A

PROJECT REPORT
ON

“MARKETING MIX OF RED BULL”

Submitted for partial fulfillment of the requirement for

the award of
B.Com
Affiliated to: C.C.S. University, Meerut
(2021-2024)

SUBMITTED TO: SUBMITTED BY:

Ms. Sonia Singhal MANSA SATI
(Coordinator) B.com–V Sem.
Roll No.: 210134303046

RELIABLE INSTITUTE OF MANAGEMENT TECHNOLOGY,

MORTA, GHAZIABAD

1
 CERTIFICATE

This is to certify that MISS.MANSA SATI (2021-2024) Batch a

student of Reliable Institute of Management Technology, Morta,
Ghaziabad, has undertaken the project on“ MARKETING MIX OF
RED BULL ” The project has been carried out by the student in
partial fulfillment of the requirements for the award of B.Com,
under my guidance and supervision.

I am satisfied with the work of MISS. MANSA SATI

Ms. Sonia Singhal

(Coordinator)

2
 DECLARATION

I, MANSA SATI hereby declare that this project report entitle “MARKETING MIX OF

RED BULL” has been completed based on actual study carried out by me. I am presenting an
authentic record of mine. Our work is carried out under the guidance of Ms. Sonia Singhal
(Coordinator)” the partial fulfillment of the degree of “B.COM from RIMT, Ghaziabad.”

This declaration is original and the information data in this research report is sufficient for the
award of any other degree in the best of my knowledge.

Date:

Place:

MANSA SATI

Roll No: - 210134303046

B-COM—V Sem.

3
 ACKNOWLEDGMENT

I would like to thank the people who have put in lot of their labor will certainly not be enough
to express my gratitude since this dissertation would not have accomplished the way it has,
without the help, co-ordination, guidance and support of the numerous people. Honestly
admitting, I was not capable enough to handle and maintain all these data etc. had I not received
help from all these quarters.

My first thought goes to my project guide, Ms. Sonia Singhal (Coordinator) who always
remained a great source of inspiration and courage for me.

Irrespective of numerous efforts, there are likely to be many mistakes which might have crept in
the work for which I alone should be held accountable.

MANSA SATI

4
 EXECUTIVE SUMMARY

Inspired by functional drinks from the Far East, Dietrich Mateschitz founded
Red Bull in the mid 1980's. He created the formula of Red Bull Energy Drink
and developed the unique marketing concept of Red Bull. In 1987, on April 1,
Red Bull Energy Drink was sold for the very first time in its home market
Austria. This was not only the launch of a completely new product, in fact it was
the birth of a totally new product category. Today Red Bull is available in 171
countries and over 62 billion cans of Red Bull have been consumed so far.

Red Bull is much more than a soft drink--it is an energy drink. It was made for
moments of increased physical and mental stress and improves endurance,
alertness, concentration, and reaction speed. In short: it vitalizes body and mind.
The effectiveness of Red Bull Energy Drink has been proven by a large number
of scientific studies and is appreciated by many of the world's top athletes and
drivers, opinion-leaders and hard-working people with active lifestyles. While
Red Bull had appealed to athletes and, in the United States, tired white-collar
workers, the real story of Red Bull's growth lay in the promise of further
endurance at clubbing, giving it a special appeal for young people exhausted
from working hard all week. The Los Angeles Times reported that the beverage
appeared to glow green under the fluorescent light of nightclubs. The drink
became a very popular mixer, especially with vodka. The company promoted
the lift the beverage offered with the slogan "Red Bull gives you wings."
Traditional advertising was limited, as the company focused heavily on getting
product samples into the right hands. The company sometimes put up edgy,
graffiti-style billboards. In the late 1990s, Red Bull produced animated TV ads
for mature markets.

5
 TABLE OF CONTENT

CONTENT

1.1. BEVERAGES INDUSTRY

CHAPTER 1 1.2. FACTORS DRIVING DEVELOPMENTS IN
INDIAN BEVERAGES SECTOR

1.3. KEY RISKS TO THE BEVERAGE

INDUSTRY

1.4. FUTURE PROJECTIONS OF INDIAN

BEVERAGE INDUSTRY

CHAPTER 2 2.1. Overview if company

2.2. company profile and history
2.3. history
2.4. company profile
2.5. red bull vision
2.6. red bulls mission
2.7. red bull values
2.8. innovation
2.9. red bull as a brand name
2.10. factors of success
2.11. competitors
2.12. Major competitors

CHAPTER 3 title of study

objectives of study

6
 3.3. tools of data collection
secondary data
limitations of the study
CHAPTER 4 4.1. introduction to marketing mix
4.2. 4p’s

CHAPTER 5 5.1. Product Mix

5.2. Product range
5.3. Product Levels
5.4. Brand
5.5. Product Life Cycle
5.6. Packaging
5.7. Price Mix
5.8. Place Mix
5.9. Promotion Mix
5.10 media advertising
5.11. sports and event sponsorship
5.12. sampling
5.13. SWOT Analysis
5.14. reasons to purchase red bull

CHAPTER 6 6.1. Findings

CHAPTER7 7.1. GST

 Public Feedback
 CONCLUSION
 SUGGESTIONS
 Bibliography

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 CHAPTER-1 INDUSTRY PROFILE

BEVERAGES INDUSTRY

A beverage is a drink specifically prepared for human consumption.

