Fyre Energy Drink – Can it be a Firebrand?

Who buys your brand? What does it mean to your consumer? These are some regular queries raised by brand experts even in casual discussions. Brand success/failures happened or yet to happen can be very well ascribed to the lucidity of the above questions. The Indian consumer today has evolved,  reflecting a radical shift in their preferences. Consequently, several brands were lucky to intrude into the consumer’s mental landscape. One such category that gained traction in the country is the energy drink category. Fyre Energy Drink is the new enthusiastic and innovative addition to the category.

Energy drink traditionally is an under- noticed category in India. Consumer awareness is abysmally low compared to other beverages. Even though, market research reports forecast a CAGR of 9.22% for 2020 – 2025, market penetration is relatively a tough task. Moreover, unlike other beverages, the energy drink category has a dominant player who enjoys a healthy market share of above 80%. Hence, it compels a  new brand to be innovative in its approach to the market. In this context, Fyre was prodigious in its approach.

Fyre differentiated with the product form. They are the industry first to launch a ‘cut-pour-stir’ format(Read Powdered) of energy drink that comes in sachets. Sounds good and rather innovative. Moreover, the portfolio includes various flavours such as classic, orange, and lemon and Fyre energy shots that are available through e-commerce platforms.  Fyre available in different price points such as  Rs  5, 15, 30, and 60 ensures affordability and confirms price differentiation. On view through a branding lens, I am worried whether Fyre is following the predecessors Urza, Tzinga, SoBe, Sting, etc.

Theoretically, companies keep product characteristics or consumer goals as the ‘Frame of Reference’(Point of Parity) to claim membership. However, if a dominant competitor who exemplifies consumer goals exists they become an obvious frame of reference. Fyre, as a powdered energy drink, I feel does not match with category prerogative. The idea of Sachet packs further distance the brand from the category. Then how can you a member of the category? One must remember the fate of ‘Instant Horlicks’ which failed in the market miserably.

The three propositions of the company value for money, sugar-free, and ease of storage/carrying are considered as Point – of – Difference. How energy drinks are sold in India? Functional or Emotional. If functional is the answer, then Urza must not fail. I strongly believe that for Indian market energy drink is predominantly an aspirational lifestyle product. Consumer buys it as a lifestyle statement. Hence, emotions surpass functions. Without belittling the efforts behind developing a disruptive brand, I should say that Fyre is a good brand in the wrong basket. However, the consumer mind is a black box. They decide the fate of any brand I wish Fyre will have their dominant days pretty soon.