What are the red bull’s greatest strength and risks as more companies (like Coca –cola and pepsi, and monster) enter the energy drinks and gain market share? red bull founded in Austria in 1992 by the Dietrich Mateschitz and he introduced in Hungary.
The greatest strength of Red bull is the company introduced only one energy drink in the market from last many years there is no other product of that company and that’s why today red bull sells 4billon cans of energy drinks each year in over 160conutries. In last 20 years red bull has become the energy drink market leader by skillfully connecting with the global youth. Red bull now introduced his other products like red bull energy shots and red bull cola –each sight variations of the original energy drink.
Red bull gain the big market share rather the coca-cola and other companies because they set a trend in the market as a single product and by their billon number of sales red bull become a huge brand and that’s why he gain more shares. Question No 2 Should Red bull do more traditional advertising? Why or why not? When red bull start his energy drink product, Red bull has used little traditional advertising and no print, billboards, banner ads or super bowl spots but company runs minimal television ads.
The Business plan on Rockstar Energy Drink Marketing Plan
... energy drink market share. Industry Sales By Year: Direct Competitors 2003 2004 2005* Brand $ in millions Market Share $ in millions Market Share $ in millions Market Share Red Bull ... market share * Young, innovative company * Global market * Mixability * FDA approval Threats * Main competitor Red Bull holds more than half of market share (with many loyal customers) * Energy drinks ...
The animated spots and tagline “RED BULL GIVES YOU WINGS” introduced in the tv commercial as nontraditional way, in my opinion red bull should do traditional advertising because the reason big reason behind is the red bull brand name is so famous and they start their energy drink advertising in traditional way and by that they have got big sales and big market share in 160conutries, but if we see now a day’s advertising of other companies that are having very expensive and very nontraditional so red bull have to compete those companies and have to maintain their market value in the world so they have to chose nontraditional advertising style. Question No 3 Discuss the effectiveness of red bull sponsorship, for example Bull stratos. Is this a good use of red bull budget? Where should the company draw the line?
The effectiveness of red bull sponsorship is very high because red bull sponsor the lots of sports like foot ball races and snowboarding to suffering and mountain biking, these sports attract the young generation between ages of 16 to 29 years plus red bull also targets the collages students by providing them a free samples cans and T shirts and caps. Bull stratos also very good sponsorship campaign of Red bull where a one man is undertaking to free fall from 120,000 feet or 23 miles high, in my opinion this is a great campaign where red bull promotes his energy drink. Company should draw the line and not to waste more budgets on these sponsor and media campaign because “media is not a toll that we use to establish the market. It is a critical part. It’s just later in the development.
