CHICAGO — Millennial moms and dads are more likely to consume energy drinks and shots, Mintel said in a recent report. Energy drink consumption among U.S. millennials increased from 55% to 61% between 2014 and 2015, even as 74% of older millennials (consumers ages 27 to 37) express concerns about the safety of the products, and 81% of consumers agree companies should include recommended daily consumption limits on the packaging.
While 65% of all users worry about the safety of energy drinks and shots, their fears do not thwart them from consuming such products. Half of consumers drinking fewer energy drinks and shots have safety concerns, compared with 68% of those who are drinking the same amount and 41% who have increased consumption.
Sixty-four per cent of older millennials, the category’s core consumer, use energy drinks and shots. The same percentage of 18- to 26-year-olds also consume energy products, but older millennials’ consumption is increasing. Twenty-nine per cent of older millennials consumed more energy drinks within the past three months while 22% consumed less, which compared with 16% of 18- to 26-year-olds who consumed more and 27% who drank less. Nearly two-thirds of millennials agree energy drinks and shots are good substitutes for coffee and carbonated soft drinks.
|Elizabeth Sisel, beverage analyst at Mintel.|
“Older millennials are, more likely than not, going through a lifestyle shift, such as getting married or having children, including 55% of those age 30-34 with kids,” said Elizabeth Sisel, beverage analyst at Mintel. “As a result, their interests and priorities are shifting and individuals that require more energy are turning to energy drinks and shots. However, this goes against the grain of most energy drink advertising, which focuses primarily on young, single consumers and their active lifestyles. Our data shows the older millennial consumer segment displays more brand loyalty and potential for long-term usage.”
Consumption rates of energy drinks and shots skew higher than average among parents in the United States. Households with children are 58% more likely to consume energy drinks and 48% more likely to use energy shots, compared to 27% and 18% of households without children, respectively.
Among parents, 68% of fathers and 38% of mothers drink energy products. Fathers increased consumption rates by 28%, compared to 21% who drank fewer energy drinks. Mothers are more likely to use energy drinks and shots than men without children (34%) and women without children (22%).
Energy drinks and shots grew 56% from 2009 to 2014, making a speedy recovery from low sales in 2013 when ingredient concerns and scrutiny scathed the industry. Mintel estimates the energy market will grow 52% between 2014 and 2019. Energy drinks, which comprise 89% share of the energy market, are expected to grow 10% in 2015 to $10.8 billion, while energy shots, which represent a much smaller segment of the market, are expected to decline in sales for the third straight year. Natural claims in the category are gaining popularity; thirty per cent of users are consuming such products.“While there has been a movement, especially among millennials, toward more natural ingredients, the energy drinks and shots market remains largely unaffected by changing consumer attitudes,” Ms. Sisel said. “The majority, a full 90%, of natural energy drink consumers also drink regular energy drinks. The steady consumption of both regular and natural energy products implies that U.S. consumers may not perceive energy drinks as negatively as pop culture conveys.”