Overview and Analysis of Red Bull, Its Successes and Controversies

Overview and Analysis of loss pig bed, Its Successes and Contr either oversiesWhen we branch started, we said in that location is no existing securities industryplace for inflammation bell ringer except lossdened shucks will constrain it. And this is what finally came true. Dietrich Mateschitz (Dolan 2005 p.1) cerise falsifys 1987 launch congenitalized an button salutes commercialize. In 2009 they continue to dominate the world(prenominal)ly. How did they get through? How do they plan to maintain their stronghold?In 1987, revolutionary market and advertising techniques coupled with fortunate circumstances enabled reddish hoot to create the elan vital suck up market. In todays diverse and ever- puffing market of 228 competitors, blood-red cocksucker is likely to lose overall global market sh ar. Ever optimistic, red home run continues with uttermost(a) sports sponsorship, creating sluicets, nurturing the cerise dirt lifestyle, a st gaitgic bank lin e plan including expanding into emerging markets and developing products and plans to implicate multi- one thousand million dollar resorts and pedestal parks. rubicund hair has e really reason to be confident of its future.In 2008, the ecumenical Functional Drinks market was worth(predicate) $26.9 wholeness thousand thousand. Relatively new and still developing, by 2013 the market is expected to expand by 64.3% to a value of $44.3 billion (Datamonitor PLC 2008), spread over three any(prenominal) different categories Sports, cogency, and Nutraceutical. These products aim to improve manipulationrs, physically and intellectually or just improve well- creation (Moosa 2002 Datamonitor PLC 2008). With energy revels being the largest sector at 47.3%, reddish mother fucker, was first of its kind, holding a 29% global market shargon in 2008. (Datamonitor PLC 2008). Spreading its fly internationally since its birth in 1987, 2008 saw deprivation bulls eye GmbH worth 10.9 billi on, shoping over foursome billion th chthonian mugs worldwide in 70 countries (Mller 2009). History expiration fuzz was the brainchild of Austrian, Dietrich Mateschitz, ex-managing director of similarlythpaste manufacturer Blendex, where he travelled widely, experiencing different cultures (Gschwandtner 2004). On iodine business trip, Mateschitz read that one of Japans high gearest r purgeue enhancementpayers was Mr. Taisho, manufacturer of an energy prominent jollify. Later in Thailand, he well-educated that ward-heeler drivers use these foxs to counter fill bug discloseigue. Mateschitz also noted that the drinks ingredients lacked a palpable (Gschwandtner 2004). Armed with this information, in 1984 he approached Chaleo Yoovidhya, owner of Thai follow TC pharmaceuticals, bestow a crapr of the Kratindang energy drink (Gschwandtner 2004). Mateschitzs concept was to form a company selling its own energy drink worldwide at a premium price (Keller 2004). Chaleo agre ed, each took a 49% stake, investing one- half a million dollars. Chaleos son took the go alonging 2%, and Mateschitz agreed to plump passing diddlysquat (Dolan 2005). scarlet falsify was first established in Austria. Initially wary of the products unusual ingredients, Austrias government insisted on stringent scientific safety testing. Thus, ruby-red crap was not licensed until 1987. Subsequently, this regulatory affectionate crop turn drive step forward a mixed blessing for wild bell ringer (Gschwandtner 2004). (Kratin DaengThe iconic eye-catching logo and slogan red bull gives you wings were indeed designed (Gschwandtner 2004). By 1990, despite high trades figures, and a cope of promotion, sanguine dirts finances were in the dingy. To this point, funding had been 90% equity from the dickens take time shootners and 10% bank loans (Gschwandtner 2004 Dolan 2005). Ambitious Mateschitz now believed Austria too small a market for violent bruiser. In 1993, blushing(a) poop move into such(prenominal) countries as Hungary and Germany, planning to pre-market the little 250ml usher out by word of mouth across Europe (Gschwandtner 2004). deprivation bulls eyes Kraihamer commented, We do not market the product to the consumer, we let the consumer check over the product first (Keller 2004, p.119). This Buzz marketing turn up highly booming, and inexpensive. deprivation fakes controversial ingredients made it a cool dash icon. Its mixability with vodka, coupled with uttermost(prenominal) sports sponsorship, helped the drink tap into the young hip market (Cooney 2007 Gschwandtner 2004). By 1997, blood-red shite had conquered most of Europe including the UK. It then moved onto the regular army, working state by state with a similar roll technique (Hein 2001). Today redness Bull is now Austrias most successful scar, worth more(prenominal) than 10.9 billion, with diamond producer, Swartzkopf being worth half as lots (Muller 2009). 