Red Bull Gmbh is headquartered in Fuschl, Austria, a lakeside village outside of Salzburg. The company was formed by a Fuschl resident and entrepreneur named Dietrich Mateschitz. Traveling in Asia in the 1980s, Mateschitz came across a syrupy tonic favored by ricksha drivers, and discovered that its key ingredient was an amino acid called taurine, which occurs naturally in human and animal bile…
Red Bull founded after an Asian locally-brewed tonic in Thailand now markets its eponymous functional energy drink in more than 100 countries. (Wikipedia)
Red Bull is a non-alcoholic drink contains the amino acid taurine, B-complex vitamins, caffeine and carbohydrates. Red Bull claims that the body needs more taurine, an amino acid than is produced normally during the physical exertion of the human body. The drink has grown quickly worldwide capturing about 80 percent of the world's energy drink market. Although the company is of Austrian origin, the recipe for the drink Red Bull is said to come from Thailand. (Red Bull Company Profile- Yahoo Finance)
The berry-flavored beverage is spiked with additives like taurine and glucuronolactone. And at $2 for an 8.3-ounce can, Red Bull's retail price is at least double what you'd pay for a 12-ounce can of Coke. But it does pack some energy. Red Bull, with 80 milligrams of caffeine, has more than double the dose found in the larger Coke serving, and it has 110 calories per serving versus Coke's 140.The consumption of Red Bull was 1.9 billion cans of in the year 2004, generating just about $2 billion in revenue. In some countries Red Bull commands an 80% market share. In the U.S., where Red Bull enjoys a 47% share of the energy drink market, sales are growing annually at a 40% clip. In the year 2004 it sold 700 million cans in the U.S.; and in 2005 it hoped to sell 1 billion. (Kerry A. Dolan 2005)
Red Bull is popular with college student and nightclubbers, whom the company aggressively targets. But its most public tactic has been to wrap the drink in the sweaty mantle of extreme sports. To that end, Red Bull sponsors its own stunts and competitions in relatively obscure disciplines like street luge, waterfall kayaking, and freeskiing. (Rob Walker 2002)
Since introducing Red Bull in 1987, Red Bull has invested heavily in building the brand. In 2004 the company spent $600 million, or 30% of revenue, on marketing. (Coca-Cola spends 9%.) But unlike rivals who pay millions of dollars for superstars like Britney Spears, Red Bull relies on cheaper talent: hip youngsters, students and a legion of fringe athletes. Red Bull sponsors some 500 athletes around the world, the type who will surf in Nova Scotia in January or jump out of a plane to "fly" across the English Channel. Every year the company stages dozens of extreme sporting events, like the climbing of iced-down silos in Iowa or kite sailing in Hawaii, as well as cultural events like break-dancing contests and rock music jam sessions. Then there is Hangar-7, an eye-popping structure of glass and steel that the company Red Bull erected next to the airport in Salzburg, Austria. The building serves as a chic eatery for club crawlers and provides shelter for the Flying Bulls, a fleet of 15 show planes that appear at air shows around the world. Red Bull has purchased a Formula One racing team, an extravagance that will absorb $100 million a year to keep on the track while generating only $70 million in revenue.
All these activities are geared to achieve the objective of expanding Red Bull's presence amid a deluge of new energy drinks being introduced by upstarts and beverage behemoths like Pepsi and Coke. (Kerry A. Dolan ...
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(Red Bull Essay Example | Topics and Well Written Essays - 1000 Words)
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This research aims to remark the marketing strategies adopted by Red Bull across the globe. There are a number of communication messages that are recommended to pitch during the re-branding communication campaign in this paper. This research describes the advertising strategy for Red Bull to appeal to the mass market.
His inspiration came from Krating Daeng, an energy drink sold in Thailand. The first sale of this energy drink was in its home market of Austria in the beginning of April 1987. This step was crucial because he was launching a very new product. Later on, Red Bull spread all around the world and is available in over 165 countries.
It examines the sources of brand equity, the relationship between marketing strategy and brand success, as well as possible survival techniques for the Red-Bull brand. Sources of Brand Equity for Red Bull and the Variation of Sources of Brand Equity in relation to the markets or countries in which the brand is sold.
It is a part of the bigger business plan. The marketing plan helps the business to focus on the goals and objectives. It varies depending on the type of business and the objective on which it focuses. Before designing the marketing plan the marketing manager needs to accumulate enough information about the competitors and the customers so that they can target the right market segment with appropriate strategy (McKinlay, O'Connor and Ross, 2007; Nijssen and Frambach, 2001).
Red Bull: Market Analysis. The world has now entered into an era of conclusive change, unprecedented breadth, scope and pace. Whether in the context of business, economic, political or social environment, every navigational landmark which used to act as a pathway or guide have been obliterated (oasisadvantage, 2013).
There has been intense criticism in the social media, television and print media about the previous advertisements of the Red Bull energy drink. The most recent was in South Africa which caused controversy among many believers.Most of the catholic leaders have been in the Frontline to influence their followers not to take Red Bull even during fasting seasons since it tries to suggest that the drink is capable of giving someone the power to walk over water.
The core competence of the company appears to be grass-roots marketing, judging by the case. Coming from this initial perspective of core competency, one can also assess the strategy of possessing first mover advantage. First mover