Beverages almost always largely consist of water. Drinks often consumed
include: Water (both flat or carbonated), Juice based drinks, Soft drinks,
Sports and Energy drinks, Alcoholic beverages like beer or spirits, Coffee,
tea, Dairy products like milk. Commonly, drinks are filled into containers,
like glass or plastic bottles, steel or aluminium cans as well as cardboard
supported packages, like the "Tetra Pak" or others. Filling of beverages can
be done cold, hot, ambient and cold-aseptic filling to mention the latest trend
of beverage marketing and technology.The beverage is mainly categorized
into two major categories based upon the alcoholic and non-alcoholic nature
of the drink. Non-Alcoholic beverages are further o two types based upon
carbon content. These beverages contain Fruit juices, Coffee, Tea, Soda,
Colas. The Alcoholic beverages are based upon the fruit content and grain. It
may be Wine, Brandy, Whisky or Beer.

8
FACTORS DRIVING DEVELOPMENT IN INDIAN
BEVERAGES SECTOR
India is a growing and developing country which is having a very high
economic growth with the drastic increase into the population size. Due to
the developing economic condition, there is increase in the competition
among the manufacturers, retailers, dealers to promote their products at
competitive prices.

The increase in the India population has given a high demand of beverage
market products. The Indian beverage market is segmented into the two
major segments –Alcoholic and Non-Alcoholic Beverages.

Again, these categories of beverages are sub-divided into the carbonated

and fruit based drinks. Tea and Coffee also contributed majorly into the
Beverage Industry.

Indian Beverage market distribution and marketing channel is highly

networked and has a very approach to the customers. Due to the
globalization and technological developments there is highly innovative
products are coming into the Indian Beverage markets which are
appreciated by the Indian population.

In India, here are various forms of beverage market get to be seem in the
form of retailers, Restaurants, Coffee shops, Sport events, Hotels etc.

There are certain factors which are driving developments into the Indian
Beverage sector:

• Economic growth
9
• Population growth

• Competition for Raw materials

• Power of retailers

• Globalization / Regionalization

• Research & Development

• Technological Developments

• Food safety and regulation

• Consumer Demands and trend

KEY RISKS TO THE BEVERAGE INDUSTRY

As water is the essential ingredient in a beverage product, as well as vital
for cooking and cleaning during the production process. So, when one
considers that India’s current water supply is approximately 740 billion
m3, but it has been estimated that by 2030 demand for water in India will
grow to almost 1.5 trillion m3, the industry will clearly be facing a major
problem there. There will simply not be enough water. Yet China, India
and Indonesia are all a focus for beverage companies due to their lower
market penetration. There can be little doubt, however, that water security
issues will be one of the biggest threats to developing market potential.

10
 Let’s first take a look at the alcoholic drinks industry. The market growth
for alcoholic drinks is particularly strong in emerging Asian economies,
driven by a range of socio-economic factors. These include favourable
demographics such as the greater proportion of young people reaching the
legal drinking age and increased per capita income and urbanization in
countries such as India and China. The water bottles market is also
booming. The market for bottled water is developing rapidly in Asia.
Health concerns of polluted municipal water sources and increasing water
shortages are expected to be key drivers of this, but wealth and the
increase in Asian middle classes will play the most significant role.
Consumer demand for purity, hygiene and convenience is on the increase.
In India the market is expected to grow by 100 percent over the next five
years and there are currently more than 2,000 bottled water producers.
Whilst there has been a backlash against bottled water in developed
countries as the environmental impact of plastic bottles becomes more
apparent, in Asia it looks set to become an increasing trend.

FUTURE PROJECTIONS OF FUTURE BEVERAGE

INDUSTRY

• Beverage Industry is projected to have overall growth between 8% -

8.5%.

• Indian non-alcoholic drinks market is expected to at a CAGR of

around 4.4% during 2018-2023.

• India Alcoholic Drinks Market to Grow Over 5.2% CAGR during

2018-2023.

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• The India Alcoholic Drinks Market Is Expected to Reach The 3 Billion
Litres Mark By 2023.

• The alcoholic sector has projected to achieve excellent growth of 20%

from wine.

• Fruit/vegetable juice market will grow at a CAGR of around 30 per

cent in value terms during 2011-2015.

• The energy drinks segment which will grow at a CAGR of around 29

per cent during the same period.

• All in all, annual per capita consumption of packaged beverages is

supposed to triple from 2.6 litres in 2000 to 8.7 litres in 2015. Demand
for milk and milk-based beverages are also rising.

• The estimated INR 340 BN Indian liquor industry is expected to

maintain its CAGR of 15%.

12
 CHAPTER – 2
REDBULL COMPANY PROFILE

OVERVIEW OF THE COMPANY

In 1982, Dietrich Mateschitz became aware of products called "tonic
drinks”, which enjoyed widespread popularity throughout Far East. His
idea to market evolved whilst he sat at a bar at these functional drinks
outside the Asia Mandarin Hotel in Hong Kong.

