Red Bull Company The Launch Commerce Essay


The origins of the Red Bull Company origins stretch far to the Far East, where in 1982 Dietrich Mateschit first marketed them. With an idea to spread the energetic drinks outside Asia, in 1984, the company was founded in Austria. He fine-tuned the product, developed a unique marketing concept and started selling Red Bull Energy Drink on the Austrian market in 1987. This was not only the launch of a completely new product, but the birth of a totally new product category. Meanwhile Red Bull is present in 164 countries.

Since 1987, around 30 billion cans of Red Bull have been consumed, more than 4.6 billion in 2011 with the Red Bull Company present in 164 countries, icnluding Bulgaria. - You give data but not in-text citation. Where do you know about this numbers?

The brand positioning comes from out of the productbenefits: Red Bull vitalizes body and mind. This then became the basis for the unique brandpersonality of Red Bull, innovative, intelligent and self-ironic, appealing to all generations - 100% plagiarism

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Red Bull´s real product benefits justified a premiumprice. It is by far the most expensive non-alcoholic drink on the market. Red Bull is 3 to 6 times more expensive than Coke. - 100% Plagiarism (

Red Bull´s target group is not determined by a demographic, but by a „state of mind". Red Bull consumers have drive, are active and dynamic. They want to be physically and mentally fit and wide awake. - 100 % plagiarism

Aim of the campaign is to reflect the brand personality, cheeky, witty, self-ironic, unpredictable and unique. While the distinctive
execution style helps establish it as beyond fashion. - 100% Plagiarism (

Opinion Leaders, especially in the sport and cultural area, are a perfect target group for Red Bull. Red Bull develops relationships with them and treat them like friends. Red Bull worldwide has over 250 agreements with top athletes, but not one written contract.

Red Bull´s event marketing also covers both areas,sports and culture, through a variety of events like Flugtag, Creative Contest, Music Academy, Local Hero Tour and many more.

Red Bull doesn´t sponsor events, Red Bull creates, organizes and supports new, innovative and image building events.

Sampling is done by highly motivated and welleducated emloyees of Red Bull and not "professional" promotion teams. Their briefing is simple: Find tired and exhausted people.

They do it in a charming, non offensive way. All we give them is the product, a free range of clothes and a tiny, but very attractive sampling car.

The company itself does not limit to just the manufacturing and distribution of energy drinks. It rather spreads and invests in many different areas of business , including the F1 Championship, where Red Bull have a team of their own. Besides winning both the constructors' and drivers' Formula 1 championships for a second year running, 2011 also saw the extremely dynamic expansion of their media activities. In terms of further expansion, Red Bull claims to be targeting the core markets of Western Europe and the USA, as well as the economically growing markets of Brazil, Japan, India and China

Red Bull has a diverse international marketing campaign. The numerous activities range from extreme sports like mountain biking, BMX, motocross, windsurfing, snowboarding, skateboarding, kayaking, wakeboarding, cliff-diving, surfing, skating, freestyle motocross, rally, Formula 1 racing, and breakdancing to art shows, music, and video games. In keeping with their target market of young males, Red Bull has also enlisted help from celebrities, such as Eminem that would appeal to this group (sponsoring the Red Bull "EmSee Battle Rap championships"). It also hosts events like the "Red Bull Flugtag" (German for "flight day" or "flying day") and other such contests. Red Bull also owns association football teams, with clubs in Austria, Germany, the United States and Brazil featuring the Red Bull trademark in their names. By associating the drink's image with these activities, the company seeks to promote a "cool" public image and raise brand power. Hence, this one energy drink has helped create a market for over 150 related types of merchandise, like Red Rooster and Blue Lightning.

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Red Bull's slogan "gives you wings" is widely used in these marketing activities. Claims about the drink's effects and performance have been challenged on various occasions, with the UK's Advertising Standards Authority imposing advertising restrictions in 2001 in response to complaints first recorded as early as 1997. In 2011, Red Bull earned around EUR 4.2 billion in worldwide sales and was available in 164 countries globally.

In the PlayStation 3's social gaming platform, PlayStation Home, Red Bull has developed its own in-game island, specifically advertising its energy drink and the Red Bull Air Race event (for which the space is named) released in January 2009.

In 2010, Red Bull posted revenue of $5.1 billion. This considerable sum came from the consumption of 4 billion cans of the drink that "gives you wings."

Red Bull's success paved the way for numerous imitators with energetic names like Monster, RockStar, Full Throttle and Amp. Not long on nuance, energy drinks don't attract similar snobbery among drinkers as coffee, tea or wine do. Energy drinks don't sell for their taste (you might say they sell despite it). Instead, they sell on image (Fast Company, 2012).

