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  • #16
    Interesting discussion. My only comment on Red Bull is that I'm rather disappointed in the lack of innovation coming from that camp. In ten years, they have introduced one new size of Red Bull, that's it. Oh, and sugar free of course. Even though they may still be a 45 share nationally, they are in much worse shape in other parts of the country. Here in SoCal, Red Bull is only a 20 share - now tied with Rockstar. Monster is blowing them both away with about a 40 something share...

    As for the other areas of discussion, I have to agree with a lot of Lepke's statements. It does not matter what is inside the beverage container, it matters what the container looks like, how its presented to the consumers and how much distribution and marketing is behind it. Why does someone pay over $2 for a Red Bull? Perception. To that consumer, it is worth it.

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    • #17
      Originally posted by CStoreCatMan View Post
      Interesting discussion. My only comment on Red Bull is that I'm rather disappointed in the lack of innovation coming from that camp. In ten years, they have introduced one new size of Red Bull, that's it. Oh, and sugar free of course. Even though they may still be a 45 share nationally, they are in much worse shape in other parts of the country. Here in SoCal, Red Bull is only a 20 share - now tied with Rockstar. Monster is blowing them both away with about a 40 something share...

      As for the other areas of discussion, I have to agree with a lot of Lepke's statements. It does not matter what is inside the beverage container, it matters what the container looks like, how its presented to the consumers and how much distribution and marketing is behind it. Why does someone pay over $2 for a Red Bull? Perception. To that consumer, it is worth it.
      The package, taste, and color should only complement an energy beverage. Anyone with a half of a brain should always care what’s on the inside or what they are dropping 2.50 a can for.... the fact that Red Bull put it in a shinny can with two little bulls on it....NO, little grass hopper. It was the fact that they said "it gives you wings"...WAIT! It sounds like they sold it for what was in the can but tagged it with a very approachable marketing campaign... Good job RB thinks for paving the way!

      Perception....right word wrong thought behind it...
      CJ <br />Business relations

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      • #18
        That is the problem with new launches with drinks. I have seen countless launches that say "We taste better than Red Bull. We look better than Red Bull. We are better than Red Bull at this. We will be the next #1 energy drink. But 3 months later, the brand is gone. Why is this? Even though Deep and many others feel that it should be based soley on what is in the package...it is not. At least not when it comes to energy drinks. This is a young market (10 years now), and people are still barely educated. If you ask 10 different energy drink buyers what it is in their drink that makes them buy it, it will simply be "This one has the most caffiene, this one just gets me amped up" That is basicaly it. No one is educated that most of the energy drinks have similar amounts of caffiene as one another. Most have very similar effects. But its all in their preception. People are willing to pay more for the energy drink that they believe will give them the best boost and keep them up all day. There is a HUGE reason you dont see the energy drinks moving at .99 cents. People think its a cheap knock off and that it wont perform like Monster or Red Bull.
        Monster and Rockstar rolled into the market and got everyone to say "Hey, I can get twice as much for about the same price....I will switch over" It wasnt a close out price, but it gave them a good value for what they were already paying.
        Red Bulls market share is slipping, as everyone agrees, they have not done enough to keep their position. They took too long to add a new size, they have not added new flavors, nothing inovative. Their bottom line, I believe is still increadibly good. But they will now have to work 3 times as hard if they want to try and get back to #1 in the market.

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        • #19
          Now Ron???

          Originally posted by Ron Swedelson View Post
          That is the problem with new launches with drinks. I have seen countless launches that say "We taste better than Red Bull. We look better than Red Bull. We are better than Red Bull at this. We will be the next #1 energy drink. But 3 months later, the brand is gone. Why is this? Even though Deep and many others feel that it should be based soley on what is in the package...it is not. At least not when it comes to energy drinks. This is a young market (10 years now), and people are still barely educated. If you ask 10 different energy drink buyers what it is in their drink that makes them buy it, it will simply be "This one has the most caffiene, this one just gets me amped up" That is basicaly it. No one is educated that most of the energy drinks have similar amounts of caffiene as one another. Most have very similar effects. But its all in their preception. People are willing to pay more for the energy drink that they believe will give them the best boost and keep them up all day. There is a HUGE reason you dont see the energy drinks moving at .99 cents. People think its a cheap knock off and that it wont perform like Monster or Red Bull.
          Monster and Rockstar rolled into the market and got everyone to say "Hey, I can get twice as much for about the same price....I will switch over" It wasnt a close out price, but it gave them a good value for what they were already paying.
          Red Bulls market share is slipping, as everyone agrees, they have not done enough to keep their position. They took too long to add a new size, they have not added new flavors, nothing inovative. Their bottom line, I believe is still increadibly good. But they will now have to work 3 times as hard if they want to try and get back to #1 in the market.
          Your words Ron, sir...

