plenty of room for additional growth by appealing to more consumers, as stimulant drinks currently only have 9.1% penetration4. Nine out of 10 shoppers say taste is the most important consideration when buying a soft drink5 - another area where energy products can excel. Stock a varied selection to help pique interest, generate excitement in the category and raise further awareness for energy drinks.
The link between sugar content and stimulants drinks is a potential barrier to entry in the category for many. Stocking low or no sugar energy variants will help retailers appeal to a wider audience and, if your store is impacted, allow you to comply with HFSS legislation. Brands are making changes to ensure energy drinks can retain visibility in store – last year Rockstar reduced the sugar in its core range of energy drinks, making the six bestsellers HFSS compliant.
According to Mintel, consumers are demanding food and drink solutions that help them optimise their mental performance at work, home and play1. This is where energy drinks, with a focus on functional or nutritional benefits, can win. As the needs of energy drink shoppers evolves, retailers should consider developing their offering away from just stimulants, giving enough space on the fixture to growing brands in natural energy such as Purdey’s to appeal to these individuals and support them to live a more naturally energised and balanced lifestyle.
