IMC: Brand analysis report Essay Example

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IMC: Brand Analysis Report


Table of Contents

3Introduction and Brand Identification

3SWOT Analysis


3Position in the industry




4Poor innovation

4Small product base



4Extension of the product line



5Health awareness

5Consumer awareness on well being

5Elements of IMC in the brand

5Event sponsorship

7Brand identity and promotions

8Product design

8Synergy and client centering

9Earned media

9Critical analysis of IMC practices used by the brand



Introduction and Brand Identification

Red Bull started as a concept from Austrian Mateschitz and a Thai business man Chaleo Yoovidhya in 1984. The two came up with an idea of making product syrup fizzled and packaging it in silver and blue metallic containers. The product was first introduced in Austria where it became a major hit in 1987. The company has established itself to become world famous brand and is estimated to sell over 1 billion cans in every year (Brol, 2011). The company controls 70% of the energy drinks market globally. The energy drinks market has a stiff competition. The major competitors to Red Bull are AMP by Pepsi Cola, KMX which is made by Coca-Cola (Datamonitor, 2014). Despite this, there have been other companies that have entered the energy drink market over the past years.

SWOT Analysis


Position in the industry

Red Bull has been able to lead the energy drink market for a long period. The company have been gaining large market share as compared to the competitors especially in Europe and UK. Among 13 west European countries, Red Bull has been a leader in 12 of them against the competitors. The other top brands have less than 20 percent share of market in these countries (Datamonitor, 2014).


Red Bull has been successful in their marketing strategies and creating brand awareness to consumers. The marketing techniques have been well directed to the target market. The company also sponsors sports such as BMX biking and Formula 1 driving. The company slogan has also made it easier for them to advertise their products (Datamonitor, 2014).


The company has alliances with major distributors such as Cadbury Schweppes in Australia. This allows ease of access to their products. The sales of the company have recorded a rise due to the partnerships (Datamonitor, 2014).


Poor innovation

Red Bull has been lagging in innovation compared to competitors. There has been little change in their product design since inception (Datamonitor, 2014).

Small product base

Red Bull produces only energy drinks which puts it at risk of market fluctuation. The recent trend where the consumers are shifting towards healthy drinks makes it prudent for Red bull to launch healthy drinks (Datamonitor, 2014).



There is an opportunity in using other trade tools and retail outlets. The company should increase the use of vending machines which allows them to create exposure. Diversification of outlets presents the company with a great business opportunity (Datamonitor, 2014).

Extension of the product line

The company should consider introducing a new product in their line. The company can introduce a product and use their brand awareness to create consumer awareness (Datamonitor, 2014).


The company should continue expanding global. The global market has a potential for making higher sales. There is a growing market in the developing countries (Datamonitor, 2014).


Health awareness

In some countries, Red Bull is taken as unhealthy. In some countries, the high caffeine content of Red Bull has led to its ban. This has happened in France and Denmark and Turkey as well as Ireland has shown concern. This has a potential to destroy the company image (Datamonitor, 2014).

Consumer awareness on well being

The increase in avoidance of the unhealthy drinks and increase in consumption of bottled water is a sign of global awareness on wellbeing. There has been a reduction in consumptions of carbonated drinks and caffeine. This puts the company in a precarious position (Datamonitor, 2014).

Elements of IMC in the brand

Red Bull has been successful in doing integrated marketing communications. Integrated marketing communications involves using promotional techniques which are capable of reinforcing each other. All the communication strategies that are used should be centered towards the customers and unified (Savage, Collins-Mayo, Mayo & Cray, 2006). The main components of the integrated marketing are product design, promotion, tracking, leverage, brand identity, synergy, educated consumers and event sponsorship. Red Bull has utilized integrated marketing communication elements such as event sponsorship, brand identity, promotion, product design and educated consumers (Pickton & Broderick, 2005).

Event sponsorship

Red Bull has been well known in their support for the extreme sports activities and arts. The company has targeted the young men and women who participate in the extreme sports. The sponsorship ranges from the Mountain biking, motocross, cliff diving, skating, rally, formula one, and snowboarding. Sponsorship of the athletes makes it possible for their fans to become fans of the Red Bull. One of the sports players who are supported b y the brand is Felix Baumgartner who participates in freefall. The brand is easily associated with the extreme sports due to its slogan (Speed & Thompson, 2000). The Red Bull slogan is “it gives you wings to fly”. Through this, it’s easy to advertise their product easily over the sports. This has been enhanced by the social media and the spread of the IT. Red Bull has also been involved in sponsoring other events such as music festivals. This has been carried out in several countries.

