The Coca-Cola Company is preparing to launch its own brand of energy drinks beverages to the market. The company has stated that they intend to release brands that they call “Coca-Cola Energy” and “Coca-Cola Energy Zero Sugar”. They have long been looking at ways to branch out from their traditional cash cow soft drink options. The consuming public right now appears to be more health-conscious than ever in the past and many are quitting the soda habit altogether. It is debatable as to whether an energy drink is an actual healthier alternative to a soft drink, but it is known that the company feels there is at least enough profit margin in energy drinks that they should get into this business.
What could this mean for other energy drink brands such as Monster Energy? Well, the brand is certainly concerned about competitors coming into their space, but they feel their product is the superior alternative to anything that another company might come up with. They also feel that by having a head start in this particular market that they have the upper hand when it comes to producing highly caffeinated beverages.
Americans are working more hours than ever in the past and thus require more energy from alternative sources than they might have before. Many reach for an energy drink in order to get the kind of boost that they require to get themselves through the day. Monster Energy and other energy drink companies have found a large segment of their customers are from the younger population. Millennials appreciate the ability to have the energy boost that they require in a simple to drink form whenever they needed. Whether it be a late night study session or preparing a presentation for work, energy drinks are always there to help out those who need to push through a few more hours without sleep.
Coca-Cola now looks to enter this market and see if they can help turn around their fortune from the declining soft drink sales that they have seen in the last decade. The news did not seem to weigh too heavily on Monster Energy as a company as their stock climbed 5% in recent trading according to CNBC figures. It seems that there is plenty enough space in the industry for any company that wants to give it a shot, and it also looks like many are going to attempt to enter this market in the near future. The customers are probably completely happy with this turn of events.