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New business info and advice from QCS GRAPHICS, PROCOPIO, SHACC and FSG LAWYERS.

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Tiffany Montgomery
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A closer look at Monster Energy

By Shelby Stanger and Tiffany Montgomery
June 18, 2010 9:33 AM

Energy drink collaborations with action sports brands are one of the hottest-selling items for many retailers these days, so we decided to take a quick look at some of the financials of Monster Energy, which is owned by the publicly-traded Hansen Natural Corporation.

Hansen launched Monster in 2002, and now sells a wide range of energy products, including Monster Energy, Java Monster Coffee + Energy Drinks, Monster Energy Hitman Shooter and energy juices such as Rumba.

The company’s DSD division, which is largely comprised of energy drink products, recorded $1.1 billion in sales in 2009, up 12.1%, according to the company’s annual report.

The energy drink division accounted for 91.9% of total company net sales of $1.1 billion last year.

Hansen is focused on growing its international business, which totaled $168 million in sales in 2009.

The company had 1,430 employees at yearend, with 1,141 of those working in sales and marketing. Marketing and sales expenditures increased 7.1% in 2009.

While the overall beverage market remains bumpy, energy drink sales as a category rose 9.5% in the 13 weeks ended May 22, according to a report by Nielsen cited by Hansen executives at its annual shareholder meeting last week.

Here’s the overall breakdown of market share by brand during the same period. These are from Nielsen figures quoted by Hansen executives:

Red Bull: 32.7%

Monster: 26.4%

Rockstar: 9.9%

The size of the domestic energy drink market in 2009 totaled $29.9 billion, according to the Beverage Marketing Corporation.

 

 


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