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Energy drinks? Coffee, please

A study in the September Consumer Reports (subscription required) shows that the amount of caffeine found in eight ounces of 12 popular energy drinks ranged from 50 to135mg, with most in the 75 to 80mg range, reports Reuters. That compares to the amount of caffeine in an eight ounce cup of coffee, which ranged from 65 to 120mg, with an average of 85mg, says the National Coffee Association.

The study attempts to surprise consumers by proving that many energy drinks have the same caffeine as a similar cup of coffee. What the study didn't highlight, according to Reuters, was exactly how many energy drinks and coffee people consume during a typical day. The likelihood of people drinking only eight ounces of an energy drink, or coffee, is absurdly low.

Visit any Starbucks (NASDAQ: SBUX) or 7-11 store, and consumers will notice that the smallest size cup in most franchises is 12 ounces, and the largest, 24 ounces. Only Dunkin Donuts provides coffee-drinkers with a smaller version.

Continue reading Energy drinks? Coffee, please

Diet Pepsi MAX, the choice of the Jitter Generation

PepsiCo (NYSE: PEP), is reaching for a market sector not usually attracted to diet drinks, young males, with the launch of a new product, Diet Pepsi MAX. The 'MAX' part that it hopes will appeal to this audience is additional caffeine, for that addictive buzz, along with a dash of ginseng for the psychosomatically-enervated. The drink is marketed as a pick-me-up, intended to draw on the success of energy drinks such as Red Bull among that target demographic.

The company is putting serious coin into the launch of what its hopes will become a key component of its product line. According to Advertising Age, we can expect to see $55 million worth of advertising supporting the launch, as much as triple its normal launch budget. Pepsi has also set up the de rigueur web site, www.Wakeuppeople.com, where those who never tire of marketing can indulge their thirst for it.

The campaign will use the tag line "Wake up, people," to accentuate its energizing properties. I suppose that's a better message than, "Wake up, people, you're paying a buck for a can of brown water."

Hansen has impeccable timing

Hansen Natural Corporation (NASDAQ: HANS), after sneaking out a disappointing earnings report last night which caused the stock to drop when it opened this morning, disclosed today that it completed an internal stock option review. Since the review found "no evidence raising concerns" of internal misconduct, the stock naturally bounced right back to its sky-high levels -- the stock is actually up almost 2% today, despite a 3 cent earnings miss.

It looks like Hansen's stock is still riding high on a Monster Energy drink buzz, but with earnings results like last night's, how long can it last?

Symbol Lookup
IndexesChangePrice
DJIA-154.4810,309.92
NASDAQ-37.612,138.44
S&P 500-19.141,091.49

Last updated: November 27, 2009: 07:34 PM

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