Energy Supplement Market

Global Energy Supplement Market Size (2024 to 2029)

The Global Energy Supplement market size is expected to grow at a CAGR of 6.4% during the forecast period 2024 to 2029 to reach USD 128.8 billion by 2029 from 94.35 billion by 2024.

Energy supplements like energy drinks and products like energy gels, drinks, and gummies. have gained immense popularity in recent times. The utilization of organic or herbal components in energy supplements is on the rise. For instance, within the sports industry, energy gummies have emerged as a preferred choice for fueling the body during intense training sessions. Notably, Beta Fuel Energy Gummies are part of a leading fuelling range supported by scientific research, trusted by athletes to sustain energy levels for extended periods. The quick absorption of these gummies ensures they do not linger in the stomach, avoiding any bloating or heaviness, making them ideal for quick energy boosts during exercise. Thus, with the continuous expansion of the sports industry and the need for quick fueling of athletes will going to thrive the energy supplement market in the forecast period.

The rising popularity of vitamin C enriches energy drinks which are expected to fight against coronavirus infection, presenting untapped opportunities in the energy supplement market. The increasing popularity of using vitamin C as an antioxidant in various beverages, such as coffee, tea, soda, and energy drinks, is anticipated to drive sales of products with vitamin C as their primary ingredient. This particular energy drink, enriched with vitamin C and Zinc, aims to enhance energy levels and strengthen the immune system's response. With this growing awareness about energy drinks and ease of purchasing availability is providing market players to consider in the energy supplement market.

Global Energy Supplement Market Drivers:

The major market driver in the case of the energy supplement market can be the rising awareness of consumers about a healthy lifestyle. Moreover, athletes of young to middle age are the major consumer of energy supplements. Consumers are well aware of the close connection between a good diet and good health, but the increasing availability of cheap, highly processed ready meals often leads them to prioritize convenience over health. In response, supermarkets are implementing initiatives to enable customers to make healthier food choices without sacrificing convenience, offering products like energy gels, gummies, and more. Recognizing the significance of physical fitness and exercise is crucial for everyone. It not only helps reduce the risk of injuries but also improves physical fitness, aids in weight management, enhances cognitive function, and contributes to a better quality of life. Governments in various countries are taking steps to promote the importance of physical activity, emphasizing that every minute of exercise counts, as healthy lifestyles lead to increased longevity and reduced disease prevalence. For instance, data from the Bureau of Labor Statistics in the US indicated that in 2019, 19.3 % of the population engaged in sports and exercise daily. Men had a higher participation rate (20.7 %) than women (18 %), and, on average, Americans spent around half an hour per day on sports, exercise, and recreation. In Japan, people exercise, work out, or engage in sports mainly for reasons such as staying healthy, achieving weight loss goals, and improving or maintaining physical strength, as observed in 2020. These data show rising sports activities which will eventually fuel the energy supplement market.

Global Energy Supplement Market Restraints:

The factor likely to hamper the market growth of the energy supplement market is the lack of clinical approval by the FDA. The Dietary Supplement Health and Education Act (DSHEA) brought about changes to the Federal Food, Drug, and Cosmetic Act (FD&C Act), establishing a new regulatory framework for dietary supplements. As a result, the FDA lacks the authority to pre-approve dietary supplements, including energy supplements, before they are introduced to the market. Manufacturers are generally not required to submit evidence to the FDA to demonstrate the safety of their products, either before or after marketing. In this regulatory approach, the FDA advises consumers to consult with their healthcare professionals, such as doctors, pharmacists, or other qualified experts, before deciding to purchase or use an energy supplement. This is because certain supplements may interact with medications or other supplements, and seeking professional advice can help ensure safety and suitability for individual needs and health conditions. For instance, in November 2012, the FDA announced an ongoing investigation prompted by recent reports of severe injuries or fatalities linked to products marketed as "energy drinks."This factor is important to consider since the health of the consumer is the top priority, and facing any side effects caused due to intake of energy supplements can be fatal for marketers. Thus, it is advised to look out for all possible factors which can likely hamper the market growth of the energy supplement market.

