Marketing Research on Red Bull Energy Drink in Vietnam Market Essay

1 Objective Nowadays, energy drinks becoming an important part in food foodstuff holding neat number of consumer in the world as well as in Vietnam. Thinking to a greater extent or less high energy drink branches, many customers think well-nigh a popular name blushing(a) bull. How successful this branch is, the way they develop their mark and how was they caveatd in Vietnams market. Everything related with blood-red bull testament explained in this research. 2 Tar bums In this research, Customers, market shargon and Advertising are focused most.Through 3 literature reexaminations, more information ab verboten Customers, commercialize appropriate and Advertising will discoed. 3 Stakeholder Supplier Absolutely compliance all regulations in the contract between producer and supplier about by the way and the quality raw materials as well as payments. The common purpose is getting benefit. The supplier can get benefit from selling raw materials bandage Red Bull Vietnam ge t from selling finished products Distri merelye Channels Producer can not go every where to sell their products.They need to the helps from look at channels include representatives, wholesalers and retailer. These distribute channels can be discount from producer depend on their agreement. Union is an organization which can protect the benefits of staffs and workers in company. Red Bull also try to care for the life of staffs and workers, invest money to improve the skills of workers, make them feel free when working, bring the best intensity level for production Government A legal company is that is not only unlawful, but also full implementation of obligations with the government.It is taxation. This is a condition for government to deliberate the legitimacy of that company Beside that, there are some organizations such as Vinatas_ The Standard and protect consumers Vietnam which will representing for consumers and protect for the benefits of consumers when their benefits were violated. 4 Background (PEST) POLITICAL-In the drunkenness market of Vietnam, Red Bull is the non-alcoholic drinks ehich was first introduced , namely Energy Drinks- A phase Energy Drinks is not really credible.It is easy to be banned in interior(prenominal) market if happening the scandals that relevant to the quality or safety such as containing cocaine or other drugs ECONOMICS-Red Bull is a special drinks and it administer for a niche market. Their target customers is sportsmen or pile who must hard an d need to to pushed up-Product life cycles quickly, easy to turnover SOCIAL-At the beginning, no many people wanted to try it because the psychology suspect.but now people are changing and tend to open more new experiences- People take care more about healthy, only using products which have been confirmed by Health organizations- Red Bull has appeared in Vietnam market for a long epoch and has built a strong image in customers mind TECHNOLOGY- Technique requires high techno logy, line modern machinery, closed line, ensure hygiene and safety-The main types of packaging are cans and glass bottle.Can is made from recyclable aluminum which is very friendly with environment.moreover, glass bottle aldo can be recycled, hence not be harmful for our environments ( Red Bull_ The macro environment, 2009) Although still having a little bit difficulties about political, Red bull is a strong disfigurement that has been a long time n customers mind, with many advantages of technology and economic, Red Bull has a potential opportunity to develop more and more in Vietnam beverage market. PEST Analysis 5 Literature Review 5. 1 Literature review 1 (Customers) Red Bulls one of the biggest energy drink branches all over the world no one can negate that.It seems not to stop at that point but keep developing wider and deeper. Red bull grasps in his hand which kinds of customer want to recover their energy faster and aim them as the target customer of branch. They are in the age from 18 to 35, who need more and more energy for work, study with serious stress and enjoy their life in nightclubs. Especially, universities are the good place to consume product every night and day because many students feel very hard to concentrate on their study without Red bull. So that this branchs trying to create their promotional strategies target straight to university and students.