Red Bull May Not 'Give You Wings'
Essay by 24 • March 10, 2011 • 1,963 Words (8 Pages) • 2,175 Views
Red Bull May Not 'Give You Wings'
In today's world, the name Red Bull and the slogan "Red Bull Gives You Wings has been inscribed into the minds of consumers around the globe. The popular energy drink, which seems to have sky-rocketed in US as well as world-wide sales is no miracle drug, although it does seem that way by the overflowing demand. Known to many as a coffee substitute, Red Bull is able to give its buyers that extra push or burst of energy to keep their day going due to its increased amounts of caffeine, without the nasty aftertaste of coffee. No doubt its marketing strategies have made a massive impact on its increased sales, but at its start, it is no lie to call Red Bull a self-made success. In a time where everyone is craving a few extra hours of sleep or that boost to get them through the day, the advent of the Red Bull trend has sparked well founded controversies about its effects on its clients as well as the economy. But despite all the arguments surrounding the popular energy drink, it is obvious that this craze will remain intact for many years to come.
Corporate legend has it that in the early 1980s, while traveling to Asia on business, Austrian Dietrich Mateschiz came across some very popular "energy drinks". While in Thailand, he saw that the rickshaw drivers drank a substance to keep them energized throughout the day known to the Thai as 'Krating Daeng', a popular health tonic which roughly translated, means the Red Bull, in English. After some alterations to the recipe, and a flavor modification for the public, Red Bull was born. With his "uncanny instinct for successful product innovations", Mateschiz brought a small sample of energy beverages back to Europe along with a big idea. Then, with a clear vision and a lot of scientific knowledge, Dietrich and several other unnamed food scientists gave birth to the Red Bull Energy Drink which first hit shelves in Austria and the rest of Europe in 1987 (Wikipedia Online).
In 1997, when Red Bull hit US soil, it sold one million cans, helped no doubt by its introduction to US consumers after a decade on European shelves. In 1998, Red Bull sales transformed into over 300 million cans, and last year, astoundingly, Red Bull reported world wide sales of more than one billion US dollars (Red Bull-Everything 2). After such an un comprehendible amount of sales, it is no surprise that Red Bull already controls 70% of the non-alcoholic market, even though it averages out at about two US dollars per can (Wikipedia Online).
As for the effects that the introduction of Red Bull has had on the market, and vice-versa, it only makes sense that other companies would attempt to follow in the wake of Red Bull and come up with their own energy inducing drinks. For instance, coca-cola came out with the drink KMX, sporting almost the same ingredients as Red Bull in a
larger can, Rock Star Energy Drink followed, Sobe's 'Adrenaline' energy drink came out later with a different fruitier taste, and about sixty more were created after that. In the short amount of about 2 years following Red Bull's introduction to the United States, energy drinks began flooding supermarket and health store shelves, enticing shoppers to have a sip and feel the amazing burst of liveliness (Gschwandtner).And what did Red Bull do to counter all of these 'wana-be' drinks, one thing and one thing only that would make Americans want to consume more Red Bull than they already were, producing a Sugar Free Red Bull. Indisputably, the dominant energy-drink brand has chosen to stick with its one product beverage line, avoiding branching out into similar areas such as energy bars and such for the sole reason that they have seemingly perfected their energy drink and have no need to go on spending money to experiment with energy supplements or bars (Rodgers).
Of course, with the dawn Red Bull's astounding profits came one question from thousands of people; what makes this energy drink so much more appealing than everything else? The answer is simple, and that is marketing strategies and commercialism. From the very first day of its production in 1987, Red Bull created a strategic program to provide "cool" students with free cases of the drink, and then convincing them to throw a party. This viral campaign created a visible ripple effect, boosting sales throughout Europe. Since the initial viral parties, Red Bull's efforts have included sponsoring extreme sport events, including cliff diving, BMX and skateboarding. Red Bull also sponsors the Red Bull Flugtag, "flying day" in German, a competition where entrants launch themselves off a 30-foot ramp in home-made "flying
machines" into a lake. Red Bull has sponsored a number of sports for some time especially in the world of motor sports, with the company having a presence in the KTM Factory Motocross Team, Champ Car World Series, World Rally Championship, The SEAT team in the World Touring Car Championship, and owning two Formula One teams known as Red Bull Racing, and in 2007 sponsoring a Toyota in NASCAR's Nextel Cup (Gschwandtner).
Although its presence in the extreme world of sports is evident, Red Bull has also gone out of its way to sell and market to an audience far different from that of its sport enthusiast counterpart. A product like Red Bull with the ingredients that it contains is targeted to a certain age category. The age to which it can be given to children is above twelve years old and the highest age for people to stop drinking energy drinks is forty-nine years of age at which most people stop exhausting their body. As for the real target, Red Bull's main marketing focus is on those between the ages of fifteen and twenty nine mainly because these are the years when people make the most physical and mental efforts in their lives (Red Bull-Everything 2). With this knowledge, the Red Bull company knowingly began advertising at gyms, night spots, and to a very wide demographic of people. Suddenly not only athletes were targeted by Red Bull campaigns but so were high school and college students, people on the go, employees, and those who went to night clubs on the weekends. Popularity caught on quickly and many abruptly switched from coffee in a cup to Red Bull in a sleek, cool, blue and silver can. Students that have been interviewed in the past say that they choose Red Bull because its tastes better than coffee, it's the same price as Star Bucks, it is refreshing, it gives them
energy to study and have a social life without the calories of coffee, and there is no aftertaste (Rodgers). It is these same students that put a trust in Red Bull to keep them energized and hyper when they need it most.
At such a point in
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