Revisit the beverage brand Jolt Cola, popular in the 1980s. Now, it's planning a resurgence with an increased caffeine content.
Originally pitched as an alternative to Coca-Cola and Pepsi, Jolt Cola is now set to enter the crowded market of energy drinks, joining the likes of Red Bull, Monster, and Celsius. This revival is led by sports nutrition brand Redcon1, who will market Jolt Cola as a nostalgic drink due to its past reputation.
Ryan Monahan, Redcon1's Chief Marketing Officer, explained to CNN, "There's a cool way to bring something back and pay homage to what once was, yet we can do it in a very modern way."
The relaunched Jolt Cola will come in 16-ounce cans, priced around $2.50 or $3. It will contain 200 milligrams of caffeine, significantly higher than its 1985 level of around 70 milligrams in a 12-ounce can.
Jolt Cola has had two previous releases in the U.S., with a brief resurgence in 2017 on Dollar General shelves before being removed in 2019. This latest relaunch follows the company's 2009 bankruptcy protection filing.
Shift towards a thriving market
Redcon1 could have opted to reintroduce Jolt Cola as a soda, but the energy-drink market's growth outpaces the soda market. This move allows Jolt Cola to compete directly with energy drinks that major brands like Coca-Cola, Pepsi, and Dr. Pepper have a stake in, rather than their signature soda products.
The energy-drink market has predominantly been controlled by Red Bull, but other beverage giants have entered the scene. In 2015, Coca-Cola acquired a 16.7% stake in Monster Beverage Corp. PepsiCo has a significant stake in energy-drink maker Celsius Holdings and acquired Rockstar Energy in 2020 for $3.8 billion. In October 2021, Keurig Dr. Pepper announced plans to acquire energy-drink maker Ghost by 2028 for over a billion dollars.
Monahan noted, "Consumers pick and choose who wins with their dollars. The reality is, it's the soda companies that we're really seeing a decline in."
Market research group Imarc forecasts the global energy-drink market will reach $48.1 billion in 2024 and grow to $80.8 billion by 2033. In contrast, total soft drink volumes grew by 1.3% from the previous year after a two-decade decline, according to Evercore ISI data.
Redcon1 has partnered with IMG Licensing to create Jolt energy drinks, with Monahan stating they will release limited-edition flavors and potentially energy shots, pre-workout drinks, and other products.
Health concerns persist
Energy drinks have faced criticism over their high sugar and caffeine content, although this backlash has lessened compared to the '80s.
The US Food and Drug Administration considers consuming two energy drinks with 200 milligrams or more of caffeine, or over 400 milligrams daily, excessive for most adults. While Jolt Cola's 200 milligrams of caffeine may seem significant, it pales in comparison to Celsius HEAT's 300 milligrams per 16-ounce can.
Energy drinks can contain up to 40 grams of sugar, according to Harvard University's School of Public Health, approaching a day's worth of recommended sugar for a 2,000-calorie diet, as per the Mayo Clinic.
Redcon1 has claimed that Jolt Cola will offer a zero-sugar beverage, along with added supplements.
The American Academy of Pediatrics advises against children consuming caffeine, while the National Institutes of Health has pointed out that marketing has driven younger consumers to buy energy drinks for performance boosts. Emergency room visits related to caffeine use, including some by children, are reported annually, according to the American Academy of Child and Adolescent Psychiatry.
Monahan assured that Redcon1 does not intend to target its caffeine-filled drinks to anyone under 21. The brand sees potential in appealing to older consumers seeking "old-school nostalgia" and young adults interested in a "throwback."
"It's that thing of, 'I remember I wasn't allowed to have it and it's come back,' or 'I remember enjoying it and it went away,'" Monahan said.
The shift towards the thriving energy-drink market led Redcon1 to relaunch Jolt Cola as an energy drink, positioning it to compete directly with major brands in the industry. This strategic move allows Jolt Cola to tap into the growth of the energy-drink market, which is projected to reach $80.8 billion by 2033, according to market research group Imarc.
Redcon1 has also plans to release limited-edition flavors and other products such as energy shots and pre-workout drinks, expanding its product range in the energy-drink market.
