Essays on Red Bulls Segmentation and PESTLE Analysis Case Study

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The paper "Red Bull’ s Segmentation and PESTLE Analysis" is a perfect example of a marketing case study.   Red bull has pioneered in the beverage industry for decades. Its success has been facilitated by a number of strategies that significantly boosted its attractiveness and penetration in different market segments. The beverage market is highly dynamic and has grown over the years. Therefore, this paper seeks to present various factors that have facilitated the growth of the product in a different market segment. Through a PESTLE analysis, external market conditions will be extensively discussed.

On the other hand, the company’ s challenges will be discussed as witnessed by any products launch in a new segment. Contrariwise, this product has been selected given its dominance in the beverage industry, market niche and effective strategies that have been employed in facilitating its market penetration. Red Bull Analysis The product The product is typified by two elements in its formula namely energy enhancing ingredients and caffeine. The beverage contains 70 mg of caffeine and energy enhancement ingredients which include Glucuronolactone, Taurine and various other vitamins and sugars. Red Bull’ s Segmentation The Red Bull Company offers its product in the different target market and has significantly penetrated different markets.

Although Red Bull’ s marketing and promotional campaigns seem focused on one media, the products are targeted on a small market segment between the age of 18-25. The company has, therefore, better managed its4Ps with respect to its target segment and acquired sizable advantage on the traditional soft drink company (MarketLine, 2012). Additionally, the market segments are selected in such a manner that will set an example for probable consumers in increasing the market base for the final consumers. Demographic Segmentation A key component to the product’ s global success is the company’ s account on social variables.

Over the decades, the company has enforced a global perspective regarding lifestyle clusters, consumer habits, mixing demographics and taste preference in creating an appeal for the product. In such segmentation, the market is divided into groups on the bases of the age, gender, occupation, income among others. These segmentation strategies are easily measurable. Since its inception, the product has been launched using an aggressive, international, marketing campaign channeled towards the extreme sports fanatics and the active young individuals.

This robust campaign has successfully transformed the world of divergent lifestyles that consolidate sports, athletes, and cultures. Presently, the company targets the primary audience such as the youth, bachelors, and professionals. The company segments its consumers through the following base; Age Youngsters of between the ages of 16- 30 years which accounts for Red Bull’ s major customer base. Below 16 years account for most of the Red Bulls sales. Elderly and Middle Age: The products are typified by zero calories and a special edition that is less harmful to the elderly. Gender The products are targeted towards male young adults as their secondary customer base. Occupation Working professionals, students, athletes, and sports enthusiast. Psychological Segmentation Red bull has successively used science to understand the psychology of the consumers better across different levels.

With the changing dynamics, the company has attempted to cope with continuous change and develop flavors that attract more customers. In this regard, the company has initiated different divisions namely;


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