CELSIUS ESSENTIALS Ranked #10 Fastest-Growing Food & Beverage, Showing Breakout Success for Brand Portfolio
With annual revenues of $1.4 billion in 2024 (not including the Alani Nu acquisition), CELSIUS drove continued growth with its growth strategy template (up 3% from 2023). The brand has more than quadrupled since its 2021 full year sales of $314 million. The CELSIUS brand is profitable by industry standards, reporting 2024 gross margins at 50+%.
In first quarter 2025, CELSIUS reported a 7% decline in revenues attributed to 4th quarter 2024 distributor incentive programs and distributional allowances. However, management reports strong continued demand with underlying growth of 2% in retail MULO dollar sales for the 13 weeks ending March 30th.
There are a number of important contributors to the better-for-you energy drink’s growth strategy, including distribution (first and foremost), marketing and positioning, expanded packaging formats and new product lines such as CELSIUS ESSENTIALS.
CELSIUS Growth Strategy Template: Distribution
Distribution growth is critical for CELSIUS, now claiming ACV of 98%, and an increase of 37% in total points of distribution in 2024. The total number of outlets for CELSIUS reached 241,000 in 2024, up from 147,000 in 2022. In addition to the “traditional” channels, the brand is also now distributed in several “non-traditional” including Subway and Home Depot.
These new outlets represent an expansion from the 2022 timeframe when the brand had nine distribution channels at 147,000 locations. Here are those channels, along with an update on them below:
- Convenience (e.g., QT, 7-Eleven, RaceTrac, Speedway, CircleK, Sunoco, Casey’s)
- Vitamin, specialty & drug (e.g., CVS, The Vitamin Shoppe, RiteAid, Smoothie King, GNS)
- Military (e.g., MCX, NEX, AAFES)
- Vending (e.g., Vistar, FirstClassVending, Canteen)
- Conventional grocery (e.g., Publix, Harris Teeter, Meijer, Kroger, Safeway, Ralph’s, HEB, Stop & Shop, Giant Eagle, HyVee)
- Fitness (e.g., Dick’s, Anytime Fitness, Equinox, LA Fitness, In-Shape, 24 Hour Fitness, Barry’s Bootcamp)
- eCommerce (e.g., Amazon, Walmart.com)
- Mass market and club (e.g., Target, Costco, Walmart, BJ’s, Sam’s Club)
- Natural channel (e.g., Fresh Market, Sprouts)
Recent reports highlighted CELSIUS growth in a few specific channels. Club channel sales increased 30% to $88.0 million for 2nd quarter 2024. 12.1% of CELSIUS ’ total US sales in second quarter 2024 were to food service (a newer channel) estimated at $48 million for that quarter, and sales on Amazon grew 41% to $40 million for second quarter 2024. Subway is part of the food service channel, while Home Depot does not easily fit into these categories.
As far as non traditional channels go, a recent visit to the Home Depot store in Glendale, CA found that the CELSIUS distribution was very minimal at two facings in two multi-brand PepsiCo coolers (see image below). In fact, the CELSIUS products are effectively hidden behind a PepsiCo promotional sticker. The CELSIUS products are not well represented in the PepsiCo cooler. Competitively, Monster and Red Bull energy drinks each have multiple dedicated coolers in Home Depot (see image below) so that any consumer looking for energy drinks will be much more likely to choose these brands when in Home Depot. With the multiple Red Bull and Monster coolers, it’s clear that Home Depot is a significant retailer of energy drinks but that CELSIUS doesn’t appear to have made any significant inroads.
International distribution growth remains a substantial growth opportunity for CELSIUS, as North America is still 96% of the revenues, with international revenues at $75 million in 2024, up 37% from 2023.
Despite the weak showing in Home Depot, the biggest contributor to the distribution gains has come with the PepsiCo investment. From the statements below, we can surmise that the gains may have flattened out. Says, John Fieldly President, CEO & Chairman of CELSIUS Holdings,
“We continue to collaborate with Pepsi and to harness the greatest value from our strength of our North America distribution partner. Both we and Pepsi seek to continually optimize our operations. We believe Pepsi rightsizing across inventories, and the pursuit of efficient operations is positive for our long-term health of our supply chain. We believe our communications with one another remains strong, and we look forward to a highly productive 2025 and beyond.”