In 1984, Mateschitz founded Red Bull. He fine-tuned the product,

developed a unique marketing concept and started selling Red Bull Energy
Drink on the Austrian market in 1987. This was not only the launch of a
completely new product, in fact it was the birth of a totally new product
category.

In 2008, Red Bull launched its own Cola: Red Bull Simply Cola – Strong
& Natural. Very much in line with the needs of today's consumers, Red
Bull Cola - unlike traditional colas - only contains ingredients of 100%
natural sources.

In 2009, Red Bull extended its product portfolio with Red Bull Energy
Shots:
Starting in the USA, now gradually rolling out globally.

Around 4 billion cans of Red Bull are consumed every year. The
responsibility for the success of the world's No. 1 energy drink is shared by
the company's 6,900 employees around the world. In 2016, a total of 6.062
billion cans of Red Bull were sold worldwide in over 171 countries. 10,410

13
 employees generated €5.11 billion in revenue. As of the end of 2009, Red
Bull employed 6,900 people in 160 countries (end 2008: 5,683 in 148
countries).
Despite the ongoing difficulties presented by the global economic
downturn, plans for growth and investment in the business year 2010
remain - typically for Red Bull - very ambitious, but continue to rest on a
solid and conservative financial footing.

COMPANY PROFILE AND HISTORY

HISTORY
In 1976, Chaleo Yoovidhya introduced a drink called Krating
Daeng in Thailand, which means "red gaur" in English. It was
popular among Thai truck drivers and labourers. While working
for German manufacturer Blendax in 1982, Dietrich Mateschitz
travelled to Thailand and met Chaleo, owner of T.C.
Pharmaceutical. During his visit, Mateschitz discovered that
Krating Daeng helped cure his jet lag. In 1984, Mateschitz co-
founded Red Bull GmbH with Yoovidhya and turned it into an
international brand. Each partner invested US$500,000 of savings
to found the company. Yoovidhya and Mateschitz each held a 49
percent share of the new company. They gave the remaining two
percent to Yoovidhya's son, Chalerm, but it was agreed that
Mateschitz would run the company. The product was launched in
Austria in 1987.

In Thailand, energy drinks are most popular with blue-collar

workers. Red Bull re-positioned the drink as a trendy, upscale
drink, first introducing it at Austrian ski resorts. Pricing was a key

14
differentiator, with Red Bull positioned as a premium drink and
Krating Daeng as a lower cost item. In many countries both drinks
are available, dominating both ends of the price spectrum. In 1992,
the product expanded to international markets: Hungary and
Slovenia. It entered the United States via California in 1997 and the
Middle East in 2000. In 2008, Forbes magazine listed both Chaleo
and Mateschitz as the 250th richest people in the world with an
estimated net worth of US$4 billion.

Red Bull is headquartered in Fuschl am See, an Austrian village of

about 1,500 inhabitants near Salzburg. The company is 51 percent
controlled by the Yoovidhya family who, for technical reasons,
own the trademark in Europe and the US. In 1995, Krating Daeng
authorized its drink labelled as Red Bull, to be sold in China.
Since 2014, the Austrian Red Bull (carbonated) has also been
exported to China. This has created confusion since both drinks
use the same brand name, in both English and Chinese. Similarly,
in Southeast Asia, Red Bull and Krating Daeng are often confused
as both use the Red Bull name in their packaging, although they
are two separate products aimed at different markets. The main
difference is that Red Bull comes in a tall blue and silver can
while the
15
 Thailand Red Bull, or Krating Daeng, is in a smaller gold can. The
two drinks also differ in terms of taste —- Red Bull has less sugar
and is carbonated. The flavouring used for Red Bull is still
produced in Bangkok and exported worldwide.

