Principles of Marketing: Lucozade and Red Bull Energy Drink Report

This report presents a comprehensive analysis of the marketing strategies employed by Lucozade and Red Bull energy drinks. It begins with an executive summary and table of contents, followed by an introduction to marketing principles. The main body of the report delves into the target markets of both brands, highlighting their customer demographics and positioning. It then examines the product, price, place, and promotion strategies (the marketing mix) of each company, discussing how they differentiate themselves in the market. The report explores the product strategies, including product offerings, and pricing strategies, considering the influence of pricing on performance and profitability. It analyzes the place strategies, examining where the products are distributed and how this affects sales. Furthermore, it investigates the promotion strategies, encompassing both traditional and digital marketing methods. The report concludes by summarizing the key findings and emphasizing the importance of understanding marketing activities for achieving higher profit margins and effective competition within the energy drink market. The report references several academic sources to support its analysis.

PRINCIPLES OF
MARKETING

EXECUTIVE SUMMARY
The report is going to consist of marketing mix and targeted audience which Lucozade
and Red bull energy drink are having in the market. The method which has been used for
research is secondary data which has given a good understanding and analyses of the factors
which are affecting the functioning of the business. The results which are developed from the
report is that the companies have their own strategies and methods for themselves to be able to
have higher performance and profitability in the market. The companies expand themselves and
have to have experience to be able to achieve their goals and targets in the market so that there is
going to be effective working.

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Target market...............................................................................................................................3
Product strategy...........................................................................................................................4
Price strategy................................................................................................................................4
Place strategy...............................................................................................................................5
Promotions strategy.....................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................1

INTRODUCTION
Marketing is a process in business which are consist of activities so that the sales and
understanding of the customers can increase. The demands and needs have to be matched by an
organization so that there are going to be higher profitability in market. Report will discuss
marketing mix of Lucozade energy drink and Red bull energy drink. There is a highlight on the
targeted customers of both the companies in the market as well which is going to make the
organization have higher performance.
MAIN BODY
Target market
Both brands which is Lucozade energy and red bull energy drink have a targeted positioning for
themselves in the market so that there is going to be higher performance, productivity,
performance, etc. so that the business will be able to develop themselves in the competitive
market.
 Lucozade energy
Lucozade energy drink is having a targeted audience as well which is from the age 18 to
30 and are sports men. Targeted audience for the product are upper and middle class who are
having a disposal income which is going to motivate to purchase this product which is a very
good factor for the organization. The company is focusing on promoting themselves by giving
healthy and better lifestyle to their customers who are conscious of their health. The company is
not focusing on gender while promoting their products so that the sales of the business is going
to be higher and revenue generation is going to be higher (Amaral, 2017).
 Red bull energy drink
The targeted customers of red bull energy drink is already set which is the youth and
young adults which are ageing from between 18 to 35 years in UK because they are the
administration which is the primary largest customer base which the organization can
demographic distribution which the company can have. In this demographic distribution the
company is going to target the middle and upper class which is purchasing red bull products for
college parties, coffee shops, bars, etc (NEDELEA and Nedelea, 2016). Company has targeted
the customers by providing them with free samples which is going to make the consumer's take
this product even more.

Product strategy
Products strategy is one of the marketing mix strategy which helps in increasing the
efficiency and sales of the company so that the demands of the organization can match with the
customers. Lucozade and Red bull energy drinks also use this strategy effectively so that there is
going to be higher performance which is going to be present.
Red bull energy drink Lucozade energy drink
This is an effective quality of drink which is
present in the market and is carbonated energy
drink which is getting mental stability in the
customers. It is due to the increase in diabetic
patients the company has come up with sugar
free products as well.
The products of Lucozade drinks are providing
energy to the customers after consumption
which is because it has glucose added in the
products.
The customers need variety in the products
which is why red bull is having new favours in
the organization like kiwi, coconut, blueberry
and cranberry which is fulfilling the needs and
demands of the customers and making the sales
of the products of Red bull increase in the
market.
Lucozade is providing products online as well
as offline with different flavours so that the
demands and needs of the customers can be
improved (Razakova, Bekkulieva and Istaeva,
2019). The employees in the organization are
also well motivated so that demand and sales
can be achieved by the organization.
To increase the brand value of the business
effectively there is a mix of different mixers
and grinders which are present in the drinks of
company.
Lucozade energy drink adds memory booster
nutrients in the products for the customers so
that there are going to be higher sales.
Price strategy
There is a large influence which would be present in the organization's performance level
and profitability with this strategy. In the service and goods factors the pricing of the products
need to be lower so that a large number of customers would be attracted in the organization. This
is not a good factor for the organization even since the profitability will get affected. Right