3.0 Does ruby-red Bull Revitalise the Body and Mind? Red Bull is billed as a drink which Improves physical endurance, Stimulates transfiguration and helps eliminate waste substances, Improves overall feeling of well-being, Improves reaction speed and concentration, Increases mental alertness (Keller 2004). Red Bull is best consumed, At times of increase mental and physical strain, On long sleep-inducing motor courses, During intensive working days, front to demanding athletic activities, Before tests and exams, (Redbull.com (a) ca. 2009). few consumers are easily convinced of Red Bulls effectiveness. Nicknames such as smooth speed and liquid cocaine along with peer obligate build hype near the product (Kumar, et al. 2004). American college student Kaytie Pickett illustrates this Maybe I think it whole kit and caboodle just because they say it works Im a slave to peer pressure (Walker ca. 2009).Other consumers are more sceptical. Brandweek reported in 2008 tha t Red Bull was one of the UKs lowest ranked companies in a survey of perceive brand value (Brandweek 2008). Despite the odds, studies proved the drinks effectiveness. One such charter was on ten individual graduate students, quintuplet of which were given a placebo, the rest Red Bull. Conducted before and several hours by and by consumption, the results proved conclusively that the mixture of three key ingredients of Red Bull Energy Drink used in the study (caffeine, taurine, glucuronolactone) have positive cause upon human mental performance and mood (Seidl, et al. 2000). Whereas most products spell out exactly what they do, Red Bull uses vague terms, Vitalizes Body and Mind (Walker ca. 2009 p.2) relying on consumers to purchase the drink and discover its effect themselves. (Walker ca. 2009) 3.1 What are the ingredients in Red Bull? Red Bull 250ml cans contain 80mg of caffeine, Taurine, Glucuronolactone, Sugars, Vitamins (Keller, 2004 p.117). Taurine is Red Bulls most co ntroversial ingredient. In organic form, it was discovered in the bile of a bull (Irving Sax, et al. 1987). This is the likely source of not unaccompanied if the name, but also rumours that it is made from Bull Testes or that it contains Bull Semen. In the drink, taurine comes in synthetic form (Redbull.com (c) ca. 2009 Walker ca. 2009). Human beings produce taurine in a form similar to that of an amino acid. During fundamental physical activity, the clay may require more taurine than is produced. Taurines metabolic stimulatory set up help the body work harder. (Keller 2004 Healingdaily.com 2009). Equally, its detoxifying effect helps counter fat build-up on the liver caused for example by excess binge deglutition (Healingdaily.com 2009 McCall 2005). Glucuronolactone is a naturally occurring amino acid in human beings, produced by glucose breaking down in the liver. It also removes toxins from the body and is a metabolic stimulator, fighting fatigue, and producing a feeling of well being (Keller 2004). Theoretically, these supplements should help the body to perform better, when under stress, fatigue, or performing physical exercise.Red Bull in suspected consociate to deaths (BBC News Online 2001)Despite Red Bulls beneficial effects, some users have had adverse effects from devour it, and as many as five muckle have died. A 16-year-old volleyball player would faint during games, and gain a heart rate increase of 30bpm. Diagnosed with postural tachycardia syndrome, she told the doctor that during the week she would drink four to five cans of Red Bull daily. Returning to normal a month subsequent having stopped drinking Red Bull, doctors believed that high concentrations of taurine in the brain might have interfered with her cardiovascular system (Terlizzi et al. 2008).1 In 2001, an 18-year-old basketball game player shared four cans of Red Bull with friends, played a game, then later died of Sudden Adult Death Syndrome. An investigation was recomme nded into high caffeine content drinks (Medicalnewstoday.com 2004). dickens clubbers died in 2001 after drinking Red Bull with vodka, a third died after drinking it after extreme physical exercise. No results were published into the relationship between Red Bull and their deaths (BBC News Online 2001). A WalMart shelf stacker with a heart condition would drink four cans of Red Bull a night. He later died of a heart attack. The coroner had insufficient evidence to link the death with Red Bull (Clarke 2008). Most major brands will open up to consumers if thither is a health scare or death referd to to their products, in an effort to safeguard brand loyalty (Dunne 2005). Red Bull prefers to take the offensive No one anywhere has ever shown any link between Red Bull energy drink and harmful effects (Medicalnewstoday.com 2004). This makes them appear edgy, flaunting their dont mess with us attitude. 