COMPANY PROFILE

Inspired by functional drinks from the Far East, Dietrich Mateschitz

founded Red Bull in the mid 1980's. He created the formula of Red Bull
Energy Drink and developed the unique marketing concept of Red Bull.
In 1987, on April 1, Red Bull Energy Drink was sold for the very first
time in its home market Austria. This was not only the launch of a
completely new product, in fact it was the birth of a totally new product
category. Today Red Bull is available in 171 countries and over 62 billion
cans of Red Bull have been consumed so far. Red Bull is much more than
a soft drink--it is an energy drink. It was made for moments of increased
physical and mental stress and improves endurance, alertness,
concentration, and reaction speed. In short: it vitalizes body and mind.
The effectiveness of Red Bull Energy Drink has been proven by a large
number of scientific studies and is appreciated by many of the world's top
athletes and drivers, opinion-leaders and hard-working people with active
16
lifestyles. Red Bull GmbH produces the world's leading energy drink.
More than a billion cans a year are sold in nearly 100 countries. Red Bull
holds a 70 percent share of the world market for energy drinks, or
functional beverages, a category it was largely responsible for building.
Its dominant position in the fastest-growing segment of the soft drink
market in a number of countries has drawn a number of imitators. Red
Bull has become a case study in successful guerilla marketing in the
United States and United Kingdom. Marketing is aimed at hip young
people with active lifestyles, though the formula began as a popular tonic
for blue collar workers in Thailand. Mateschitz founded Red Bull GmbH
in Austria in 1984 as a 49 percent partner with Chaleo Yoovidhya and his
son. The company began marketing its namesake drink in Austria in
1987; a million cans were sold in the year. Red Bull associated itself with
the nascent extreme sports movement. The company sponsored
snowboarding and free skiing contests and Flugtag, a homemade flying
machine challenge. Red Bull had appealed to athletes and, in the United
States, tired white-collar workers, the real story of Red Bull's growth lay
in the promise of further endurance at clubbing, giving it a special appeal
for young people exhausted from working hard all week. The Los
Angeles Times reported that the beverage appeared to glow green under
the fluorescent light of nightclubs. The drink became a very popular
mixer, especially with vodka. As of the end of 2016, Red Bull employed
11,865 people in 171 countries - compared to the end of 2015 when we
had 10,997 employees in 169 countries. In terms of further expansion,
Red Bull is targeting the core markets of Western Europe and the USA
and growth markets in the Far East, while also focusing on the worldwide
roll-out of the Red Bull Editions. A total of 6.062 billion cans of Red Bull
were sold worldwide in 2016, representing an increase of 1.8% against an
already very successful 2015. Company turnover exceeded the six-billion-
euro mark for the first time, increasing from EUR 5.903 billion to EUR
17
 6.029 billion. The main reasons for such positive figures include
outstanding sales in the markets in Chile (+28%), Scandinavia (+13%),
Poland (+13%), the 8Netherlands (+12%) and South Africa (+10%),
combined with efficient cost management and ongoing brand investment.

RED BULL’S VISSION

Red bull’s vision is to provide more and more satisfaction to their
customers, employees and sell their product all over the globe.

Customers… amazing energy drink to energize them

Employees… giving jobs to 11,865 people over 171 countries.

RED BULL’S MISSION

Red Bull GmbH are dedicated to upholding Red Bull standards, while
maintaining the leadership position in the energy drinks category when
delivering superior customer service in a highly efficient and profitable

18
 manner. We create a culture where employees share best practices,
dedicated to coaching and developing our organization as an employer of
choice.

RED BULL’S VALUES

TheCompany’svalues are constant and define the waythat all the
employees are expected to behave and conduct business everywhere in the
world. Red bull cherishes following values-

 Customer orientation

 Best quality

 Creating employment

 Innovation

 Employee satisfaction

 Growth orientation

INNOVATION
Red Bull is an energy drink that was launched in Austria in 1987 by an
entrepreneur, Dieter Matteschitz. He built the company up to annual sales
now worth €1.5 billion. Red Bull’s success story is remarkable as the soft
helped the company cross the chasm. Since the initial target customers –
extreme sports enthusiasts and clubbers—were influential opinion leaders,
the mass market quickly reacted to consume Red Bull. Furthermore, the
segmented approach enabled Red Bull to offer its product at a higher price
as the willingness to pay of their target segment was higher than the mass
19
 market. Although Red Bull now caters to the mass market, it has been able
to maintain customer’s higher willingness to pay. Finally, Red Bull
innovated new channels such as clubs and bars instead of relying on big
retailers. This allowed Red Bull to shorten its “time to market”—which
was an essential factor in fighting off mighty incumbents. Another factor
that enabled Red Bull’s success was its early solidification of a strong
brand name before the incumbents entered the fight. This was another
crucial factor that enabled Red Bull to maintain and grow its market share
in spite of its extremely limited product portfolio. In order for Red Bull to
grow in the future, we believe it is imperative to expand into new market
segments as well as horizontally expand its product offerings (i.e. energy
gel, alco-pops, etc). As the incumbents are now fiercely trying to overthrow
Red Bull from its number one position, Red Bull must enhance its brand
positioning in the market.

RED BULL AS A BRAND NAME

Drink industry is one with high barriers to entry and soft drink companies
have to deal with high buyer power of distribution and retailers. This is all
due to the dominant brands like Coca Cola and Pepsi having a tight grip on
the retailers and their shelf space. Nonetheless, Red Bull has been able to
enter this market successfully by innovating in a variety of ways :-

 Product innovation :- Red Bull created a product that fills the gap in
consumer needs for a cold drink that gives mental energy.

 Market segmentation innovation :- Red Bull used a very targeted

approach compared to the mass marketing approach of the
incumbents.

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  Channel innovation :- Red Bull used a “pull” strategy in order to
gain shelf space in the retail channel. Pull is created by gaining
popularity among the consumers by offering products in alternative
channels, for example bars and health clubs.

 Marketing innovation :- Red Bull has used creative onsite

promotions instead of mass marketing approach of the incumbents.
Red Bull’s market entry was clever in several ways. Their focused
segmentation and marketing efforts.

Red Bull has been so successful because it’s built a brand that commands
loyalty from its customers. Red Bull is a utility drink to be taken against
mental or physical weariness or exhaustion. Energy drinks combines two
natural substances and important metabolic Transmitters - the amino acid
taurine and the glucuronolactone with stimulating caffeine, vitamins and
the energy provided by carbohydrates, Energy drinks is designed to
increase endurance and concentration, improve reaction speed, and
stimulate the metabolism.

