Strategy

Assignment on A case study of Red Bull Company

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 Assignment ON

 A case study of Red Bull Company 

 August 08, 2011

 Assignment ON

 A case study of Red Bull Company 

Course Title:

Brand Management

Course code: MKT

4103

PREPARED FOR:

Abdullah Mohammed IbrahimAssistant Professor in Marketing, DBA Northern University Bangladesh

PREPARED BY:

NasrullahID- BBA080202768Md Ashraful IslamID- BBA080250419

Section-

A

Date of Submission:

August 08, 2011

Question no- 1:

 Describe the Red Bull’s sources of brand equity. Analyze the Red Bull’s marketing programin terms of how it contributes to the brand’s equity. Do the SWOT analysis of Red Bull.

Answer to the question no 1:

Brand equity:

The value premium that a company realizes from a product with a recognizablename as compared to its generic equivalent. Companies can create brand equity for their  products by making them memorable, easily recognizable and superior in quality and reliability.Mass marketing campaigns can also help to create brand equity. If consumers are willing to paymore for a generic product than for a branded one, however, the brand is said to have negative brand equity. This might happen if a company had a major product recall or caused a widely publicized environmental disaster.

Example:

The additional money that consumers are willing to spend to buy Coca Cola rather than the store brand of soda is an example of brand equity.

Red Bull’s Sources of brand equity

:

Red Bull uses the non traditional ways to chive its targets and unique approaches to create the brand equity. Right from the beginning the company makes it very clears to it all its existing and potential customer the message of its product functionality in a clear way. Related to the pricingof the product company positions the product above 10% of the upper segment of thecompetition in order to create the mindset of the premium brand and also influencing people bynot letting them buying a sample beverage drink. This...