Analysing the existing Market Strategy For Red Bull and proposing future strategies


Red Bull is an energy drink and, Red Bull is the world's most popular energy drink on the bottom of market talk about. It is also called pioneer on the market of energy drink (Wördemann et al, 2010).

. In 2008, the assessed market show of Red Bull was 29% of the global market of energy beverages. Inside the same 12 months, only in USA, Red Bull possesses 47% show of the energy drink market and 50% talk about of the German energy drink market. Now Red Bull stands at 65% of the energy drinks industry. Red Bull is definitely recognized as athlete refreshments; moreover, it is very popular amongst teen students (Dahlén et al, 2010).

Current Marketing Situation


Red Bull is a nice, caffeinated drink that guarantees the high energy kick to consumers. The product comes in 250ml cans, 350ml bottles with 4 packages. Product emerges in mere two flavors. The product contains taurine, caffeine, glucuronolactone and B supplements (Bach, 2007).

Red Bull being truly a functional product offers to improve mental and exercise. Brand is definitely promoting as product to be used at any time including during sports activities and work, learning, and socializing. Moreover, Red Bull offers to enhance the performance during increased stress and strain, increase amount and improve response quickness, also stimulate metabolism in body. Moreover it vitalizes the body and mind.


As way as competition environment and competitors of Red Bull are worried, Red Bull must face two different competitors. The foremost is competition within energy drink industry and secondly sport drink industry. In energy drink, there a wide range of large brands included such as Coca Cola and Pepsi. Coca Cola and Pepsi being major players of drink industry have inserted into energy drink industry by introducing their energy products. The invasion of globally big companies into energy beverages has created a hardcore market competition for Red Bull. In addition, the forex market competition is continuing to grow the energy industry by maximum sales. Competition presents in sport industry grow with the living of many sport drink energy such as Gatorade by Pepsi, Powerade by Coca Cola and Lucozade.

Product Distribution

With the utilization of appropriate product circulation programs Red Bull has created a brand image such as extreme occasions and high profile sports situations. Impulsive and high profile sport situations have helped Red Bull to determine a unique position in the market. Furthermore, Red Bull has applied strong marketing and wider distribution tactics that has led increased intake and affected to development of the product. To gat itself recognized and keep maintaining this status Red Bull has followed complete and effective sales strategy by determining key areas such as pubs and clubs which includes helped to increase brand awareness.

SWOT Research for Red Bull


Market Control: Red Bull is already a global market head within the vitality drink industry with the major sale and large market show.

Successful Marketing Techniques: Red Bull has been employing a lot of offers and well targeted promotions/sponsorship which have greatly helped the brand in former to increase and increase consumer brand awareness.

Brand Name: Red Bull is the world' most popular energy drink and with effective marketing tools product has generated a brand image.

Brand Quality: Red Bull did not achieve the success and gained maximum market show only because of marketing techniques but product quality has also shared in this success of the brand. Red Bull with strong and fresh flavor has become a brand personal information.


High Cost and Expensive Product: The price of Red Bull is very high which is very costly for the average person to afford it.

Lack of Invention and Unique Offering Position: Inside the industry there are volume of competitors who are choosing technology in product and unique advertising product. Red Bull, on the other side, is less impressive and will not use unique feature.

Reliant on Small Product Platform: Red Bull is merely brand in the market with limited flavours and offers no variety in the merchandise. Being one brand product, it is difficult to capture market.


Extension of Product: Since Red Bull is sole branded product on the market, there can be an opportunity for it to extend its products collection by growing more ground breaking products. This can help Red Bull to keep market show.

Hardcore Special offers and Advertising: Red Bull has not yet used hardcore advertising and advertising and there is chance of it

Consumer Popularity using Sports Occasions Sponsorship: Sports occurrences are best opportunity for Red Bull to recognize its product by sportsman and students. Athletics occasions are popular not only in athlete but also in students.


Health concerns: Red Bull has high levels of caffeine content in the drink which if found in surplus can be harmful. Moreover, in many countries there are rigid rules on the product which consists of high caffeine containing drinks.

Consumer Knowing of Health: In case of consumer understanding related to health, there is certainly likelihood that consumers quit the utilization or avoid the use of Red Bull. Consumer may think Red bull as a substitute energy drink rather than natural drink.

Giant Competitors: The existence of large and massive competitors can affect the marketplace position of Red Bull.

Objectives with Goals for Sales Amount, Market Talk about and Profit

The market targets of Red Bull are the following

To expand the existence of Red Bull among a maturing market sections and

To surge new energy beverages being launched by known and drink giants such as Pepsi and Coca Cola

To gain maximum market share by increasing the sale

Adopt and access the market portion in an efficient way

The above objectives are recognized by the rationale that the business's occurrence is important in the market and the maturity of its focus on segment has called for an increased multi-offer approach to make up the market's maturity.

Goals for Sales Volume, Revenue and Market Share

Red Bull is world's number 1 energy drink and its own sales is more than 2 billion cans on a yearly basis. Red Bull, in 2004, has worth US$2 billion share in the vitality drink market of North America while in Canada its market share is predicted as C$100 million. Following the starting of Red Bull in the 1990s, brand has dominates the North American market and much before other gigantic brands such as Coca-Cola and PepsiCo. Being the marketplace head, Red Bull in 2004 owns a 50-percent market talk about. In 2006 Red Bull has 42. 6% of global market talk about in 2007 it lowered to 35. 2 and in the entire year of 2008 brand regained its market share and today has 40%.

With new market sections (Students and Sportsman) Red Bull can achieve more market talk about because students are usually of age of 15 to 22 and they need physical as well as mental energy raise to have effective life. Sports activities man similarly must physical energy that meets their requirement. Energy beverages are already extremely popular among youngsters. If more sportsman and students believe to utilize Red Bull it'll give more earnings and increase market talk about to brand.

Marketing Strategy

The following online marketing strategy has been suitable for market section (Students and Athlete). ONLINE MARKETING STRATEGY has been designed using 4 Ps of marketing.


Product Variation

In the occurrence of other sports and energy drink there may be massive competition and it will be problematic for Red Bull to acquire gain market segments. Therefore Red Bull will present different flavors in drink.

Product Innovation

Red Bull use advancement such as new and attractive product packaging.

Product Differentiation

To maintain brands' different identity, vulnerability of product changes and unique from other brands on the market.


Cost Recovery Pricing

Red Bull has always implemented high pricing policy but for this market segment marketing plan of Red Bull will focus on average pricing insurance plan according which new size of refreshments will be released with lower prices.


Direct Sale

Product will be sold at different supermarkets and shops

Indirect Sale

Through this marketing strategy Red Bull will be sold at unique selling point such as educational organization, university universities and activities places such as sports activities club


Individual Communication

Since super star endorsement is getting popular especially in athletics and energy drink therefore a sport superstar will be used to endorse the product.

Mass Communication

Product will be advertised using different means of mass communication such as electronic media and newspaper media.

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