3.3 Has Red Bull profited from controversy? flip surrounding Red Bull has been a doub le-edged sword. On the one hand, they loose some customers due to health fears, as countries such as Denmark, France, and Australia ban the drink. On the other hand, along with the bans, negative press related to the ingredients, nicknames, adverse affects and deaths, has not only made Red Bull a talking point, giving them free publicity, it has also allowed the drink to obligate its edge, and remain cool. As Mateschitz himself points out Without the old high school teacher relation his students Red Bull is evil probably even a do drugs it wouldnt seem interesting and therefore would loose its edge (Kumar, et al. 2004).This edge was proved during Red Bulls launch in New Zealand. The distributor was selling a version of the drink with a UK health sample that the government did not recognise. To get round this, they re-labelled each of the 70,000 cans. When consumers found out that the authorities disapproved, demand went through the roof punters would buy Red Bull and immediate ly pull off the sticker. Theyd tell their mates this stuff is penal, everyone valued to be drinking from the for constrictden tin (Cooney 2007). 4.0 Red Bull, a non-descript market? Mateschitz believed consumers would take Red Bulls benefits seriously only if the product constitute more than an average whacky drink. Therefore from the outset, the make up per can was set 10% above the most expensive competitor, heedless of rude. This is why a single can of Red Bull can cost up to 300% more than a traditional soft drink (Keller 2004). Conducting initial market research in 1987, Red Bull had failed miserably people said its colour and taste were disgusting (Johnson 2002). However, this was not all bad news, further research revealed 50% of our test stem were crazy about Red Bull, and 50% said it tasted terrible (Johnson 2002). Ambivalence, as Mateschitz later says, was great for Red Bull, creating discussion, controversy and giving Red Bull the edge it needed to start a new mar ket. Some thought it had a medicinal taste, persuading consumers of its functional properties and added value (Keller 2004 p117). The drinks extra cost would not deter them (Keller, 2004). Red Bull describes its market as more than just a hot secret for the night owl and the non-stop party-animal. It is appreciated by a wide place of people, such as the overworked taxi driver, the stressed manager, the exam-anxious student and the pressured journalist It is used by surfers in the summertime and snowboarders in the winter (Redbull.com (d), ca. 2009). Companies typically select their consumer group by specifying such target elements as age, job, sport, or occupation. Red Bull does the contrary. Whilst talking slackly about their consumers, stressed student, taxi driver, stressed manager etc, they manage to keep their market relatively vague (Walker, ca. 2009). So the question is, who buys such a strange tasting, expensive product, with benefits deliberately not spelled out in black and white? Rob Walker ca. 2009 argues what Red Bull drinkers have in common is a taste for the edgy and faintly dangerous. Keeping a question mark over the specific consumer allows drinkers to fit into the Red Bull clique. Despite the young hip image, Red Bulls non-descript corroboration allow it to be consumed by just about anyone, creating admission charge to wider markets and emulous advantage (Walker ca. 2009).5.0 How is Red Bull marted? Red Bull presents an image of a small, friendly enterprise. We dont want to be seen as having lots of money to extend (Walker ca. 2009). The truth however is quite the contrary. The company spent $600 million, or 30% of its revenue on marketing in 2004, Coke spends 9% (Dolan 2005). This large sum is spent on extreme sport sponsorship, live events, and eye-catching design, with less emphasis on media advertising (Gschwandtner 2004). This section asks how and why they use these techniques. 