PRODUCT (RED)
Nabori Perez
Danielle Dewey
Kathryn Young
MKTG 3175.01
Dr. Wu
PRODUCT (RED):
RED BULL GIVES YOU WINGS!
In the last 15 years, energy drinks have grown in popularity for their ability to provide the
drinker a lasting energy boost. The product leading the way in this growing fad is Red Bull. The Red
Bull brand was developed in 1987 by Chaleo Yoovidhya of Thailand and Dietrich Mateschitz of Austria.
Red Bull’s slogan is “Red Bull gives you wings.” This slogan is demonstrated in a series of commercials
were a cartoon Red Bull drinker gets out of sticky situations by drinking a Red Bull and flying away.
Along with these amusing commercials, Red Bull’s effectiveness became popular with college students,
who customarily resort to staying up late studying. Along with odd sleeping habits, college students
are gaining an awareness of the world around them thus supporting different causes. The Red Bull
(Red) edition is an excellent combination of the two.
SWOT ANALYSIS
In a SWOT Analysis, we found the strength of this product is that Red Bull is already the marketing
leader of energy drinks and can easily introduce this new item with growing popularity. A weakness is
that Red Bull drinkers are accustomed to its familiar taste and any change in flavor might make them
shy away from buying. An opportunity is that (Red) Red Bull combines the popularity of Red Bull and
the popularity of helping others. There is a potential for a high amount of sales. One of the threats to
product is that competitors like Coca Cola and Pepsi are continually looking to regain the sales that Red
Bull has taken. Another is that the media reports pointed at parents are claiming that the caffeine
levels Red Bull are too high for the children and young adults consuming them. The strengths and
opportunities for sales clearly outweigh the weaknesses and threat.
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PRODUCT (RED)
MARKETING OBJECTIVES
The marketing objectives for the (Red) Red Bull are to raise awareness of the growing need to help
fight HIV/AIDS in Africa. Since this is targeted toward college students, we will be using social media
outlets such as Facebook, Twitter, and Instagram. In doing this, our goal is to try to raise $500,000 for
the academic year of 2012-2013.
TARGET MARKET STRATEGY
For our research we decided to ask college students different questions about Red Bull and also some
research done online. In a poll of 50 students, we found that 49 of them have tried Red Bull. Of the 49
students, 66% of them purchase Red Bull 0 to 5 times a week, 13% of them purchase Red Bull 6 to 10
times a week and 10% of them purchase Red Bull 10 or more times a week. Of the 50 students, 87%
have heard of (Red) Red Bull. As such, 55% of them would be willing to try a new flavor if Red Bull
produced one.
PRODUCT SELECTION
The selection of the Red Bull product was inspired by the target market of college students, where
energy drinks are highly popular and frequently consumed. Red Bull is the original taurine beverage
and remains the elitist brand, which is evidenced by its higher pricing structure.
Specific product
selection is the Red Bull: Red Edition. According to Red Bull’s annual report a total of 4.631 billion cans
of Red Bull were sold in 2011. These positive figures are reflected across the United States as well as in
Europe. There are high sales among college students as well. This version is cranberry flavored with
the same energy formulation as the original, comes in the standard 8.4 Fl. Oz. can with 80mg of
caffeine.
PRODUCT DESIGN
Product design will have to distinguish itself from the original while still identifying with it. The can will
be completely red. A globe, centered on the African continent, will grace the front as well. This will
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PRODUCT (RED)
signify the support of the (Red) project and the fight towards a cure and stopping the spread of
HIV/AIDS in Africa. The back of the cans will feature photographs of (Red) individuals that have been
positively affected by project (Red). Their stories will also be included to gain sympathy in the cause as
well as to exhibit how the (Red) project can help.
PRICING
The price for this special edition will be adjusted to reflect stores individual pricing of regular red bulls.
The prices will be adjusted according to sizes of can so price range could be from $2.50-5.50; Retailers
have small windows in these ranges to garner the ability to compete. There will be no price premium
to purchase a (Red) Red Bull, as the charitable funds will come out of the profit margin for this line.
People should be able to try the (Red) product at no additional cost.
DISTRIBUTION PLAN
This product will be available at many places and is consumed by a large target market, distribution
centers will remain the same as the classic Red Bull, they will include big box retailers like
Supermarkets (Target, Wal-Mart, Publix), and Wholesalers (Costco, Sam’s Club), as well as gas stations
and convenience stores, college campus vending machines and shops, and bars and nightclubs.
COMMUNICATION STRATEGY
The communication strategy is intuitive, create Facebook, Twitter, and Instagram pages to help
promote and gain supporters for (Red). In addition to social media have (Red) seminar speakers come
on campus to speak, to gain awareness for the cause.
Also garner attention through sports
endorsements such as NASCAR advertisements or large ads in conjunction with games of the NFL, NHL,
MLB, NBA and others. Add specificity to the classic premise of Red Bull commercials that Product (Red)
gives you Wings! Also ever popular, especially among college age demographics is to gain celebrity
endorsements.
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