Prime Drink's success story includes selling over 1 billion bottles since 2022. People often associate the brand with Logan Paul and KSI, but Congo Brands' executives Max Clemons and Trey Steiger actually control the majority ownership stake in this beverage sensation.
The Birth of Prime Drink
Logan Paul and KSI transformed from fierce boxing rivals into business partners in the beverage industry. Their venture, Prime Drink, emerged as an unexpected partnership that would reshape the beverage market scene.
How Logan Paul and KSI joined forces
Their story began with two intense boxing matches in 2018 and 2019. KSI won the final bout. These YouTube titans chose a different path. They channeled their competitive spirit to build a business empire together.
Their combined 40 million YouTube subscribers were stunned by the partnership announcement. They cleverly teased fans about a possible trilogy boxing match. The marketing strategy ended with the reveal of their joint business venture.
Early development stages
Max Clemons and Trey Steiger of Congo Brands brought the original concept for Prime to Logan Paul and KSI. They pitched the idea of creating an energy drink. The timing was perfect - both influencers had the athletic background that matched well with a sports beverage brand.
The team wanted their product to stand out in the crowded beverage market. They worked to create a drink that would:
Bridge the gap between taste and function
Give a healthier choice than traditional energy drinks
Connect with their younger audience
First product launch
Prime Hydration launched through a live Instagram announcement on January 4, 2022. The team used a brilliant launch strategy. They limited product availability to create buzz. This approach made the product highly desirable, especially among young fans.
The release created huge demand. Products vanished from store shelves faster than restocking. The UK market became so intense that retailers like Aldi limited purchases to one bottle per person. Some people listed twelve bottles on eBay for £400.
Prime Hydration's first product line featured unique flavors like tropical punch, orange mango, and strawberry watermelon. The drink combined coconut water and electrolytes without sugar or caffeine, making it unique in the market.
The numbers tell the success story. Prime generated an estimated $250 million in retail sales in their first fiscal year (2022). The brand became the official hydration partner of Arsenal Football Club and the UFC. These strategic collaborations helped build Prime's credibility in the sports beverage market and grew beyond their social media base.
Congo Brands: The Hidden Force
A powerhouse company called Congo Brands stands behind Prime's soaring success. Based in Louisville, Kentucky, they coordinate the manufacturing and distribution of this billion-dollar beverage phenomenon.
Who are Max Clemons and Trey Steiger
Max Clemons and Trey Steiger's friendship goes back to their time at Pleasure Ridge High School in Louisville. Both earned degrees in accountancy and finance after graduation, which built the foundation for their future business empire.
They started their first drinks venture in 2017. They saw a chance to work with digital influencers for brand promotion. This insight led them to create Prime Hydration in 2021.
Clemons and Steiger now own about 60% of Prime Hydration. Their success shows in their homes - Clemons lives in a $2.4 million high-rise apartment in Nashville, Tennessee. Steiger owns a luxury Florida home worth $2.3 million that has a pool, 1.4-acre garden, and private dock.
Company background
Congo Brands, 9 years old, has grown into a full-service product development hub. The company creates innovative brands through collaborations with influential creators and entrepreneurs. Its portfolio also features other successful ventures like Alani Nutrition and 3D Energy Drinks.
The company's growth tells an impressive story. Congo Brands grew from 40 to over 650 employees in just two years, with operations in all 50 states. Its workforce has trendsetters and tastemakers who lead industry methods.
Congo Brands' business model has:
Product development and logistics
Branding and merchandising
Strategic collaborations with influencers
Distribution networks
The company works directly with major retailers like Walmart and 7-Eleven. Six major teams work together to manage nationwide distribution. The company secured $250,000 in debt financing to support its growth in 2023.
Congo Brands does more than just manufacture and distribute Prime. They develop products, run daily operations, and manage the complex logistics of producing about 10 million bottles each year. The company plans to spend $4 million to remodel its Louisville offices, adding a gym and conference rooms.
