Beyond caffeine: Magic Mind on expanding functional cognitive performance beverages

US wellness shot brand Magic Mind is set on building out the mental performance subcategory in functional beverages, highlighting that the category is no longer reserved solely for energy drinks. 

Beyond caffeine, the company engages consumers with taglines like “creative clarity” and “calm energy” — signaling that formulas are showcasing more nuance, as consumers seek mental performance ingredients for all occasions.

Magic Mind’s flagship direct-to-consumer product, launched in 2020, was a niche “morning elixir” for creatives, sold as a liquid herbal supplement claiming to deliver clinically backed ingredients five times more effectively than pills and powders thanks to a patented nano-encapsulation technology.

The liquid shot featured popular nootropic ingredients such as lion’s mane mushroom and Rhodiola rosea, as well as stress-relieving adaptogens like ashwagandha.

The company’s expanded product range of four products now includes caffeine-free evening options for consumers wanting cognitive recovery benefits without stimulation. One melatonin-free nighttime shot features magnesium glycinate, GABA, L-theanine, and 5-HTP, alongside botanicals like valerian root, passionflower, and kava.

Nutrition Insight speaks to co-founder and CEO William Hicks about how Magic Mind aims to address a gap between high-caffeine energy drinks and sustainable cognitive performance solutions.

While energy drinks remain a dominant subcategory in general, soft drinks featuring brain health claims grew by 15% in the past year alone, according to research by Innova Market Insights.

What unmet consumer need in energy drinks do you believe “mental performance” beverages are solving?
Hicks: There are many different forms of energy that we all feel throughout a given day or week, and mental performance is one of those. We define it as the combination of focus, energy (as you may classically think of it, like wakefulness or alertness), and calm. When you put those three things together, you get a feeling of presence and flow — sustained energy and focus that is a much smoother ride without a crash. That is the feeling most consumers want when they’re trying to be productive or when they’re trying to be present in their lives.

Magic Mind co-founder and CEO William anticipates a future in which the category of mental performance is larger than physical performance.It doesn’t make sense to get amped up on too much caffeine when you’re intending to cruise through your to-do list, start that project, or think deeply about a problem that affects your business or your family. Mental performance is the energy need of the productive person looking to optimize the way they feel and perform mentally.

We see a future in which mental performance as a category is larger than physical performance. It may not be one set “set” in the beverage area — just as today Gatorade and Celsius are sold in different parts of the store — but we do see a broad category emerging around optimizing cognitive performance for focus and stress resiliency. We intend to be the “Nike of mental performance,” carrying the torch for the category in the consumer packaged goods space.

How did you know it was time to scale your direct-to-consumer wellness shot into the retail space?
Hicks: There are two dimensions by which we determined when we were ready for the retail market. The first is product- and packaging-related. We knew when we launched the business that we had a lot to learn about the product itself — how it tastes, as well as the packaging and how we communicate about it. We wanted to get a bunch of cycles in and learn as best we could before entering retail, which launching direct-to-consumer allowed us to do.

The second determining factor is feeling the pull of demand from retail. We were able to build our profile as a direct-to-consumer business, which allowed for constructive buyer conversations prior to launching into distribution. In particular, Sprouts and Central Market wanted to partner and lead by bringing us into their stores. We felt it was important to have this buy-in at launch, and it served us well as we became the fastest-selling shots brand in the natural category within the first year of entering retail.

How do you differentiate Magic Mind in an increasingly crowded functional beverage space?
Hicks: When my co-founder, James Beshara, was formulating over the course of five years prior to launching the business, the approach was always to include a concert of ingredients that, in combination, provided a feeling and an efficacy that is the true intent of the product.

We talk about our ingredients and love to dive into the science and clinical studies supporting them, but at the end of the day, what differentiates Magic Mind is the way they work together and the impressive efficacy we are able to provide. A lot of this comes down to the patented nano-encapsulation technology we use. This is a next-gen liposomal technology that improves absorption and bioavailability by five times compared to other liquid vitamins, and even more when compared to pills and powders.

We differentiate Magic Mind with the way it makes consumers feel and the efficacy it provides, which is thanks to over a decade of formulation and the cutting-edge technology we use to deliver these ingredients in a way that your body will actually use.