Anheuser-Busch bets big on energy drinks with UFC’s Dana White

Beer giant Anheuser-Busch launched its Phorm Energy drink this week in partnership with Ultimate Fighting Championship (UFC) head Dana White as US drinking habits continue to evolve.

According to 2024 NielsenIQ data, around 40% of Americans sought to reduce alcohol consumption and turned to alternatives like non-alcoholic beers and energy drinks.

Non-alcoholic beer is on track to become the second-largest beer category by global volume this year. Worldwide, the sales volume of non-alcoholic beers grew by 9% last year, even as the overall beer market declined by 1%.

Phorm Energy aims to capture a spot in the booming $24 billion energy drink market. Anheuser-Busch is also betting on the UFC’s growing fan base and White’s massive online following to help boost sales.

The brewing company hasn’t made gains in its past non-alcoholic ventures. It bought the seltzer water brand Hiball in 2017 but sold it to Tilray Brands in 2023. It acquired a 40% stake in the energy drink Ghost in 2020 before Keurig Dr Pepper snagged it for $1 billion in 2024.

While global beer sales fell 1% in 2024, no-alcohol beer surged 9%. The industry tracker, IWSR, expects this trend to continue, forecasting 8% annual growth through 2029.

The new energy drink is Anheuser-Busch’s latest attempt to replicate success in the energy drink space, similar to Molson Coors’ investment in the Zoa brand, co-founded by Dwayne “The Rock” Johnson.

​​Today, major brands like Heineken and Budweiser now offer alcohol-free options, while Athletic Brewing leads US sales.