The importance of energy category to convenience
STIMULANTS energy drinks is an important category in the convenience channel, with IRI figures showing it to be worth £698million over a year.
The same research also shows there’s a strong trade-up opportunity, with stimulants having a 30% higher price per litre than the soft drinks average.
The figures show stimulants were a big winner in convenience in 2022, increasing market share to 34.5% following growth of more than £104million – extending the position as the number one category in the sector.
And Ben Parker, GB retail commercial director at Britvic, reckons the stimulants category could continue its impressive run of growth by broadening its appeal.
He cited Kantar research that shows it is currently consumed in the main by young male shoppers.
He said these were valuable consumers, spending considerably more in the take-home category compared with the average shopper.
Although a large segment, there is room for growth by appealing to more consumers, as stimulant drinks only have 9.1% penetration, according to Kantar.
Parker said: “Stocking a range of core stimulants flavours and new variants has been key to the success of the category.
“Range expansion has been vital in keeping pace with increased demand and retailers should consider stocking a selection of products and flavours to help attract new shoppers into the category.”
He highlighted Britvic’s Rockstar Energy range as allowing retailers to do just that, saying shopkeepers could maximise sales by merchandising the drinks with other stimulants brands, arranged by flavour.
The director said if there was room for multiple lines from Rockstar then Britvic recommended retailers to lead with the core range of Original and flavours Juiced El Mango, Juiced Tropical Punch, Punched Tropical Guava and XDurance Blueberry, Pomegranate & Acai.
He said: “These represent the must-stocks for retailers and are all available in the popular 500ml big can format.”
Parker also told how Britvic had cut the sugar content across Rockstar’s core range. And he stressed the importance of PMPs as key for the convenience channel – accounting for 66.9% of stimulants sales, according to IRI figures.
He pointed out that Rockstar Energy had recently launched Juiced El Mango and Juiced Tropical Punch in £1.29 PMP cans.
Available in wholesale and convenieince now, he said the format was designed to further drive impulse purchases and bring new shoppers into the category.
Parker said: “The addition of these flavours in a PMP format will offer shoppers price reassurance and a greater perception of value for money.”
