Monster Beverage Corporation · NASDAQ:MNST
Monster Beverage — Investor Presentation (January 2022)
62 slides from Monster Beverage's investor presentation, Jan 13, 2022
Slide 1: Monster Beverage Corporation January 13, 2022
}| MONSTER | 2:5. GE CORPORATION JANUARY 13, 2022
Slide 2: Safe Harbor Statement
2 SAFE HARBOR STATEMENT Certain statements made in this presentation may constitute “forward-looking statements” within the meaning of the U.S. federal securities laws, as amended, regarding the expectations of management with respect to our future operating results and other future events including
Slide 3: Strategic Acquisition: CANarchy
3 STRATEGIC ACQUISITION Founded in 2015, CANarchy is a disruptive collective of like-minded brewers dedicated to bringing high-quality craft beer and seltzers to drinkers everywhere. The portfolio of craft brands includes offerings from Oskar Blues Brewery, Cigar City Brewing, Squatters Craft Beers,
Slide 4: CANarchy brands and facts
SELTZER BRANDS DISTRIBUTION NATIONAL REGIONAL-FLORIDA REGIONAL-UTAH REGIONAL-TEXAS BEER BRANDS BEER CATEGORY PALE ALE, PILSNER, HARD SELTZER FOCUS IPA FOCUS IPA FOCUS WHEAT BEER, AMBER ALE FOCUS BLONDE ALE, IPA FOCUS DARK ALE, IPA FOCUS DISTRIBUTION NATIONAL NATIONAL MTN WEST, MIDWEST MTN WEST, MIDW
Slide 5: Monster Alcohol Expansion
5 MONSTER ALCOHOL EXPANSION The CANarchy acquisition marks Monster Beverage Corporation’s entry into the alcoholic beverage industry, with a number of high-quality established brands. CANarchy already operates with the people, distribution network, licenses, alcohol beverage development expertise, m
Slide 6: ESG
6 ESG The Company published its first Sustainability Report in August 2021**. Over 95% of the Company’s products are sold in aluminum cans, which are 100% recyclable. Approximately 73% of each can is sourced from recycled beverage containers. The Company has achieved LEED certification in most U.S.
Slide 7: ESG
7 ESG In 2021, the Company responded to the CDP questionnaires on Water Security and Climate Change, which reported on the Company’s Scope 1 and Scope 2 emissions from its U.S. operations. In the KnowTheChain food & beverage rankings, the Company now ranks 23 out of 43, showing significant improveme
Slide 8: Global Philanthropic Support 2021 Highlights
8 GLOBAL PHILANTHROPIC SUPPORT 2021 HIGHLIGHTS COVID-19 PANDEMIC To aid in the effort for global vaccinations, MECares supported Team Rubicon, which provides medical aid to underdeveloped countries, to slow and stop the spread of Covid-19 to those in most need. U.S. TROOPS AND ALLIED FORCES MECares
Slide 9: Global Philanthropic Support 2021 Highlights
