Beer distributors are continuing to prioritize Alani Nu, even as many fret over the risk of losing the brand after its acquisition by Celsius earlier this year.
According to the latest Beverage Bytes survey of beer distributors by Goldman Sachs Equity Research, representing around 50 distributors servicing 46% of U.S. alcohol retail outlets, 93% of respondents said Alani Nu is a strong focus of their non-alc (NA) portfolios and they are not de-emphasizing sales even if Celsius’ $1.8 billion purchase of the energy and protein drink brand in February opens the door for a distribution shakeup.
The acquisition has pushed Celsius’ total U.S. retail revenue over $3 billion in the 52-week period ending May 31, 2025, with dollar sales up 20.1% and volume sales growing 15.5%, according to NIQ scanner data.
Among Alani Nu distributors, 64% said they expect to lose the brand sometime in the near future.
However, there are bullish dissenters among the remaining 36% of respondents who believe that it is unlikely Celsius will move Alani Nu out of its existing distribution network, citing a glut of energy drinks already in the system of Celsius’ core distribution partner PepsiCo – which also sells Rockstar and MTN Dew – as well as other strategics like Coke (Monster) and Keurig Dr Pepper (Ghost, C4, Bloom, Black Rifle).
“Alani Nu is more important to beer distributors in terms of profitability and would continue to get targeted focus over the long haul if the brand stays in the ABI [Anheuser-Busch InBev] network,” one survey respondent stated.
The same distributor, the report added, said both PepsiCo and Coke “typically take a short-term view of acquired brands in their markets” and that historically “energy drink brands that are sold and moved to soft drink distributors … often lose their allure.”
While there may be a compelling argument for keeping Alani Nu on independent trucks, Celsius’ plans are still unknown. The company has said it is working to integrate the brand into its system “while also focusing on continuing to drive revenue, profitability and synergies throughout their organization to maximize the value of the acquisition,” the report added.
Overall, distributors remain optimistic on NA beverage opportunities and energy drinks in particular were viewed favorably.
However, if Celsius does ultimately move Alani into the Pepsi system, or elsewhere, beer distributors will need to turn their attention to a significantly smaller brand in order to maintain a stake in the next gen energy category as most of the largest brands – and even recent innovations like Black Rifle Energy – are already spoken for.
Sales of PRIME Energy are continuing to plummet (down by 70.6% in the 52-week period ending May 31, per NIQ) and ABI has already found its next energy partner post-Ghost sale via a deal with 1st Phorm to launch a new RTD line this year.
But there are still growing independent energy drink brands that could potentially fill a void: Bucked Up, RYSE Fuel, Jocko Fuel Go and Lucky Energy all appear to be striving for similar positions in the market and a big vacancy could benefit one or several of them.
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