In August 2022, CELSIUS announced a long-term distribution agreement with PepsiCo and a $550 million PepsiCo investment in CELSIUS. The PepsiCo agreement afforded CELSIUS greater access to convenience store and gas station channels. At the time, John Fieldly said,
“We believe the opportunity to partner with a global best-in-class distributor (PepsiCo) provides CELSIUS with significant near-term additional shelf space in both existing retailers as well as new expansion within the independent retailers that represent a significant portion of the U.S. convenience and gas channel where approximately 70% of energy drinks are sold. It also provides a strategic partnership that is expected to accelerate growth for both companies globally.”
Distribution expansion has been a consistent focus behind CELSIUS growth strategy long prior to the PepsiCo deal.
For instance, CELSIUS reported that distribution drove momentum in 2021, helping the brand achieve a:
“record growth year of over $300 million in revenue.”
Another distribution growth strategy example came from the September 2020 conversion of:
“more than 1,100 Target store locations to its Direct Store Delivery (DSD) distribution network.”
CELSIUS Growth Strategy Template: Consumer Target, Tagline, Benefits and Reason to Believe
In addition to distribution strategy, Ad Age highlighted “smart positioning” and “savvy e-commerce” as drivers of growth strategy success that allow CELSIUS to stand out from other energy drinks like Monster and Red Bull.
CELSIUS ’ historic consumer target was “health-conscious consumers ages 25-44.” These target consumers have active lifestyles but are not necessarily athletes or hard-core exercisers. The brand is intentionally reaching out to a broader audience than athletes alone.
However, CELSIUS ESSENTIALS, with its larger size container, bodybuilding endorsers and higher caffeine content is targeting a more intensely active, performance-focused consumer, which skews male.
CELSIUS reported that it is bringing more consumers into the energy drink category, rather than just stealing share, an attribute that retailers value highly. In 2021, CELSIUS was:
“driving 20% of our sales from male and female sales new to the energy drink category.”
In 2021, CELSIUS also reported specifically bringing 18–24-year-old female energy drink consumers into the category, while maintaining the ability to target both men and women.
It will be interesting to see the CELSIUS brand’s gender focus going forward, as CELSIUS Holdings acquired female-focused brand Alani Nu in February 2025 for $1.8 billion.
In 2025, CELSIUS is supporting the brand’s growth strategy template with the LIVE.FIT.GO campaign, which is touted as “the largest marketing initiative in the brand’s history.” This campaign supports both CELSIUS and CELSIUS ESSENTIALS.
Says Kyle Watson, Chief Marketing Officer of CELSIUS,
“CELSIUS is a functional energy drink created for active lifestyles – providing energy to support active individuals in their daily routines. With LIVE. FIT. GO.™, we’re peeling back the layers of what energy truly means to people – whether it’s a surge of focus for a demanding job, the stamina to chase your personal passions, or the resilience to balance life’s responsibilities. Through authentic storytelling, we’re further positioning CELSIUS as the energy to fuel all of life’s demands and inspire people to LIVE FIT™ in everything they do.”
The LIVE.FIT.GO campaign’s 30-second launch video (see below) details the lifestyles of three “authentic” users, all leading frenetic lives who move rapidly and speak quickly. The first example of the three lifestyles “starts with CELSIUS” at his gym workout, followed by “after school pickup and meal prep” and then a 12-hour nightshift for this fireman father who is “training for life.” The next example is a surfer starting “Dawn patrol” with CELSIUS, followed by working as a nurse (he is shown in scrubs), then stating he has “48 to do in 24.” The third example is a female businesswoman who “grabs a CELSIUS” at 4:49 AM, before going on her run through an urban landscape, followed by a “deck to conquer” and then “a party to be the life of.”
As far as gender targeting, it’s interesting to note that two of three example CELSIUS consumers are men in this launch video.
The brand’s primary benefit is “essential functional energy.” Support points include the proprietary Metaplus blend, 7 essential vitamins and additional benefits of “burns body fat and calories, accelerates metabolism” and “is themogenic.”
CELSIUS cites multiple published university clinical studies as reason to believe that the product has proven efficacy.
CELSIUS Growth Strategy Template: Product Strategy: Ingredients, Product Lines, Packaging
The CELSIUS brand promises a healthier source of energy, with “zero sugar, no preservatives, no aspartame, no high fructose corn syrup, no artificial flavors or colors.” In addition, the brand is non-GMO, Certified Kosher and Vegan, soy and gluten-free and contains low sodium.