(Red Bull IMC Plan, 2008) In Vietnam, Red bulls still a popular name in different appearance red tin, blue words imported from Thailand or made in Binh Duong-Vietnam . However, recent years, its market share in energy drink market is decreasing lower than other branches such as Sting from Pepsico or Number1 from Coca-cola, even unmarketable. Many audiences have doubts about its quality, wonder if its not good for health with nicotine or dont like its taste. Red bull seems to have more good strategies to transport Vietnamese customers. (Red Bull ban t? i VN co ? nh hu? ng d? n s? c kh ? e? , 2009) 5. 2 Literature review 2 (Market share).Red Bull is the product of Energy Drinks which are dominate in the market now. It has been in more than 100 countries all over the world. outturn of annual sales is about 1 billion cans, the revenue of Red Bull has increased from 920 million USD in 2001 to 2 billion USD in 2004 ( Red Bull- Anh hung tu con so khong, 2007) In Vietnam, Red Bull Energy Dinks are becoming more and more popular. In any restaurant or bar, this beverage always be the first choice of custormers. The market share of Soft Drinks in Vietnam has been increased, average is 2% per year between 2001-2006 ( Soft Drinks in Vietnam to 2011, 2007).The leading(p) company in this filed is Red Bull company, the second is Pepsico with Sting ( Soft Drinks in Vietnam to 2011, 2007). The market share of Red Bull has decreased slightly in recent year, when some brands such as Coca-Cola, Pepsico, Wonderfarmhave been successful in digiting the image in Vietnam market, howe ver, Red Bull still dominant in the market in Vietnam, about 30% of market share, productivity of Red Bull increased to 7 million safes per year (tuoitre. com. vn, 2009). Nowadays, Red Bull get 70% of global market share (Soft Drinks in Vietnam to 2011, 2007).It is because of strong brand name and large of number people enthralled this attractive beverage. 5. 3 Literature review 3 (Advertising) Red Bull is a famous brand of energy drink in Europe and all over the world. It was found out by Dietrich Mateschitz in 1982, in a trip of him to Hong Kong. Nowadays, Red Bull almost has no competitor in energy drink market, thanks to the lustrous marketing and advertisings strategies of Dietrich. Before Red Bull has come out of any market, Mateschitz always make a statement in public as he not only sold drinks, but also sold a cheerful, comfortable feeling for consumers (SGGP, 2009).According to Hong Nhung (2008), Mateschitz has used sports as a tool to build the image of Red Bull brand, a s he bought racing and football teams and renamed it following Red Bull. Of course, the traditional advertising, TV and radio have been used widely, to flesh out the brand of Red Bull. On the other hand, organize big shows was also one great way to advertise of Mateschitz, as the Red Bull melody Academy, a show of over 50 DJ was showed twice a week in Berlin the first time in 1998 (Vietnambranding, 2008). 6 Reference magnetic dip 1.Red Bull_ The macro environment 2009, drawert. com, viewed 30 July 2009 http//www.drawert. com/red_bull_4. php. 2 Red Bull IMC Plan 2008, megaessays. com, viewed 30 July 2009 http//www. megaessays. com/viewpaper/14478. html 3 Red Bull ban t? i VN co ? nh hu? ng d? n s? c kh? e? 2009, thegioitrithuc. vn, viewed 30 July 2009 http//thegioitrithuc. vn/content/view/23874/169/ 4Red Bull- Anh hung tu con so khong, 2007, socbay. com, viewed 29 July 2009 http//www. socbay. com/news/ specific/red-bull-anh-hung-tu-con-so-khong/600896582/50397184/0. html 5 Kho? n g tr? ng th? tru? ng n? i d? a K? 3 Nh? ng cach lam thanh cong, 2009, tuoitre. com. vn, viewed 29 July 2009.http//www. tuoitre. com. vn/Tianyon/Index. aspx? ArticleID=302421&ChannelID=11 6 Soft Drinks in Vietnam to 2011, 2007, researchandmarket. com, viewed 29 July 2009 http//www. researchandmarkets. com/reports/586703 7SGGP, 2009, Red Bull thuong hieu manh ve nuoc tang luc, Xa lo, viewed 24th July, 2009, http//tintuc. xalo. vn/20-2043108925/red_bull_thuong_hieu_manh_ve_nuoc_uong_tang_luc. html. 8Hong Nhung, 2008, Dietrich Mateschitz Nguoi lam nen Red Bull, VietnamleaderI, viewed 25th july, 2009, http//www. vietnamleader. com/index. php? option=com_content&view=article&am.