Energy Drinks Became Enormously Popular in France

Posted on Oct 1 2013 - 6:33am by Admin

The sales of these drinks have reached a volume of 36.5 million liters in the year ending in September, up 13.4%, according to Nielsen. A market that now weighs 143.3 million euros (+6.2%).


While the National Agency for Food Security (handles) this Tuesday its findings on the risks associated with their consumption, energy drinks are installed on the shelves of supermarkets. Banned in France until 2008 , these products with ingredients like taurine, caffeine and ginseng saw their sales soar in five years. They reached a volume of 36.5 million liters for the year ended September 2013, according to Nielsen. A jump of 13.4% year on year. In value terms, the market is now worth EUR 143.3 million, up 6.2%. In 2009, the market was 95 million euros for a volume of 20.6 million liters, says the Institute IRI.

Despite this strong growth, energy drinks are still far from competing with the stars of the radii of soft drinks . Their market share in retail was 1.4% between January and mid-August 2013, up 0.2 points, according to figures compiled by the magazine Ray drinks . With 53.9% of volumes sold (-0.4 point), cola brands dominate the market by far, before the soft fruit drinks (13.9%), flat fruit drinks (12.7%) iced tea (8.7%) and soft drinks (7.1%).

Still, as the flagship of the industry are beginning to overshadow some of their competitors longest established on the market. With 0.6% market share from January to mid-June 2013, according to Beverage radius , the Austrian brand Red Bull energy drinks leader in France, has already eclipsed Nestea (0.2%), Pulco (0.2 %) and Sprite (0.50%), and comes dangerously close to Capri-Sun (0.6%) and Seven Up (0.8%). Evidence that the very aggressive marketing strategy of the Austrian brand is paying off. Last “stunt” dated: the leap into the void of Felix Baumgartner 39 kilometers high.

Private Labels on the Offensive

According to Nielsen data provided to LSA , Red Bull energy drink was the most consumed in France, with 49.6% of market volume, followed by Monster (18.3%) and Burn (6.3%) Two distributed by Coca-Cola brands. However, they are heckled by private labels (Leclerc, Carrefour Discount, Casino, etc.). Playing card small price to snatch market share. Collectively, these brands totaled 16.9% of volumes sold in supermarkets last year.

The rise of this young market is all the more remarkable that it has faced many obstacles in recent years. Starting with the repeated warnings from health authorities worldwide . The stakes are high when, according to a recent study commissioned by the European Food Safety Authority (EFSA) , 30% of the adult population in Europe consume these drinks and among them, 12% consume up to 4 5 liters per month. The sector is also found in the line of sight of the French government. The Minister of Health, Marisol Touraine, had expressed support for a tax on these drinks . A proposal ultimately rejected by the Constitutional Council last December, on the grounds that no “objective and rational criteria” does warrant.

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