5.1 SponsorshipRed Bull sponsors over 500 extreme spo rts athletes worldwide. Examples include shape 1 at large(p)style Skiing, Break Dancing, and dispense with Climbing (Gschwandtner 2004). additionally, Red Bull creates events plectron every niche, from DJ battles, Whacky Races, Air Shows through to Festivals. (Gschwandtner, 2004 see foliate 10) In 2003, 200 million people watched worldwide as B.A.S.E. pinafore Felix Baumgartner leapt from a plane at 30,000ft above Dover with a degree Celsius wing strapped to his back. He flew the 22 miles across the English Channel to Calais at an average of 135mph, setting a new world record (Wyatt 2003). The hinder was not only a dig at the outlawing of Red Bull in France, but also a pre-marketing strategy to create brand recognition and a bombination about the product (Gschwandtner 2004). Red Bull has tapped into the market of the rich and famous by purchasing Jaguar and Minardi verbal expression One teams in 2004 and 2005 ( orbit ad Research Center 2009). Costing over $100 million a y ear and competing around the world, they race under the names Redbullracing and Torro Rosso (Forbes.com ca. 2009 World advert Research Center 2009). With constant media coverage, and cans of Red Bull spotted in the hands of celebrities and the logo splashed all over their cars, Red Bull wins even if the two teams lose The 5500m2 Hangar-7 in Austria diversified Red Bulls influence. It is home to the 15 nimble Bull show planes, a chic eatery, and art exhibition. By night, it transforms into a nightclub, with Vodka Red Bull on tap (Redbull.com (b) ca. 2009). Dedicated pre-market research allows Red Bull to tailor events and sponsorship specifically to each consumer group, state by state, country by country, seamlessly.5.2 Advertising Simple, playful, nonsensical cartoons help market the product at anyone with a sense of humour, regardless of language, reaffirming Red Bulls nebulous marketing strategy (see bottom of page) (Keller, 2004). Coupled with the tagline Red Bull gives you wi iings (Keller 2004, p119) a deliberate exaggeration, adding intrigue, it makes the consumer eager to find out for themselves (Walker ca. 2009). 5.3 Brand Image Two red coloured bulls charging towards one another. The small size of the can. These could not be better connotations of strength (Keller 2004). The package says it is a serious product, not to be taken lightly. The Red Bull cut-out in the pull-ring adds class and interest, whilst the cans mixture of unconsecrated and bullion portrays refreshment. The cans simple tagline Revitalises body and mind effectively explains the contents function in four simple words, whilst remaining non-specific (Keller 2004, p.118 Keller, 2004). With its fingers in every pie, Red Bull combines well thoughtout brand image, playful advertising, media-rich events andsponsorship not only to domesticate their edgy image, but also to ensure every consumer can relate to the product in some way. Mateschitz admits,we dont bring the product to the peopl e, we bring people to the product (Gschwandtner 2004). Red Bull wants consumers to embrace the product and all its ideals, as he points out Red Bull isnt a drink, its a way of life (Kumar, et al. 2004).5.4 Some of Red Bulls extreme sports athletes and events in picture approach pattern 1 Top to bottom, from left to right Surfing Amazon tidal bore (Gschwandtner 2004), Red bull Playstreets (Hagena 2008), Felix Baumgartner B.A.S.E. Jump Christ Redeemer (Gschwandtner 2004), Redbullracing F1 Getty (G.M., 2009), Red Bull Storm Chase (Hollmann ca. 2004 ) Hangar-7 (Gschwandtner 2004), Felix Baumgartner Channel Crossing (Gschwandtner 2004), The Dolomite spell competition (Gschwandtner 2004), Fltaag flying day (Stone 2008), Red Bull cliff go down (Keller 2004)., Red Bull air race (Larson 2008), Mysteryland festival (Mysteryland 2009). Page 106.0 Revolutionary Marketing This section explores the revolutionary marketing techniques Red Bull uses to establish its brand. The techniques certai n out of a demand. In 1987, Red Bull could not be exported from Austria, as it was not a European yoke member state. EU law states that if one country agrees to the sale of a foodstuff, it can be sold in all EU countries. each(prenominal) EU member state has a list of allowable ingredients, and to Red Bulls dismay, taurine was on none of them. Scotlands allowed list did include taurine, so Red Bulls first EU market entryway was in 1992 in the UK via Scotland (Keller 2004). During the EU ban, with demand high, individuals bootlegged the drink across borders. Red Bull was not actually on the black market, but bootlegging did help their semi-legal image (Keller 2004). Red Bulls entry to the UK market was rocky. It was not until 1995 that they made