9 GLOBAL PHILANTHROPIC SUPPORT 2021 HIGHLIGHTS GLOBAL EXPANSION MECares EMEA was formed to support our global philanthropic expansion, in the United Kingdom, Europe, the Middle East and Africa. CARING FOR OUR OWN MECares assists our global human resource team in aiding Monster Energy employees and b
Slide 10: Supply Chain
10 SUPPLY CHAIN In 2021 the Company experienced a number of challenges as a result of unanticipated increases in demand, which adversely impacted sales as well as operating costs and affected the availability of our products on shelves at retailers. The Company has addressed and continues to address
Slide 11: Supply Chain
11 SUPPLY CHAIN Additional can manufacturing capacity in the United States has been secured for 2022, although the Company will continue to import aluminum cans to supplement its domestic can supply. Can capacity in EMEA remains challenging and the Company expects to continue to import aluminum cans
Slide 12: Beverage Landscape
$936M $651M $348M $540M $342M $86M $240M 12.0% 15.2% 8.0% 14.6% 23.2% 6.5% 19.4% $ CYA $ % Chg YA 12 BEVERAGE LANDSCAPE TOTAL U.S. ALL CHANNELS ALL MEASURED CHANNELS SNAPSHOT 13WKS SPARKLING SOFT DRINKS 32.0% WATER 18.1% JUICE/JUICE DRINKS 17.1% ENERGY DRINKS 15.5% SPORT DRINKS 6.7% RTD TEA 5.1% RTD
Slide 13: Brand Performance Total U.S. All Channels
13 BRAND PERFORMANCE TOTAL U.S. ALL CHANNELS $ VOL $ VOL % CHG U VOL U VOL % CHG $ SHR $ SHR CHG TNA ENERGY $4,255,846,009 15.1% 1,470,424,988 11.3% 100.0 0.0 TNA TOTAL MEC $1,555,765,446 9.6% 546,877,499 6.1% 36.6 -1.9 TNA MONSTER $1,341,655,396 12.2% 465,962,404 9.1% 31.5 -0.8 TNA NOS $91,756,953
Slide 14: Energy Category Total U.S. Dollar Share
14 Source: Nielsen Total US xAOC + Conv 24 months ending 01/01/2022 TNA Energy 0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 Jan 20 Feb 20 Mar 20 Apr 20 May 20 Jun 20 Jul 20 Aug 20 Sep 20 Oct 20 Nov 20 Dec 20 Jan 21 Feb 21 Mar 21 Apr 21 May 21 Jun 21 Jul 21 Aug 21 Sep 21 Oct 21 Nov 21 Dec 21 TNA T
Slide 15: Energy Category Total U.S. Unit Share
15 ENERGY CATEGORY TOTAL U.S. UNIT SHARE – ALL MEASURED CHANNELS 0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 Jan 20 Feb 20 Mar 20 Apr 20 May 20 Jun 20 Jul 20 Aug 20 Sep 20 Oct 20 Nov 20 Dec 20 Jan 21 Feb 21 Mar 21 Apr 21 May 21 Jun 21 Jul 21 Aug 21 Sep 21 Oct 21 Nov 21 Dec 21 TNA TOTAL MEC TNA M
Slide 16: Brand Performance Total U.S. Convenience
16 BRAND PERFORMANCE TOTAL U.S. CONVENIENCE TOTAL U.S. CONVENIENCE SNAPSHOT 13WKS $ VOL $ VOL % CHG U VOL U VOL % CHG $ SHR $ SHR CHG TNA ENERGY $2,783,413,708 10.9% 1,006,588,634 7.5% 100.0 0.0 TNA TOTAL MEC $1,020,536,527 6.3% 388,308,333 3.6% 36.7 -1.6 TNA MONSTER $864,608,611 8.6% 327,416,372 6.
