Alani Nu sets the path for future growth after passing $1bn milestone

Growth trajectory
Growth trajectory (Alani Nu)

The better-for-you energy drink brand – which was acquired by Celsius earlier this year - has hit the billion dollar milestone. What’s next?

Alani Nu’s sales rocketed 72.4% in the 52-week period ending April 13, 2025, as reported by Circana data, pushing Alani Nu past the billion dollar milestone.

The achievement has been fueled by ‘accelerated brand growth, strong and unique innovation, and a growing female energy drink consumer segment seeking better-for-you, functional beverages that fit their health and wellness lifestyles’.

Alani Nu’s brand is led by its better-for-you energy drink, but with a portfolio that also includes energy sticks, gummy sweets, RTD coffee and protein bars. It’s carved out a key opportunity in the industry by focusing on female consumers: something that energy drinks have traditionally struggled to do.

It was founded in 2018 by entrepreneur, trainer and influencer Katy Hearn, with a portfolio of products that are ‘aspirational yet accessible’ for a growing community of Gen Z and millennial consumers.

Celsius - itself a better-for-you energy drink powerhouse brand - acquired Alani Nu for $1.8bn earlier this year (the acquisition closed on April 1).

The brand was an attractive target to Celsius for three key reasons: firstly, to allow it to grow the better-for-you energy drink category; secondly, to grow a female consumer base; and thirdly, to expand beyond energy drinks into snacks and bars.

John Fieldly, CEO of Celsius, credits Alani Nu’s resonance with consumers as the reason for reaching the $1bn milestone.

“This extraordinary achievement reflects the strength of the brand’s connection with consumers and the accelerating momentum in the better-for-you functional beverage space,” he told analysts in the company’s Q1 earnings call earlier this month.

And there’s plenty more to come.

“It’s going to be really exciting, the momentum they’ve had, it’s a great brand that’s resonating with an extremely loyal female consumer base. We’re extremely optimistic about the distribution gains we’ll be able to make with the Alani portfolio.”

Complementary brands or cannibalization conundrum?

Such has been their success that Alani Nu and Celsius now claim 20% of total energy drink category dollar growth in the first quarter of 2025.

Celsius itself only became a billion dollar brand in 2023.

There’s clear synergies between the two brands: following a similar trajectory of growth in the same category.

And while both play in the exciting better-for-you energy category, is there a danger they’re too close: and one cannibalizes another?

Fiedly says that the consumer segments and distribution focus is sufficiently differentiated between the two, while still making the most of synergies.

“You have a there’s a huge opportunity with Alani Nu as we integrate it further within our Amazon teams, and also restaurants and, food service, college and universities, and opportunities we’re working on right now, through our distribution partners, is further expanding within on premise. So a lot of opportunities there with both these portfolios. They have different consumer segments.

“There’s been a lot of big questions about cannibalization, [but] you know, the cannibalization has been minimal,” he said.

“According to our data from Circana, it’s about a 15% crossover. And both these portfolios over index with some of the other leading brands out there in the category.

“So this portfolio is going to give us a really strong position, to continue to drive growth in the category for years to come, and leverage the tailwinds of health and wellness.”

National retail

Alani Nu products can be found at national retailers in the US including Walmart, Target, GNC, The Vitamin Shoppe, Kroger Family Stores, Costco and Amazon.

Alani Nu’s $1bn milestone achievement is not unexpected, says Jon Andersen, a partner at William Blair & Company covering the consumer products sector.

“Alani Nu has become one of the fastest growing energy drink brands because of its ability to appeal to the female segment with better-for-you formulations, unique flavors, distinctive packaging, and effective digital and social marketing,” he said.

And under Celsius, there’s runway for plenty of further growth.

“Alani Nu is a compelling addition to Celsius’ portfolio because it is a rapidly growing brand with ample whitespace, it is complementary by expanding Celsius’ ability to target female consumers, leverage trade relationships and go-to-market capabilities, and scale in the energy drink category where it now has a strong No. 3 position with market share of about 16%.”