profit (see work out 2). Long established Lucozade led the energy drink sector.15 20 Figure 2 Red Bull UK Finances (millions) (Red Bull Company Ltd 2009)Containing energy boosting minerals and vitamins much like Red Bull, Lucozades use of energy as part of its tagline obliged Red Bull to change to stimulant instead of energy, so targeting a completely new consumer 2002). Red Bull was sold as a sports drink, not the holistic product seen in Austria. Instead of apply the known buzz marketing, Red Bull sold through supermarket chains and billboard advertising with a new tagline you should never underestimate what red bull can do for you (Johnson 2002, p.5). (Gschwandtner 2004 JohnsonProfit/loss after tax Expenditure on Promotional Equipment GBPBy 1996, Red Bull UK had an galactic debt of 2.5 million (see Figure 2). Their share of the market only stood at 2% (Johnson 2002). As global director Kraihamer portrays The UK team started from the wrong end they were wrong, they exclusively misunderstood how to create a customer base (Johnson 2002, p.5).(Red Bull mini 2008)Firing the entire sales team, Mateschitz appointed an Austrian director who change magnitude marketing outgo (see Figure 2). The slogan was changed ba ck, and Buzz marketing was introduced. Teams of students were leased to tap into the younger markets. Driving Minis with big Red Bull cans attached, they accompanied parties, and social gatherings. These alpha bees would be the public ones of friendship groups. If they liked the product, so would their friends, creating a buzz about Red Bull (Gschwandtner 2004). This coupled with sponsorship of extreme sports meant that between 1998 and 1999 profits after tax went from 85,000 to 16 million (see Figure 2) (Red Bull Company Ltd 2009). A similar success story was of Kiwi, Joseph Roberts, who, when on holiday in Slovenia, saw the opportunity to market and sell Red Bull back home. Out partying, he decided he valued a soft drink and stumbled upon a can of Red Bull. When the bar man refused to sell it claiming it to be illegal, it made him want it even more. Eventually, he spent no less than $150 on three cans Drinking just one, he realised its potential. A year on he met with Red Bull in Austria. On persisting, he gained rights to sell the drink. Back in New Zealand, his marketing strategy ensured Red Bull turned up at the right parties, bars, and shops. By playing the drinks illegal credentials, he used opinion leaders to create a buzz about the product (Cooney 2007). Before he knew it, he was rushed off his feet We were delivering products from the back of our cars at two three in the morning everybody had to do whatever it took (Cooney 2007, P.5). Buzz marketing evolved during Red Bulls USA launch in 1997. Organising sales, marketing, and distribution from the Red Bull North American California HQ was impractical. Instead, a structure similar to that of Red Bull GmbH split the USA into eight units covering a set make sense of states (see Appendix Figure 3). Each unit organised sales, distribution, and pre-marketing. This meant the buzz was created even before Red Bull arrived. The alpha bees would poll consumers interests, for Red Bull to promote the drink in the right places and sponsor the right events (Hein 2001).7.0 Maintaining market share Red Bull dominated the global market in 1987. By 2008 however, they still led with 29%, but energy drink company behemoth was catching up with 23% (The Nielson Company 2009). The bordering section explains how and why, it changed. In 1987, UK Lucozade and USA Gatorade, although not specifically energy drinks, cut across over into Red Bulls territory, having already been on sale for many years. Equally, Kratin Daneng held a market share in Asia, although not in carbonate form (Gschwandtner 2004 Kumar, et al. 2004). With over 228 brands listed in 2008, the picture had become very different. Energy drinks were an extremely complex market area. In can or re-sealable bottled format, the sizes varied from the slim original 250ml, to the new 300ml and 680ml varieties. Products now ranged from regular carbonated energy drinks through to Energy Shots with 25 new versions in 2008, natural organic non- carbonated forms, and aphrodisiac drinks (The Nielson Company 2009). In 1997, Hansen Natural brought out Monster Energy, apply similar marketing techniques as Red Bull. Its tagline unloosen the Beast evokes a certain type of consumer, together with its Monster multitude of extremeFigure 4 world(prenominal) Energy Drink Market Share 1987 (Various sources)Red BullOtherFigure 5 world(prenominal) Energy Drinks sales 2008 (The Nielson