Bad times for the energy drink manufacturers

The distributors are not only affected badly by the negative economic effects of the entire retail trade but also by the ever-changing legal environment and by the public health product tax.

“On the basis of Nielsen’s datas, a total of 2 percent shrinkage is expected on the entire retail market. In contrast, in the energy drink segment a 15-20 percent decrease is expected.

Over the past 15 years the energy drink market has increased rapidly. The dramatic decline is caused by three main factors. First, the effect of the changes in the consumption patterns, due to the economic environment, second; the often unfounded attacks against energy drink consumption, and thirdly, the tax burden on the products, which has increased significantly in recent years ” – said Katona Balázs, Commercial Director of Bomba! Energy Drink Kft.