Slide 17: Brand Performance Total U.S. Convenience 5 Weeks
17 BRAND PERFORMANCE TOTAL U.S. CONVENIENCE TOT AL U.S. CONVENIENCE SNAPSHOT 5WKS $ VOL $ VOL % CHG U VOL U VOL % CHG $ SHR $ SHR CHG TNA ENERGY $1,028,227,674 12.5% 371,576,556 9.1% 100.0 0.0 TNA TOTAL MEC $380,516,891 8.4% 144,120,716 4.9% 37.0 -1.4 TNA MONSTER $322,519,623 10.5% 121,552,987 7.3%
Slide 18: Distribution
18 DISTRIBUTION MONSTER BRAND ENERGY DRINKS COCA-COLA SYSTEM BOTTLERS WORLD TERRITORIES COMPANY COVERAGE EFFECTIVE AS OF DECEMBER 31, 2021 ALL OTHER - INDEPENDENT NO COVERAGE Maps not to scale
Slide 19: Distribution
19 DISTRIBUTION MONSTER IS NOW DISTRIBUTED IN 138 COUNTRIES AND TERRITORIES. STRATEGIC BRANDS ARE NOW DISTRIBUTED IN 64 COUNTRIES AND TERRITORIES. REIGN IS NOW DISTRIBUTED IN 21 COUNTRIES AND TERRITORIES WORLDWIDE. AFFORDABLE ENERGY (PREDATOR & FURY) IS NOW DISTRIBUTED IN 25 COUNTRIES AND TERRITORIE
Slide 20: Strategic Brands Existing Markets
20 STRATEGIC BRANDS EXISTING MARKETS
Slide 21: Reign Existing Markets
21 REIGN EXISTING MARKETS
Slide 22: Affordable Energy Existing Markets
22 AFFORDABLE ENERGY EXISTING MARKETS
Slide 23: Expansion Markets Targeted Launches
23 EXPANSION MARKETS TARGETED LAUNCHES EMEA APAC LATAM BELIZE (MONSTER & PREDATOR) BOLIVIA (FURY) CHILE (REIGN) COLOMBIA (FURY) COSTA RICA (FURY) ECUADOR (FURY) GUATEMALA (FURY) GUYANA (PREDATOR) NICARAGUA (FURY) PANAMA (FURY) PERU (FURY) SURINAME (MONSTER & PREDATOR) VENEZUELA (MONSTER) CARIBBEAN A
Slide 24: Value Share Growth Select Global Markets
Most Recent Data Available: Source: Nielsen GB All Measured Retail Channels YTD thru 12/05/2021; Intage Japan CVS channel YTD thru 11/2021; Nielsen Canada All Channels YTD thru 12/04/2021; Nielsen Germany All Measured Retail Channels excl. Hard Discounters YTD thru 12/05/2021; Nielsen France All Mea
Slide 25: Updates on China
25 UPDATES ON CHINA REINFORCING BRAND FOUNDATIONS BUILDING AVAILABILITY OF DIFFERENTIATED FLAVORS COMMUNICATING ABOUT PRODUCT FUNCTIONALITY INCREASING LOCAL RELEVANCE BY LEVERAGING KEY OPINION LEADERS PRODUCT & LIFESTYLE COMMUNICATION ON SOCIAL, DIGITAL AND POSM SUMMER ON PACK PROMOTION ACHIEVED HIG
Slide 26: Major Sponsorships 2021
26 MAJOR SPONSORSHIPS 2021 WINTER SUMMER
Slide 27: Top Ambassadors 2021
27 TOP AMBASSADORS 2021 ROB GRONKOWSKI 4X SUPERBOWL CHAMPION LEWIS HAMILTON 7X FORMULA 1 CHAMPION VALENTINO ROSSI 9X MOTOGP CHAMPION TIGER WOODS GOLF LEGEND CHLOE KIM OLYMPIC AND X GAMES SNOWBOARD CHAMPION JAMIE ANDERSON WINNINGEST FEMALE X GAMES ATHLETE NYJAH HUSTON STREET SKATE LEGEND KURT BUSCH N