In Korea, Red Bull was a partner in the sponsorship of the World DJ Festival and the Ultra Music Festival. In such events, it’s possible for the company to advertise itself and make sales. In their sponsorship activities, Red Bull have constructed an arena for the New York based Red Bull soccer team. The arena is located in the New Jersey. During festivals and events, Red Bull has been involved in advertising their products using various techniques. Red Bull sponsorship to the sports has a main aim of reaching the target audience who are mostly males. The three main elements in a sponsorship are the sponsor the event and the consumer who are the audience. The main focus of the sponsor is the audience in the event. Consumers have a positive response to sports sponsorship and favor the sponsor (Rifon, Choi, Trimble & Li, 2004). The sponsorship is a powerful communication vehicle in the company. This is a platform where the brand interacts with the consumers.

The exposure of the company during sponsorship plays a vital role in evoking consumers’ responses. The use of logos, pictures, words and other related company assets leads to stimulation of the consumers. There is also congruence between the sponsor and the sponsored sport which is perceived by the consumers. The consumers are able to remember the brand through associating it with the event (Speed & Thompson, 2000). The brand has a capability to influence its image in a manner that is positive. Another area that sponsorship helps is identification of the brand with a social identity. The brand has a capability to b e associated with a certain class, sport participant or a community (Red Bull, 2014).

Brand identity and promotions

Red Bull has used their strong brand for their identity. Having a strong brand makes it easier for the company to market using different channels. The slogan “it gives you wings to fly” that is used by Red Bull has the ability to enable the consumers to identify with the brand (Red Bull, 2014). The brand strength is associated with people, sports and events. The company sponsorship is more of owning the team. This enables them to use their brand a channel for making the profits during sports activities. The brand awareness that is created in their events helps the brand to be strong. This in turn is used in creating brand identity among the consumers. There is pride to be associated with a successful brand. According to the definition of the integrated marketing communication, the elements are supposed to aid each other. Sports sponsorship helps the brand to be famous by creating brand awareness. This in turn is used in creating brand awareness among the consumers. For example, in a sport that is sponsored by the Red Bull such as Snow Boarding, the fans of the sponsored athlete will be fans of the Red Bull. The fans may later become consumers of Red Bull through associating it with the sports personality. Social media have promoted red Bull brand identity (Pickton & Broderick, 2005).

Red Bull uses promotions through integrated marketing. This involves focusing their advertisements on the areas where the consumers are most likely to spot them. For example, billboards are erected in the sponsored sports by the company. In some instances, the company gives away their products to the customers especially in the universities. Product promotion that is carried out by Red Bull is done in such a way that the consumer is always reminded of the product. Promoting sports through their brand is another avenue that the company uses to carry out their sales. The company is estimated to use almost 30 percent of their earnings on promotions and advertisement (Red Bull, 2014). The mode of advertisement used internet platforms such as company website and social media.

Product design

The products that the company designs should be able to appeal to the customers. Red Bull designs products which the customers are willing to buy due to the features that are incorporated. The products colors are catchy to the customers. All their cars and trucks have the same colors as the Red Bull cans and a large can is placed on the top. Having appropriate design enables the company to attract the customers. Product design is an important aspect that is used for marketing the products. The clientele that is served should be pleased with the colors of the product (Red Bull, 2014). This has been the case of the Red Bull.

Synergy and client centering

In every successful integrated marketing communication, there is need for synergy. This has been the case of Red Bull. All the types of communication that is used by Red Bull harmonize with the brand identity. The marketing tools used such as advertising, event sponsorship, and social media coordinates with Red Bull identity. For Red Bull, their advertisement rhymes with other aspects of marketing. The message that is delivered in their advertisement reaches all the target groups in different angles. The message ensures that there is no confusion. Red Bull is a company that is m ore inclined in retaining their customers and attracting new ones. This is through communication with the customers (Peter & Olson, 2005).

Communication is important to making sure that the company has the ability to retain the customers. Some of the business measures their success by the fact that they have attracted new customers. This is not the case of Red Bull. Attracting new customers plays an important role in measuring success of the business. All the Red Bull marketing strategies focuses on both old and new customers. For example, sponsoring an athlete will attract new customers to the company. The same strategy will retain the customers who were loyal to the company (Pappu & Quester, 2006).

