CSD’s place as market leaders threatened by energy drinks growth in the U.S.

According to Nielsen data scan, energy drinks are making a strong bid to become market leaders. During the 52-week period ending in June 13, CSD sales at c-stores rose by a timid 2.5%, reaching a total figure of $8.44 billion in sales. Meanwhile, energy drinks increased by 8.6%, amounting to a total of $6.62 billion in sales.

This means only $1.8 billion separate the two market top-sellers. Given that energy drinks have topped their last year’s sales by almost $1 billion and the fast growth trajectory is continuing, bright prospects are in store for energy beverages. 

In statements to CSP Daily News, John Showalter, director of business insights for Red Bull North America, said energy drinks are now the second best-selling products in convenience stores nationwide and the number one in the West of the country. “For a number of years [energy drinks have] been providing the most growth contribution to package beverage,” he explained.

While CSD and energy drinks battle for first place, tea and coffee show the fastest growing rates in the market. Coffee leads the ranking with 13.1% growth ($1.13 billion) in the 52-week period, with tea holding second place at 11.3% increase ($1.28 billion). In volume sales they are still far behind with their combined revenues set at $2.42 billion – less than half of energy drink sales.

The Nielsen data reveal a successful time for convenience store beverages during the 52-week period with a general growth of 6 per cent and total sales of $25.71 billion.