strategies of red bull

“Red Bull: Master Minds of New Age Marketing”

Marketing: Red bull

Company Background

Dietrich Mateschitz is the creator of red bull alongside Chalerm Yoovidya saw the countries like Japan and Thailand were capturing the market and heading to front desk in the energy market and decided that even they want a piece of pie and then after a span of two decades they had the largest share of big apple energy drink market.

By 1987, they found it really difficult to survive it in the Austria market just when Dietrich realized that Hungry and Germany are the segments and without much of delay trusting the product the first strategy was “Market Expansion”

And then after so many trials and errors “Red Bull” expanded across Europe and was a company with a total worth of more than $ 12 million. Belief in the company that this energy drink is nowhere near to scrap Dietrich fired his whole team worked on marketing strategies and Red Bull could actually target night clubs and students.

Red Bull got its very first appeal by a basic Buzz Marketing strategy wherein students were the target audience and then,

Red Bull: Master Minds of New age marketing

Red Bull was a Brand who never looked bank and continuously expanding even after it was not welcomed with open hands in some of the countries.

Red Bull – “Gives you wings”

Red Bull soon after capturing European market cost effectively went forward to expand its market to United States as the buzz marketing strategy proved successful and soon the whole world was at toes as the events were looked as most profitable ventures and Red Bull promoted its events from B.A.S.E jumping to surfing.

Hence, Red Bull was a well recognized brand throughout the world and known for sponsoring events such as the X-games and Red Bull air races.

Red Bull – “Progressive Marketing Strategy”

Strategy aims at constantly evolve and develop the brand as the story of their brand promotion was unstoppable and soon they realized that customer engagement is a key to success and they did it handsomely through new and exciting channels of communication.

Digital and social media campaigns are integral to Red Bull’s core strategy.

From the statesman –“one giant step of a men, one giant leap for red bull”

In 2012 with new media, experiential, progressive, guerilla and buzz marketing so prominent Red Bull has masterminded a strategy wherein it is totally anti-traditional. They spend next to no money on Television, Radio or Print media instead they prefer to create their own extreme sports around the world.

Red bull in all has created over 90 individual branded events including red bull road rage, red bull air race world championship and red bull x-fighters.

Events as assets

By inventing, creating and branding events Red Bull is able to have authentic ownership.

Their brand did not ever get lost in the clutter all in all in more than 100 sponsors. They put their time money and events in creating a event and they know it is more of a

worth then paying for a logo. They know its impossible to have an immediate best fit henceforth they invent events

they wanted to be associated with.


They have done it their own way hence it creates an advantage by putting their brand as marketing outlet and asset.

Public Relations -: Money can’t buy

Red Bull marketing events are all social media relevant. Events are very exciting thus creates a buzz and likelihood as attendees share their

experience with their network. They know they score highest at social media amplification which is absolutely great for

brand credibility and it enhances brand visibility.

#Space Jump #Red Bull stratus #Live Jump they all are highest trending on Twitter and this is the exact public relations which a brand should have and it is actually something which money can’t buy.

Dietrich Mateschitz in an interview

“Our media philosophy is as simple as it is correct, the onus is on the media to create content, not on us to provide it. If our results, achievements and activities are worth reporting you will

read it anyways.”

Student Brand Manager Strategy Red Bull

It seeks college students who are interested in and active in college life in promoting red bull.

Though their event marketing/ownership strategy is a huge success, this strategy again ended up being a masterstroke in the league of this shining star amazingly recognized energy drink.

Interesting fact -:

Red Bull is the only energy drink which is served in all the states of United States of America.


Red Bull and AIDA principles -:

A -: awareness -: captures the customer attention

I -: then stimulate interest

D -: this create desire for the product

A -: action occurs when customer purchases the product

Every organization seeks a distinctive marketing mix

Red Bull’s marketing mix -:

Product -: a distinctive product, the taste of the product is unlike any other, it also has a functional effect in comparison to other soft drinks.

Price -: red bull uses a premium price strategy. Consumers are ready to pay premium for the product because of quality of the product and other benefits. This is in the fact that Red Bull is best energy drink of the world.

Place -: it is easy to find the product as it is sold in numerous places like retail outlets and drink establishments.

Promotion -: Its distinctive and unique selling proposition is red bull promotional activities. Red Bull embraces innovation with its promotional activities and as such is able to create lasting impression on its competitors. The concept behind promotion its brand is gives people “WINGS”.

This translates as pushing the boundaries of what is possible and nurturing its employees so that they can contribute to achieve the dreams and vision of the company.

Brand Recognition, Brand awareness and Brand image is the basis to capture the value and build customer equity and Red Bull has thrived on the ladder of success by unbeatable innovational promotional activities which further leads to increased market share and leadership.


Buying habits of consumers -:

Red Bull consumers are loyal consumers. Buying red bull for a high energy kick before a class, during work outs. Red bull is also purchased to create recreationally during social functions. It is also used in the bars and parties to make various alcoholic drink.

Dark Clouds hovering (threats)-:

Red Bull is not a patented product therefore anyone is able to pick up a can, read the ingredients and go into the business by them.

This is the reason the market is flooded with competition. From medical standpoint high level of caffeine and sugar leads to high blood pressure,

dehydration and high heart rate therefore inspite of the fact that Red Bull is still the market leader in energy drinks but there share has dropped from 78% in 2008 to 41% in 2012 in United States Of America.

It’s good if it rains (opportunities) -:

Red bull is the most popular energy drink in the world. They have been intelligent, they know customer insights and most of all they have been

consistent. They have the highest market share and they can continue to grow their niche audience

by heavily using untraditional marketing activities and maintain their dominance in energy drink market.