Slide 28: Champions 2021
BAJA 1000 MOTORCYCLE PRO CLASS CHAMPIONS 28 CHAMPIONS 2021 CHLOE KIM X GAMES SNOWBOARD SUPERPIPE CHAMPION DYLAN FERRANDIS MOTOCROSS 450 CHAMPION FABIO QUARTARARO MOTOGP WORLD CHAMPION GRIFFIN COLAPINTO U.S. OPEN OF SURFING CHAMPION JAMIE ANDERSON X GAMES SLOPESTYLE CHAMPION JOSE VITOR LEME BACK-TO-B
Slide 29: MMA Champions 2021
BRANDON MORENO FLYWEIGHT CHAMPION 29 MMA CHAMPIONS 2021 SERGIO PETTIS BANTAMWEIGHT CHAMPION ROSE NAMAJUNAS STRAWWEIGHT CHAMPION KAMARU USMAN WELTERWEIGHT CHAMPION VALENTINA SHEVCHENKO WOMAN’S FLYWEIGHT CHAMPION PRIMARY SPONSOR
Slide 30: Formula 1 2021
30 FORMULA 1 2021 FIRST DRIVER IN FORMULA 1 HISTORY TO REACH 100 WINS LEWIS HAMILTON HAMILTON HOLDS THE RECORD FOR THE MOST F1 RACE WINS AT 103. TIED WITH MICHAEL SCHUMACHER FOR THE MOST F1 CHAMPIONSHIPS - 7
Slide 31: MotoGP 2021 Green Sweep
31 MOTOGP 2021 GREEN SWEEP MONSTER SWEEPS THE CHAMPIONSHIP PODIUM FABIO QUARTARARO WORLD CHAMPION FRANCESCO BAGNAIA 2ND PLACE, WORLD CHAMPION JOAN MIR 3RD PLACE, WORLD CHAMPION FABIO QUARTARARO MONSTER ENERGY FACTORY YAMAHA MOTOGP TEAM
Slide 32: E-Sports 2021
32 E-SPORTS 2021 EVIL GENIUSES NATUS VINCERE FNATIC TEAM LIQUID SKYRROZ 4.2M+ FOLLOWERS JERICHO 3.3M+ FOLLOWERS VIRTUAL EVENTS IN 2021 POW3R 4M+FOLLOWERS TEEP 1.4M+ FOLLOWERS TOP TOURNAMENTS TOP TEAMS INFLUENTIAL STREAMERS ANNIEFUCHSIA 500K+ FOLLOWERS 110 TOURNAMENT FINALS APPEARANCES WITH 73 WINS
Slide 33: Music 2021
POST MALONE 33 MUSIC 2021 TOP ARTISTS TOP FESTIVALS BUN B ANTHRAX ROYCE DA 5'9" COLE SWINDEL POPPY BENNY THE BUTCHER TRAVIS BARKER FEID ILLENIUM
Slide 34: Social 2021 Key Highlights
34 SOCIAL 2021 KEY HIGHLIGHTS 2B+ TOTAL IMPRESSIONS 212MM+ VIDEO VIEWS INCREASED FACEBOOK AND INSTAGRAM IMPRESSIONS YOY BY 85% POST MALONE ON TWITTER 297% INCREASE IN CONVERSATION APEX LEGENDS ON SNAPCHAT CONSUMER PROMO DROVE 10.8X HIGHER PURCHASE INTENT ACTION SPORTS ON TIKTOK Source: Google Ads Ma
Slide 35: T1 Retail Promotions U.S. 2022
T1 35 RETAIL PROMOTIONS U.S. 2022 ALL ACCESS PASS RETAIL PROMOTION 2022 U.S. PROGRAMS ULTRA MIAMI ART WEEK PROMOTION WITH COI LERAY T2 T3 PARTNERING WITH TOP AAA VIDEO GAME TITLE PROMOTIONAL MONSTER ENERGY CAN GAMING RETAIL PROMOTION
Slide 36: Retail Promotions EMEA 2022
36 RETAIL PROMOTIONS EMEA 2022 2022 EMEA PROGRAMS UFC RETAIL PROMO & CONTENT PARTY IN MIAMI RETAIL PROMO ALLACCESS PROMO & CONTENT PARTNERING WITH TOP AAA VIDEO GAME TITLE PROMOTIONAL MONSTER ENERGY CAN GAMING RETAIL PROMOTION T1 T2 T3 COUNTRIES CAN RUN THREE OR FOUR PROMOTIONS
