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šŸ“ˆ How Celsius Became a $7B Powerhouse

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šŸ“ˆ 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?

Hereā€™s what we got for ya:

  • šŸ’” The Idea that Saved Celsius

  • šŸ“š Strategic Partnerships and Celebrity Endorsements

  • šŸ“± Dominating the Social Media Space

Read Time: 4 min 35 sec

šŸ’” 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 wasnā€™t connecting with consumers. 

The product was marketed as a calorie-burning drink, but it didnā€™t 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 ā€œfitness 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 ā€œSparkling Peach Vibeā€ and ā€œTropical Vibeā€ also set the product apart from traditional energy drinks.

The original versus new packaging

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šŸ“š Strategic Partnerships and Celebrity Endorsements

Once Celsius had refined its branding, it took another strategic leapā€”partnering with high-profile athletes, fitness influencers, and celebrities. 

These partnerships were crucial in rebuilding the brandā€™s 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 brandā€™s early supporters, and his public promotion helped boost its profile. 

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.

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šŸ“± Dominating the Social Media Space

Celsius didnā€™t 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 drinkā€™s 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 audienceā€”an essential factor in their rapid rise to the top.

@karyn_best

The funny thing is that Iā€™m 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 brandā€™s focus on authentic user engagement, combined with limited-edition flavors and collaborations, like their ā€œFantasy Vibeā€ flavors release, helped create a sense of exclusivity that drove sales.

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