Sugar rush — can anything stop the energy drink boom?

Your gym buddy. Your colleague. Your teenager, cramming past midnight. These days, it feels like everyone has a can of something caffeinated within arm’s reach. In South Africa, energy drinks have quietly transformed from niche imports into a full-blown consumer obsession – a market now fizzing with billions of rands and promises of double-digit growth.

Globally, energy drinks have muscled their way to the top of the functional beverage ladder, capturing more than half of the entire category. In the US alone the segment is worth an eye-watering R434-billion ($25-billion). And contrary to what the kombucha generation might have you believe, consumers aren’t ditching them, despite ever more research pointing out the evils of sugar and caffeine.

Instead of pulling back, the category has pulled off a slick reinvention act, introducing sugar-free options, natural ingredients, vitamin fortification and even organic labels. Turns out, people don’t want fewer energy drinks; they just want versions that feel less like a guilty pleasure and more like a lifestyle choice.

South Africans want energy

Here at home, the numbers are just as electrifying as they are overseas. The local energy drink market is expected to nearly double from R24-billion in 2024 to R43-billion by 2030. That’s a compound annual growth rate of 9.8%, outpacing both South Africa’s overall beverage industry (5.19%) and even the wider Middle East and Africa functional drinks segment (4.17%).

This isn’t just good news for the multinationals. It positions South Africa as one of the key engines in Africa’s broader energy drink growth story. Across the continent, the market is set to grow at 12.17% CAGR, making it the fastest-growing regional market worldwide. From Cape Town to Cairo, cans are clearly flying off shelves.

Who’s drinking this stuff?

Energy drinks have long had a reputation as the fuel of choice for late-night gamers, night shift workers and overworked students. But in South Africa, the picture is broader. The fitness crowd has embraced energy drinks as a pre-workout ritual, professionals rely on them to push through deadlines, and young urban consumers see them as affordable pick-me-ups with a touch of cool.

According to consumer surveys, the biggest energy drink consumers are between 18 and 45 years old, a demographic that makes up a significant chunk of South Africa’s urban population (49%). Add to that a growing middle class and a youthful consumer base and it’s easy to see why brands are piling into this market.

Premium versus value: the two-speed market

If you step into a supermarket or spaza shop, you’ll notice a fascinating split. On one side of the fridge sit the global icons – Red Bull, Monster and Rockstar – commanding premium prices and loyal followings. On the other side, more affordable brands like Power Play, Score, Move and Switch are jostling for space, targeting price-sensitive consumers and ensuring energy drinks aren’t just for the elite or the nightclub crowd.

This two-speed structure mirrors what’s happening globally. Premium brands trade on image, lifestyle and sponsorship of extreme sports, while value brands compete on accessibility and volume. But in South Africa, there’s a third layer: homegrown challengers. Locally produced brands like KNOX (the brainchild of homegrown UFC superstar Dricus du Plessis), Mofaya and Twizza are tapping into affordability and flavour innovation to win market share, particularly in townships and peri-urban areas.

Innovation is the new caffeine

The secret ingredient in the sector’s growth is constant innovation. South Africa is seeing a wave of sugar-free launches, fortified drinks with added vitamins and minerals, and flavour mashups designed to grab attention. Globally, organic energy drinks are gaining traction, and it’s only a matter of time before more South African shelves reflect that shift.

The energy drink boom is also spilling over into adjacent categories. Kombucha, once a fringe health drink, is edging closer to the mainstream. Cape Town’s Brew Kombucha, for example, is bottling organic rooibos-based blends packed with probiotics. Local brand Numuti makes drinks that combine ingredients like sceletium, L-theanine and ginseng to boost focus and improve mood. Durban-based Sport RX makes a fizzy whey protein and collagen drink that delivers 20g of whey isolate per can. These brands are slowly but surely popping up alongside energy drinks in retail fridges, creating a broader functional beverage ecosystem. For businesses, this crossover offers a number of entry points into a category defined by experimentation.

Health-conscious, but still thirsty

The biggest misconception about energy drinks is that health-conscious consumers will eventually abandon them for smoothies or electrolyte waters. The reality is more nuanced. 

Consumers aren’t giving up their energy drink habits, they’re just demanding better versions. In South Africa, where wellness culture is gaining momentum through gyms, running clubs and social media influencers, the appetite for “cleaner” energy is clear. Brands that can blend performance with wellness cues like natural caffeine sources, transparent labelling or plant-based ingredients are likely to capture the next wave of growth.

Looking ahead

Analysts predict growth rates may cool slightly after 2025, dropping to about 15%. But in an FMCG landscape where even mid-single-digit growth is often considered a win, energy drinks remain in rare territory. With urbanisation, a young population and shifting lifestyles fuelling demand, the market is primed for long-term expansion.

The real challenge for brands isn’t whether South Africans will keep buying energy drinks; it’s how to stand out in a fridge that’s becoming more crowded by the month. Some will double down on price, others will lean on lifestyle branding, and still others will chase the health-conscious crowd. The players that manage to balance all three – affordability, aspiration and wellness – are the ones most likely to win.

For now, the country’s energy drink market is a rare sweet spot, with strong global tailwinds, resilient local demand and consumer preferences that reward constant innovation. It’s a space where clever strategy, lifestyle trends and a little caffeine all collide. DM