The United States Sports Drink Market is projected to witness a CAGR of 4.54% during the forecast period (2022-2031)
In the United States, gyms, sports clubs and fitness studios were the first businesses to undergo forced shutdowns during the COVID-19 pandemic, resulting in minimal demand for sports drinks in the country, thus, limiting the sales of sports drink in the United States market.
Sports drinks are gaining popularity in the United States, mainly amongst athletes and individuals involved in vigorous physical activities. Rising demand for various beverages due to increasing health awareness and growing demand from the millennials are identified as the major drivers for the growth of the sports drink market.
Beverage companies in the country are concentrating on increasing the demand for their sports drinks with the help of various endorsements through popular athletes and celebrities, and promotional campaigns in fests and events, among others. Hence boosting the market growth in the country.
Some of the massive beverage manufactures, such as the Coca-Cola Company and PepsiCo Inc., are offering a wide range of sports drink to the United States consumers, thus, strengthening their position in the market studied. Moreover, the major pharmaceutical companies, like Abbott Nutrition, have also established their presence in the market studied.
Key Market Trends
Increasing Inclination Towards Easy-to-Use PET bottles and other Sustainable Packaged Products
The demand for PET bottles is driven due to their ability to be opened, used, sealed, and reused when required, before, after, or during intense physical activity. Moreover, there are numerous benefits for the manufacturers as well that widely insist them to use PET bottles to offer their products, owing to its transparency, high-pressure resistance, stability, and lightweight, among others. In lieu of the growing concerns of using plastic, the manufacturers have introduced their products in reusable, BPA-free bottles. The major players in the market, such as PepsiCo Inc. and The Coca-Cola Company, are trying to reduce their carbon footprint by adhering to sustainable packaging methods. Although this concept is contested, these players prefer using PET bottles to aluminium cans.
Online Retail Emerging as the Fastest Growing Distribution Channel
The robust growth of the e-commerce landscape of the country has offered unprecedented opportunities for sports drink manufacturers, moreover, the ease of shipping has been further strengthened by the convenience factor for sports drink products. Online retailers of sports drinks are gaining momentum in the United States market, with the increasing product ranges that they provide a range to select from and convenience of shopping. Apart from online retail stores, the sports drinks brands in the country offer sports drinks through their own websites as well.
Moreover, vendors are adopting online retail strategies to reduce costs and increase their margins, which may benefit the market during the forecast period. For example, major players, like Coca Cola and PepsiCo, offer their products through various online channels, such as Amazon, Walmart, and Kroger. The level of convenience, along with the ease to choose their preferred brands and the vast varieties of sports drinks, in terms of sizes, types, and flavour, is a key reason behind the rise in sales through online retailing.
The United States sports drink market is a highly competitive market as the majority of the share is held by the global players, including PepsiCo Inc., The Coca-Cola company, and Abbott among others. As a part of strategic expansion, key players are adopting an omnichannel distribution strategy, where they tie up with various online retailers, i.e., third parties, like Amazon. This, in turn, broadens their geographical presence and customer base. The companies have been introducing new and innovative products, with the inclusion of naturally derived ingredients and additives, so as to make their product unique among the existing products.
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