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Gatorade, the inventor of the sports drink, is making a surprising pivot to reach non-athletes

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Why This Matters

Gatorade's pivot to target non-athletes reflects a broader trend in the tech and beverage industries toward health and wellness-focused products. This shift highlights the importance of understanding consumer behavior and expanding product appeal beyond traditional markets, which can drive growth and innovation. For consumers, it offers more accessible options for hydration and health benefits integrated into daily routines.

Key Takeaways

The move reflects U.S. consumers’ surging interest in wellness. Sixty years after it invented sports drinks, Gatorade is making a surprising pivot: It’s no longer focusing primarily on athletes.PepsiCo, Gatorade’s parent company, said Thursday that the brand wants to broaden its reach to non-athletes who are looking for ways to hydrate, whether they’re on a long flight, going for a walk or nursing a hangover. New packaging highlights the specific ways Gatorade’s various drinks and powders work and the research behind them.The change reflects U.S. consumers’ booming interest in beverages with perceived health benefits. Jack Doggett, a food and drink analyst with the consulting firm Mintel, said his research indicates 60% of consumers who buy sports drinks aren’t athletes but want the functional ingredients those drinks provide, like electrolytes for hydration and carbohydrates for energy.“People are using these drinks more for wellness and daily maintenance,” Doggett said. “It’s easy to say that the wellness consumer is the young consumer, but older generations are also drinking these drinks for hydration.”Unit sales of sports drink mixes, like powders from Liquid I.V., Skratch Labs and Gatorade, rose nearly 20% in the year ending March 22, according to Circana, a market research company. Bottled water sales were flat in the same period.