How to Start and Sell your own Energy Drink
Everyone can start their own Energy Drink or New Age Beverage. The barrier of entry to get into the market is not very high. You don’t need to have millions of dollars to start your own energy drink. You do need some money but you need more vision and work.
Why passion and elbow grease? Well, just because you bottle your Energy Drink does not mean you’ll sell it. Distributors get hundreds of calls per month from new energy drinks, or “JAED” (Just Another Energy Drink). Do something different! Target new people, create a new package, not jus another energy drink. Don’t just say “I have the best flavor” or “it tastes better than red bull”. Everyone has access to flavors, everyone can make a better tasting energy drink, that’s not a niche.
To start your new venture you need vission and a lot of work. You need to believe in your products and that you will succeed. You need to see the project through. You also need to put the work in. To sell Energy Drinks you need to do some work, land some accounts, visit some distributors or retailers. If you can do that you are on your way. You need something else. You need to make calls, visit people, make it happen.You have to realize that Vitamin Water is not the first company to get big cash for their brand. The energy drink and beverage industry is super hot. New companies are started every day. We have gotten at least 2,000 phone calls or emails from new ventures. Many companies that you now think as the market leaders started not long ago as start ups.
Other beverage brands that that sold for big money are Fuze, selling to beverage industry giant Coca Cola, Sobe and Izze, that sold to Pepsi Cola or Fiji Water that also sold for millions and millions of dollars. Not to mention many more companies that received funding or went public.
Other companies like Reeds Beverage, Who’s Your Daddy, Jones Soda and Hensen with Monster Energy Drink access funding through the public markets. These and many others are public companies traded in the New York Stock Exchange, the NASDAQ or the OTC (Over the Counter).
I get a lot of calls from entrepreneurs starting their energy drinks and many more from investors looking to invest in companies or performing due diligence. At the moment I have at least 100 people contacting me every month wanting to know about the New Age Beverage Industry, Energy Drinks, how to get distribution, how to export, how to bottle drinks or to go over business plans or other information. The industry is growing and the category is growing even faster
Now let me tell you a bit about Energy Drinks. Energy Drinks are the new Super Profitable products. Everybody makes money, the manufacturer, the distributor and the retailer. You see,
Energy Drinks sell for $1.99 to $2.40 at the stores for 8 to 16 ounces. This is incredible if you consider that you can buy a soda that’s the same size for $0.50 to $0.75. Even a 20 ounce soda runs you about $1.25.
Distributors love the product because they make about $8 per every case they sell compared with about $2 to $4 for their other products. Retailers love it because they can make from $16 to $20 per case.
Energy Drinks and the beverage industry is also a fun business to be in, not just profitable. You have special events, parties, promotions, and you can spin and position your products the way you want, having fun in the process.
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