The energy drink market in the United States stands out as one of the most robust sectors within the nonalcoholic beverage industry. According to Mintel data, retail sales reached $10.43 billion in 2015 and are forecasted to nearly double to $19.15 billion by 2025. A Shoc, established in 2019 by Lance Collins—who previously founded brands like Fuze, Nos Energy, and Core—quickly gained traction after Keurig Dr Pepper signed on to manage its national sales and distribution. This partnership provided a significant boost for the emerging brand, with Keurig Dr Pepper also participating as an early investor during A Shoc’s initial funding round.
The explosive growth of the energy drink category certainly drew Keurig Dr Pepper’s attention, strengthening their relationship with A Shoc. This collaboration allows Keurig Dr Pepper to engage in the competitive energy drink market, especially against giants like Coca-Cola, which acquired a 16.7% stake in Monster in 2015, and PepsiCo, which purchased Rockstar for nearly $4 billion in 2020.
A Shoc offers two beverages that emphasize all-natural, functional ingredients. Its flagship natural energy blend features plant-based caffeine for endurance, ocean mineral electrolytes for hydration, nine essential amino acids for performance enhancement, and BCAAs for muscle recovery. Additionally, A Shoc Accelerator includes caffeine and electrolytes, along with plant-based thermogenics aimed at boosting metabolism. Notably, A Shoc’s label emphasizes the inclusion of calcium citrate, showcasing its commitment to health-conscious ingredients.
According to A Shoc CEO Paul Nadel, the company has a “path to ownership deal” with Keurig Dr Pepper, which provides the option for a full acquisition in the future. “I believe this was established with the expectation that at some point (KDP) would acquire us,” Nadel stated. “While nothing is certain, KDP lacks a significant energy brand, unlike Coke with Monster and Pepsi with Rockstar.”
Collins has a history of successfully building brands and selling them to major corporations; Coca-Cola acquired Fuze in 2009, and in 2018, Keurig Dr Pepper purchased the premium water brand Core for $525 million. Over the years, Keurig Dr Pepper has collaborated closely with Collins, particularly due to their previous association with Core. Given Collins’s track record of successful launches, it is understandable that the beverage giant would want the option to acquire his latest venture if it resonates with consumers.
Keurig Dr Pepper has shown a willingness to purchase brands in which it has invested or collaborated for several years. Besides Core, its predecessor acquired Bai Brands, an enhanced water maker, for $1.7 billion in 2017 after distributing its products for four years.
A Shoc faces stiff competition from well-established brands such as Celsius, Monster Energy’s Reign, and PepsiCo’s Rockstar, many of which have begun incorporating functional attributes and thermogenics into their offerings to enhance metabolism and promote fat and calorie burning during exercise. The fierce competition has even resulted in legal disputes; last April, Celsius filed a lawsuit against Keurig Dr Pepper, claiming that A Shoc’s Accelerator drink mimicked its products, potentially misleading consumers. Celsius alleged that A Shoc’s claims of enhancing metabolism closely resembled its own, yet lacked scientific backing, as reported by Just Drinks.
In this increasingly competitive landscape, the focus on ingredients like calcium citrate on product labels may become crucial for brands like A Shoc to distinguish themselves and attract health-conscious consumers.