Red Bull's Marketing Principles: A New Product Introduction Report

This report examines the marketing principles guiding Red Bull, focusing on the potential introduction of a new product category, specifically a Red Bull Milk Shake. It employs methodologies such as PESTEL analysis and the Ansoff matrix to assess the market landscape and identify challenges. The report details Red Bull's existing brand values, target market segmentation, and positioning strategies. Analysis of new markets and trends is conducted, alongside a description of the proposed new product. Competitive analysis includes comparisons with brands like Hershey and Danone. The conclusion emphasizes that successful new product development hinges on attracting a broad consumer base and leveraging product development strategies to enhance the company's reputation and market share. The report suggests that continuous innovation and understanding customer demand are crucial for maintaining a competitive edge.

PRINCIPLES OF MARKETING

Executive summary
The below study is presented on basis of certain principles of marketing that define combination of
marketing mix . The aim of this report is to identify the market scenario in which new product category of
Red Bull can be introduced. This can be done through PESTEL analysis and Ansoff framework that help to
define certain challenges that are exist in market

Table of contents
Table of Contents
INTRODUCTION
MAIN BODY
Methodology
Findings
• Existing brands and its values:
• Target Market Of Red bull
• Analysis Of New Markets including Trends
• Description of new products
• Competition
CONCLUSION
REFERENCES

Introduction
Marketing refers to a process of producing goods and
services to potential clients. And its principles based on
some ideas that can use for making effective marketing
strategy that helps to enhance product reach(Wanda and
Razak, 2018). This report is based on Red bull, it is a
energy drink company that spread across world and its
headquarters is in Austria.

Methodology
For conducting a research survey marketer can use
methods such as primary in which they can fill
questionnaire on basis of target customers and identify
their taste, nature and preference related to respected
brand. Researcher also use secondary procedure to
analyse other things like market share, existing and
upcoming trends, effects of external environment on
business and many more things that derive value in
business. Increasing their market share through helps on
brand image in market.

Existing brands and its values
Red bull is a leading company that deals in variants of
energy drinks in terms of edition such as red, pear,
peach, green, blue orange etc. Company can generate
their brand values by identify consumers and their taste
and preference.
• Brand Appearance
• Personality
• Culture

Target Market Of Red bull
The Red Bull's targeted clients are highly aspire
young males that live on edge. It is highly
interested in sports and challenging activities.
For identify desired customer company can use
STP process which are discusses below
Segmentation
Targeting
Positioning

Analysis Of New Markets including Trends
This defines assessment related to qualitative and quantitative terms that helps to define market volume and
values on basis of customer segment, buying patterns etc(Kotler, 2017). This procedure includes PESTEL
analysis
Political : The intra governmental policies can affects imports and exports of red bull. This is a
opportunity for business.
Economical: An availability of raw material and resources can influence overall sale of Red Bull.
Social: This affect lifestyle of person, strategies in drink production with sugar free help to enhance
market growth.
Technological: Red Bull pay high amount of money to stunt man as a technology sources this helps in
grabbing customer attention

ANSOFF Matrix
This matrix refers to a strategic tool that helps to guide organisation for taking right decision that generate
growth (Hopkins and et.al., 2020). It includes market penetration, market development, product
enhancement and diversification. Company can use product development strategy as it try to extend their
market with generating new categories such as milk shake. Basically this strategy is used to seeking
growth opportunity by producing new products in existing market. Red Bull uses research and
development of finding and understands about views of customer demand that helps in generate
competitive benefits in organisation through creativity and new innovation.

Description of new products
The existing product line of Red Bull can
expand through introducing new category of
brand such as Red Bull Milk Shake
(Dimitriadis, Dimitriadis and Ney, 2018). A
main goal of establishing this new product is
to target those consumers who are highly
concerned about they physique and health
who needs high protein to do work or for
survival. The positioned of brand is helps to
differentiate it from other rivalries

Competition
Red Bull Hershey Danone
The market share is 24.9% This can lead market share is 43.3% It has increased its market share with 30 percent.
It has sold 7.9 billion cans in a year. This can sales products six billions dollars in every year. The sales of company is 12.82 billion euros.

CONCLUSION
It is being conclude from above report that development of new product can be successful if they can
attract most of crowd. Company can use product development strategy as they try to extend new
products in existing market. This assist to increase reputation of company and its market share by
providing satisfaction to customer with this new product segment. This items improvement can
enhance competitive benefits in business.