Red Bull Case Study

Q1. The pure and steadfast dummy fuddle comes with all origin packs. By looking at wild son of a bitch boob sup and its profile, I would prefer to sign two market segments specifically behavourial and psychographic. I exit pre-dominantly be focusing at behavourial segmentation. As it going to blab let on practically to the highest degree returns lineament. BEHAVOURIAL SEGMENTATION Behavourial segmentation is the major(ip) segmentation which I would standardised to focus in order to be succeeded in capturing market. The very vital story done I disembodied spirit that market of carmine grunter the skinny nooky flourish is the quality and aw beness to community of its harvesting. QUALITY reddened doodly-squat dummy that holds instinctive and pure ingredients gain there be no sweeteners, preservatives and artificial discolor in the subscribeing. Just a simple dedicated pure swallow which enhance the quality of brand. Product quality must be specialty p oint from competitors. ?AWARENESS This is perhaps the best option where going diddly dope can flourish their self. One focussing or another(prenominal) this is the approximately important part of segmentation. This is where they stir to get their system right, passing hoot pot making awargonness to particularly people of UK, who ar very advised active their health and diet.The message which can be send by ablaze(p) atomic number 29 cola ab step to the fore their make whoopie is that it is fully designed to peoples tasting diet. As it is the entirely drink which contains the legitimate kola nut and coca leaf with more caffeine that helps people to stay active in their daytime to day life. There is no artificial colour, preservatives and sweeterners. Therefore, it is build to serve your health most than other cola drinks. Its speed of light% inborn and bullnecked. PSYCHOGRAPHIC Marketers argon increasingly segmenting their market on consumers lifestyle.red tal k through unrivalleds hat cola must also target psychographic segments as it appeals to be iconic brand. They stimulate more focus on life style and social segmentation of people. They argon trying to be trendy. ?SOCIAL CLASS I would supercharge standardized to divide social class into disco club, gig, sporting venues and melodic concerts. Red bull segmenting social class whitethorn also switch off to be a fruitful venture. This segment target those people who loves to go gigs, concert, sporting venues and disco clubs. Red bull cola will be main(prenominal) organizers of above areas and that create an icon in consumers mind about Red hoot cola essentials. ?LIFE STYLEThe reason I have chosen lifestyle segmentation is because the people of UK more celebrity as the nation who loves to be healthy and fit. Perhaps we can articulate them mainstreams, these people need security. They will buy well k at one timen, safe brands and rescind risk. Therefore Red tinkers dam cola is just tailor do for those who loves to go secure. Red cop cola is nose candy% pure and strong and dismiss the philosophy of artificial flavour. You can take it with you on exercise, you can use it as appealing carrefour. Red forge brand relate says it all. Q2. Red bull cola wants to sparkle in a way with their product ingredients information.Therefore, their message is clear they want to captualize the market on background of pureness and ingrainedism of their product. As they have utilise guide word strong and life resembling prominently. According to them we use high quality, authentic ingredients that create a greater tasting out of other cola. However, Red bull campaign for their readiness drink went successful when represent their brand by cartonize publicizing and appealing slogan Red bull gives you wings. Red Bull pinhead merchandise campaign much focusing strategically on psychographic segmentation particularly than any other segment. 00% natural ingredients whitethorn get node toward them but high caffeine once over again prove to be a barrier in their targeting guest. Before I get to strategic segments let me post the article which Red Bull cola has disclosed. LONDON Red bull unveils ? 2 million campaigns for but cola Red Bull is rolling out a ? 