Contents0.0 Abstract 1.0 Introduction 2.0 History 3.

0 Does Red Bull® Revitalise the Body an

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2 3 3-4 4-5 5 6 6-7 7 8 8 9 9 10 11-12 13 14 14 15-16 16-17 17 17 18 18-19 20 21-24 25
4.0 Red Bull® a non-descript market?
5.0 How is Red Bull Marketed? 5.1 Sponsorship 5.2 Advertising 5.3 Brand Image 5.4 Some of R
Definitions: Well being; a person’s physical mental and environmental health
Neutraceuticals; foods which have medicinal effects on human health
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When we first started, we said there is no existing market for Red Bull ... but Red Bull wi
0.0 Abstract In 1987, revolutionary marketing and advertising techniques coupled with fortu
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1.0 Introduction In 2008, the worldwide Functional Drinks market was worth $26.9 billion. R
[ca. 2008]) Dietrich Mateschitz (Gschwandtner 2004).
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The iconic eye-catching logo and slogan “red bull gives you wings” were then designed (Gsch
Some consumers are easily convinced of Red Bull®’s effectiveness. Nicknames such as “liquid
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Other consumers are more sceptical. Brandweek reported in 2008 that Red Bull® was one of th
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3.2 Red Bull®’s adverse health effects
Red Bull in suspected link to deaths (BBC News Online 2001)
Despite Red Bull®’s beneficial effects, some users have had adverse effects from consuming
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This “edge” was proved during Red Bull®’s launch in New Zealand. The distributor was sellin
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5.0 How is Red Bull Marketed? Red Bull® presents an image of a small, friendly enterprise.
“Brawn GP fear Ferrari and Red Bull, says Jenson Button” (Wood 2009)
Red Bull® sponsors over 500 extreme sports athletes worldwide. Examples include Formula 1 F
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5.2 Advertising Simple, playful, nonsensical cartoons help market the product at anyone wit
(Redbull.com (a) [ca. 2009])
sponsorship not only to cultivate their edgy image, but also to ensure every consumer can r
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5.4 Some of Red Bull’s extreme sports athletes and events in picture
Figure 1 Top to bottom, from left to right; Surfing Amazon tidal bore (Gschwandtner 2004),
6.0 Revolutionary Marketing This section explores the revolutionary marketing techniques Re
15 20 Figure 2 Red Bull® UK Finances (millions) (Red Bull Company Ltd 2009)
Containing energy boosting minerals and vitamins much like Red Bull®, Lucozade’s use of “en
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5
1993 1996 1999 2002 2005 2008 Page | 11
-5
Profit/loss after tax Expenditure on Promotional Equipment GBP
By 1996, Red Bull® UK had an astronomical debt of £2.5 million (see Figure 2). Their share
(Red Bull Mini 2008)
Firing the entire sales team, Mateschitz appointed an Austrian director who increased marke
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7.0 Maintaining market share Red Bull® dominated the global market in 1987. By 2008 however
Figure 4 Global Energy Drink Market Share 1987 (Various sources)
Red Bull
Other
Figure 5 Global Energy Drinks sales 2008 (The Nielson Company 2009)
1 RED BULL 3 ROCKSTAR 5AMP 7 NOS 9 SOBE Next 90 brands (Monsterenergy [ca. 2009])
2 MONSTER 4 FULL THROTTLE 6 NO FEAR 8 ADRENALINE 10 BOOKOO
sports athletes and promotion through events strives to put Monster on a level footing with
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8.0 Competition and Intellectual property Energy drink companies have ridden the wave of Re
(Reschke Wines [ca. 2009]) (Boost [ca. 2009])
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9.1 Diversification of product range When companies start out with one product, they later
(Sabai [ca. 2009]) (Redbull.com (a) [ca. 2009]) Global Red Bull can sales (Billions) (Kumar
Sabai is a wine spritzer originating from Red Bull® co-founder’s son, Charlerm Yoovidya’s S
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For 2009, Red Bull® plans to bring out an "Energy shot" to oppose the 25 competing products
(CarpeDiem.com (d) [ca.2009]) (CarpeDiem.com (b+c) [ca. 2009])
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The Red Bull simply COLA® 2008 launch was extremely controversial. Including ingredients su
(Redbullcola [ca. 2003])
In 2008, Red Bull® invested only £50,000 of its £7.6 million budget in digital marketing, a
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9.5 Business Ideas and Partnerships Austrian Red Bull® Mobile, established in 2008, gives u
Strengths
• Strong, fresh, fashionable brand identity • “Dangerous” ingredients add “edge” • Minimal
Weaknesses
• Consumers may not purchase Red Bull® due to “dangerous” ingredients.
• Red Bull® s ingredients lack a patent so can be copied.
• Funds could dry up due to minimal 10% bank loan and 90% equity from directors’ investment
Opportunities
Threats
• More sales as Red Bull®’s is “illegal” in EU countries • Increased turnover through diver
• Ban on entry to markets due to EU illegality. • Consumer might not pay 10% higher as they
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Red Bull® 2009
Strengths
• Strong, fresh, fashionable brand identity • “Dangerous” ingredients add “edge” • Consumer
Weaknesses
• Red Bull® may have lost its “edge” as it is now accepted as being “safe” by most governme
Opportunities
• Turnover increased through: • New products Carpe Diem, Red Bull® simply Cola and Red Bull
Threats
• Turnover decreased through: • Consumers purchase other more “Illegal” energy drinks conta
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11.0 Conclusion Red Bull® has come a long way in the last 22 years. Beginning in a practica
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12.0 References Ainslie, C.A., 2008. Logo is a red rag to Red Bull. Business Source Complet
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Dolan, K.A.D., 2005. The Soda With Buzz, Forbes. Available: http://www.redbull.com/#page=Co
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[Accessed 11 April 2009] Kumar, H.K., Linguri, L.S., Tavassoli, N.T., 2004. Red Bull The an
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Reschke Wines, [ca. 2009] Reschke Wines, [image]. Available from: http://www.reschke.com.au
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13.0 Appendix
Figure 3 (Various sources)
Red Bull GmbH
All other 139 countries
Red Bull France
Red Bull UK
Red Bull Austria
Red Bull North America
Red Bull Racing, ltd
Red Bull Air Race GmbH
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