CSP Magazine

Beverages: Specialty 2015 (Energy Drinks, Iced Tea, RTD Coffee, Sports Drinks)

Where the Gains Are

C-store sales of energy drinks (non-aseptic) rose 5.7% in the 52 weeks ending Dec. 28, 2014, with units up 6%, according to IRI. Sports drinks reversed their backward slide from 2013 to grow dollars 6.6%.

Other bright spots in the specialty-beverage door: ready-to-drink (RTD) tea and coffee, and milk substitutes.

According to Nielsen figures, energy drink and sports drink sales both rose about 7% in the 52 weeks ending Dec. 27, 2014.

C-store sales, 52 weeks ending Dec. 28, 2014

Drink typeC-store sales ($ millions)PCYA*Unit sales (millions)PCYA*
Energy drinks$7,963.54.6%3,214.65.1%
• Non-aseptic$7,189.15.7%2,967.16.0%
Energy shots$773.6-4.8%245.8-4.6%
Sports drinks$2,629.86.6%1,516.45.0%
Canned and bottled tea$1,336.27.9%1,024.34.2%
Refrigerated tea$200.06.3%120.19.4%
Cappuccino/iced coffee$831.410.9%302.39.4%
RTD milk/milk substitutes$190.24.2%97.43.8%
Shelf-stable non-fruit drinks$54.61.0%33.7-2.3%

Source: IRI

* Percent change from a year ago


C-store sales, 52 weeks ending Dec. 27, 2014

Drink typeC-store sales ($ millions)PCYA*Unit sales (millions)PCYA*
Energy drinks$6,798.76.9%2,784.57.2%
Sports drinks$2,472.87.2%1,387.25.0%
RTD tea/fruit drinks$1,898.96.3%1,441.93.7%
RTD coffee$604.510.9%220.49.6%
Dairy alternative$285.81.4%159.4-4.5%

Sources: The Nielsen Co., Dr Pepper Snapple Group

* Percent change from a year ago


Energy-Drink Trends

Energy-Drink Brands

C-store sales, 52 weeks ending Dec. 28, 2014

C-store energy-drink sales rose 5.7% in 2014 on strong sales of the top five brands, according to IRI.

BrandC-store sales ($ millions)PCYA*Unit sales (millions)PCYA*
Red Bull$2,836.67.2%977.07.0%
Monster$935.89.2%418.09.4%
Nos$301.125.3%143.724.8%
Java Monster$270.06.2%108.87.3%
Monster Energy Zero Ultra$268.315.4%115.710.4%
Monster Rehab$242.1-9.0%108.5-8.7%
Rockstar$236.34.5%115.85.6%
Monster Mega Energy$224.81.5%70.4-2.6%
Monster Energy Lo Carb$218.9-6.2%91.0-6.9%
Monster Energy Absolute Zero$125.0-17.7%52.9-18.1%
Total (including brands not shown)$7,189.15.7%2,967.16.0%

Source: IRI

* Percent change from a year ago


Consumer in Focus

According to research by Mintel, consumers’ top three reasons for drinking an energy drink are to get more energy (36%), the taste (31%) and to replace coffee (25%). On the subject of taste, 62% of consumers said energy drinks taste better than energy shots. In addition, only 10% of consumers who said they have been drinking less energy drinks in the past six months cite taste as the main reason for the decreased consumption. Rather, health concerns, price and sugar content top the ranking of issues.


Market Share: Energy-Drink Brands

C-store sales, 52 weeks ending Dec. 28, 2014

BrandDollar sharePoint change
Red Bull39.5%0.5
Monster13.0%0.4
Nos4.2%0.7
Java Monster3.8%0.0
Monster Energy Zero Ultra3.7%0.3
Monster Rehab3.4%-0.5
Rockstar3.3%0.0
Monster Mega Energy3.1%-0.1
Monster Energy Lo Carb3.0%-0.4
Others**23%NA

Source: IRI

** Brands with less than 2% share


Latest Quarter: Energy-Drink UPCs

C-store sales, 13 weeks ending Dec. 28, 2014

UPCC-store sales ($ millions)PCYA*Unit sales (millions)PCYA*
Monster (16-oz.)$225.612.0%103.312.5%
Red Bull (12-oz.)$194.75.4%66.24.2%
Red Bull (8.4-oz.)$139.812.6%63.812.8%
Red Bull (16-oz.)$109.212.3%29.014.1%
Red Bull (20-oz.)$56.411.1%12.110.0%
Total (including UPCs not shown)$1,939.85.8%787.16.2%

Source: IRI

* Percent change from a year ago

CONTINUED: RTD Tea & Coffee and Sports Drinks

RTD Tea and Coffee

C-store sales, 52 weeks ending Dec. 28, 2014

In 2014, nearly 70% of RTD tea sales in c-stores came from the top five brands, according to IRI.