Earned media

Red Bull branding and products have made the company newsworthy. The company in some instances gets media coverage without paying for it. Newspaper articles, television news, magazines and blogs write about the company due to its uniqueness. The company involvement in sponsorship of sports and events makes it worth media coverage. The social media have also been involved in advertising Red Bull. The company slogan has been used by bloggers and social media due to relevancy to the company philosophy. Becoming news worthy has enabled Red Bull to have free advertising and brand awareness. This gives Red Bull a competitive advantage (Pickton & Broderick, 2005).

Critical analysis of IMC practices used by the brand

For any business to succeed, integrated marketing communication is very vital. The marketing activities have to take place in the right manner through the trading period. Marketing activities includes promotions, advertising and the product design among others. The integrated marketing communication elements that have been used by Red Bull have been enhanced by use of internet platforms. Using social media and company website have enabled the company to reach a wide audience. In their event sponsorship, the moments are captured through digital and print media. Of the two, digital media have the capability to reach a wider audience. The company uses almost a third of their earnings to make advertisements (Pickton & Broderick, 2005).

Online advertising are the best choice for any company that aims to advertise in the global market. There have been rise in the use of the internet globally due to expansion in information technology. By investing in the digital media, Red Bull has made the right choice. The company efforts in marketing their products and maintaining a large market share have earned them media coverage. Bloggers and social media have advertised the company and created awareness. In every event, pictures are shared through the internet within seconds. This involves pictures which have the event sponsored athletes wearing the company logo. Media advancement has acted in enhancing the sponsorship as a part of marketing (Pickton & Broderick, 2005).

In all the elements of the integrated marketing communication, the role played by the digital media is great. The media enables the communication aspect to be carried out smoothly. Communication links the product with the customer which leads to the consumer making a decision. Communication between the marketer and the consumers must be effective for the relationship to last. For the consumers to remain loyal there must be communication which supports a lasting relationship (Savage, Collins-Mayo, Mayo & Cray, 2006).

Online marketing using the digital media have acted as a channel for Red Bull can communicate with the customers. Integrated marketing communication can be defined as a strategic communication process which the company can use multiple communication tools for the purpose of promoting the products and services offered by the company. At the moment, social media have been growing at a very fast rate. Social networking sites help the consumers and the company to interact. Red Bull has earned media attention which has made the social network sites to be an active platform in which they gain publicity. Social media have promoted Red Bull brand awareness which have helped in creating brand identity. Most of the target consumers are young hence easily lured by the social media. The main advantage of social media is the fact that it’s used by almost every member of the target audience (Pickton & Broderick, 2005).

Sponsorship of events has been a great idea by Red Bull. The company has been able to gain association with the extreme games such as snowboarding, mountain skiing and formula one. This has made the consumers to keep in mind Red Bull image in every instance they see the game. The fans of the games which are sponsored by the Red Bull have a higher possibility to become consumers of red Bull. During sponsorship, the company uses billboards and stickers to advertise themselves. The players also wears uniform which further adds to advertising. The success of Red Bull in the sponsorship of games and events is based on the company listening skills. One has to be well informed about the sport before sponsoring it. Sponsorship also helps in creating a positive company image (Walliser, 2003).

Being client centered requires the company to put the consumer needs first. This is achieved by ensuring that the consumers are catered in the best way possible. As an energy drink provider, Red Bull knows where to put their product for customer accessibility. The company products are available in the events and entertainment joints where the consumers require them. Media have enabled the company to reach their consumers globally. This is through marketing efforts through the medium. Advertising according to the company occupies almost a third of the company profit. For the consumers to benefit from the products, they must be well informed about its features and attributes (Walliser, 2003). This has been achieved by red Bull through their campaign.

There is synergy in all the elements that have been used by Red Bull for the purpose of advertising themselves. This has been achieved by blending all the elements to work together. Multiple modes of marketing are brought together for the company to meet its goals. Each medium enhances the other in their working. This is also enhanced through use of digital media. For example, event sponsorship and promotion enhances each other, when Red Bull sponsors an event, they also provides promotional drinks to the fans (Madrigal, 2000). The events also act as advertising sites. This is through use of bill boards and electronic boards which displays the company logo and products. Synergy works well where the company is inclined to improve their communication in the market.


In conclusion, integrated marketing communication (IMC) is an approach that enables the company to utilize all the marketing communication in synergy to create valuable brands. Red Bull success can be attributed to utilization of integrated marketing communication to make their sales. The company target market of students and athletes is well catered for through the marketing efforts. The company has to work on their weakness and add to their strengths. The company has to consider diversification and introduction of healthy drinks. Using the digital media in marketing communication it has enabled them to reach their consumers and synergize all their elements in integrated marketing communications.


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