Slide 37: Java Monster
37 JAVA MONSTER COFFEE WITH ATTITUDE NATIONAL DIGITAL CAMPAIGN PRODUCT & LIFESTYLE SAMPLING TRUCK TOUR EVENT ACTIVATIONS OUTSIDE LANDS BRAND AMBASSADORS CONSUMER PROMOTIONS
Slide 38: Ultra
38 ULTRA FULL FLAVOR – ZERO SUGAR OFFICIAL ENERGY DRINK OF THE 2021 NOBULL CROSSFIT GAMES NATIONAL PROMOTIONS MEC MUSICIAN GUAPDAD4000 ULTRA GOLD 82.7 MILLION REACH, 521 MILLION IMPRESSIONS STAND BY YOUR CAN 39.5 MILLION REACH, 130.4 MILLION IMPRESSIONS DIGITAL PROGRAMS MEC ATHLETE HAILIE DEEGAN Sou
Slide 39: Juice
39 JUICE TAKE FLAVOR TO THE LIMITS SOCIAL MEDIA FURTHER JUICE INTEGRATION INTO MAIN FEED INFLUENCER / PARTNER CONTENT 2022 INNOVATION AUSSIE STYLE LEMONADE FULL DIGITAL MEDIA LAUNCH CAMPIGN
Slide 40: Hydro
40 NATIONAL DIGITAL CAMPAIGN TIGER WOODS CONSUMER PROMOTIONS SPORTS AND FIELD MARKETING NATIONAL EVENT PLATFORMS HYDRO HARD-CHARGING HYDRATION 2022 SPONSORSHIP
Slide 41: Rehab Monster
41 REHAB MONSTER REFRESH + RECOVER + REVIVE REFRESHED REHAB LINEUP & INNOVATION REGIONALLY TARGETED DIGITAL CAMPAIGN 2022 INNOVATION REHAB WATERMELON 817383 1221 AWARENESS & TRIAL DRIVING DIGITAL CAMPAIGN PERFORMANCE 67.5M IMPRESSIONS EXCEEDED CAMPAIGN CTR & VCR BENCHMARKS EVENT ACTIVATION BOTTLER,
Slide 42: Reign Total Body Fuel
42 REIGN TOTAL BODY FUEL REGIONAL, NATIONAL & GLOBAL PARTNERSHIPS BRAND AMBASSADORS, ATHLETES AND FIELD SAMPLING TEAMS 2021 RESULTS: +900K SAMPLES DISTRIBUTED +3500 EVENTS & +4400 ACTIVITIES SOCIAL/DIGITAL MEDIA 2021 RESULTS: 784MM IMPRESSIONS & 313MM TOTAL REACH NATIONAL CHAIN & CONSUMER PROGRAMMIN
Slide 43: Reign Innovation 2021-2022
43 REIGN INNOVATION 2021-2022 2022 2021
Slide 44: True North Pure Energy Seltzer
44 TRUE NORTH PURE ENERGY SELTZER NEW BRAND FAMILY LAUNCHED IN NATURAL CHANNEL AND E-COMMERCE DIGITAL AND SOCIAL MEDIA AMBASSADORS PALLET DISPLAYS AT SPROUTS AMAZON AVAILABILITY BRAND WEBSITE LAUNCHED SOCIAL MEDIA PAGES LAUNCHED DEDICATED AMBASSADOR ROSTER FOR BRAND SUPPORT
Slide 45: True North Launch 2021
45 TRUE NORTH LAUNCH 2021
Slide 46: Monster U.S. Innovation 2021
46 MONSTER U.S. INNOVATION 2021
Slide 47: Monster U.S. Innovation 2022
47 MONSTER U.S. INNOVATION 2022 JAVA MONSTER MONSTER RESERVE
Slide 48: Strategic Brands Innovation 2021
48 STRATEGIC BRANDS INNOVATION 2021
Slide 49: Strategic Brands Innovation 2022
49 STRATEGIC BRANDS INNOVATION 2022
