How two YouTube stars turned an energy drink into a billion-dollar company

YouTubers Logan Paul and KSI have managed to transform their feud into a billion-dollar company. Their drink brand, Prime, is expected to exceed $1.2 billion this year in annual sales, according to Bloomberg.

Prime was launched in January 2022, four years after both YouTubers went head-to-head in their first pay-per-view boxing match where they fought each other, drawing in over 2 million viewers watching the event live.

The brand has been marketed as the result of “when rivals come together” and “where great taste meets function,” according to the brand’s website. It offers a variety of sports and energy drinks, setting it up to be a major competitor of Gatorade, Powerade and Bodyarmor.

Prime has had the advantage of being exposed to both of the influencers' large followings on YouTube. Paul has over 23.6 million subscribers on the platform, and KSI, who’s real name is Olajide Olayinka Williams Olatunji, has 16.3 million.

The drink brand is owned by Congo Brands, which also owns 3D Energy and Alani Nu Energy. Prime’s billion-dollar revenue is most likely the result of its sponsorships across the sports and entertainment industries.

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A few of those sponsorships include:

1.) UFC – The multiyear partnership was announced by the UFC on Jan. 31, 2023, making it set to become the “official global sports drink of UFC.” The deal is reportedly worth seven figures annually, according to sources.

2.) MLB’s Los Angeles Dodgers – Prime became the official sports drink of the Los Angeles Dodgers in April this year, making it available at concession stands in Dodger Stadium.

3.) FC Bayern Munich – In August this year, Prime signed a multiyear partnership with legendary German football side FC Bayern Munich, where Prime Hydration will be sold at Allianz Arena on match days.

It is also predicted that by the end of the year, WWE will become a sponsor of Prime after UFC’s parent company, Endeavour, merged with WWE in September. The merge could result in WWE gaining some of the UFC’s sponsorships, which includes Prime. Prime has already been promoted by Paul during his appearances in WWE’s televised events since he is currently a WWE superstar.

Despite the rapid growth of Prime over the past few months, the brand has recently faced scrutiny from lawmakers who raised alarm bells over the drink’s high caffeine levels. In July, lawmakers said that the drink can be dangerous for children and called for the U.S. Food and Drug Administration to investigate the beverage.

Paul responded to the accusation during his appearance on the talk show "Varney & Co." on Aug. 10, citing it as misinformation.

"Prime is not being investigated by the FDA. The FDA has not even reached out to Prime," he said. "Every ingredient in our products is FDA approved. And if they want to reach out and ask any questions, we're more than happy to answer them because we've retained samples from every single batch of prime that's ever come off the line.”