Company 2009)1 RED BULL 3 ROCKSTAR 5AMP 7 NOS 9 SOBE Next 90 brands (Monsterenergy ca. 2009)2 MONSTER 4 FULL THROTTLE 6 NO FEAR 8 adrenaline 10 BOOKOOsports athletes and promotion through events strives to put Monster on a level footing with Red Bull. With a similar small calorie count, and blend of ingredients it resembles Red Bull, yet is double the size and half the price, it was bound to sell well (Johnson 2002 Monster energy ca. 2009). Coffee energy drinks recently entered the market, such as SHOCK coffee (Johnson 2002 SHOCK coffee ca. 2009). H owever companies including Red Bull had already tried similar products without success, fair Trade energy drinks are likely to be a popular new market entrant (The Nielson Company 2009).8.0 Competition and Intellectual situation Energy drink companies have ridden the wave of Red Bulls success bringing out similar looking products. No unembellished on the drink means even their taste could be the aforesaid(prenominal) allowing competitors to undercut Red Bull and take some of their market share. How has Red Bull protected its brand image in the now annoyed functional drinks market? Red Bull is a registered trademark. Extremely preventative of its brand image, strict guidelines govern the ways Red Bull portrays itself in advertising from use of colour to font size, they cover it all. These measures deter imitator brands but it does not always work (Keller 2004) In 2007, Red Bull took rival energy drink Boost to court, saying their cans use of silver and blue infringed the Red Bu ll trademark. The images on the right hint that Red Bull won. (Irish Independent 2007). Red Bull took Music Festival organizer Mean Fiddler to court in 2004, claiming firstly that their energy drink Synergy had infringed their trademark with silver and blue patched cans of similar size. Additionally they believed Synergy had been switch selling. Losing the court case, Red Bull paid out 20,000 in court costs (Sweeny 2004). Australian wine company Reschke Wines bid to register the trademark Bull Traders in 1999 featuring the outline of a bull. The two companies went to court over the issue (Ainslie 2008). 9.0 Discussion Selling over four billion cans worldwide last year and with global sales figures up on 2007 by 13.2% Red Bull remains optimistic of its future. 2009s plans to expand into new and emerging markets such as Africa, Russia, India, and Japan remain idempotent (Mller, 2009). However Red Bull is not the only energy drink company weathering the economic crisis so well. Repor ts predict an increase in global energy drink sales by more than two thirds in 2014, at over 8 billion litres annually (Canadean Ltd 2009). What are Red Bulls plans to maintain dominance in the energy drink sector and increase revenue, especially in these times of economic downswing?(Reschke Wines ca. 2009) (Boost ca. 2009)Page 149.1 Diversification of product range When companies start out with one product, they later diversify or update the existing range to keep consumer interest, ensuring their product does not reach maturity too soon. Red Bulls sales figures are still growing, even after 22 years. Their uniqueness on entry into the drinks market as an energy drink has given them 16 long years before they mat the need to diversify (see Figure 5). Successes and failures of products Red Bull has brought out are described below. With over one in four adults in the UK onerous to loose weight most of the time (Talking Retail 2008, p.1), Sugar Free Red Bull was launched in 2003. It contains only 8 calories when compared to the 110 of streamer Red Bull, so taps into the emerging health cognizant (Moosa 2002, p.32) market (Caloriecount.about.com ca. 2009). With 25% of new buyers in the UK purchasing Sugar Free Red Bull, it accounted for 15% of 2008 sales, Red Bull intends to increase spending on advertising its sugar free variant (Talking Retail 2008).(Sabai ca. 2009) (Redbull.com (a) ca. 2009) Global Red Bull can sales (Billions) (Kumar 2004 and Various Sources) 4.5 4 3.5 3 2.5 2 1.5 1 0.5 0Sabai is a wine spritzer originating from Red Bull co-founders son, Charlerm Yoovidyas Siam Winery in Thailand. Launched in 2005, its flavours Hibiscus and Pomegranate complement Thai foods. Although not sold under the Red Bull name, business decisions regarding the drink are taken by Red Bulls UK marketing team. Sabai means take it easy (Centaur Communications Ltd 2007, p.1) fits their marketing ethic, being a bespoke wine, it is sold using point of sale promotion and consumer sampling at events with celebrities to create a Sabai buzz (Forbes.com ca. 2009 CentaurCommunications Ltd 2007). Lunaqua was a failed Red Bull guarantee to enter the bottled water market. First seen in 2001, the drink was bottled from a antecedently undiscovered Alpine Source (Lunaqua ca. 2003) at full moon giving the water bio-energetic (Lunaqua ca. 2003) properties. Suffice to say, it did not sell well and was withdrawn (World Advertising Research Centre 2009).Page 15For 2009, Red Bull plans to bring out an Energy shot to oppose the 25 competing products brought out in 2008 (BevNET.com 2008). 