Red Bull is an energy drink launched in 1987 that is sold in silver and blue cans. It uses word of mouth marketing and sponsorship of extreme sports and college events. It targets young people aged 15-60, especially male teenagers and people in their 20s. Some strategies to increase revenue include sponsoring TV shows for youth, more social media promotion, brand ambassadors, and bundling energy drinks with purchases at pubs and clubs. Economies of scale could lower marketing expenses and production costs, increasing sales from $3.4 billion currently to a projected $5.1 billion in 3 years.

2. Marketing
Management
Red Bull: Strategies to Increase Revenue

3. Red Bull is…
O A caffeinated and carbonated energy
drink, that revitalizes body and mind.
O Founded by Dietrich Mateschitz and
launched in 1987, in Austria.

4. Look & Feel
O Comes in a silver and blue Cans.
O Logo, representing two bulls colliding
head-on in front of a sun.
O ‘Gives you wiiings’.

5. Existing Marketing Strategy
O Word of mouth or buzz marketing
O Street marketing
O Best way to convince customer is to hire
them

6. Existing Branding &
Promotion
O Red Bull presents at every moment of
student calendar.
O Visibility by perfect serve
O Use of cartoon for commercials

7. RedBull Events: India

8. SWOT
Strength
Weaknesses
Market Leadership
Above average prices
Market efforts
Taste
Brand Identity
Marketing Expense

9. Opportunities
Threats
Category extension
Public Health concerns
Hardcore advertisement and
promotion
Organic energy drinks
Sponsorship events in college level Negative Publicity after the split
with Rahul Narang Group

10. Demographics
Target Consumer
Psychographics
Usage Behavior
Consumption
collection
Content
Spending
Power
Age: 15- 60
Image Conscious
25% of
Indians
Influenced
Youth trends
Eat Out

11. Customer Insights
O Young people are specially open to determine
exhaustion and insufficient energy
O More specifically male teenagers & people in their
20s, are also most likely to believe in the authenticity
of the energy drinks’.
O As a result, the majority of energy drinks are
developed for and advertised to this younger
generation.
O Appeal to very specialized groups, such as gamers,
extreme sports enthusiasts, and the hip-hop crowd.

12. Competitors

13. New Strategies
O Sponsor Tv shows Related to youth
O Social media promotion
O Brand Ambassador
O Use recorded events for making Advertisements
O Energy drinks for audience in different sports
events
O Bundling with different drinks in Pubs and Clubs

14. Economies of Scale
O Decrement of marketing expenses lead to
O
O
O
O
O
O
economies of scale due to which production
cost of per unit decreases by which sale will
increase.
Sale of 2013=$3,433millions
Total market share of energy drink in India 500
cr.
Red bull share 200 cr.
Per year growth 50%
Future estimated sales for 3year
3,433*50*3/100= $5149.5millions