Red Bull’s fizzing sales growth finally slowed last year as the booming energy drinks market showed its first signs of easing.
Volume growth at the brand eased to 8.7% in the year ended 31 December 2023 after rising by around 20% for two consecutive years previously, according to its latest accounts.
It means the brand sold more than 300 million more cans last year than in 2020, a rise of 57%.
Energy drink sales have soared in recent years, although total retail volumes plateaued last year to grow just 2.4%, according to NIQ [w/e 23 March 2024]. Only Red Bull, Monster, Prime Energy and Boost are still in volume growth.
Red Bull’s revenues grew 17% last year to hit £594m, its accounts showed.
Off-trade sales, including retail and wholesale, grew 10% and Red Bull now has a market share of 35%, the business said. This was mainly driven by increasing distribution across the UK with 75,000 new points of sale.
Its on-trade market share is 77% with foodservice growing 10% last year, it added.
Energy drinks are popular with young people, with up to a third of British children consuming one every week, according to research published in the BMJ.
That could soon change, however, with the UK government set to propose a ban on the sale of energy drinks to under-16s. While most British supermarkets have already introduced voluntary bans, this would make them comprehensive and legally binding.
This year, Red Bull added new flavours such as its first-ever sugar-free flavour, and a special summer edition flavoured with curuba and elderflower.
Its 2022 summer edition – Juneberry – was described by Red Bull as its “most successful NPD yet” and was added to the brand’s permanent roster as ‘The Blue Edition’.
Red Bull claims the introduction of its Editions range had been incremental to growing the brand, with 50% of shoppers buying into the range new to the Red Bull brand.
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