Energy Drink Wars: Monster Takes on Celsius

Monster Energy is taking a page from the Celsius playbook with a fresh line-up of “better for you” beverages. Will it work? [Derby City Daily logo] [Derby City Daily logo] Energy Drink Wars: Monster Takes on Celsius By Andy Swan Monster Energy (MNST) is an “OG” of the beverage space with roots dating all the way back to 1935. It started as Hansen Natural, a small juice company run by Hubert Hansen and his three sons. It wasn’t until 2002 that Hansen’s launched its now-namesake product, Monster Energy: a sugary, chemical-fueled energy drink wrapped in a grungy package. Monster built a brand around appealing to folks who need concentration and an extra energy boost – like high-octane athletes, gamers, and college students. The brand has sponsored motocross, wakeboarding, and drag racing events, as well as e-sports gaming tournaments. Heck, even Tiger Woods has been seen sporting a Monster Energy bag. [tweet from Apr 8, 2022, shows image of Tiger Woods with Monster-branded bag]( NASCAR’s premier race series was called the Monster Energy NASCAR Cup Series from 2017 to 2019. With all that exposure, it’s no wonder Monster Energy quickly became Hansen’s top revenue generator. By 2012, the company decided to go all-in on energy drinks by selling the rest of its business to Coca-Cola (KO) and changing its name to Monster Beverage Corp. But even as one of the largest beverage players in the LikeFolio universe, Monster now finds itself in an unusual position as the underdog. That's because the company faces stiff competition from up-and-coming Celsius (CELH), a brand successfully tapping into emerging consumer trends with a healthier alternative to Monster and Red Bull’s sugary offerings. [We’ve been tracking Celsius and its meteoric rise closely]( recommending several bullish entry points on the stock over the years. Compared to its competitors, Celsius demand is surging – up a staggering 86% year-over-year as of this writing: [chart displays YoY Change in Purchase Intent, 30-day Moving Average, for CELH, MNST, KO, PEP]( And its share price is rocketing even higher: gaining 150% over the same period. Celsius differentiated itself from the competition [by leaning into consumer wellness trends]( a strategy that clearly resonated with consumers and unlocked tremendous growth. [Celsius shares hit an all-time high last week](. And Monster is taking notes... Learning from the Competition Monster is throwing its hat in the “better-for-you" beverage ring with a fresh product lineup that includes an iconic product that won the hearts of music fans two decades ago. The same Monster Tour Water that was originally only available to entertainers at the 2003 Vans Warped Tour is now available to the public. [tweet from Feb 22, 2021 features image of Monster Tour Water]( The product is just canned water that looks like a Monster Energy drink. But it became a sort of cultural flashpoint, only available at special events – and to the talent playing them. And social media is going crazy for it. [tweet from May 8, 2023 shows Monster Tour Water at UFC press conference]( Packaged in aluminum cans with vintage graphics, the re-release of Monster Tour Water represents more than just a nostalgic “throwback.” It's a nod to the growing consumer interest in canned water as an alternative to alcohol and energy drinks – a trend that is on pace for multi-year highs. [Google Trends data shows “canned water” searches spiking]( Source: Google Trends data [Let me show you why this “throwback” could be just the comeback Monster needed...]( [Click here to continue reading]( [Andy Swan's signature] [Andy Swan's signature] Andy Swan Co-Founder, Derby City Insights Copyright ©2023 TradeSmith, LLC t/a Derby City Insights. All rights reserved. 1125 N. Charles St, Baltimore, MD 21201 To unsubscribe or change your email preferences, please [click here](. [Terms of Use]( | [Privacy Policy](