Principles of Marketing: Target Market, Products, Price, Place, and Promotion

This article discusses the principles of marketing, focusing on target market, products, price, place, and promotion. It uses the examples of Red Bull and Lucozade energy drink to illustrate how these principles are applied in the real world. The article also provides recommendations for both companies to improve their marketing strategies.

PRINCIPLES OF MARKETING

EXECUTIVE SUMMARY
There has been various activities which has been use in the report. Target market has
been shown in the report for more sale of the company and various products and its quality are
described to increase the productivity of the drink company, also shows the various pricing
strategy of the products in the market. And has been used various promotional strategy to
promote its product.

TABLE OF CONTENTS
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
CONCLUSION ...............................................................................................................................4
RECOMMENDATION...................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
As Effective marketing strategy that can make difference between product selling or
being ignored by the customer, as the marketing strategies are essential, business leaders that
nearly always have hand in initiative marketing shaping. These leaders are utilized the four
principle of the marketing as heart of the business strategies. In this report Red bull and
Lucozade energy company is taken (Bayuwana, Wahyono & Harini, 2019). This report
highlights the product, target market, place, promotion and price. In this regard present report has
been prepared.
MAIN BODY
Target market
Red bull is energy drink that is sold by the Red Bull GMBH. It is an Austrian firm. It
mainly targeting the segment of the 18 to 34 year old men that is based on the interest, which
being outdoors, taking risk & having fun. It targets both male and female and mainly focusing on
the income source people that can easily afford to buy the products. Also, targeting the Bachelor
stage that is young people and new married couples. Company also analyses the social class such
as middle class and upper class, which can easily afford to buy. It sales it product in domestic
and international region (Azhar and et.al., 2019). It also targets the people those are mostly like
the energy drink.
Lucozade energy is a soft drink which is manufacturing by Japanese firm it marketed as
range of energy drink and sports. It mainly target the young men and aged people that are
between the 18 and 30, as bran bids to widen its audience beyond sports performance in market.
It is very costly as compare to other energy drink and target the customer those income are good
such as people of middle and upper class. So, that they can afford to buy the products. It also
focus the children, wife, young and adult. It targets the sporty person where sporty person
consume this drink for energy purpose.
Products
Red bull has its various products, Its products are comes in the bottle and are in circular
in shape and also it comes in tin, and using the high quality packaging of the products and with
using the colors which highlights the products as compare to the other products (Baker, 2016).
Its color and packaging are made in such a manner that can attract the customer towards the red
bull products. When the customer consumes the drink, it makes the people to feel more energetic
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(Türk and Erciş, 2017).Also due to its brand value people are mostly consume the red bull
product as it increase the reputation of the consumer in front of others.
Lucozade energy drinks which are mainly comes in the sporty bottle shape and its is
packaging are made in such a sporty look and various colors are used on the products, which
make the product look different from the other energy drink, it give the bottle as sporty look, as it
mainly consume by the sports person for the energy purpose during the sports. It also attracts the
customer by seeing the sporty look (Hadiyati, 2016). By consuming the drink it gives the energy
to the sports person and make them feel energetic and boost up the stamina level of the person.
Also due to its biggest brand level in UK, people are mostly consume the drink by the people
which raise the status of the people.
Levitt's brand model Red Bull Lucozade energy drink
Expected products Energy Drink Energy Drink
Potential products Healthy drink Increasing the quality of
energy drink
Generic products Energy Drink Energy Drink
Augmented It increases the energy of the
general consumers
It gives energy for sports men.
Aaker's Brand Personality Red Bull Lucozade energy drink
Sincerity Cheerful Wholesome
Excitement Spinted Daring
Competence Successful Reliable
Sophistication Upper class Charming
Ruggedness Outdoorsy tough
Price
Red bull Lucozade energy drink
Red Bull has number of competitors like Rock- The products are perceived as high value
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star, Cloud 9, Monster etc (Fan, Lau and Zhao,
2015). It using the Premium pricing strategy
for products