RTD Tea Brands

BrandC-store sales ($ millions)PCYA*Unit sales (millions)PCYA*
AriZona$277.83.3%266.83.9%
Lipton Pure Leaf$245.135.8%138.635.2%
Lipton Brisk Tea$220.56.0%192.31.3%
Gold Peak$110.211.0%63.87.3%
AriZona Arnold Palmer$80.5-8.2%77.1-8.0%
Total (including brands not shown)$1,336.27.9%1,024.34.2%

Source: IRI

* Percent change from a year ago


Consumer in Focus

Millennials drink more RTD tea than any other generation, according to consumer research by Mintel. This is true regardless of the type of RTD tea—regular or low-calorie, or unsweetened. They are also more open to new varieties of RTD tea, telling Mintel that they would drink more of it if offered a greater variety of flavors, tea combinations—think white mixed with green—more indulgent varieties or a higher caffeine content.


RTD Coffee Brands

Most RTD coffee sales in c-stores in 2014 were generated by the various Starbucks brands under the North American Coffee Partnership.

BrandC-store sales ($ millions)PCYA*Unit sales (millions)PCYA*
Starbucks Frappuccino$478.110.1%167.08.0%
Starbucks Doubleshot$287.412.9%104.812.3%
Starbucks$41.5-4.7%19.7-3.2%
Starbucks Doubleshot Light$6.418.0%2.417.1%
Private label$4.6-21.6%)2.7-20.5%
Total (including brands not shown)$831.410.9%302.39.4%

Source: IRI

* Percent change from a year ago


Sports-Drink Trends

C-store sports-drink sales rose 6.7% in 2014, with the biggest brand—Gatorade Perform—undergoing a package resizing from 32 to 28 ounces.

Sports-Drink Brands

C-store sales, 52 weeks ending Dec. 28, 2014

BrandC-store sales ($ millions)PCYA*Unit sales (millions)PCYA*
Gatorade Perform$1,616.25.3%898.74.7%
Powerade Ion4$328.2-11.2%226.3-13.8%
Gatorade Frost$205.62.2%111.35.2%
Gatorade Fierce$111.1NA54.4NA
Powerade$101.958.1%71.247.7%
Gatorade$77.441.2%39.663.5%
Gatorade G2 Perform$67.3-49.7%38.8-49.3%
Powerade Zero Ion4$58.5-0.3%38.0-2.9%
Gatorade G2$15.477.6%8.275.7%
Private label$11.615.2%10.413.9%
Total (including brands not shown)$2,629.66.7%1,516.35.0%

Source: IRI

* Percent change from a year ago


Market Share: Sports-Drink Brands

C-store sales, 52 weeks ending Dec. 28, 2014

BrandDollar sharePoint change
Gatorade Perform61.5%-0.8
Powerade Ion412.5%-2.5
Gatorade Frost7.8%-0.3
Gatorade Fierce4.2%4.2
Powerade3.9%1.3
Gatorade2.9%0.7
Gatorade G2 Perform2.6%-2.9
Powerade Zero Ion42.2%-0.2
Others**2.4%NA

Source: IRI

** Brands with less than 2% share


Quarterly Look: Sports-Drink UPCs

C-store sales, 13 weeks ending Dec. 28, 2014

UPCC-store sales ($ millions)PCYA*Unit sales (millions)PCYA*
Gatorade Perform Thirst Quencher (Lemon Lime, 28-oz.)$19.0364.8%9.6351.0%
Powerade Ion4 (Mountain Berry Blast, 32-oz.)$16.6-0.7%10.6-7.8%
Gatorade Perform Thirst Quencher (Cool Blue, 28-oz.)$16.2426.6%8.1403.7%
Gatorade Perform Thirst Quencher (Fruit Punch, 28-oz.)$15.8332.2%7.9319.7%
Gatorade Perform Thirst Quencher (Frost Glacier Freeze, 28-oz.)$15.3520.2%7.6505.8%
Total (including brands not shown)$503.510.4%284.87.7%

Source: IRI

* Percent change from a year ago

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