Principles of Marketing: A Comparison of Red Bull and Lucozade Drinks

This report compares the marketing strategies of Red Bull and Lucozade drinks, focusing on target market, product, price, place, and promotion. It examines how these companies attract customers and achieve high profits. The report concludes that Red Bull has a stronger market presence and invests more in promotions.

PRINCIPLES OF
MARKETING

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................1
INTRODUCTION...........................................................................................................................1
FINDINGS ......................................................................................................................................1
Comparison of Target market ....................................................................................................1
Product........................................................................................................................................2
Price.............................................................................................................................................3
Place/ Physical distribution.........................................................................................................4
Promotion....................................................................................................................................4
CONCLUSION ...............................................................................................................................5
REFERENCES................................................................................................................................6

EXECUTIVE SUMMARY
Principle of marketing refers to a heart of business strategies in which leaders can utilise
the several aspects that are product, price, place promotion that helps in targeting the customers
and selling the company offerings so that large profits can be achieved. The main aim of
developing this project is to understand the four Ps of marketing in context of comparing two
companies.
INTRODUCTION
Marketing is an essential term in which goods and services are to be purchased and sold
for gaining profits. Within marketing strategies can be developed that helps in comparing the
selling of goods and the goods which are being ignored by the buyers. It includes several
elements of marketing that are product, price, place promotion etc. This report is based on two
companies that are Lacuzade Energy and red bull energy(Palmatier and Crecelius, 2019). In this
Lacuzade energy is one of the best soft drink manufacturer that is manufactured by Japanese
company Suntory. This organisation can created their Glucozade in UK that is mainly acquired
by British Pharmaceutical company . On the other hand Red Bull is another leading energy drink
selling that is a Austrian company and sold by GmbH. It is created in 1987. this study included
the comparison between Lucozade and Red Bull by using comparison between target market,
product, price, place and promotion so that they will increase their market share and also
customers preference.
FINDINGS
Comparison of Target market
Target market defines the particular group that includes potential customers to whom
organisation can sell their offerings. In context of Red Bull and Lucazode drinks, target market
helps in attracting the customers purchasing power by analysing their income level, occupation
and lifestyle that may affect both the organisation(Porral and Stanton, 2017). Comparison
between both the organisation on the basis of target market can be shown below:
Basis Red Bull Lucazade drinks
Lifestyle This organisation can target
the business class people
In case of this drink company
they can target the customers
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students and the executives
class working people. They
generally denoted as an
ambitious people.
who have major involvement
in sport or the sport person.
They binds the market beyond
the sport performance market.
Occupation On this basis red bull can
target the employees,
professional and sports
enthusiast, athletes etc.
On the other hand Lacozade
can focus on the teenagers and
also the adults who are
generally involves in the sports
activities.
Gender basis In this red bull can target both
type of customers that are
males and females to enhance
the sales and profits.
On the contrary Lacozade can
only emphasis on the male
customers for developing their
sales and profits.
Income level In Red Bull the company
targets middle class people or
high class people for
enhancing their profits margin
within the competitive market
position.
Lacuzade can majorly focus on
the high class people
especially sports people
because of their high price of
the products and services.
Age In this aspect Red Bull can
targets the young and adults
who belongs to the 18-34 age
groups for maximising their
profits and revenues.
In case of Lacuzade they target
the 18-30 year people to
increase their sales(Bowie and
et. al., 2016).
Product
It refers to the physical goods that is developed and manufactured by the company for
satisfying the needs of customers for which they pay a amount that is worthy to that
products(Tontuș, 2018). IN case of Red bull and Lacozade drinks they can compare their
products on using some features such as colour, flavour, packaging, brand image etc. that can be
shown below:
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Basis Red Bull Lacuzade drinks
Colours This firm will contain many
colours such as red bull red,
Deep Bull Blue, sunbelt blue,
soaring blue etc.
This drink company can
adopts the several colours in
their drinks as they use orange
colour for their bottle because
this shows as an energising
colour.
Flavours Red Bull includes the several
flavours in their drink that are
blueberry, Kiwi-apple, coconut
berry, watermelon that helps in
enhancing the taste of the
drinks.
In case of Lacozade they
adopts the flavours of topical
orange, lemon, wild berry
apple, pineapple that will
attracts the sport people(Plank
and Canedy, 2015).