          "If you ask 10 different energy drink buyers what it is in their drink that makes them buy it, it will simply be "This one has the most caffeine, this one just gets me amped up" That is basically it."

          I never said it was solely on what is in it, I said it is the most important. The rest should complement the beverage such as the package, taste, and color. I do agree it is perception but it is how your presentation is laid out and if the public is willing to learn the information is there. Then if they want to buy a cheaper or weaker beverage after learning the truth, then they disserve what they get out of every drop.

          One thing is for sure most of those companies that are here today gone tomorrow don't bother to take the time to support the DSD or chain, they just want the sale. I have replaced a number of those, LOL.

          Thank you for your feedback, Ron.
          CJ <br />Business relations

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          • #20
            So if I am understanding you right...you more have a complaint that the customers are not educated enough to make the "proper" choices. I would have to agree with you. There is very little education for the energy drink market. All most people have to go off of is what they see their big brother and friends drink, what they have had in a bar, or which one they think works best for them. Past that, you have huge events sponsored by these companies, and obviously you are only getting educated on their drink alone. And not always with 100% fact, many claims are stretched to make their drink sound the best. We only use this, and it does that for you...but thoes guys use X brand and that is soooo bad for you.
            Now I guess the question is, how can we get the consumer more educated about the brands. Anyone outside of the industry doesnt seem to be too consirned with learning more about what they are purchasing. If someone can figure that out, and get credible distribution then you would have a major player in the market.

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            • #21
              Originally posted by Ron Swedelson View Post
              So if I am understanding you right...you more have a complaint that the customers are not educated enough to make the "proper" choices. I would have to agree with you. There is very little education for the energy drink market. All most people have to go off of is what they see their big brother and friends drink, what they have had in a bar, or which one they think works best for them. Past that, you have huge events sponsored by these companies, and obviously you are only getting educated on their drink alone. And not always with 100% fact, many claims are stretched to make their drink sound the best. We only use this, and it does that for you...but thoes guys use X brand and that is soooo bad for you.
              Now I guess the question is, how can we get the consumer more educated about the brands. Anyone outside of the industry doesnt seem to be too consirned with learning more about what they are purchasing. If someone can figure that out, and get credible distribution then you would have a major player in the market.

              Good word, Energy is for what it is. Everything else that comes with it is just a bonus but let's start a the bottom line "The Energy".
              Last edited by deepnenergy; 08-28-2007, 09:31 PM.
              CJ <br />Business relations

              Comment


              • #22
                Originally posted by deepnenergy View Post
                Good word, Energy is for what it is. Everything else that comes with it is just a bonus but let's start a the bottom line "The Energy".
                Well said.
                IMO...you have perfectly summed up the true essence of
                what ED's are all about(perception "is" reality). Bravo!!!!
                Don't worry, be happy. Meher Baba

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                • #23
                  Thank you Mr Zabe.

                  Now if I could only get national distribution tomorrow, LOL. That is a all new hat trick even though we offer a Great product, marketing & agreement w/equity it is a hard task to get good DSD on board.
                  CJ <br />Business relations

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                  • #24
                    uhhh dude, RedBull is the best selling energy drink on the market and makes billions of dollers a year, its not going away anytime soon
                    <br><img src="http://badabingpartybus.net/images/Rockstar%204c%20Logo%20V3%20E.jpg">

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                    • #25
                      Not gone, but the ".99c" price is just around the corner.

                      Originally posted by Rockst@r 4ever View Post
                      uhhh dude, RedBull is the best selling energy drink on the market and makes billions of dollers a year, its not going away anytime soon

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                      • #26
                        Let's keep it real, as long as there is vodka, Red Bull shall reign supreme.

                        I'm a hard core redline drinker, but I NEEDS RB with my vodka baby.

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                        • #27
                          That is what I keep saying

                          Man I was sitting at the local PUB just 2 days ago and you should see all the RB and Vodka being served. Not to mention the shots with RB. Unless someone can break the RB hold on bars then RB is not going anywhere.

                          Originally posted by Black Spiderman View Post
                          Let's keep it real, as long as there is vodka, Red Bull shall reign supreme.

                          I'm a hard core redline drinker, but I NEEDS RB with my vodka baby.
                          banned

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