Congo Brands has become a central force in Prime's meteoric rise through innovative brand building and strategic collaborations. Their product development expertise and understanding of influencer marketing have created a radical alteration in the beverage industry.
Breaking Down Prime's Ownership
Prime Hydration's ownership shows how social media stars and business leaders came together. This team-up helped the brand become a major success in the drinks market.
Ownership percentages
Prime Hydration's owners split the company in a balanced way. Congo Brands founders Max Clemons and Trey Steiger own most of the company with a 60% share. Logan Paul and KSI each own 20%, which gives them a smaller but key role in the business.
This setup means Paul and KSI are the faces everyone sees, but Congo Brands runs the show. The plan worked well - Prime made $250 million in 2022 and hit $1.20 billion in 2023.
Decision-making structure
Max Clemons and Trey Steiger lead Prime Hydration's key decisions. Their majority stake lets them chart the company's path. Clemons serves as Chairman while Steiger runs the company as CEO.
Logan Paul and KSI's roles include:
Using their huge social media following as brand ambassadors
Putting their money in as investors
Helping market the products to fans
This setup turned out to be a huge win. The drinks became so popular that stores had to limit how many bottles people could buy. Some sellers on eBay listed twelve bottles for £400.
Legal agreements
Prime Hydration's legal setup includes several key deals. The company's link to Congo Brands through Prime Hydration LLC sets the ground rules. This helps protect their ideas and keeps operations smooth.
The brand faced some bumps along the way. A lawsuit came from Milberg law firm in California's Northern District during August 2023. The company's reliable legal framework helped them handle these issues.
Prime's rules spell out clear terms about:
Rights to content fans create
How to use the brand
Deals with sellers
Rules for marketing
Their legal paperwork gives Prime full rights to use fan-created content for marketing worldwide, without paying royalties. The rules also make it clear who owns what content and how it can be used in marketing.
The owners haven't changed roles even as Prime grew faster. This helped them make quick choices and run things smoothly. Thanks to this setup, Prime built great partnerships and spread to new markets quickly.
Prime's Business Model
Congo Brands teamed up with social media giants to create a unique business model that made Prime Drink a soaring win. The innovative approach brought in $1.20 billion revenue in just 24 months.
Manufacturing partnerships
Prime Hydration makes its products on multiple continents through smart manufacturing collaborations. Refresco manages UK manufacturing operations. UK customers used to get their drinks from US imports until local production started.
The product lineup includes three main items:
Prime Hydration - The flagship sports drink
Prime Energy - Launched in 2023 with 200mg caffeine content
Prime Hydration+ Sticks - Powder format with special edition flavors
Distribution strategy
Prime balanced its online and physical retail presence with a two-way distribution plan. The brand grew its reach through collaborations with about 260 nationwide distributors in major retail stores.
The original direct-to-consumer launch in January 2022 sold out in four days. Prime then limited product availability on purpose, which made their drinks highly sought-after items.
Prime's achievements by September 2022:
$37.60 million in retail sales
Sixth largest sports drink brand
$8.30 million more in the next four weeks
Prime expanded globally through partnerships with major retailers:
India - Reliance Retail
Australia - Woolworths and Coles
South Africa - Massmart and Shoprite
UAE - Multiple retailers
Canada - 7-Eleven and Sobeys
Revenue sharing
Congo Brands and the influencer duo split revenue based on their partnership agreement. Prime made $250 million in retail sales during year one, mainly because customers came naturally without marketing costs. Their 35 million+ social media followers helped spread the word, which cut down advertising costs by a lot.
The brand grew even more through smart collaborations:
UFC - Official Global Sports Drinks partner
Arsenal Football Club - Home matchday supplier
Premier League exposure - Building credibility with sports audiences
The business model delivered impressive numbers:
2022: $250 million in retail sales
2023: $1.20 billion in sales
Market share: 5%+ gain against older competitors
Prime succeeded because it competed well against giants like Gatorade and Powerade. The brand stood out by using less sugar - about 10 times less than regular sports drinks. A social-first marketing approach gave Prime endless chances to promote products, without TV or film scheduling limits.