pricing strategy for the products will have to be used by both the organizations so that the
targeted audience is going to get attracted.
Red bull energy drink Lucozade energy drink
Since the company is providing their products
to the customers for having disposal income
which is according to the mindset of the
customers which is a very good factor for the
organization to have and have higher
profitability (Red Bull Marketing Mix (4Ps)
Strategy, 2020).
The company has made a and is following a
pricing strategy according to the customers
ageing between 15 to 30 which are from the
middle and upper class of the society so that
there is going to be higher sales.
Due to its high reputation the organization is
more focused on having higher profitability
which is going to make the company have
better functioning.
The company is having a competitive pricing
strategy for themselves in order to be able to
function effectively. There are a lot of factors
which can make the organization have higher
results and profit margins (Arfaee and Rezaei,
2018).
Place strategy
The company needs to focus on getting a large audience for their products and service for
which the business need to have a strong placing for their products so that the customers can be
targeted. Placing of the products is going to have a major impact on the sales which the company
is selling in the market which needs to be well planned so that the business will be able to
develop themselves. The placing strategies for both the organization are going to be as follows.
Red bull energy drink Lucozade energy drink
To make it easier for the customers to purchase
the products of Red bull the company has
placed the product on airports, bars,
supermarkets, retailers, convenience store, etc.
after all the campaigning which the
organization did in market (Campbell and
Lucozade energy drinks are mostly found in
supermarkets and retail stores in UK which is
making the company have limited targeted
customers.

Brauer, 2020).
The company has expanded themselves all
around the world which is making the
organization have higher sales and targeted
customers are huge for the business.
The products of Lucozade is primarily sold in
UK where the company developed themselves
in which gets the selling of products limitation
(Laczniak and Murphy, 2019).
Promotions strategy
For all the products and services have to give out information and advertise their products
and services so that there is going to be higher performance which is going to be present in the
market. There are traditional and modern methods which a business can use in the market in
order to be able to have an effective working which would have an impact on the customers of
the organization (Wilson, McCabe and Smith, 2018). The promotional strategies of Red Bull and
Lucozade energy drink are going to be discussed in the further report effectively.
Red bull energy drink Lucozade energy drink
On the judgement of marketing approach Red
bull is considered as one of the most successful
business in market. To be able to have a larger
audience globally the organization is investing
around 30% of their income to be able to
promote their products and services in market
(Bergstrom, 2020).
Lucozade is trying to promote themselves in
market to be able to have higher sales by using
traditional as well as digital promotions in the
market to get higher income.
To aid the marketing approach the organization
is using common traditional and digital
marketing tools in organization to be able to
have higher customer base. Red bull is
sponsoring major professional events like
driving races, sports events, football matches,
etc. which are having high audience and the
sales is going to be influenced as well. Red
Bull is owning a lot of successful teams like
To get in larger audience in the company the
organization has adapted to social media,
smartphone applications, online websites, TV,
magazines, newspaper and radio commercials
in order to be able to target the audience
effectively.

Red Bull racing formula one team, Red bull
Leipzig football team in the Bundesliga, etc.
which is capturing the attention of a lot of
customers in market which is influencing the
revenue generation (Gama, A.P.D., 2017).
CONCLUSION
From the above report it can be concluded that businesses in the market need to
understand the marketing activities to have higher profit margins. It is important to compare the
companies with their competitors so that there is going to be higher performance which would be
present in the organization. Segmentation, positioning, promotions, products, place, etc. have to
be decided by the organization effectively so that there is going to be higher performance. There
are new markets which businesses need to explore so that there is going to be effective working
and higher revenue generation of the business in the market.

REFERENCES
Books and Journals
Amaral, S.A.D., 2017. Users, information consumers, and information service agencies from the
marketing perspective. Transinformação. 29(1). pp.27-38.
Arfaee, M. and Rezaei, S., 2018. Studying Effect of Social Factors on Marketing Management
among Livestock Product Industry from Managers and Experts Viewpoint. Agricultural
Marketing and Commercialization Journal. 1(2). pp.1-5.
Campbell, M.R. and Brauer, M., 2020. Incorporating Social-Marketing Insights Into Prejudice
Research: Advancing Theory and Demonstrating Real-World
Applications. Perspectives on Psychological Science, p.1745691619896622.
Gama, A.P.D., 2017. A balanced scorecard for marketing. International Journal of Business
Performance Management. 18(4). pp.476-494.
Laczniak, G.R. and Murphy, P.E., 2019. The role of normative marketing ethics. Journal of
Business Research. 95. pp.401-407.
NEDELEA, A.M. and Nedelea, M.O., 2016. Humane marketing, peace marketing and
rebranding marketing. Ecoforum Journal. 5(2).
Razakova, D.I., Bekkulieva, B.M. and Istaeva, A.A., 2019. Formation and development of
educational services on the marketing principles. Вестник университета Туран. (4).
pp.278-283.
Wilson, E.J., McCabe, C. and Smith, R.S., 2018. Curriculum innovation for marketing
analytics. Marketing Education Review. 28(1). pp.52-66.
Online
Bergstrom, B., 2020. Red bull marketing strategy: what you need to know. [Online]. Available
through:<https://coschedule.com/blog/red-bull-marketing-strategy/>.
Red Bull Marketing Mix (4Ps) Strategy, 2020. [Online]. Available through:
<https://www.mbaskool.com/marketing-mix/products/16734-red-bull.html>.
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