Advertising Strategy of Redbull

Topics: Red Bull, Energy drink, Marketing Pages: 9 (2912 words) Published: February 5, 2012
One of the leader in the energy drink market, Red Bull was created in 1984 by Dietrich Mateschitz and now produces an annual turnover of more than 3 billion Euros (Gschwandtner 2004). Red bull is an internationally popular energy drink that is intended to taste like mixed berries. Red Bull is packaged in a slim aluminium blue and silver container with two red bulls as the logo. It provides 8.3 US fl. oz. of thirst quenching power fluid and contains 80 mg. of pure caffeine; this energy drink combats mental and physical fatigue (Redbull 2011). Red Bull however, was not always Red Bull; this energy drink originated in Thailand and it was sold under the name “Krating Daeng”. 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 (Nicole 2011). Case Study

64% of volume was generated by consumptions in bars clubs and petrol stations. Retail outlets made up the remaining 36% of volume. Red Bull has always relied on a word-of-mouth or "buzz" marketing instead of traditional advertising. They focus on getting the word out through various stealth marketing techniques playing on associations with energy, danger and youth culture, careful cultivating its mystique.

(Kotler & Keller 2006) explain that “marketers should understand the fundamental elements of effective communications.” It was further explained that “there are eight basic steps in effective communication; determining the target audience, determining the objectives, designing the communications, selecting the channels, establishing the budget, deciding on a media mix, measuring the results, and manage integrated marketing communications.” A major part of Red Bull's marketing was sponsorship of extreme sports events such as BMX biking, kite-boarding, extreme snowboarding, free skiing, paragliding and sky diving. Soon the drink became associated with dangerous, on the edge, adrenaline-fuelled activities (Redbull 2011).

Red bull also hired consumer education teams to drive cars that were painted blue and silber with logos on the side and a giant red bull that can be mounted on the back. These consumer education teams usually comprised of 2 ladies and they handed out red bull for free to those who are in need of an energy boost. Red bull also launched a programme at universities whereby students were hired to promote the product on campus by throwing red bull parties courtesy of red bull and to raise the awareness of Red Bull in the university press.

The following is an analysis of Red Bull’s Promotional Activities. In order to effectively examine how Red Bull communicates its’ consumers I will focus on three areas; the target audience, the design of the communications message, and an analysis of the modes of the media communication mix. By examining these three areas, I will understand if Red Bull followed the eight steps to building effective communication with their consumers.

The first step that a company has to accomplish in order to build effective communication is Identifying the Target Audience. This process must start with a clear understanding with who the potential consumers and current consumers are. It is also a pre-requisite for the company to identify what the influencers are. The target audience is a critical influence on the communicators’ decisions on what to say, how to say it, when to say it, where to say it and whom to say it (Kotler and Keller, 2006). Some potential and current consumers of Red Bull are; Travellers, College Students, Public Service Employees (Police, Military and Fire), and Fitness buffs. Travellers have some outside influences on if they are going to be in the market for this product. If a person is travelling by Air they may not want that energy offered by this drink, as they might prefer to sleep on a flight, whereas a person driving on a long journey like to...
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