Building a Billion-Dollar Brand
Prime Hydration sold a billion bottles just two years after its launch. This success story shows how brands can thrive in the digital world. The brand's soaring win came through collaboration between Congo Brands and social media stars that changed how beverage marketing works.
Marketing approach
Prime's marketing strategy works by creating artificial lack and making use of social media influence. The brand created huge demand through limited product drops and smart distribution. Some bottles even sold for £2,500 on eBay.
Social media results proved exceptional:
TikTok hashtags got over 16.1 billion views
Direct reach to 50 million YouTube subscribers
Marketing went viral through user content
Prime built strategic collaborations that boosted its presence:
Bayern Munich
FC Barcelona
Base Sports Group
Ultimate Fighting Championship
These partnerships pushed out big names like Gatorade and Coca-Cola. The brand was willing to invest big, signing a six-figure deal with Base Sports Group to grow in youth sports.
Sales milestones
Prime's revenue growth tells an impressive story:
2022: Made $250 million in retail sales
2023: Sales topped $1.20 billion
Result: One billion bottles sold in two years
September 2022 numbers showed:
$37.60 million in retail sales
Ranked sixth in sports drinks
Added $8.30 million over next four weeks
The market looks different now. Prime's sales dropped by £63.1 million in 2024. Volumes fell 32.6% or 8.8 million liters. Red Bull and Monster grew stronger with gains of £84.7 million and £103.6 million.
Market valuation
Complete market analysis values Prime between $3.10 billion and $8.40 billion. Analysts looked at different scenarios:
Conservative Estimates:
Standard industry rate (6.8x) with careful revenue: $3.10 billion
Standard rate with optimistic revenue: $4.10 billion
Optimistic Projections:
Celsius rate (13.8x) with careful revenue: $6.30 billion
Celsius rate with optimistic revenue: $8.40 billion
Analysts compared Prime with 16 competitors including:
BodyArmor
Gatorade
Powerade
Celsius
Monster Energy
Energy drinks help Prime's position. The sector grew 9.02% yearly over five years, beating soft drinks' 2.93% growth. Market share numbers show challenges ahead. Prime's share in sports drinks dropped from 41.2% to 10.4%.
Conclusion
Prime Drink shows evidence of successful influencer-business partnerships, but sales data points to upcoming challenges. Congo Brands retains majority control, and Logan Paul and KSI's marketing expertise transformed it into a billion-dollar brand. The company must adapt to evolving market dynamics and consumer priorities to sustain this momentum.
FAQs
Q1. Who are the owners of Prime Drink?Â
Prime Drink is owned by a partnership between Congo Brands founders Max Clemons and Trey Steiger, who hold a 60% majority stake, and social media influencers Logan Paul and KSI, who each own 20% of the company.
Q2. How did Prime Drink become so successful?Â
Prime Drink's success can be attributed to its innovative marketing strategy, which combines artificial scarcity, social media influence, and high-profile partnerships. The brand leveraged the massive following of Logan Paul and KSI, creating unprecedented demand and achieving $1.20 billion in sales by 2023.
Q3. What makes Prime Drink different from other sports drinks?Â
Prime Drink differentiates itself by offering a healthier alternative to traditional sports drinks. It contains significantly less sugar - approximately 10 times less than its competitors - and focuses on combining taste with functionality, appealing to a younger demographic.
Q4. How is Prime Drink manufactured and distributed?Â
Prime Drink's production is handled through strategic manufacturing partnerships, including Refresco in the UK. The distribution strategy involves partnerships with about 260 nationwide distributors and major retailers across multiple countries, balancing online and physical retail presence.
Q5. What challenges is Prime Drink currently facing?Â
Despite its rapid growth, Prime Drink has recently experienced some market challenges. In 2024, the brand saw a significant sales decline of £63.1 million, with volumes dropping by 32.6%. This downturn occurred while competitors like Red Bull and Monster continued to grow, indicating shifting market dynamics that Prime will need to address to maintain its success.