The reason Red Bull is so successful is because it’s the king of online
branded video content. It’s turned its brand into an experience, rather than a
simple energy drink – and video is the ideal medium to accomplish this.
Video can help form a highly engaged audience that shares content widely,
because it so easily allows a bond to be formed with the audience.

FACTORS FOR SUCCESS

I. BRAND FOCUS – ONE BRAND, ONE PRODUCT:

To be successful in this market, Red Bull needs a clear and consistent
statement that rings benefits in the mind of the consumer. This
21
 statement has to be supported by a long-term marketing expenditure,
with the aim of developing a consistent, clear and uncompromising
brand position in the competitive market. This brand focus and
position has to be enhanced by the creation of new categories of
products with perceived or felt benefits to the consumer. Red Bull has
already practiced this business strategy-which has worked well for the
company.

II. PREMIUM PRICING:

To maintain its market position, Red Bull must continue to be seen as
a premium product in the market. there are various objectives to
pricing, such as profit, revenue and quantity maximization, quality
leadership can also be achieved through this strategy. This is why Red
Bull is keen on applying pricing strategy to maintain its quality
perception. This strategy is often referred to as ‘premium pricing’ and
can work well for the company in the next three years. Red Bull is not
cheap-it’s indeed more expensive than its competitors. It however still
retains a large market share. In some cases, Red Bull managers,
determine the prices to be sold at cafes, restaurants, pubs, night clubs
and hotels. The company can also focus on Psychological pricing
which aims at sending signals of what the consumer considers fair,
product quality and popular price points.

III. ABOVE – THE LINE ADVERTISING:

Red Bull has adopted a market communication strategy that will work
to maintain the brand in the market for long. The company has to keep
strengthening its slogan ‘Red Bull gives you wings’-which is aimed at

22
 building the brand personality. In its marketing, the company should
also enhance the use of opinion leaders and other personalities in
sports, media and culture-which are a perfect target. Red Bull should
continue building more relationships with these groups and treating
them as friends. Agreements and partnerships with top athletes is
working well for the company. Red Bull should sponsor and organize
more events, in sports and culture. This is ‘event marketing’ aimed at
enhancing the brand image of the company.

IV. CONSUMER BENEFIT:

The health benefit provided, by these energy drinks is like all the best
performing functional food. The health benefit is easily detectable and
effective. It is most efficient in providing advantage which can be felt
by the customers. This is the key for creating brand loyalty.

COMPETITORS
Although Red Bull still maintains a dominant position in many significant
markets, it is no longer the only player. The major challenge to Red Bull's
leading position has come from US-based imitators: Monster, Rockstar and
Full Throttle which have introduced price competition to the segment and
23
 this is possible to have become more and more important during the
depression periods. (Strategy)
Consumption percentage of red bull and its competitors are as follows:

MAJOR COMPITITORS OF RED BULL

Monster: This energy drink is following each and every step that can make
itsimilar to Red Bull and gain advantage by providing the product at
relatively low price. The cost of both the products are $2 per can but the
quantity of Monster is just double than that of Red Bull.

Rockstar: This competitive energy drink whose motto is "party like

aRockstar", targeted at the younger consumers who want to be "wild and
crazy" and spend all night dancing. There are a number of flavours of
Rockstar - cola, energy drink, and juiced. The energy drink is similar in
taste to all the others, whereas the cola product has the best taste. The
juiced version is said to be 70% real fruit juice and 100% energy. They
were the first to use the 16oz larger size, and this has fixed and become the
standard. Only Red Bull continues to market the smaller cans, which is part
of their image.
24
Full Throttle: It is manufactured and owned by Coca Cola, just like their
CokeBlack mixture of coffee/cola drink. Full Throttle energy drink is
marketed as a rebellious drink, with erupting flames on the can. An 8 oz.
serving has 110 calories (comes in a 16 oz can) and 29g of sugar. It also
includes things like ginseng extract and plenty of caffeine. Full Throttle
comes with a citrus taste and a red can. Full Throttle was first introduced to
the market in 2005. It is targeted at 20-30-year-old men and contains
Taurine like Red Bull.

From the above stated information, we can find that:

i. Monster is similar to Red bull in taste, but only targets males. It has
two advantages over RB in price and quantity which is double size of
RB.

ii. Rockstar is double the size and Price as it is 1.99$ so it is cheaper

than RB.

iii. Full Throttle has the same taste and ingredients as RB, but it has
advantage of quantity and price

There are also other industries where Red Bull GmbH competes such as
sports, leisure and recreation.

25
 CHAPTER – 3

INTRODUCTION

PURPOSE OF STUDY
Marketing Mix of Red Bull analyses the brand/company which covers
4Ps (Product, Price, Place, Promotion) and explains the Red Bull
marketing strategy. The project elaborates the pricing, advertising &
distribution strategies used by the company.

OBJECTIVE OF THE STUDY

a) To understand the need for an Energy Drink in the market.

b) To understand about its features keeping in mind the consumer

needs.

c) To analyse the nearest competitors of Red Bull Energy Drink.

d)To ascertain the factors that affects the choice of Red Bull as
opposed to its competitors.

