Dive Summary:
- Monster Energy Corporation has announced they will reclassify their product as a beverage so as to submit to all FDA regulations and silence critics who claimed they were hiding behind their supplement status.
- This reclassification also puts them on a level playing field with Red Bull, which has always been a beverage and can be bought without sales tax and with food stamps.
- Even amidst all the controversy, Monster's sales have been steadily increasing. The CEO believes with this new change, Monster will be an effective and controlling force in the energy drink market.
From the article:
Citing a number of business reasons for switch from conventional food to supplement, Sacks said it “leveled the playing field with our major competitors”, name-checking Red Bull, which is exempt from sales tax and eligible for purchase with food stamps in certain states. ...
