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Josh

Sebak
Red Bull Marketing

Dialogue with Dave or Diana


DAVE
Whats the big deal about this anyway? Why
should I care?

How has Red Bull performed since their start?

A top spot against whom? Who are Red Bulls


competitors?

How does Red Bull differentiate themselves from


competitors?

What are the strengths of this strategy?

Does this strategy have any weaknesses?

JOSH
Since Red Bull was founded in 1987, their main
focus has always been differentiation. They
achieved product differentiation by using
extensive, well-organized marketing strategies. By
creating this brand image Red Bull has earned
itself a top spot in market share.
Since their start in 1987, Red Bull has sold over 45
billion cans, and can be bought in 167 different
countries around the world. They dominate the
energy drink market in terms of market share at
43%.
The main threat faced by Red Bull is the threat of
substitute products. Rival companies such as
Monster, Pepsi and Coca Cola are introducing new
energy drinks to compete against Red Bull.
Along side sponsoring athletes, Red Bull also
spends a considerable amount of time and money
investing in individual sporting, music, and cultural
events. Although many other companies use this
same strategy, Red Bull has taken it to a new level.
Due to their brand being linked with the positive
events they host and invest in, they focus less on
hard selling their product or discounting it. This
enables them to retain higher sales volume than
their competitors while maintaining the top spot in
market share.
In terms of organizational resources, through
effective strategic planning and leadership, Red
Bull has maintained a strong global image. Their
reputation with customers for quality has earned
them strong brand equity.
In terms of organizational capabilities, the
company does not offer very many products,
making it harder to compete with rivals. The
amount of money spent on marketing might
weaken their financial resources.



How many different products does Red Bull offer? Red Bulls current products are; Red bull Zero

Calories, Red Bull Sugar free, and several other


Special Editions including Red, Blue, Yellow,
Orange Zero, and Cherry Zero.