Rather than spend its budget on traditional beverage industry media like TV or outdoor advertising, Red Bull went guerilla to put its brand and cans in the eyes and hands of its most likely drinkers: 18 to 34 year-old-males. These guerilla marketing tactics went underground, made the drink just edgy enough to grab the attention of their target user, subtly and flawlessly executing on Wing 1 of the Dragonfly Effect model.

Whether rolling in a Red Bull car handing out branded freebies at an extreme event, or riding on a BMX through Scotland, the brand marketing strategy translates to "We are with you and one of you," rather than "Buy this because it's awesome." (Red Bull, 2012)

The year 2011 saw the extremely dynamic expansion of Red Bull Company's media activities. In terms of further expansion, Red Bull is targeting the core markets of Western Europe and the USA, as well as the growth markets of Brazil, Japan, India and China. Growth and investment will - as is customary at Red Bull - continue to be financed from the operating cash flow. The main reasons for such positive figures include outstanding sales, especially in key markets combined with efficient cost management and ongoing brand investment. (Dragonfly Effect, 2012)

However, Red Bull's ambitions stretsh even further.True to its laser-like focus on brand recognition, Red Bull's 2011 - 2012 marketing strategy states intent to increase awareness among the 35 to 65 crowd, both male and female. Regardless of whether you fall into its first or second target demographic, Red Bull now asks two questions - „Ever dreamed you could fly?" and „Ever wanted to be an astronaut?" (Dragonfly Effect, 2012)

Red Bull Stratos 2012 took skydiver Felix Baumgartner to the edge of space for a 120,000 ft jump. And the Red Bull Air Force, which made page A-1 of the Miami Herald this year for its four-city, simultaneous Leap Year base jumps. It's no coincidence that in both cases, the athletes making the news are in their 40s. (Dragonfly Effect, 2012)

In addition to engaging emotionally with both its original and second target demographics, Red Bull subtly invites both to take action and fulfill the biggest dreams they've ever had. This strategy employs wings three and four of the Dragonfly Effect model without ever making it obvious. Instead, the strategy is to make life exciting and fun, no matter what a person's age (Dragonfly Effect, 2012).

For its engaging creativity, and the savvy cultivation of and integration of the Extreme Sports movement, Red Bull leads the category in brand marketing strategy.

"They are as good an example as exists of a brand pulling off being a media creator," says Noah Brier, cofounder of Percolate, which helps brands create content for their social followers. While serving as head of strategy at digital agency the Barbarian Group, Brier worked on the redesign of Red Bull's brand site. "Actually, they're getting to the point where it's not useful to use them as an example since they're such an exception to the rule," he adds. "Red Bull is a media company that sells drinks instead of ads, and I get the impression they think of themselves that way." (Fast Company, 2012)

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The Red Bull Company, and its man product the Red Bull energy drink, have been on the bulgarian market for quite some time. In order to maximize the profits, the top managers, first have to observe our competition. In Bulgaria, there are several similar energy drinks that are consumed by customers. Shark, for example is the major one and most similar , in terms of price and product ingredients, as Red Bull. Due to that, if we want to be one step ahead of them, it would be wise to slightly cut down the prices so that would clearly turn the tebles, as quality of these two products is almost identical. Furthermore, brands, such as Pitbull and other similar Bulgarian made energy drinks, are being favored by the customer, mainly because of their much cheaper pricing. In that sense, lowering the price, while stil keeping the premium quality, would defineteley increase the sales. Another competitor, that is considerably new to the market is the Monster energy drink, which again is slightly cheaper, but offers different products and flavors, Because of that, it would be good for the company to concentrate on develop new sub-products of Red Bull that might interest the customer even more.

In order to do that properly thourough research has to be made. All sorts of primery and secondary data in terms of old documents presenting the characteristic of past sales in Bulgaria have to be presented and carefully observed. Both observatiosn, as well as different forms of questiong mus be conducted, on order to determine the desires of the potenial target group. The company should concentrate more on the younger part of the population, creating advertisements that may connect with them. Another major factor for the success of Red Bull in Bulgaria, would be the development of a bulgarian website, that will be more easily understood by the customers.

Another good marketing strategy would be advertising. Although Red Bull, by now, is already an establilished brand, it would help to expand its popularity. For example, in many countries Red Bull is now been related not only with its product, but with many extreme, offroad and racing events. They even have their own racing team representing the company in Formula 1, as well as funding many other global media events, such as a recent racing event in Romania. In Bulgaria; however, such actions have still not taken place. Because of that this is an area that can be improven, by making the Red Bull company a synonim to any racing, offroad or whatsoever extreme sport that takes place in the borders of Bulgaria. For this purpose, the top managers of the company have to contact directly with the Bulgarian Ministry of sport, as well as with the different national racing federations in both automobile and extreme sports, so that they can develop a relationship and research what needs to be done, on order for the Red Bull sponsorship and involments in such to become a fact.