Why did $80 million worth NASCAR champion Kyle Busch cease operations of his energy drink company?

Kyle Busch started his energy drink company using his nickname Rowdy as the brand name.

Why did $80 million worth NASCAR champion Kyle Busch cease operations of his energy drink company?

Kyle Busch (Via IMAGO)

Two-time NASCAR Cup Series champion Kyle Busch has recently announced that he is ceasing the operation of his energy drink company within weeks. The all-natural energy drinks company started in 2020 by Busch and his four partners has been a successful venture in terms of revenue generation.

Busch used his NASCAR star power to advertise the brand on and off the racing community. They made $1 million in revenue in 2020, and in 2021, the number rose to $10 million. It wasn’t all smooth sailing, though, as there are two lawsuits in court against them for false advertising of their product.

Busch released a statement via his social media handles to detail the reasons for the closure of his brand. He pointed out that the headwinds were too strong for him. Hence, he decided it made sense to end the journey and focus more on his family and racing career, as the company’s profits were going down. Busch also sold his Truck Series team, KBM, last year, making this his second venture to be closed down.

Like many other new consumer brands, the headwinds have proven too strong, and it makes the most sense to end the journey so I can remain focused on my family and my racing career. While the news is sad to announce, I'll always appreciate what I learned along the way. It was a fun ride and only fueled my passion for better-for-you energy drinks!
Busch wrote on X.

Kyle Busch thanked the fans for Rowdy Energy’s success               

The former Xfinity Series champion didn’t forget to thank his fans for making his brand a success before announcing the news. He pointed out that without the fans, the venture wouldn’t have been successful and said their support meant a lot to him.

Richard Childress with Kyle Busch
Richard Childress with Kyle Busch (Credits: Motorsport.com)
From its start, there's no doubt that the popularity and success of Rowdy Energy was due to each you! I cannot thank you enough for your support - from posts on social media...to telling me in-person...to seeing it in your hands at racetracks - that has meant a lot to me and I'm forever grateful.

The 2024 season will be an entirely new venture for Kyle Busch. He can now focus on winning races with his new team, Richard Childress Racing No:8 Chevy, and helping his son Brexton develop in his junior career.

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