[Type text] [Type text] [Type text] Digital Advertising: Redbull Marketing Research Paper Nate Burns 2016 10 February Nate Burns Marketing Research Paper: Baleja 10 February 2016 Today, advertising and marketing is crucial when getting information about products to prospective, current, or retrospective consumers. But, what is the best way to reach these consumers? How can the most and highest quality of information be portrayed? Many companies have turned to the most effective means of reaching customers—television and digital mediums. Almost everyone watches television at some point during the day and the number of hours television is viewed per day is on the rise and the number of televisions per household is increasing as well. Television advertisements are not only reaching people through the receivers on the entertainment sets but they are becoming an online sensation as well. Whether a consumer is viewing a YouTube video or simply scrolling through a specific site, these marketing tools can be seen through a digital medium. It is clear that the use of the internet and television viewing is on the rise, but how do companies effectively use these mediums? 1 Source: stakeholders.ofcom.org.uk Nate Burns Marketing Research Paper: Baleja Red Bull was first introduced in the United States in 1987 as one of the first energy drink brands 10 February 2016 Red Bull Annual Sales to reach the market. With recent competitors such as Coca-Cola’s Monster and Pepsi’s Rockstar, Red Bull remains to be the leader in overall energy drink sales. The company grosses around $11 billion per year and had their first decline in sales in 2009 with a rebound Source: store.businessmonitor.com year in 2010 and continual increase since then. (Source: So, how does this company remain to be so successful and lead in the market for energy drinks? This super power of an energy drink company has an immense marketing and advertising campaign. They use a variety of advertising mediums, from sponsored concerts to ornate television ad campaigns. Red Bull has been famous for their slogan “Red Bull Gives You Wings” and in many early advertisements the phrase has been the center piece for initial marketing success. Originally, the company used simple cartoons to depict a character that needed a boost to overcome an obstacle. He then drank a Red Bull, gained wings, soared away and the problems vanished. These advertisements were extremely successful when they first came out in the early 2000s and boosted Red Bull’s sales. However, this television ad campaign did not last. When Red Bull aired a commercial that appeared to mock Jesus they received much criticism and turned to a new form of television and digital advertising. Regardless of the ridicule, Red Bull continued to use this simple and comical 2 Nate Burns Marketing Research Paper: Baleja 10 February 2016 use of advertising to show off their product until 2010 when they began focusing more on extreme sports and major sponsorships for extreme sports athletes. As for the product they were selling, Red Bull faced some extreme criticism. The energy drink company was also criticized for using ingredients that led to heart problems. Eventually, there was no direct evidence that led to the assumption that Red Bull did, in fact, lead to heart problems and early heart attacks. The company continues to be ridiculed for this subject but denies any denigration on the matter. One independent report by Jenny Wilson of Smart Planet.com points out that Red Bull and energy drinks in general have been the centerpiece for investigation in 21 FDA reports. The FDA has not associated these reports directly with Red Bull’s product but the fact that this type of consumer product can be a possible endangerment to one’s health is a scary subject and tough to sell. Red Bull began focusing heavily on sponsoring extreme sporting events and important figures involved. They now use these faces and events to create their digital advertisements. The most recent and noteworthy ad featured a jump from space by Felix Baumgartner and was named Red Bull’s Stratos. This event was viewed by over 8 million people and cemented Red Bull’s image as a leader in extreme sports. This Stratos campaign was viewed by critics as one of the most effective and shocking use of a marketing and advertising campaign. The ads today are leading away from the humorous side of digital marketing and are becoming more inspiring. The 3 Nate Burns Marketing Research Paper: Baleja 10 February 2016 company’s, debatably, most successful use of this advertising technique aired in 2012. This ad contained breathtaking images of incredible acts done by various extreme sports athletes. The ad ends with the image of Baumgartner jumping from space and his voice quietly saying, “The only limit is the one you set yourself.” This breakthrough ad was viewed as a one of a kind and created a buzz unlike any other in the world of social media. There was an increase of 400% of consumer interactions with Red Bull during and after the jump and over 2,000,000 new subscribers were now signed up for the latest company news. Obviously, this new campaign was a step in the right direction and created a new image for Red Bull and their product. (Source: 5, Kotylar) By taking the awe factor from extreme sports and tagging it with the Red Bull name and logo, the company has given itself wings and practically owned the world of energy drinks. This is all done by the use of digital marketing and advertising. Red Bull has captured this idea of digital advertising and warped it to fit their product and brand image. In a world of connectivity and online use, the need to innovate and create a sense of belonging is crucial for old followers and prospective consumers. Red Bull has accomplished this feat and will continue to strive when it comes to digital advertising innovation. 4 Nate Burns Marketing Research Paper: Baleja 10 February 2016 Bibliography: 1. Kotylar, Brian. "Dachis Group." Dachis Group. Web. 08 Apr. 2013. <http://www.dachisgroup.com/2012/10/7-social-campaign-insights-from-redbullstratos/>. 2. "Red Bull Company." Red Bull the Company. Web. 25 Mar. 2013. <http://energydrinkus.redbull.com/company>. 3. "Television Advertising." Television Advertising. Web. 25 Mar. 2013. <http://www.alladvertisingagencies.com/resources/television-advertising.html>. 4. Wilson, Jenny. "Energy Drink Dangers? Red Bull Named in 21 FDA Reports." SmartPlanet. Web. 08 Apr. 2013. <http://www.smartplanet.com/blog/bulletin/energy-drink-dangers-red-bullnamed-in-21-fda-reports/5970>. 5. "Red Bull Brand Profile." Red Bull Brand Profile. Web. 25 Mar. 2013. <http://www.adbrands.net/files/at/redbull_at_p.htm>. 5 Nate Burns 6 Marketing Research Paper: Baleja 10 February 2016