The Loyalty Loop
Prime: The Fuelled by hype until the fall
4 minute read
TLDR version: Prime Energy’s rise was a masterclass in hype driven loyalty, using mega-influencers like Logan Paul and KSI to turn a drink into a cultural status symbol.
However, as the novelty faded and the "hunt" for bottles ended, sales plummeted proving that attention is not the same as retention.
In this issue of The Loyalty Loop, we look into the rise and stuttering fall of Prime. It’s the ultimate case study in what happens when you build a brand on the shifting sands of "hype" rather than the solid ground of long-term utility.
The Architecture of the Hype-Engine
As much as I’d like to believe that a neon-colored plastic bottle is the secret to eternal youth, I’m more inclined to believe it was just the greatest magic trick of the decade.
When Logan Paul and KSI launched Prime in 2022, it wasn’t just an energy drink launch; it was a digital gold rush. By leveraging their combined following of over 40 million subscribers, they didn't just find customers, they minted disciples. It became madness and a goldrush like we've never seen before.
Create artificial scarcity
Make bank
High-flying personalities, from Premier League footballers to UFC champions, were drafted into the "Prime Squad." For a moment, holding a bottle of Tropical Punch was a status symbol more potent than a Rolex. It was a masterclass in driving loyalty through artificial scarcity and cultural proximity. If you had a bottle, you were "in", and it even got to a point in some countries where you had to smuggle them in at ridiculous prices just to get one.
But as any seasoned marketer will tell you, the view from the top of a trend is often a long way down.
When Relevance Becomes a Liability
Prime’s meteoric rise was fueled by the "Trend Hopping" energy I often warn against. They didn't just follow the culture. They were the culture. But the problem with being the moment is that moments, by definition, pass.
Recent reports suggest the fever has broken. In many countries, sales have plummeted up to 92% from all time highs, as the secondary market (where bottles once sold for $20+) completely evaporated. Supermarkets that once faced riots now find themselves with dusty shelves and "Buy One Get One Free" stickers or selling it at bargin basement prices to clear it from their shelves.
Why did the loyalty snap? Because it wasn't loyalty to a product; it was loyalty to a spectacle.
Why the "Hype-First" Model Often Fails
Building a brand on transient hype rather than enduring value carries significant risks. When a brand's foundation is solely built on fleeting trends and artificial scarcity, its longevity is compromised. The inherent flaws in a "hype-first" approach often lead to a rapid ascent followed by an equally swift decline. There was no loyalty that was ever built, because the loyalty was built upon the fanfare and the continual build of hype. It's just like a balloon. You can inflate it up to multiple times its initial size, but once it pops or springs a leak, all of the air comes rushing out. This model was built upon three key features:
Transience of Influencer Equity
When a brand's value is tied entirely to a celebrity's reputation, it gambles on their enduring appeal. If the influencer fatigues, their audience matures, or their public image falters, the brand risks becoming an outdated relic, losing its connection with consumers.
The Scarcity Trap
Artificial scarcity creates initial buzz, but once a product becomes widely available, the 'thrill of the hunt' disappears. Without that novelty, customers realise they're left with just a product. If there's no deeper meaning or cultural association to sustain it, interest quickly wanes.
Commoditisation via Sameness
Success encourages imitation. When competitors adopt the same loud marketing tactics and aesthetic, differentiation collapses. A brand that once felt revolutionary becomes a commodity, forced to compete on price rather than perceived unique value, diminishing its long term viability.
The Rule of Longevity
Before you try to "pull a Prime" and chase the next viral wave, ask yourself the same three questions we apply to any trend:
  • Would our best customers still value this without the celebrity face?
  • Does this product solve a problem that will exist in 24 months?
  • Are we building a community or just a crowd?
The Bottom Line
Prime proved that you can buy attention, but you have to earn retention. Attention is a spark, but loyalty is the slow-burning fire that keeps the business chugging along.
If you trade your brand's soul for a week of viral metrics, don't be surprised when the market moves on to the next shiny object. Great brands don't just show up for the party. They’re the ones people still want to talk to the next morning.
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