Red Bull's Marketing Mix

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Introduction

Originally established in Thailand in 1962 under the name Krating Daeng, Red Bull was incorporated in 1984 with its head office in Austria. It is now a market leader in the energy drink segment with presence in over 130 countries and an employee base of over 3,900 worldwide. It recorded a turnover of $2.6 billion in 2006 with a whopping 300% increase in global sales as compared to the year 2000. Starting with its first international foray in the neighbouring Hungary in 1993, it has since then entered and established a foothold in various key markets like United States, Germany and United Kingdom. Through its well developed network of local subsidiaries in these and other key markets, it manages to make its products
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Till now, Red Bull has concentrated on the American and European markets for international expansion but if the company chooses to focus on Asian markets as a potential target, then it must take into account the vast cultural differences. The unconventional marketing strategies used so far might not work just as effectively in the new Asian markets. The Red Bull website provides links to the company’s Japanese language pages which is line with its focus on Japan as a next key target, but the cultural differences are not limited to the language only.

4. Choices

Any company with a global marketing strategy faces competition in the industry and then within that industry at the market level. The factors operating at industry level consist of new entrants, suppliers, substitutes and the other factors that are at market level consisting of existing buyers and sellers (Hollensen, 2004, p.90). The functional drinks market has been steadily growing in the last few years which would attract the new entrants. This is particularly relevant for the existing soft drink manufacturing companies as the investment requirement will be relatively low for them to make an entry. The company is being challenged by the existing players like Gatorade and Taisho Pharmaceuticals who mainly cover the energy drinks segment, there are other competitors as well in

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