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š How Celsius Became a $7B Powerhouse
š How Celsius Became a $7B Powerhouse
In less than a decade, Celsius went from the verge of collapse to a company worth over $7B.
Today, Celsius is sold in about 95% of U.S. stores.
How did they do it? What makes Celsius unique in a market dominated by giants like Red Bull and Monster?
Hereās what we got for ya:
š” The Idea that Saved Celsius
š Strategic Partnerships and Celebrity Endorsements
š± Dominating the Social Media Space
Read Time: 4 min 35 sec
š” The Idea that Saved Celsius
Celsius started in 2004 with a unique angle: an energy drink that promoted health and fitness.
However, their original branding and marketing strategy were unclear, and the messaging wasnāt connecting with consumers.
The product was marketed as a calorie-burning drink, but it didnāt stand out enough to compete against the dominant energy drink brands like Red Bull that consumers were already loyal to.
By the early 2010s, Celsius was financially struggling. Costco, which provided 60% of Celsiusā sales, stopped stocking the drink.
Its health-focused claims lacked credibility in a market flooded with sugary, high-caffeine options. Despite their focus on a "better-for-you" energy drink, Celsius was competing on price and shelf space rather than delivering a compelling brand experience.
The turnaround came when Celsius decided to completely revamp its brand. They redefined their product, shifting the focus from calorie burning to overall fitness and wellness.
This rebranding effort marked a significant turning point. Celsius leaned into its unique blend of natural ingredients like green tea extract, ginger, and guarana, and emphasized its sugar-free and vitamin-enriched formula to attract a growing health-conscious market.
In 2017, Celsius reintroduced itself as a āfitness drinkā rather than just an energy drink.
The new messaging emphasized its role in supporting active lifestyles, and it began positioning itself as a pre-workout or recovery drink.
This pivot resonated with a new audience of fitness enthusiasts and wellness-minded consumers. Celsius was now viewed as the energy drink that aligned with their health goals.
The packaging, branding, and product line also received a makeover, introducing more vibrant, bold, and sleek designs to attract younger consumers. Flavors like āSparkling Peach Vibeā and āTropical Vibeā also set the product apart from traditional energy drinks.
The original versus new packaging
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š Strategic Partnerships and Celebrity Endorsements
Once Celsius had refined its branding, it took another strategic leapāpartnering with high-profile athletes, fitness influencers, and celebrities.
These partnerships were crucial in rebuilding the brandās image and establishing credibility in the wellness space.
In 2020, Celsius landed a distribution deal with PepsiCo, giving them access to one of the largest distribution networks in the world. This enabled the brand to quickly scale, placing its drinks in more retail outlets and increasing its visibility. Today Celcius is sold in around 95% of US stores.
Celebrity endorsements and fitness influencers played a huge role in this stage of Celsius' growth.
Rapper Flo Rida was one of the brandās early supporters, and his public promotion helped boost its profile.
Show me how fit yāall been living by sending me any pics, videos, interviews, articles, podcasts, social media posts,
with me drinking Celsius or us showing Celsius love.Post your pics, tweets, concert videos etc in the comments šŖš¾š„
ā FLO RIDA (@official_flo)
5:21 PM ā¢ Nov 1, 2022
Additionally, partnerships with athletes, CrossFit communities, and trainers, like social media star Amanda Cerny, gave the brand authenticity and credibility in fitness circles.
These endorsements and partnerships brought attention to Celsius by the fitness community. The association with fitness and active lifestyles became a defining characteristic of the brand.
š± Dominating the Social Media Space
Celsius didnāt just stop at endorsements; they embraced social media as a core element of their marketing strategy. Through platforms like TikTok and Instagram, Celsius tapped into the power of user-generated content and viral challenges.
On TikTok, hashtags like #CelsiusLiveFit exploded, with users showcasing their fitness routines and tagging Celsius as their go-to energy drink. The drinkās sleek design, coupled with its health benefits, made it a popular choice for influencers looking to promote a wellness-centric lifestyle.
Celsius leveraged influencer partnerships to spark organic engagement, encouraging fans to share their workout journeys and fitness goals.
By building a community of dedicated users, they created a strong connection with their audienceāan essential factor in their rapid rise to the top.
@karyn_best The funny thing is that Iām not even overexaggeratingā¦ @CelsiusOfficial #celsius #athlete #workout #fit #energydrink #preworkout #fitness ... See more
In 2023, the #CelsiusEnergy hashtag garnered millions of views, with fans regularly posting reviews and sharing their favorite flavors. This strategy proved especially effective with younger consumers who are highly influenced by what they see on social media.
@bryce..koppe dont know her @ but its fine #fyypp #celsiuslivefit #sponsorme #viral
The brandās focus on authentic user engagement, combined with limited-edition flavors and collaborations, like their āFantasy Vibeā flavors release, helped create a sense of exclusivity that drove sales.
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