Impact of COVID-19 on the Energy Supplement Market:

The global COVID-19 pandemic resulted in extensive disruptions for businesses in various industries as governments enforced lockdown measures to curb the spread of the coronavirus disease. This led to temporary closures of manufacturing facilities and production interruptions. Moreover, the global availability of energy supplements was adversely affected due to raw material shortages and supply chain disruptions caused by import and export restrictions imposed by different countries.

On the other hand, the food and beverages sector witnessed a significant surge in demand during and after the pandemic, fueled by increased consumer interest in natural and organic food supplements. Amidst this favorable market situation during the pandemic, companies in the energy supplements industry are leveraging the opportunity to expand their production capacities and carve out long-term growth prospects by introducing energy gummies tailored for pediatric use. Thus, the demand for energy supplements is high even during the COVID-19 pandemic.

REPORT COVERAGE: 

This research report on the global energy supplement market has been segmented and sub-segmented based on product, end user, sales channel, and region. 

Global Energy Supplement Market - By Product:

• Energy Drinks
• Energy Gels
• Energy Bars
• Energy Gummies
• Others

Based on the product type, energy drinks are expected to dominate the energy supplement market during the forecast period. Energy drinks have captured a substantial share of the energy supplement market in 2022, and this trend is projected to continue during the energy supplement market forecast for 2023-2028. The market growth is driven by the population's preference for immediate energy products, especially among young consumers, and increasing awareness of the benefits of energy drinks. Furthermore, the energy gels and energy gummies segments are expected to experience significant popularity among end users, projected to grow at the quickest CAGRs, during the forecast period.

Global Energy Supplement Market - By End User:

• Kids
• Adults
• Teenagers

Based on end-user, the adult segment dominated the energy supplement market in 2022, and it is expected to grow at the highest CAGR during the forecast period. Energy supplements have become essential for young and middle-aged adults to enhance performance and maintain energy levels during practice sessions and training. The rising trend of energy supplement consumption among corporates and athletes is expected to drive market growth in the foreseeable future.

Global Energy Supplement Market - By Sales Channel:

• Hypermarkets and Supermarkets
• Convenience Stores,
• Specialty Stores
• Online Sales Channel

Based on sales channels, the hypermarkets/supermarkets segment recorded the highest market value in the energy supplement market and is projected to maintain its market share in the forecast period. This is attributed to a wide range of consumer goods, urbanization, and the presence of knowledgeable staff aids customers in selecting energy supplement products that suit their needs.Moreover, convenience stores are becoming a favorable entry point for energy supplement startups to assess consumer preferences. With a strong presence in Asian countries like South Korea, these stores offer promising business opportunities for energy drink manufacturers.

Global Energy Supplement Market – By Region:

• North America 
• Europe 
• Asia-Pacific 
• Latin America 
• Middle East and Africa

Based on region, the Asia Pacific region dominated the energy supplement market in 2022, primarily due to the rising demand for alternatives to caffeinated beverages in response to modern lifestyles. For instance, in Feb 2021, Heineken Asia Pacific Beverages entered the energy drink market with a product containing natural sources of caffeine, appealing to health-conscious consumers. The market has witnessed increased consumption of these products driven by their claimed benefits in enhancing performance, endurance, and alertness, thereby boosting their visibility among consumers. On the other hand, regions like Latin America recorded the fastest CAGR in the energy supplement market. For instance, Brazil secured the largest energy supplement market share in LAMEA countries due to the growth of retail networks and individuals' changing lifestyles with higher disposable income. North America and Europe are considered to record substantial market growth in the energy supplement market during the forecast period.

KEY MARKET PLAYERS:

Key Market players of Energy Supplement Market are Brighter Foods Ltd, PepsiCo, Kind LLC, McKee Foods Corporation, NuGo Nutrition, Premier Nutrition Inc, Probar LLC, Quest Nutrition, The Kellogg Company, AriZona Beverage Co, Living Essentials, LLC, National Beverage Corp, Rockstar, Inc, Suntory Holdings Limited, The Coca-Cola Company.

RECENT HAPPENINGS IN THE MARKET:

In March 2020, PepsiCo Inc announced to acquire Rockstar Energy Beverages for $3.85 billion. PepsiCo distributes Rockstar drinks and has a limited presence in the energy drink market with its brands Mountain Dew Kickstart and Mountain Dew Game Fuel.