Chinese government also keeps an eye on the production of the energy drinks and has been controlling and monitoring through setting more regulations for the energy drinks industry including the production standards and strict acceptance standard given that energy drinks are directly related to the health of the consumers. And governmental supervisory bodies also executes periodical check on the product made in the energy drinks factory to ensure that all energy and sports drinks are qualified and meet the requirements of national food standards. Drink makers are also required by government to label the packages with composition and effects of energy drinks for consumers to understand well.
Prospects
Sports and energy drinks in China will tend to be more competitive in energy drinks market in China. For those brands Products such as Red Bull, Pocari Sweat as well as Gatorade who have established their image and extensive distribution network for a long time, they will continue expand and profit based on increasing energy drinks demand. Meanwhile, they will tend to invest more capital and energy on distribution penetration and marketing campaigns and research and development of energy and sports drinks made of natural ingredients while preserving their nutritional values to fit requirements from the high-end market consumers. For other domestic players who are ready to enter into sports and energy drinks industry, they will much focus on second- and third-tier cities and enhance their distribution channels. The growing personal disposable income, changing lifestyles and increasing consumer spending on food and beverages will drive the energy and sports drink market in China in the future.