Energy replenishment an everyday need
Apart form a general boom in the market of energy drinks, quality is becoming increasingly preferred. The expansion of private labels has slowed down and though the position of tutti-frutti is still very strong, new sizes and light versions are soon to appear. Energy drinks are a relatively young product in Europe. – The annual consumption of energy drinks has increased from 2-3 units per capita to 6 units in 3 years. The Western European average is around 7-8 units which we’ll reach in another 2-3 years – says.Zoltán Becze, sales director of Büki Üdítő Kft. – When we gulp down an energy drink, can feel the effect within 5 minutes – says László Zentai general director of BUSZESZ Zrt. The main driving force behind the boom of energy drinks is the expansion in the number of occasions and places these are consumed. It is increasingly consumed instead of coffee, which is sometimes perceived as being not youthful enough. Private labels have played a major role in the boom, as these have made energy drinks affordable to large numbers of consumers. What effect this has had on the premium image of the category is another question. Though private labels held a market share of 75 per cent last year, this is no more than 60 per cent at the moment. – I am not devastated by this development – admits János Gréczi János, managing director of Gramex 2000 Kft.– We keep increasing our marketing budget for our V-Power energy drink every year. Other brand manufacturers are doing the same. Though a number of innovations have appeared recently, the tutti-frutti flavour, caffeine and taurine, and the 0.25 litre aluminium can still dominate the market. Manufacturers agree that the first changes will take place in size. 0.33 litre brand products will make a lot of consumer think about economy. –We expect the 0.33 litre Bomba! energy drink to have a bright future, as its price per litre is better than that of 0.25 litre size drinks – says Zoltán Becze. – Burn represents a number of innovations. These include new flavours, a new colour, and a UV fluorescent aluminium bottle – says Éda Pogány from a Coca-Cola Magyarország. The two most promising innovations by BUSZESZ are a natural recipe and light energy drink. The natural energy drink is free of preservatives. – The light version of our Watt products line has been available since June – says László Zentai. Taurine has been replaced by extracts of herbs. – We have developed a Watt which has flavour and body without many calories adds the general director. All FMCG manufacturers are trying to be present in all segments of the market. This is why Büki Üdítő, the manufacturer of Bomba! handed over distribution to SIÓ-ECKES Kft in 2008. This allowes the key account segment to get the attention it deserves. Two major challenges are seen regarding marketing activities. In choosing media and promotional tools, it has to be taken into consideration that consumers are mobile who prefer youthful channels of communication. The message conveyed also needs to adapt to the lifestyle of the target group. This is why messages are linked to music, sport, cars or sex. Humour and a touch of outrageousness are also essential. The brand building efforts of Gramex 2000 Kft. devoted to their V-Power energy drink are channelled in the tracks of the Vitalade sports drink, as V-Power is targeted at the same group of consumers. – Our product also contains L-Carnitine which is very popular in the world of fitness – say János Gréczi. Distribution co-ordinated with that of the sports drink can also be a practical idea. Sales of sports drinks remain marginal compared to energy drinks, owing to marginal marketing support. Marketing activities of Powerade are focused on sports events. Vitalade sports drinks have been available in Hungary for 8 years. The marketing activities related to Vitalade are also focused on sporting events and TV programs.
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