1. What is the marketing mix for Red Bull? What markets does Red Bull attempt to reach? How do marketing mix elements and target markets combine to form the firm’s marketing strategy?
The marketing mix for Red Bull consists of the following:
Product: Energy drink
Price: $1.99 (premium)
Distribution: Across clubs and similar outlets, mass merchandisers
Marketing Communication: Word-of-mouth to television advertising
Red Bull attempts to reach extremists, sports enthusiasts, 18 to 24 year olds, women, as well as health conscious consumers, and recently age groups of 30 and above.
Marketing mix elements and target markets combine to form Red Bull’s initial marketing strategy which reaches out to extremists, those who are into the adrenaline rushing sports and activities. Since Red Bull is an energy drink, this approach worked well. With the premium price and through word-of-mouth, Red Bull was able to maintain 70 percent of the market. However, as competition began to rise, Red Bull needed to market beyond the extreme market and toward age groups above 24 year olds. Still, competition continues to increase, and now Red Bull is expanding their target market to less extreme sports enthusiasts such as golfers, women, and health conscious consumers. By marketing toward golfers and women, Red Bull shows that anyone can enjoy their product and not just male extremists. Because consumers are becoming more health conscious, Red Bull produced their sugar-free version for those who want to watch their carbohydrates. Overall, as competition continues to increase, Red Bull’s marketing strategy has involved target market expansion as well as some product development and new advertising techniques.
2. What growth strategies seem to offer the most likely opportunities for the future?
The growth strategies that seem to offer the most likely opportunities for Red Bull’s future are their expansion into less extreme sports and the...
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