Core products The main drinks of Red Bull
mainly energy drink, cocktail
and many more that does not
contain alcohol.
On other hand Lacozade can
adopts the sports drinks that
can gives the energy to people.
Packaging The packaging of Red bull
drinks is purely done on the
100% recyclable aluminium
can in which amount of
plastic is very less that helps in
fulfilling the hygiene
standards.
The Lacozade can involves the
packaging with biodegradable
plastic that does not harm the
environment but containing
drink within their bottle does
not save for long lasting.
Price
It refers to that amount which is set by the company for their products to the customers so
that they can buy it according to that. It is an essential factor in earning high cost and attracting
the customer attention. In terms of Lacozade and Red Bull this element can be elaborated below:
In terms of Red Bull, organisation can focus on several pricing strategies for marketing their
products so that large number of customers get attracted towards it such as competitive,
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premium. Company can focus on premium pricing because of their quality products and by
analysing the competition within market so that demands and sales can be maintained. Because
of their quality customer can buy the goods effectively in higher price also(Moravcikova and et.
al., 2017).
On the other hand Lacozade drinks, This company can adopts the premium pricing strategy for
maintaining their premium brand image within the market place. Towards the products of
Lacozade mainly high elite peoples are attracted who have major interest in sports. This will
helps in enhancing the brand image of the business enterprise and profits. Both the company
pricing strategy is different but work for achieving the same goal that is gaining high profits and
revenues.
Place/ Physical distribution
This aspect is one of the best marketing mix because it belongs to the displaying and
presenting products and services in front of the customers for enhancing large base of customers
and gaining high profits. It helps in creating awareness within market related to specifications
and the importance to their targeted audience so that more and more customers are attracted. In
case of Red Bull and Lacozade drinks this elements can be shown below:
Red Bull can display its presence within 171 countries in all over the world and also managing
their sells over 61 millions in worldwide. This drinks can be easily available in nightclubs,
grocery clubs, supermarkets that also helps in added the success in the brand image. The drinks
of Red Bull are stored in their exclusive freeze that helps in attracting the customers. It is also
available on online store in bulk packs and single piece. This services is also very helpful to
attracts millions of people.
Lacozade Drinks is one of the household brand in most of the countries in the form of retail
outlets, hypermarkets, shopping malls and online outlets. As this company can also tend to in
trend due to their pharmacies. This company can sale their products mainly in retail outlets that
can helps in satisfying the customers with the brand.
Promotion
Promotion refers to a significant component of the marketing process that helps in
attracting the large base of customers that helps in gaining high profits and revenues. In context
of Lucozade drinks and Red Bull this element can be shown below:
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In case of Red Bull, organisation can spend millions of dollars for promoting their goods and
services so that it create their high position in the mind of the customers. In this firm will use the
integration of ATL, BTL and digital technology so that awareness can be creates for promoting
the goods and services. In this they also adopts the use of storytelling that helps in effectively
communicate with their customers and develops high customer base(Saunders, Barrington and
Sridharan, 2015).
On the the had Lacozade drinks, can promote their products by using several promotional
campaigns and direct selling. They also adopts the use of televisions, newspaper and magazines.
They do direct marketing without involving in personal selling to end user. This channels are
mainly target the organisations rather than customers.
CONCLUSION
From the above explained report it is to be concluded that marketing mix helps the
business organisation for developing, launching and attracting the large base of customers so that
firm will sustain for a longer period of time. This report inculcates the comparison between two
companies i.e. Red Bull and Lacozade drinks in which it is examine that Red bull is much better
than the Lacozade because it deals in more countries and also investing high cost in promotions.
This also have more products in comparison of other one. This helps in gaining high profits and
revenues. Both the brand can use the marketing elements in effective ways as it is very helpful in
targeting the customers and also developing the high brand position within marketplace.
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REFERENCES
Books and Journals
Bowie, D. and et. al., 2016. Hospitality marketing. Taylor & Francis.
Moravcikova, D. and et. al., 2017. Green Marketing as the Source of the Competitive Advantage
of the Business. Sustainability. 9(12). p.2218.
Palmatier, R.W. and Crecelius, A.T., 2019. The “first principles” of marketing strategy. Ams
Review. 9(1-2). pp.5-26.
Plank, R.E. and Canedy, C., 2015. The Language of Marketing: A Content Analysis of
Marketing Principles Textbooks. In Proceedings of the 1989 Academy of Marketing
Science (AMS) Annual Conference (pp. 258-262). Springer, Cham.
Porral, C.C. and Stanton, J.L., 2017. Principles of marketing. ESIC Editorial.
Saunders, S.G., Barrington, D.J. and Sridharan, S., 2015. Redefining social marketing: beyond
behavioural change. Journal of Social Marketing.
Tontuș, H.Ö., 2018. Promotion of health tourism and evaluation of the principles of marketing of
health services. Journal of Multidisciplinary Academic Tourism. 3(1). pp.67-88.
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