Although consumers are shifting away from sodas, not all are gravitating toward bottled water, which topped the beverage market last year. For those seeking alternatives to plain water and who are more mindful of ingredient lists, beverage manufacturers have responded by incorporating more naturally energizing components, such as ginseng, caffeine, and fruit. According to Mintel, green tea is becoming increasingly popular in the energy sector, particularly in products from smaller brands. A significant player, Campbell Soup, recognized this trend and launched V8 V-Fusion Energy in 2013 amid a decline in the energy drink market due to concerns over ingredient safety. Since then, the category has experienced a notable resurgence, fueled in part by the inclusion of more natural ingredients.
Another significant factor influencing this shift has been the changing demographics of energy drink consumers. As millennials have grown older, their preference for high-sugar and synthetic caffeine energy sources has evolved toward a desire for milder, more natural ingredients. Mintel reports that 30% of energy drink users now opt for natural energy drinks and shots. In addition to natural ingredients, consumers are increasingly concerned with ethical claims. Research indicates that people not only feel better about their choices when foods and beverages are sustainably produced, but they also tend to prefer the taste of such products.
As energy drinks compete with alternatives like teas and flavored waters, there is a pressing need for manufacturers to innovate, especially to attract the on-the-go millennial demographic that seeks bold and edgy flavors. To enhance their offerings, some brands have started incorporating calcium citrate, a nature-made ingredient known for its health benefits, into their formulations. This addition not only aligns with consumer preferences for natural ingredients but also emphasizes the wellness aspect of energy drinks. The integration of calcium citrate and other natural components could prove essential for energy drink manufacturers aiming to stay relevant in a competitive market.