Slide 50: Affordable Energy Innovation 2021-2022
50 AFFORDABLE ENERGY INNOVATION 2021-2022 FURTHER EXPANSION OF FLAVORS AND VARIOUS COUNTRIES IN 2022
Slide 51: NOS
51 NOS GET AFTER IT NATIONAL DIGITAL MEDIA DELIVERED OVER 536M IMPRESSIONS ATHLETES & PARTNERS 12 ATHLETES / 220+ EVENTS INFLUENCER CONTENT & PARTNERSHIPS GENERATED OVER 66M VIEWS Source: Facebook Ads Manager, Google Campaign Manager HIGH PERFORMANCE ENERGY ROOTED IN AUTO-CULTURE
Slide 52: Full Throttle
52 FULL THROTTLE HARD-WORKING, EASY DRINKING NATIONAL & LOCAL DIGITAL MEDIA DELIVERING 50M IMPRESSIONS ATHLETES & INFLUENCERS 6 PARTNERS WHITE REGIONAL OFFERING HARD-WORKING ENERGY FOR THE EVERYDAY WARRIORS Source: Facebook Ads Manager, Google Campaign Manager
Slide 53: Relentless
UK RAP, GRIME & ELECTRIC MUSIC 53 RELENTLESS #WITHOUTLIMITS CREDIBLE KNOWN UK ARTIST COLLABORATIONS MAJOR FESTIVALS SCENE CREDIBLE MEDIA PARTNERSHIPS GRASS ROOTS 'ENERGY CREW' SUPPORT
Slide 54: Burn
54 BURN LIGHT IT UP MUSIC MAINSTREAM POP MUSIC IN COMBINATION WITH HIP-HOP & EDM. STYLE STYLE TO EXPRESS YOUR PERSONALITY IN EVERY POSSIBLE WAY. DANCE FUN, SELF-EXPRESSION, FLUID, AND ALWAYS SHAREABLE. NO NEED TO BE A PRO. DELIVERING ICONIC PARTY MOMENTS VIA
Slide 55: Live+ Energy
55 LIVE+ ENERGY LIVE LARGE INNOVATION PACKAGING REFRESH Q2 2021 EZ LIFESTYLE & COMEDY
Slide 56: Mother Energy
56 MOTHER ENERGY ALWAYS ON! ENERGY FOR ALL OCCASIONS! HUMOR, ADVENTURE & MUSIC
Slide 57: Powerplay
57 POWERPLAY PLAY HARD LOCAL URBAN MUSIC AND STREET CULTURE
Slide 58: Nalu
58 NALU FRUITY ENERGIZER FUELS YOUR IMAGINATION ABOVE THE LINE TARGETED SAMPLING PARTNERSHIPS DIGITAL IN-STORE
Slide 59: Predator, Fury, Prowler Affordable Energy
59 PREDATOR, FURY, PROWLER AFFORDABLE ENERGY GLOBAL ASSET LIVERPOOL FOOTBALL CLUB DIGITAL AND SOCIAL MEDIA PREDATOR FOR CONSUMERS DEMANDING FUCTIONALITY, TASTE AND LIFESTYLE BUT POSITIONED WITHIN THE AFFORDABLE ENERGY CATEGORY. INCREMENTAL OPPORTUNITIES IN LATAM, EASTERN EUROPE, AFRICA, MIDDLE EAST
Slide 60: Solid Financial Results
60 SOLID FINANCIAL RESULTS 29 CONSECUTIVE YEARS OF INCREASED SALES SINCE THE ACQUISITION OF THE HANSEN BEVERAGE BUSINESS IN 1992. ACHIEVED $4.6 BILLION IN NET SALES IN 2020 UP 9.5% OVER NET SALES OF $4.2 BILLION IN 2019. FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2021, ACHIEVED $1.97 IN DILUTED EARNING
Slide 61: Question and Answer Session to Begin Shortly
61 QUESTION AND ANSWER SESSION TO BEGIN SHORTLY
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