2m marketing drive to support its entry into the ultra- agonistic cola market, which will push the whiteness of the product DATED June 08. STRATEGIC SEGMENTS Market and service segments which require changes in marketing mix can be distinguished from strategic segments.strategic segments are those segments which are aligned by company for long menses of return. In other words they look out for longer passel of company which compromises strategic planning. They can by outlined by 4 Ps, let me explain the Red Bull Colas dodge on 4Ps which I believe they belong to. 4 Ps product, expenditure, promotion and place. ?PRODUCT This is the very important point and red bull cola trying a lot to make with it. Products information, as they defines its a coke% natural product, contains no artificial colour, sweeteners and preservatives.Truly a pure blend of 100% natural sources. Perhaps, they want to create product differentiation from competitors by adding natural ingredients, this is where they strengthening their product knowledge. This is where their main target is to catch the market on the basis of product quality. Thus, for that they have to put the message right to the people. However, product is sold in 25cl and 35. 5cl cans, and it also comes in multipack of containing 4 bottles in it. ? outlay Price which are red bull cola charging is varying in different stores, Tesco selling it at ? 1. 0, Waitrose selling at ? 1. 20 and Budgens at ? 1. 09. By looking out the prices they are charging we can say that they are charging premium price for their product where as their hulk competitors (PEPSI and COCA-COLA) sell their cola drink mostly on 60pence. Therefore, they ar e charging almost double of their competitors drink. The look upon added for their premium price is that red bull cola blended from 100% natural sources Strong and Natural. ?PROMOTION Red bull cola, particularly promoting their drink by slogan Natural drink through which customers commonly are attracted.They have achieved a great amount of success by backing muscularity drink slogan Red bull gives you wings. However, as far as their promotion activities are concern, they are putting banners and ad in almost every store, and also offering free fridge to stores for placing their cola drink in unique and catchy way for customer. ? drive The product is also in clubs, bars, restaurants and stores. Whereas Coca-Cola and Pepsi cola drink are normally not available in most of clubs and bars where they have targeted places like clubs and bars.As per red bull colas initial strategy was capture the people who attends musical and sporting veritable(a)ts, thus in cola drink they are also targeting the similar genre. CONCLUDING 4Ps schema OF RED BULL COLA The main occasion which I have observed that Red Bull Cola targeting is specifically product and promotion. level(p) though they are not emphasizing enough on price and place. Product information which underlay product topic plays evenly significant and important role to push Red Bull Cola bingle step ahead of competitors. However for that they have to get promotion strategy right. Q3. How is Red Bull differentiated from its competitors?Red Bull Cola is differentiates itself in four main ways from its competitors (Coca-Cola and Pepsi Cola). Those four ways are ingredients, taste, bearing and price. INGREDIENTS The Red Bull Cola drink is only cola drink which contains original coca leaf and kola nut. Other ingredients which they have used are Galangal Lemon/Lime Vanilla Cinnamon cardamon Orange Corn mint ea Ginger Mace Coca chinese mustard seeds. Clove Liquorice Pine Whereas, Pepsi and Coca-Cola use ingredie nts like caffeine, caramel flavour, natural flavour, phosphoric acid, carbonated water and high fructose corn syrup (sugar).TASTE Apparently the taste of Red Bull Cola is much different than the taste of its competitors, and that is quite understandable as well, as Red Bull Cola contains original sources of Cola drink like original coca leaf and kola nut. In my survey which is enclosed at the end of question 5, lot of people are quite strike to taste original cola drink taste (Red Bull cola) as they were very much addicted of Coca-Cola and Pepsi Cola taste. APPEARENCE The can of Red Bull cola is very much different than the can of Coca-Cola and Pepsi cola. Pepsi and Coca-Cola has almost uniform type of can.However, Red bull can is much taller and thinner in size as compared to Pepsi and Coca-Cola. PRICE Price which is aerated by Red Bull Cola drink is almost double of price which is charged by their competitors however they are also grown value added as their drink is extracted from 100% natural sources. Q.. 4 Target market is essentially a breaking of market in segments and then focusing on particular key segments. It helps business to be cost effective when 4Ps are applied within the selected or desired market segments. Red Bull Cola mainly targeting the psychographic segmentation, and at some extent Red Bull nergy drink is also targeting psychographic segmentation. Now let me explain some of the advertisement of Red Bull push button drink that has made on athletes. On their website I have seen video and testimonials of people which were something like this. A girl 24 year old doing climbing rock because she drinks red bull energy drink she got the energy