According to a registered dietician, “CELSIUS is a healthier option than commercial energy drinks like Red Bull and Monster.” This doesn’t make it a “health food”, but rather a better choice. As my colleague discussed in “Brand Strategy Examples: Better-For-You Snacks & Beverages Go Mainstream,” this doesn’t make it a “health food,” but rather a better choice.
The brand’s “proprietary Metaplus blend” has ingredients that combine to boost the body’s metabolic rate, “resulting in a sustained calorie burn while promoting healthy energy.” These ingredients are green tea with EGCC (epigallocatechin gallate), guarana seed, ginger, chromium, Vitamin C and B vitamins.
In 2025, CELSIUS has four product lines including: ORIGINAL, ESSENTIALS, HYDRATION and ON THE GO. CELSIUS ESSENTIALS were introduced in late 2023 and CELSIUS HYDRATION in 2025, while ON THE GO has been around since 2009. These newer product lines follow the growth strategy template by being complementary to the core product.
CELSIUS ESSENTIALS ranked number 10 of fastest-growing food and beverages in Circana’s 2024 New Product Pacesetter report, with $55.6 million in MULO 2024 sales. ESSENTIALS were sold in over 124,000 stores as of July 2024, with 64% ACV and 4.4 average items sold per store.
As a new product line, CELSIUS ESSENTIALS is focused on “fitness enthusiasts.” In addition to the “MetaPlus” formula found in all CELSIUS drinks, ESSENTIALS also provides a higher caffeine content than standard CELSIUS, comes in a larger 16-ounce can (instead of standard CELSIUS 12 ounces), and additional “Essential Aminos” with the promise of enhanced physical and mental performance.
CELSIUS HYDRATION is caffeine-free and sold in powder stick form. HYDRATION offers the same sugar-free brand promise, along with various vitamins. It is
“formulated with a blend of magnesium, potassium and sodium, making it a great addition to fitness and daily routines and to help active people feel their best, whatever may come.”
Since this product was introduced in early 2025, it will be interesting to see how the caffeine-free HYDRATION stick products will be accepted.
CELSIUS ON THE GO is a powder stick that has caffeine and the energy benefit. Since it has been around since 2009, the product fulfills an occasion, and the company has expanded the offering with the move to HYDRATION caffeine-free sticks.
Back in 2022, CELSIUS had three other product lines, which appear to be discontinued. Perhaps they didn’t align with the growth strategy template.
- CELSIUS HEAT (“trainer-grade” pre-workout) – no longer available on Amazon
- CELSIUS BCAA +ENERGY (recovery drink) – no longer available on Amazon
- CELSIUS Sweetened with Stevia – no longer available on Amazon.
As we wrote about in 2022, packaging expansion provides additional growth for CELSIUS. For example, including packages with 12 counts for Amazon online and Walmart online, or 24 for club channel. There are undoubtedly other packaging sizes or forms that can provide growth opportunities long term.
CELSIUS Growth Strategy Template: Marketing Tactics
To date, CELSIUS has delivered strong results with its better-for-you growth strategy template. The brand has 904K Instagram followers in 2025, up from 447K in 2022 and regularly receives thousands of reactions on each post. Here are some sample executions:
The brand also has a presence on X (39.3K in 2025, up from 17.3k in 2022) and YouTube (4.9K followers in 2025).
CELSIUS has worked with a very long list of celebrity and athlete endorsers including:
- Jake Paul (YouTuber/boxer)
- Shaun White (Olympic snowboarder)
- Sara Sampaio (model and actress)
CELSIUS ESSENTIALS is promoted through Instagram workout posts, YouTube vlogs and event appearances by a number of bodybuilders such as:
- Samson Dauda (Mr. Olympia)
- Blessing “The Boogieman” Awodibu (pro bodybuilder)
- Keone Pearson (Mr. Olympia)
- Maureen Blanquisco (Ms. Olympia)
- Brandon Hendrickson (fitness coach and bodybuilder)
- Erin Banks (Mr. Olympia)
CELSIUS also has a university ambassador program for grassroots on campus efforts.
CELSIUS has continued to drive growth with distribution, marketing and positioning new product lines and packaging forms and marketing.
This growth strategy template is an instructive example for food and beverage brands. For examples in other industries, visit our growth strategy resources page. To start a conversation about your brand, contact us.
