1. Why did we choose Red Bull
2. Executive summary
I) Company presentation
II) Macro Analysis
1. Market Descriptions
3. Five Porter Forces
III) Micro Analysis
IV) Objectives & Strategy
1. Customer Analysis
5. Marketing Mix
V) Financial Statement
Red Bull is the leader of the energy drink market. This company created in 1984 by Dietrich Mateschitz performs an annual turnover of more than 3 billion Euros. As we will see in this report, polemics, nonconformist, genius marketing are, among others, the ingredients that made Red Bull the star product of Energy Drink Segment in the world. For more than 20 years, Red Bull has managed to establish itself brilliantly in the world, which, despite the widespread economic gloom, has always taken a growing interest for this new drink.
In this report, we will analyse Red Bull and the environment in which the company evolves, its target and positioning trough marketing tools. It will enable us to understand how Red Bull managed to reach its leader position and to think about some recommendations to further improve its strategy.
Why did we choose Red Bull?
Most of the people have one day see or heard about the brand Red Bull. Red Bull is an energy drink that comes from the adaptation of the Thai energy drink “Krating Daeng”, which means "Red Bull". There are several reasons that explain why we choose Red Bull Company.
The first reason of our choice results in a cultural factor. In fact Red Bull is a product that is targeting young customers. It means that, students are the most concerned by Red Bull so this is a product that can affect any of us. Besides it is a “trendy product” in others words a fashionable product: nowadays everyone has already tasted a Red Bull. The second reason that pushes us to choose Red Bull Company was because of their Marketing communication, which is revolutionary. Some observers say that Red Bull uses an “anti-brand” strategy. In fact, the company avoided usual methods of marketing, relying more on what is called 'buzz marketing' or word-of-mouth: “viral marketing”. A brand image was created and cultivated which associated the drink with youth culture and extreme and adventure-related sports, such as motor sports, mountain biking, snowboarding… In addition, we also choose Red Bull because without Red Bull there would not even be a market for the other products currently crowding the shelves. Thus, sales of the drink grew quickly from the beginning and Red Bull dominates the world’s energy-drink market with a 40% market share. Finally, what influences our choice too, was because Red Bull even being the leader has to face on how to build on its incredible sales growth and about all, and has to face the health issues concerning the effects of drinking Red Bull.
A thorough analysis of Red Bull concludes that the company was set up the Energy Drink Market thanks to its own product, Red Bull energy drink. In fact, without Red Bull there would not even be a market for the other products currently massing the shelves. Now Red Bull is energizing people around the globe, touching down in over a hundred countries worldwide.
The Red Bull consumers can be divided into two segments: Students (and Clubbers) and workers. Each of them uses the Red Bull energy drinks to meet their personal needs. At the same time they can obtain physical edges, mental edges or just consumption for pleasure.
The ambitions of Red Bull are: maintaining the top-brand status in the energy drink market and clearly distinguish themselves from their competitors, who are marketing almost the same product but with extremely low prices.
Red Bull uses every ways of marketing to reach their target groups. Their marketing is mainly based on the “3 pillars of Red Bull: Sampling, Advertising and...