How does a booming company spark new growth the year after its sales nearly double and its stock skyrockets 333 percent? If you're Hansen Natural, maker of Monster Energy drinks, you start by signing a two-year endorsement deal with Ricky Carmichael, the Michael Jordan of motocross and supercross racing. Motorcycle fans are prime consumers of the sugary, caffeine-laced drinks, so it's good for business when "R.C." hoists a can of Monster on the victory stand, as he did recently in front of 70,133 cheering fans at Atlanta's Georgia Dome. Hansen executives have always supported a "Monster Army" of lesser-known extreme-sports stars, but they believe the 26-year-old R.C. is so big they plan to put his image on some Monster cans.
1. Celebrity Endorsements in Energy Drinks - Opportunity for energy drink companies to boost sales and brand visibility by partnering with popular athletes or celebrities.
2. Targeting Niche Sports Fan Markets - Energy drink companies can tap into the loyal consumer base of niche sports like motocross and supercross, creating new growth opportunities.
3. Expanding Product Packaging with Athlete Images - Incorporating images of famous athletes on product packaging can attract the attention of fans and potentially increase sales for energy drink companies.
1. Energy Drinks - Monster Energy and Red Bull can benefit from disruptive innovation opportunities by exploring new ways to promote their products and engage consumers.
2. Sports Marketing - Companies specializing in sports marketing have the potential to collaborate with energy drink brands, leveraging the popularity of athletes to drive sales and brand recognition.
3. Packaging Design - Design agencies and packaging manufacturers can assist energy drink companies in creating visually appealing packaging featuring athlete endorsements, creating differentiation in the market.