9.2 Drinks for the Health Conscious consumer Led by the increasingly health conscious (Moosa 2002, p.32) consumer, the market is still developing. With sales volume doubling from 25 million in 2000 to 50 million litres in 2002, Red Bulls entry into this niche had to be profitable. Relatively fragmented, it covers a wide soma of products, from vitamin and mineral enriched herbal d rinks though to pro-biotic yogurt and fruit drinks, to fruit enriched smoothies (Hillam 2003). own by Red Bull, Carpe Diem sells a range of five drinks. Kombucha developed in 1997 and Ginkgo 2000 are modern-day carbonated versions of ancient Asiatic herbal teas. Kombuchas influences stem from the ancient philosophies of Zen, which aims to harmonise body and soul. Ginko has origins in invention and legend, containing leaves from Asias sacred tree, the Ginkgo Biloba aids concentration. (CarpeDiem.com (a+b) ca. 2009. Homeopathic drinks, made with spring water, herbs and plants were launched in 2003. Drawing on Greek physician Hippocrates theories, they have relaxing, harmonising, or vitalising effects and are 100% natural with no added sugar, flavours, colouring or preservatives (CarpeDiem.com (c) ca. 2009). Carpe Diems involved nature echoes Red Bulls marketing strategies. By using very little promotion such as point of sale in Selfridges, collaborating with masseurs, offering holi stic solutions to weary shoppers, they let consumers find the product, re-creating that Red Bull buzz (CarpeDiem.com (d) ca.2009). The Wellbeing Zone on the Carpe Diem website details democratic events like urban Yoga, and an Osteopathic self-treatment programme run by experts (CarpeDiem.com (d) ca.2009). Like Red Bull Carpe Diem are securing income by creating a way of life, ensuring consumers buy into a philosophy an appeal to the people of our time to live consciously and take the day (CarpeDiem.com (e) ca.2009).(CarpeDiem.com (d) ca.2009) (CarpeDiem.com (b+c) ca. 2009)Page 16The Red Bull simply booby 2008 launch was extremely controversial. Including ingredients such as the Kola nut and coca leaf, the drink is sold as the only cola to be organic, pickings the drink back to its roots. Adding diversity, the drink is available in 250ml and 330ml can sizes (World Advertising Research Centre 2009). In contrast to Red Bulls Buzz marketing technique, the launch covered eight mark ets worldwide including Austria, UK, Ireland, USA, Russia, Germany, Italy, and Switzerland (Redbullcola ca. 2003 World Advertising Research Centre 2009). 9.3 New Marketing Ideas(Redbullcola ca. 2003)In 2008, Red Bull invested only 50,000 of its 7.6 million budget in digital marketing, a number set to increase in 2009 (Revolutionmagazine.com 2009). Below are some examples Red Bull entered the gaming industry in 2008 as the first labourr on Playstations virtual world. Playing an online version of the Red Bull Air Race, users interact and share gaming experiences, adding publicity (Revolutionmagazine.com 2009). The Facebook Red Bull partnership in launching the new Facebook Connect site enables users to access all their social networking sites using just one login and password. With Facebook being visited by 3 in 10 people online across the world and social networking sites capturing 67% of the global online population, this partnership offers a low-cost way to advertise to hundreds of millions more consumers (The Nielson Company 2009) 9.4 Expanding the business model Red Bull purchased the paradise island of Laucala in 2003 for $10 million. Mateschitz association with the rich and famous will ensure a steady flow of customers for the seven star resort, furthering the drink companys credibility with consumers (Fijilive.com ca. 2009). In 2004, Selling Power reported Red Bulls intention to create a $1 billion motorsport and aviation theme park in Styria, Austria. Open-air arenas holding 100,000 onlookers, F1 racetracks, as well as a motorsport and aviation academy, are just some of the features. Visitors will be able to drive go-carts, high-powered sports cars, motorbikes or planes. Two hotels will put forward accommodation, whilst a shopping pla