products that lowering the prices for actually
be counterproductive.
It use the competitively pricing strategy for its
product.
Red bull is one of most expensive non-alcoholic drinks in current market. Its prices are more
higher than the competitors because of this it maintains the image at high quality products. Due
to high quality & dominant in market position, because of this Red Bull charges premium price
for products. Despite costly than its competitors, consumer don't shy io pay premium price
because of loyalty brand.
Lucozade energy drink using the competitively pricing strategy which is slightly jigher than
market average which help in building the image at high quality in the market (Hwang and
Thomadsen, 2015). This strategy been way of disadvantage in period immediately after global
recession, where the customer in market that tended for cheaper products in response to
diminishing purchasing power.
Place
Red Bull having its presence over 171 nations, It is successfully managed to sell over the 61
billions of cans over worldwide in a year. It uses the retail channel as contact-point of product
and end-customer. Ease availability of red bull products in night clubs, supermarket grocery
stores etc. Very oftenly they are store in the refrigerator which attract the customer to buy the
drink, when they in the bar or in grocery shop. It also available in online which make the
customer more convenient for buying (Jaminyasa, Pulawan and Amerta, 2017).
Lucozade energy drink- this component of marketing mix that refer to accessibility of products
to target the customer. In many parts of the world its most of retail stocking the products. Where
the products are mostly stocked in the retail outlets such as hypermarket, supermarket shopping
mall etc. Health care facilities also stock the products. Lucozade is quite easily find and anyone
want to drink, it can easily get in the market. If inefficient in the distribution channel may crate
the lost sales of the organization Lucozade energy drink has an efficient distribution channel and
make the customer satisfied with the proper availability of brand.
Promotion
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Red Bull invest millions of dollars on promoting the products and make the apex of mind in the
customers mind (Saidani and Sudiarditha, 2019). During the pastime company uses to promote
its product by using the varios method of advertising such as, newspaper, Printer, TV, pamphlets
etc. to promotes its product in the market. Red Bull to promote its product at past time by using
the TV and social media by giving the various add in the TV and social media and making the
use of tagline “Red Bull gives you wings” which make the customer to attract towards the Red
Bull drink and like wise they make the position in the mind of the customer that it is the best
quality drink as compare to others (Serrat, 2017).
Lucozade - Promotion is one of the crucial components of marketing process that mainly involve
communication about products to market. Where the markets are need to be aware of existing
product before it start demand for it. Pastime Lucozade products its products by using the various
promotion methods of products such as website and print method Such as newspaper Magazine
etc. and also it makes the use of tagline “Lucozade replaces lost energy” to make the position in
the mind of the customer (Wieland, 2018)
CONCLUSION
From the above study it is concluded that principle of marketing is very essential for the
organization as it is the heart of the marketing strategy. Also target market are used by the
company so that the company can come to know to whom they target to achieve success and also
it make its product so quality one and well in design which attract the customer to buy and leads
to increase in the sale of products. It also concluded that drink uses various promotional
strategies to promote its product so to increase the sale of the products. Various pricing strategy
are used by the company to make sale its product. And using various distribution channel to
provide the products to the customer to satisfy their needs.
RECOMMENDATION
 Red bull should target the market on the basis of the customer those who have more
interest in soft drinks. Whereas Lucozade target the market on the basis of the social
classes such by income of the people.
 It should provide it products to the customer by bringing some more innovation to its
products with quality to retain the customer at same product. Whereas the Lucozade
should make its product more attractive and sporty look, so that it can easily catch the eye
of customer.
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 As Red Bull uses primary price strategy for its products it should also use the low cost of
pricing so that all class of customer can by its product. Whereas Lucozade should go for
the skimming price to sale its products.
 Red bull should prove online shopping to the customer so that customer feel more
convenient to buy products. Whereas Lucozade also use online and offline both for easily
available of products.
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REFERENCES
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