Sports drinks are designed to fuel competitors, therefore, whoever runs the social media account for sports drink-maker BodyArmor must have had a couple swigs before he came into work on Friday.
BodyArmor's Twitter account didn't mince words when directly addressing Gatorade, the sports drink market leader that is owned by PepsiCo. Inc. (PEP) - Get PepsiCo Inc. Report . PepsiCo is a holding in Jim Cramer's Action Alerts PLUS.
BodyArmor was launched in 2011 by VitaminWater/Smartwater founder Mike Repole as a better-for-you sports drink. Each of the brand's flavors boast coconut water, more electrolytes than traditional sports drinks and are lower in sodium.
The perception of being healthier compared with other sugary sports drinks has been key in aiding BodyArmor's momentum.
Repole said the brand is tracking toward $400 million in sales this year, up from $235 million in 2017. Also helping to push the brand forward has been high-profile investors/athlete sponsors such as Kobe Bryant (who holds a 10% equity stake) and Los Angeles Angels star Mike Trout.
"The company has invested in distribution at a time when athletes and exercisers want to try new drinks and ingredients," said Beverage Digest executive Editor Duane Stanford.
Beverage Digest estimated BodyArmor currently has a 2% market share of the sports drink category, well off the 75% held by Gatorade and 15% or so for Powerade. Repole said he thinks BodyArmor's market share will hit 5% by year-end.
Given its new distribution outlets, Repole believes the drink could notch 25% market share within four years. BodyArmor's newest distribution wins: 4,700 Walmart Inc. (WMT) - Get Walmart Inc. Report U.S. stores and 600 Sam's Club locations. It's also fresh off a win to be available in 9,000 7-11 convenience stores, a destination dominated for years by Gatorade and Powerade.
TheStreet has emailed Pepsi asking for a comment.