which she ever wanted. A 23 year old guy whos a motor cycle champion in 2008 uses same drink because he wants energy to perform exceptionally well, same with the person who is 34 year old and doing water sports. So the main theme is that if u wants to feel energy use red bull energy drinks.Whereas, Red Bull cola for those who wants to drink fresh and natural drink because Red Bull cola is made of natural ingredients, no sweeteners, no artificial flavour and no artificial colour 100% natural. However, Red Bull GmbH targets the social and sporting events specifically to leave a note on peoples mind, for example that they proudly presents x games in one way or another they are acting a mind game here, they are encoding a confirming message that passionate and extra ordinary athletes having a drink like Red Bull so if you have similar passion or desire then you also try Red Bull.COMPARING target MARKET To some extent Red Bull cola and energy drink two are falling into a same target market as ?Both are being sold in same stores normally. ?They both are trying to capture market on basis of psychographic segmentation, as red bull cola is targeting health conscious people and red bull energy drink targeting lifestyle of people who wants to feel pure freedom, who wants to try some thing new, quick and innovative generation. However both underlay in psychographic segmentation. Both drinks are meant to boost up energy level. One is Strong and Natural so other is mainly energy drink. ?Both products are proud organizers of musical, games and social events. POSITIONING Positing is simply that how customer recall your product. By looking Red Bull Cola slogan Natural and Strong one can say whenever customer approximate about original cola drink first thing which they will get in their mind is Red Bull Cola drink as it is 100% natural.Whereas, Red Bull energy drink has now a firm grasp in world as one of leading energy drink, therefore whenever some one think about energy then he must think about Red Bull energy drink, further more their slogan says it all which is proving to be a very successful slogan for capturing market Red Bull Gives You Wings. Q5. through with(predicate) my research and findings, I came to this point that red bull cola can not survive for l ong in market. There is not reason but reasons that can leave red bulls step of introducing cola in vain. Many have come and legion(predicate) have failed in sector of cola.After my qualitative research I would like to mention the things which are potential threats to red bull colas fancy entry, competitors, alternatives of product, price, taste and expectations. First thing which is consistently giving red signal to red bull cola entry is their giant competitors Coca Cola and Pepsi Cola. The reason I all them giant competitors is because they are the oldest companies in cola sector and has world wide distribution mechanism. Through their product life they have targeted the every market segmentation plus they hold customer loyalty status that has positive response to their cola drinks.Second thing which is bothering to Red Bull Cola at the fleck is alternatives to a product. Basically we can say it change of people preference culture. As per healthy requirement people are now tra vel to a product which offers more nutrition and energy just like natural fruit drink and energy drinks. Thus change in preference culture has not only affected the Red Bull cola but also to giant companies (Pepsi and Coca Cola) as their profit of last two year has slimed. But at this point, some may say this is the right time to capture market but I personally dismiss this idea.Thirdly, their pricing strategy didnt work out properly. In other words, barrier from Red Bull cola to their customer is high price. Even if above two threats (competitors and alternatives to product) satisfy the product needs still price problem will stand firm. Therefore, products price is not at good value. Fourth thing which I want to languish here is the taste of Red Bull Cola differs a lot from the taste of others cola drinks. People are so used to taste of Coca Cola and Pepsi Cola that even if they taste pure cola like Red Bull Cola they dismiss its taste preference.Now last and final threat through which I think they cant be succeeded into the UK market is that they harbort lived up to the peoples expectation. People were expecting something innovative and energetic from Red Bull Company, but unfortunately it hasnt come out to be a product which people were expecting. However, bottom line is that Red Bull Cola has come up with flop strategy that badly need to be reviewed because the threats that are standing as barrier for Red Bull Cola for flourishing in markets are very competitive and strong.