Saturday, October 1, 2011

SWOT Analysis

Strengths
  • Market leadership- Within the energy drinks market Red Bull is the industry leader throughout the world. Marketing Efforts- a lot of promotions and well targeted campaigns and sponsorship e.g. formula 1 helps to expand Red bull brand and increase consumer brand awareness.

  • Marketing efforts- many promotions and well targeted campaigns and sponsorship.ex.formula 1 helps to expand Red Bull brand and increase consumer brand awareness. 
  • Strong , fresh & fashionable brand identity.

Weaknesses
  • Above-average prices.


  • Lack of innovation- there are a lot of competitors in the market and they have their own USP which leaves Red Bull behind.
  • Reliant on small product base- The company only markets one branded product, Red Bull Energy Drink (along with a sugar free variety).


  • Lack of patent on RB ‘s recipe means anyone can copy
Opportunities
  • Extension of product line- this will help to retain market share.


  • Hardcore Advertising and Promotions.
  • Consumer recognition through sponsorship of sports events.
  • New ventures like partnership with Facebook
Threats
  • Health concerns- tougher rules from government on high caffeine content.


  • Consumer awareness of health and well being- people may start to drink other alternatives as it is associated with healthier life style.
  • Drinks might not be accepted in the new markets.


  • Organic energy drinks might steal RB’s market share.

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