The sports and energy drinks category has been one of the few to maintain underlying growth throughout the recession, helped by its functional positioning and active NPD in the category. However, it has seen its growth rate decrease dramatically from the peak in 2011 of 15.7% in value terms, to merely 2.6% in 2014 as predicted by Mintel.

The slowing growth indicates that the market is maturing and brands and operators need to find new ways to engage non-users or to encourage existing users to trade up. Meanwhile, identifying new drivers becomes increasingly important, such as targeting older consumers aged over 45 and at-home drinking occasions.

The market is expected to reach £17.9 billion by 2019, with a best-case scenario of more than £20 billion and worst-case scenario of £15 billion, even lower than the 2014 estimation.

This report focuses on RTD (ready-to-drink) sports and energy drinks through both the retail and on-trade channels.

Sports drinks claim to improve sporting performance or to speed up recovery. Most of these drinks are labelled isotonic/hypotonic and are claimed to rehydrate and replenish nutrients after exercise. Examples include Lucozade Sport, Powerade and Gatorade.

Sports drinks are divided into three major types:

• Isotonic drinks: These have the same osmolality as that in the body, and are designed to aid rehydration, as they are said to be readily absorbed into the blood. Most sports drinks are isotonic, including Powerade and Lucozade Sport.

• Hypotonic drinks: These have a lower osmolality than body fluid and are said to be absorbed more quickly than isotonic drinks and more quickly than water into the blood.

• Hypertonic drinks: These have a higher osmolality than body fluids and are designed to be taken after exercise to replace electrolytes, aid recovery and provide an energy boost.

Energy drinks are drinks that specifically claim to provide an energy or stimulant boost, supporting mental alertness and/or physical performance. These generally include active ingredients such as glucose, caffeine or taurine, and may include other ingredients positioned as beneficial to health, such as ginseng and various vitamins and minerals.

The energy drinks market divides itself into three distinct categories:

• Refreshment energy drinks provide physical energy through glucose or a range of sugars, as in Lucozade Original Energy.

• Stimulant drinks are designed to stimulate both mind and body, and claim to improve concentration, reaction time and endurance. Stimulant drinks contain active ingredients such as caffeine and taurine, and are non-alcoholic. The best-known example is Red Bull.

• Energy shots refers to what are usually more concentrated versions of refreshment/stimulant drinks, ie they typically retail in a 50ml bottle rather than in a can of between 250ml and 500ml. They are marketed as longer-lasting energy aids, eg 5-Hour Energy drink.

Value figures throughout this report are at retail selling prices unless otherwise stated. Market sizes at constant 2014 prices have been devised using Mintel’s food deflator. Crown copyright material is reproduced with the permission of the Controller of HMSO and the Queen’s Printer for Scotland.