RESEARCH METHODOLOGY
Research Methodology is a way to find out the result of a given problem
on a specific matter or problem that is also referred as research problem.
In Methodology, researcher uses different criteria for solving/searching
the given research problem. Different sources use different type of
methods for solving the problem. If we think about the word
“Methodology”, it is the way of searching or solving the research
problem.

26
 In Research Methodology, researcher always tries to search the given
question systematically in our own way and find out all the answers till
conclusion. If research does not work systematically on problem, there
would be less possibility to find out the final result. For finding or
exploring research questions, a researcher faces lot of problems that can
be effectively resolved with using correct research methodology.

RESEARCH DESIGN
Secondary data refers to data that was collected by someone other than
the user. Common sources of secondary data for social
science include censuses, information collected by government
departments, organizational records and data that was originally
collected for other research purposes. Primary data, by contrast, are
collected by the investigator conducting the research.

Secondary data analysis can save time that would otherwise be spent
collecting data and, particularly in the case of quantitative data, can
provide larger and higher-quality databases that would be unfeasible
for any individual researcher to collect on their own. In addition,
analysts of social and economic change consider secondary data
essential, since it is impossible to conduct a new survey that can
adequately capture past change and/or developments. However,
secondary data analysis can be less useful in marketing research, as
data may be outdated or inaccurate.

Secondary data refers to data that was collected by someone other than
the user. Common sources of secondary data for social
science include censuses, information collected by government
departments, organizational records and data that was originally
27
 collected for other research purposes. Primary data, by contrast, are
collected by the investigator conducting the research.

Secondary data analysis can save time that would otherwise be spent
collecting data and, particularly in the case of quantitative data, can
provide larger and higher-quality databases that would be unfeasible
for any individual researcher to collect on their own. In addition,
analysts of social and economic change consider secondary data
essential, since it is impossible to conduct a new survey that can
adequately capture past change and/or developments. However,
secondary data analysis can be less useful in marketing research, as
data may be outdated or inaccurate.

SOURCES OF SECONDARY DATA

Secondary data can be obtained from different sources:
a) Information collected through censuses or government
departments like housing, social security, electoral statistics, tax
records
b) Internet searches or libraries
c) Progress report

ADVANTAGES AND DISADVANTAGES OF

SECONDARY DATA
Secondary data is available from other sources and may already have
been used in previous research, making it easier to carry out further
research. It is time-saving and cost-efficient: the data was collected by
someone other than the researcher. Administrative data and census
data may cover both larger and much smaller samples of the
population in detail. Information collected by the government will also
cover parts of

28
 the population that may be less likely to respond to the census (in
countries where this is optional).
A clear benefit of using secondary data is that much of the background
work needed has already been carried out, such as literature
reviews or case studies. The data may have been used in published
texts and statistics elsewhere, and the data could already be promoted
in the media or bring in useful personal contacts. Secondary data
generally have a pre-established degree of validity and reliability
which need not be re-examined by the researcher who is re-using such
data.

SECONDARY ANALYSIS OR RE-USE QUALITATIVE

DATA
Qualitative data re-use provides a unique opportunity to study the raw
materials of the recent or more distant past to gain insights for both
methodological and theoretical purposes.

In the secondary analysis of qualitative data,

good documentation cannot be underestimated as it provides necessary
background and much needed context both of which make re-use a
more worthwhile and systematic endeavor.
LIMITATIONS
Though there were lots of short comings in conducting the research work
from which some of them could be listed:
o Secondary data can be general and vague and may not
really help companies with decision making.
o The information and data may not be accurate. The source of
the data must always be checked.
o The data maybe old and out of date.
o The company publishing the data may not be reputable.
29
 CHAPTER – 4
INTRODUCTION TO MARKETING MIX

The 'marketing mix (also known as the 4 Ps) is a foundation model in marketing.
The marketing mix has been defined as the "set of marketing tools that the firm
uses to pursue its marketing objectives in the target". Thus, the marketing mix
refers to four broad levels of marketing decision, namely: product, price,
promotion, and place. Marketing practice has been occurring for millennia, but
marketing theory emerged in the early twentieth century. The contemporary
marketing mix, or the 4 Ps, which has become the dominant framework for
marketing management decisions, was first published in 1960. In services

30
marketing, an extended marketing mix is used, typically comprising 7 Ps, made
up of the original 4 Ps extended by process, people, and physical evidence.
Occasionally service marketers will refer to 8 Ps, comprising these 7 Ps plus
performance.

In the 1990s, the model of 4 Cs was introduced as a more customer-driven

replacement of the 4 Ps. There are two theories based on 4 Cs: Lauterborn's 4
Cs (consumer, cost, communication, convenience), and Shimizu's 4 Cs
(commodity, cost, communication, and channel).

Given the valuation of customers towards potential product attributes (in any
category, e.g. product, promotion, etc.) and the attributes of the products sold
by other companies, the problem of selecting the attributes of a product to
maximize the number of customers preferring it is a computationally
intractable problem.

The original marketing mix, or 4 Ps, as originally proposed by marketer and

academic E. Jerome McCarthy, provides a framework for marketing decision-
making. McCarthy's marketing mix has since become one of the most
enduring and widely accepted frameworks in marketing.

