Energy drink maker Celsius taps Hispanic millennials with new flavor

By Adi Menayang

- Last updated on GMT

Energy drink maker Celsius taps Hispanic millennials with new flavor
The publicly traded Celsius Holdings is growing its energy drink empire with the expansion of its Kiwi Guava flavor in national retailers.

The company characterized the expanded distribution reach of its sparkling Kiwi Guava-flavored energy drinks, which was launched earlier this year, as a sign of retailers’ demand for the brand and response to a growing Hispanic Millennial market.

"Our Kiwi Guava SKU was created to proactively target the fast-growing Hispanic Millennial market segment,"​ said Vanessa Walker, CELSIUS' EVP Marketing and Innovation. Guava-flavored products aren’t commonly found in mainstream US retailers, but it is a staple in many regional specialty stores catering to Latin American grocery shoppers.

The SKU’s new reach include national retailers like Target, GNC, 7-Eleven, and Military Exchanges worldwide.

Celsius has been expanding rapidly since its multi-million-dollar investment from Li Ka-Shing​, who according to some calculations is the richest person in Asia.

The company is boasting its product as a crossover “drink capable of sitting in the supplement aisle given its multifaceted advantages of being both drinkable and bearing a supplemental facts panel, allowing the brand to make structure and function claims.”

The flagship product is also getting a boost from the growth of health-conscious consumers looking to eschew or reduce consumption of artificial flavors, colors, and sugar.

“As we expand our portfolio line-up we remain aligned with the company's mission to provide proprietary, proven and innovative SKUs with a focus on health and wellness,"​ said John Fieldly, CEO of Celsius Holdings, Inc.

"As consumers continue to seek healthier alternatives, we are ensuring CELSIUS brands are widely available as consumers shift preferences to healthier selections in the more than $25 billion energy beverage segment."

Earlier this year the company reported a 60% growth in revenue, though in its most recent earnings call last month​, the company recorded $9.3 million in revenue compared to $10.2 million in the second quarter of 2017, a slight stumble attributed to one of its copackers being unable to meet demand.

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