Strategic Marketing Plan For Red Bull Essay Example | Topics and Well Written Essays - 2000 words

Strategic Marketing Plan For Red Bull - Essay Example Summary of the task The study aims towards designing a marketing plan for Red Bull. Background Red Bulls is a twenty five years old company that has been selling energy drink. In the year 1980, Dietrich Mateschitz founded Red Bull, inspired by a functional drink originated from Far East. He created the energy drink and promoted it through a unique marketing concept. In its early days it was sold in the home market of Austria but today Red Bull is sold in more than 165 countries. Red Bull is not only a new product but has given birth to a totally new category of product. Today Red Bull has sold more than 35 billion cans (Red Bull GmbH, n.d.). Outline The marketing plan of Red Bull covers the following Product: Non-caffeine drinks for the kids and other people who do not drink for energy purpose. Place: Designing an expansion plan through which the company can operate in other geographical areas. Price: Red Bull will be implementing some cost reduction techniques so that the price of t he products can be reduced. Promotion: Red Bull will be promoting their new product through social networking site, public relationship activities etc. At the same time they will also promote their current product as â€Å"safe to drink†. Strategic Marketing Plan Marketing Audit Marketing audit is defined as the process of â€Å"comprehensive, systematic, independent and periodic examination of a company’s or business unit’s marketing environment, objectives, strategies and activities with a view of determining problem areas and opportunities and recommending a plan of action to improve the company’s marketing performance† (Avasarikar and Chordiya, 2007, p. 4.15). Marketing audit helps in increasing the profitability of the company (Kotler, 1999). Red Bull deals in energy drinks with various tastes targeted towards young people who are involved into strenuous work starting from athletes and weight lifter to common man working in office. The marketi ng audit is done through SWOT analysis that highlights on the internal, external and competitor analysis. Based on results the issues are identified. Internal analysis Strength Market leadership: In the year 2012 the company has sold total of 5.226 billion cans all over the world. This figure represented a 12.8% increase in the sales as compared to the figures of 2011. The company is the global leader in energy drinks. The company has a market share of 70% in the world. Even the other drinks offered by other companies are also facing competition in front of Red Bull. Figure 1: Red Bull’s Net Sales and Cans sold in 2010-12. (Source: Euromonitor International, 2013) Millward Brown (2010, cited by Bodner, 2011) stated that Red Bull is positioned at 79th position amongst all the global brands worth 8,154 billion dollar. It is positioned at fourth rank amongst all the popular brands in soft drinks like before Sprite and Fanta but behind Coke (Zero, Lights and Diets), Coca Cola and Pepsi. Coke and Coca Cola are the third largest brands all over the