4P’s

The 4Ps have been the cornerstone of the managerial approach to

marketing since the 1960s.

31
Product refers to what the business offers for sale and may include products
orservices. Product decisions include the "quality, features, benefits, style,
design, branding, packaging, services, warranties, guarantees, life cycles,
investments and returns".

Price refers to decisions surrounding "list pricing, discount pricing,

exclusive offer pricing, credit payment or credit terms". Price refers to the
total cost to customer to acquire the product and may involve both
monetary and psychological costs such as the time and effort expended in
acquisition.

Place is defined as the "direct or indirect channels to market, geographical

distribution, territorial coverage, retail outlet, market location, catalogues,
inventory, logistics and order fulfilment". Place refers either to the physical
location where a business carries out business or the distribution channels
used to reach markets. Place may refer to a retail outlet, but increasingly
refers to virtual stores such as "a mail order catalogue, a telephone call
Centre or a website".

Promotion refers to "the marketing communication used to make the

offer known to potential customers and persuade them to investigate it
further". Promotion elements include "advertising, public relations,
direct selling and sales promotions.

32
Category Definition/ Explanation Typical Marketing
Decisions
Product A product refers to • Product design –
an item that satisfies features, quality
the consumer's needs • Product
or wants. assortment –
Products may be tangible product range,
(goods) or intangible product mix,
(services, ideas or product lines
experiences). • Branding
• Packaging and
labelling
• Services
(complementary
service, after-sales
Service)
• Guarantees and
warranties
• Returns

Managing products
through the life-cycle.

Category Definition/ Explanation Typical Marketing

Decisions

33
Price Price refers to the • Price Strategy
amount a customer pays
for a product. • Price Tactics

Price may also refer to

• Price setting
the sacrifice consumers
are prepared to make to
• Allowances
acquire a product.
(e.g. rebates
(e.g. time or effort)
for

Price is the only distributers)

variable that has
implications for • Discounts for
revenue. customers

Price also includes

Payment terms –
consideration of
credit payment
customer perceived value.
methods

Category Definition/ Explanation Typical Marketing

Decisions
Place Refers to providing • Strategies such as
customer access intensive
Considers providing distribution,
convenience for selective
consumer. distribution,
strategy – how
to reach the
target
34
 audience.

35
 exclusive
distribution.
• Franchising
• Market coverage
• Channel member
selection and
channel member
relationships.
• Assortment
• Location
decisions
• Inventory

• Transport, logistics
& warehousing.

Category Definition/ Explanation Typical Marketing

Decisions
Promotion Promotion refers tor • Promotion Mix -
marketing appropriate
communication. balance of
May comprise elements advertising, PR,
such as: advertising, PR, direct marketing
direct marketing and and sales
sales promotion. promotion.
• Message strategy
- what is to be
communicated.
• Channel/ Media

36
 TABLE: DEPICTING 4 P’S

CHAPTER – 5

MARKETING MIX OF RED BULL

PRODUCT MIX
Product is the most basic marketing mix tool. It is the tangible offer to the
market. A Product can be anything that satisfies a need or wants in
exchange for some form of payment (where the payment may sometimes
be benefits other than money).

37
 Red Bull drink idea came from Krating Daeng which is a non-carbonated
energy drink available originated in Thailand. Red Bull drink contained
ingredients similar to that but a few more added to accommodate the
western taste and also became carbonated. The product mix of Red Bull
can be elaborated as follows. Red Bull energy drink contains caffeine,
taurine, B vitamins, sucrose and glucose which is mainly required by
workaholics, sports people or even youth who want to party at night. As
there is a usual trend that occurs in the younger segment, they came up with
a sugar free variant called Red Bull Sugar Free which contains aspartame
and acesulfame K instead of sucrose and glucose. The drink is available in
a tall blue-silver can with 2 red bulls on the front whereas Krating Daeng is
a gold short can. The two products are produced differently and available in
different countries and red bull is a much more popular energy drink
worldwide. In addition to this, in the product mix the company also put
focus on the taste and quality of the products. The health aspects of the
customers are kept on the high priority by the company. The packing of the
products is also done in an effective way so that customers can be attracted
to a good level and gives a higher edge to the company.

PRODUCT RANGE

i) Red Bull Energy Drink

37
 Red Bull Energy Drink is a functional beverage with a unique
combination of ingredients. It has been specially developed for times
of increased mental and physical exertion. Red Bull Energy Drink
vitalizes body and mind. Red Bull Energy Drink
 increases performance
 increases concentration and reaction speed
 improves vigilance
 improves the emotional status
 stimulates metabolism

Red Bull’s effects are appreciated throughout the world by top

athletes, busy professionals, active students and drivers on long
journeys.

ii) Red Bull Sugar free

Red Bull Sugar free is a functional beverage with a unique

combination of ingredients. It has been specially developed for times
of increased mental and physical exertion. Red Bull Sugar free
vitalizes body and mind.

