The focus is on people who accomplish extraordinary achievements, move beyond the norm, test their limits, and passionately seek adventures, while breaking new ground. They prefer an urban lifestyle, enjoy traveling and love to get to know different cultures.
The power associated with the brand translates into higher sales volume and higher profit margins against competing brands.
Red Bull has paid tremendous attention to brand equity, which is clearly shown by the continuous increase in their market share, sales volume and profit margins over the years despite the entrance of competitors in the energy drink market.
After the energy drink was introduced, Red Bull would place empty cans of the drink in night clubs to provide the illusion of the popularity which advanced its popularity.
Another source of brand equity for Red Bull was the image it represented. In building the brand, the Red Bull team was careful to price the energy drink well above the going rate for normal soft drinks. The energy drink also had charisma which positively promoted the product.
This was brought about by the seeding program Red Bull used when entering new markets where the energy drink was exclusively sold to high-end shops, clubs and endorsed by famous personalities. For a product to achieve brand equity, the consumer must be Red bull case study marketing about the product Aaker, Brand Portfolio Strategy: Red Bull ensured this by making certain that the consumer knew what consumption of the drink would result to.
The company positioned the energy drink as one that rejuvenates the body and mind which was well understood by consumers across all the segments. This communicated the energy-enhancing property of the drink to its consumers Red bull case study marketing hence rendered them knowledgeable. Red Bull was able to exploit marketing strategies for its own benefit as shown by the continuous increase of their market share even when they ventured into new and foreign markets.
Adverting was one of the promotion strategy used, where by a company aims at increasing consumption of the product through creating an image with certain desirable qualities of the product in the mind of the consumer Rogers, Sampling of the drink was another marketing strategy that was employed by the energy drink giant.
This marketing strategy involves giving free samples of the product to the consumers Greenley, It works extremely well for good quality products as it gives the consumer an opportunity to try out the product before purchasing it and therefore they do not have to spend their money on it until they figure out whether they want the product A.
Red Bull used this strategy and provided samples only in the ideal usage occasions, which was when the consumer needed or wanted a boost in energy levels.
Therefore they issued their free samples at concerts and sporting events just to mention a few. This ensured the consumers experienced the anticipated effect of drink first hand. Sponsorship is also a marketing strategy that is gaining popularity fast.
They also sponsored sporting events and concerts in areas that the energy drink had not yet penetrated and this helped create awareness of the product in this areas. This can be viewed as a step in the right direction in terms of achieving consumer based brand equity.
Red Bull in Herbal Teas, Fast-food and Magazines Red Bull diversification into the herbal tea, fast-food and magazine sector can be viewed as a bold move by the company.
Therefore, it would be a great and viable move to use the brand benefit acquired by the energy drink to introduce new products into the market Temporal, Some of the benefits that the company will enjoy are; existence of a properly established brand that is well known across all the markets; a large market share resulting from the popularity of the already existing energy drink; consumer confidence in the new product due to their ability to deliver and meet expectations of the already existing product the Red Bull energy drink.
If the company rides on these benefits, they will have a fighting chance in the new sector they intend to venture into. However, we must also appreciate that the company could be met with a few challenges in their move to diversify their product.
These challenges include; the new products performing well below the expected performance, probably because consumers prefer their already existing product, the energy drink, and did not respond as expected to the introduction of the new product; the brand Red Bull could be dampened by negative reception of the new products which would in turn affect the energy drink product negatively Keller, Recommendations Having examined Red Bull the brand and how it has evolved over the years, it is safe to conclude that the marketing strategies that the company has been using to create a unique and consumer friendly brand have been working effectively.
The main recommendation would be to avoid marketing strategies like advertising using billboards since they did work for the energy drink product.
Instead, the company could use that advertising strategy to introduce its new products, i. The same strategies should be adapted to boost the new products the company plans on introducing and we can almost be certain that the products will be a success.
An investigation into the causes of effectiveness. Journal of Strategic Marketing Developing Winning Brand Strategies.
Building Brand Equity in a Demanding World. An Understanding of Marketing Strategy. European Journal of Marketing The New Strategic Brand Management: Building, Measuring and Managing Brand Equity.
Strategic Brand ManagementGet the latest health news, diet & fitness information, medical research, health care trends and health issues that affect you and your family on urbanagricultureinitiative.com Just one can of Red Bull could raise the risk of heart attack or stroke, even in young people, researchers have warned.
A study of university students found drinking one ml can of the sugar. Red Bull launched the RB9 in a converted warehouse next door to its factory in Milton Keynes in front of an audience of team members, partners, guests and international media. The car is the final instalment in a generation of designs that have bought Infiniti Red Bull Racing 34 wins and a trio of.
Starbucks product line has grown to include fresh brewed coffee, hot and iced espresso beverages, coffee and non coffee blended beverages, Tazo tea, baked pastries, sandwiches, and salads.
Red Bull's Sources of Brand Equity Brand equity can be referred to as the power a brand derives from the goodwill and name recognition that it has earned over.
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