Top 5 Biggest Sports Nutrition Brand Winners of 2018
As we approach the end of 2018, that proverbial “new start” gives us a perfect reason to reflect over the past year. Over the next few weeks, you will be seeing several “Top Lists” of different functional CPG & FMCG topics that will range from insightful to entertaining. In this second list (read first list here), I cover my biggest sports nutrition industry brand winners in 2018.
I used a mostly qualitative approach to picking these five from thousands of brands. Where available, either through reports or resources, I added a quantitative element, even though I wasn’t necessary ranking these by revenue or volume growth.
For new readers/viewers of my content that are trying to validate my expertise, I have been in the functional CPG industry for over a decade. In the last 6 years, I owned a successful and growing management strategy consulting firm that has helped dozens of nutritional supplement (sports nutrition), functional food and beverage, and ancillary functional CPG brands achieve meaningful growth.
I can go on and on about achievements but that isn’t my style and I know you want to get to the important stuff…the Top 5 List!
One last detour before I count down from 5 to 1…a few honorable mentions that I am keeping an eye on for 2019.
Honorable Mentions
- MAN Sports — This brand has been in the market for over a decade but this year felt different to me. I like that the brand is taking hard lines on its audience and its attacking new markets. They also have increased the volume and quality of original content. They are also leaning more on digital (direct to consumer).
- Myoblox — This is a new entrant into the industry and I enjoy the unique brand storytelling, elevated packaging and solid product formulations. I don’t know the team personally, but this is a brand that I am spying on from the outside.
- The Genius Brand —This is another newer brand with a great purpose that aligns with core values and purpose of the founder Robert Oliver. I also like the unique take on product ideation and execution. They also have an extremely strong handle on digital marketplaces like Amazon.
So, without further ado, my list for Top 5 Biggest Sports Nutrition Brand Winners in 2018 (and some bullets around why I chose them…)
#5 — Glanbia Performance Nutrition
- Glanbia Performance Nutrition is a portfolio comprised of brands like Optimum Nutrition, BSN, Amazing Grass, Isopure, and several others
- They had a 2017 rvenue of about $1.3B and their 5% growth through Q3 of 2018 would give the portfolio an incremental growth of around $65M (Note: Compared to other brands on this list, that $65M in projected 2018 incremental revenue growth would be larger than any singular brand’s total revenue)
- I like their intense focus on launching functional foods/beverages (RTE/RTD) that are performance positioned in the FDMC channels
- I also like the focus on wellness products with a growing brand called Amazing Grass
- Glanbia Performance Nutrition is also involved with adding private-label exclusive brands for Amazon and Walmart
#4 — Sparta Nutrition
- This was a brand that started out with a “hardcore” positioning in the market a few years ago
- They saw an aggressive rebrand this year that is very mainstream in composition, even though I think it looks similar to Health Warrior (which was acquired by PepsiCo in the last month)
- This rebrand, along with having a well performing keto supplement line, helped them land both The Vitamin Shoppe and GNC in the last half of 2018
- They also just announced a protein bar that is inspired by cereal flavors (which I think will be a big trend in 2019…more on a list like that in the next few weeks)
#3 — MTS Nutrition
- This brand was originally a private-label for the internet retailer Tiger Fitness
- Marc Lobliner has built a growing personal brand that is focused on creating value for his following (follow him on Instagram) and this personal brand leaks into his various businesses
- MTS Nutrition also has a vertical integration with Tiger Fitness (acting as a pseudo direct to consumer site and data collection tool)
- They also do a great job at incrementally adding retail doors through GNC and Complete Nutrition’s franchise networks. This helps control the growth and keep cash available for new products innovations or marketing initiatives.
- Though MTS Nutrition has had a great product lineup, it really took a leap in potential with the launch of the Outright Bar (and now wafer). I believe this will start a chain reaction in the brand with more offerings in the RTE space.
#2 — Redcon1
- Like Marc Lobliner’s MTS Nutrition, Aaron Singerman has built a strong personal brand that has spilled over into the growth of Redcon1
- This reputation of working hard has created a culture of intense focus on becoming the largest sports nutrition company in the world
- Despite the heavy promotional activity with the Redcon1 direct to consumer site (Note: I am a big proponent of controlling one’s destiny and growing direct business is a pillar of that), they are overcoming most of the channel conflicts with sheer momentum and sales velocity in the short-term
- Redcon1 also utilizes product development as a way to keep constant conversation in the market with product launches that help gain consumer “mind share”
- The brand also has a very successful RTE protein bar (called the MRE bar) and have announced a RTD pre-workout energy beverage in 2019
- Over 2018, I have also noticed a more refined creative output and also an increase in volume that helps Redcon1 keep consumer attention in a world of constant noise
#1 — GHOST Lifestyle
- My favorite part about GHOST Lifestyle is that they are building a true consumer brand (not a product-based singular “A” Sku company). The type of brand that makes you have an emotional attachment that isn’t driven my promotional activity or some cheap short-term tricks
- GHOST is all about controlling the customer experience from the brand management to the sales distribution (they are only available in-store at GNC and direct to consumer)
- In a digital world with tons of leakage points, the messaging, positioning, and creative stays tight (even down to the user generated content they get consistently from “legends”)
- This brand equity is further built with an elevated well thought-out social influencer strategy. These “athletes” aren’t typical meatheads and are able to articulate digital story’s that pull customers toward GHOST. Combined with their own “Behind the Brand” YouTube series, the brand feels even more transparent
- Finally, there focus on creating an exclusive experience with all elements of the brand can be seen with licensed flavors from Swedish Fish, Sour Patch Kids, and Warheads, usage of experiential pop-up shop trade show marketing, and even to unique apparel collaborations