Monster May Offer Alcoholic and Cannabis Drinks

CORONA, Calif. - Monster wants to energize its beverage offering and is considering both alcoholic drinks and cannabis-infused drinks, reports Fooddive.com. 

This news is no surprise given the challenges Monster has faced recently, and diversifying is a forward-thinking step. Many big names are getting into the increasingly competitive energy drink market, and sales could total $16.9 by 2022, according to Market Research Hub.

Last year, total sales were close to $11 billion, an increase of 7.5% over 2017. The energy drink category keeps growing, with Amazon introducing a private-label beverage and Keurig Dr Pepper's partnering with serial beverage entrepreneur Lance Collins on an energy drink called Adrenaline Shoc.  

Monster said it is open to exploring cannabis-infused drinks if they become federally legal in the U.S. This is similar to what other major brands, such as Mondelez, have said. The FDA’s first public hearing on regulation of CBD occurred two weeks ago, but analysts believe actual rules are still years away. 

Monster may also consider introducing a drink like Four Loko, which combines caffeine and alcohol. That would allow Monster to jump into a new category while maintaining the function for which it is known. However, alcoholic energy drinks haven't had the best track record. Four Loko ran into trouble after dozens of college students nationwide were hospitalized after drinking the beverage and quickly becoming both intoxicated and wired. 

Monster's strategy of leaning on innovation to boost its sales seems to be working so far. The company recently introduced Reign, a new energy drink that is expected to appeal more to the health-oriented consumer.