It will also help in enhancing their relationship with target audience.

Brand Synergy – “Content Strategy” Red Bull

There is a brand synergy in our ideology about content says “Marshall Nord” In a giant front window huge image of skiers are there, surfer and airborne motocross

machine loom above diagonal, six way intersections and then the launch of red bull logo in the centre rise above the froth of icy bubbles.

Red Bull media house got started in 2007 and further they expanded it to New York and Hollywood and now it is an umbrella for red bull massive online, television and print media production.

They want to “be the change” by giving content about inspiration and empowerment that helps to entertain and motivate people.

“People’s choice”


A Lifestyle brand with the number-one energy drink and a media company that cuts across demographics and psychographics, that helps produces and distributes content.

Red bull has released a film “The Art Of Flight” it had a cost of around $2 million to make but when it really hit ITUNES in 2011, it parked under top charts for more than a week bringing $10 per day.

The company also publishes a print magazine – The Red Bulletin with a distribution network of over 5 million.

For people it brings a concept of energetic lifestyle as they say Red Bull is just more than an energy drink maker.

Red bull has introduced its content marketing around and about the product but it is never directly related to the product itself.

Red bull has aligned its brand unequivocally and consistently with extreme sports and action. They are number one at creating the content so engaging the customers or in less at least significant minutes.

“Prime Positioning of Red Bull” – Key to success


Its positioning strategy is unique, off the radar, subculture positioning. Red bull vehicle strategy helps in spot marketing as it increases the number of drinker’s

further ads to the concept of filing different lagging markets and thus continuing its domination in States and other countries of the world.

Red bull is an energy drink that represents lifestyle and they want to bring that lifestyle into the masses.

Red bull believes in attracting traditional media to cover its events and not by creating traditional advertisements which is cost efficient in all the ways.

The target audience of red bull is people who work hard and play hard. Those who take their profession very seriously and like to make fun in their free time.

“Sales Objectives of Red Bull – “just how they do it”

Face of extreme sports worldwide. Maintain its position as market leader and highest consumption of red bull drinks. They believe in increasing distribution by 5% and increase brand awareness by 85% and

that’s how the brand never dies and continuous to make a national presence. They don’t use traditional media and untraditional media increase the likelihood and their

target audience is equally receptive. The target audiences of Red Bull are people between the age of 18-35 who definitely

leads an active lifestyle and want to have a belonging in their community but in an untraditional way.

These antiestablishment and adventure seeking individuals that do not follow the rules often need buzz marketing in order to tap into them.

They have established a tag line which is already been known to the people and they believe it should not be changed as it is “brand mantra” for the organization.

The demand of red bull increases every year and that is evident how rapidly red bull has spread not all over United States but all over the world.

Inspite of having more than 100 competitors such as 5 hour energy drink and rock star energy drink. Coca-cola (full throttle and monster), Pepsi (amp energy drink) , Gatorade (Rebranded as g and g2) are its major competitors still it holds and consistent in its market share and is a market leader in energy drinks.

Target Audience and market share of “Red Bull” – Customer driven marketing strategy


“Categorization of products offered by Red Bull”


Red bull energy drink category Red bull sugar free category Red bull energy supplement category

“Red bull goes online”

Red bull aims at maintain the top spot Red bull further aims at maintaining brand loyalty Red bull news should be relevant with the dynamic and ever changing environment. Red bull has a good online presence and they want that there should not be a state of

static and it should continue growing. Currently red bull has 21,063,602 fans on facebook. 2,57,602 approx. fans on twitter 3,093,064 channel views with 1, 98,757 subscribers. Numerous websites and blogs for different hosted events and activities by red bull. Google ad words -: increase search engine results and consumer leads to maintain brand

awareness. It leads to increased website traffic. Increased customer loyalty More customer leads across the world. Hype Energy drink evolved into global, competition driven market. Red bull created a single handled market and it has done exceptionally well but the

market has reached the stage of maturity and continuous efforts are required to steady the ship and keep them stable at maturity stage of the product.

Online market is key in non-traditional ways of marketing and as rightly said unique selling propositioning should be a continuous development as the product is itself pervasive in this dynamic environment.

Outgrown market in west!!

New beginning in the east!!


Red bull created a market in the west but that market has completely outgrown them and there is a need to change their marketing strategies in order to keep up with changing marketing trends of the world.

History -: Red bull has become a market leader in 20 years in energy drink market. Future Challenges -: Market that red bull single handedly created has matured in several

areas throughout the world. Change -: Red bull should believe that change is a necessity and strategies should be

building according to per geographic area. Urban Africa and middle east are upcoming market as a result red bull should initiate its

marketing approach Asia, America and Europe market are fully matured and red bull has sheer dominance in

all of these markets but the market is in a stage of maturity. Customers have high perceived value about the product. Potential competitors have grown from zero to multiple and it keeps on increasing

because the ingredients of red bull are not patented. Buyers can switch easily and there is a growing segment rivalry amongst all competitors. Company has been successful in expansion and still hopes to do well in niche segments

and untapped segments. Perceived value has decreased in the growing years as the customers strongly believe red

bull has not grown in its length or breadth and not done anything with the benefits of the products so the perceived value has decreased.

Red bull faces different segments in different phases of marketing cycle and they believe Africa and Middle East are the growing segments otherwise all other segments are saturated.

Competition has turned global and the market is even more competitive.

Red bull has not left any stones unturned till now but now they have to be on their toes in the competitive environment with half of the world’s market being already saturated.


References -:

Dolan, Kerry.“TheSodaWithBuzz”Forbes28March2005:


http://www.forbes.com/free_forbes/2005/0328/126_2.html

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strategies of red bull

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