Celsius Holdings Inc. SWOT Analysis 

Strengths: 

Health and Functional Benefits:  Celsius refers to itself as a better alternative to sugary energy drinks because it has no sugar, no high fructose corn syrup, no aspartame, no artificial colors and flavors, and it has very low sodium (Celsius, n.d.). Additionally, Celsius contains Vitamins B and C and is gluten-free, soy-free,  vegan, and kosher. Additionally, the ingredients found in Celsius have been proven to boost metabolism and burn calories in combination with exercise. Celsius’s health and functional benefits have made it a popular energy drink for those looking to stay healthy and get more out of their workouts.  
Variety of Flavors: Celsius has differentiated itself from other energy brands by having 29 different tasty flavors, unlike other popular energy brands with only a few options(Stone, 2024). This not only helps make it more likely for a consumer to find a flavor they like, but it also helps customers keep coming back to try new flavors.
Strong Sponsorships: Celsius has increased its credibility and name recognition by sponsoring major Motorsports events like Formula One and NASCAR races, music festivals, and professional and college athletes (Doering, 2024).
Non-Male Specific Marketing: In the past, energy drink brands typically focused on targeting male consumers. However, Celsius has stated that it tries to maintain a gender-neutral target audience and instead focuses more on attracting “fitness enthusiasts” as a whole (Celsius, 2025) (Stone, 2024). By not specifically targeting males, Celsius has reached more female consumers and sold more products.

Weaknesses: 

Class Action Lawsuit: In November 2022, Celsius faced a class action lawsuit for allegedly misleading customers. It was found that Celsius products contain citric acid when Celsius originally claimed that its products have no preservatives. Even though Celsius denied the claim, they settled the lawsuit out of court, and customers were able to receive compensation. This Class Action Lawsuit means that people might find the brand untrustworthy (TodayShow, 2023). 
High Level of Caffeine: One can of Celsius contains 200mg of caffeine. The amount of caffeine is considered potentially dangerous for young people and can have side effects that include anxiety, irritability, and sleep deprivation (Hassan & Amenabar, 2023) (Demopoulos, 2024).
Pricing: Celsius is more expensive than other energy drinks, usually costing around $2.50 per can or $24 for a 12-pack (Nadeau, 2023). Consuming Celsius regularly may be too costly for some, and people may prefer cheaper brands. 

Opportunities: 

Gen Z Alcohol-Free Consumption Trends: Gen Z is drinking less alcohol, so they will have money to spend on other premium beverages, including energy drinks (Stone, 2024). 
Growing Women’s Sports Movement: With the rise in viewership and investment in women’s sports, including the WNBA, the NWSL, and women’s rugby, Celsius has the opportunity to expand its brand visibility and following among female consumers even more than it has already (Poole, 2025). 
Gen Z’s Desire for Sustainable Products: 59 percent of Gen Z consumers, Celsius’s target generation demographic, are willing to pay more for sustainable products (Deloitte, 2023). Since Celsius has not updated its ESG efforts since 2021, reviving its sustainability initiatives could boost brand loyalty and attract eco-conscious Gen Z consumers (Celsius, 2021). 

Threats:

Disruption of the American Food System: Since Robert F. Kennedy Jr. was appointed as Secretary for Health and Human Services, he has been outspoken about wanting to make significant changes to America’s food system, including banning food and drinks that he feels are poisonous to people   (Lovelace Jr., 2024). Considering that Celsius’s ingredients have already faced criticism, Celsius should be wary of the fact that it could face restrictions in selling its products under the Trump administration.
Rising Tariffs May Increase Production Costs: The Trump administration’s tariffs on Canada, China, and Mexico will impact items like aluminum and ingredients used in Celsius. Celsius may have no choice but to raise its pricing, which could lead to reduced demand, especially considering that people may be less likely to spend money on a drink that is not an essential item (Mario Torrico and Joy Marie Virga & Kinder, 2025). 
Potential U.S. TikTok Ban: Celsius relies on TikTok for marketing and reaching Gen Z consumers, often using popular influencers to promote its drinks. If TikTok gets banned in the U.S., Celsius could lose one of its biggest advertising platforms, and it could disrupt Celsius’s brand ambassador program (Martichoux, 2025).