38
iii) Red Bull Cola

The cola from Red Bull is a unique blend of ingredients, all from
100 % natural sources. In addition, it is the only cola which
contains both the original Kola nut and the Coca leaf. The result is
a natural, not-too-sweet cola taste, which comes from using the
right plant extracts.
Available - Austria, Switzerland, United Kingdom, Italy, Ireland,
Russia, USA, Belgium, Luxemburg.

iv) Red Bull Energy Shot

Red Bull Sugar-free Shot is a concentrated Red Bull Sugar-free in a

60ml bottle with the same functional ingredients as in a Red Bull
Sugar-free 250ml can and only 2 calories.

39
PRODUCT LEVEL

Core benefit - the core benefit of energy drink is to boas energy of the
consumer.

Basic product - in the second level, the basic product is drink.

Expected product - the consumers expect the product to have a good

taste and also give nutrition.

Augmented product – red bull increases a person ‘s energy levels. This is

not always expected by the consumers and hence
exceeds customer ‘s expectations.

Potential product - in the future red bull could come up with various
products such as an energy drink with new flavours or
fusion of some flavours.

CLASSIFICATION OF PRODUCT

Based on tangibility- red bull energy drinks are tangible, i.e. one can see
and touch them.

Based on functional life- red bull energy drinks are consumables since the
demand of energy drinks is rising with high rate.

Based on price and quality- red bull energy drinks are premium or
prestige products.

40
 Based on utility- red bull energy dinks gives a boast to the body. It’s a
sports drink required by the sports persons more often
and its fusion with other hard drink is also trending.

CONSISTENCY
The product consistency generally depends on 3 parameters.

1) Production
2) Distribution
3) Consumer end-user

The production process of every red bull follows :

• Caffeine
The active ingredient in Red Bull is caffeine, a mild stimulant also
found in coffee and tea that can increase metabolism, concentration,
reaction time and energy. Caffeine can be addictive, and withdrawal
symptoms include headaches and irritability.

• Taurine
Red Bull contains taurine, an amino acid that has many functions. It
regulates levels of waters and salt in the body, as it can form into bile
salts. It works as an inhibitory neurotransmitter in the brain and can
also affect learning and memory. Taurine is also an antioxidant and
may play a role in formation of fat tissue.

• Glucuronolactone
Red bull contains glucuronolactone, a chemical made naturally in the
body when glucose is metabolized. Glucuronolactone may fight fatigue
and it is present in many energy drinks.

41
 • Vitamins
Red Bull contains several B vitamins. Niacinamide, better known as
niacin or vitamin B-3, is necessary for metabolism as well as DNA
repair and production of steroid hormones. Calcium pantothenate,
better known as pantothenic acid or vitamin B-5, is necessary to make
co-enzyme A as well as synthesize proteins, fats and carbohydrates.
Pyroxidine HCL, better known as vitamin B-6, is necessary for protein
metabolism and the reaction converting glycogen to glucose. Vitamin
B-12, also known as cobalamin, is necessary for metabolism, blood
formation and fatty acid production.

• Sugars and Flavourings

Red Bull contains two types of sugar: glucose and sucrose, as well as
artificial flavorings. A sugar-free Red Bull sweetened with artificial
sugar is also available.

BRAND
The red bull, such as, energy drinks enjoy a strong imagery and appeal
amongst consumers. name symbolizes quality, health and great taste. And
yet, this reputation has been built, by constantly innovating and catering to
new tastes. This can be seen by the success of latest brands.

42
Red bull follows both line extension and brand extension for its products. For
a product like basic red bull energy drink it followed line extension with the
introduction of red bull’s sugar free edition there flavor editions. Initially red
bull used to produce only one flavor.

PRODUCT LIFE CYCLE

Naturally, Red Bull’s production and global distribution needs energy and
thus causes an environmental impact. Whether through increasing
implementation of wall-to-wall production or optimization of its supply
chain, Red Bull sets itself ambitious targets to further minimize its
environmental impact and energy use.

PACKAGING
Red Bull’s iconic symmetrical image of fighting bulls suggests power
andendurance and is now often identified with extreme sports. Indeed, the
productis marketed towards young athletes in need of extra energy while
practicing their sport.

However, it’s not just the bull image standing out, the can itself – the
shape, size and material – is also instantly recognizable. A bold move,
indeed, by Red Bull when they first entered the market years ago. It has
become the standard for the energy drink market.

43
PRICE MIX

Price refers to decisions surrounding "list pricing, discount pricing, special

offer pricing, credit payment or credit terms". Price refers to the total cost
to customer to acquire the product and may involve both monetary and
psychological costs such as the time and effort expended in acquisition.
Price is influenced by the type of distribution channel used, the type of
promotions used, and the quality of the product. Where manufacturing is
expensive, distribution is exclusive, and the product is supported by
extensive advertising and promotional campaigns, then prices are likely to
be higher. Price can act as a substitute for product quality, effective
promotions, or an energetic selling effort by distributors in certain markets.

From the marketer's point of view, an efficient price is a price that is very
close to the maximum that customers are prepared to pay. The objectives of
pricing should consider:

 the financial goals of the company (i.e. profitability)

 the fit with marketplace realities (will customers buy at that price?)

 the extent to which the price supports a product's market

positioning and be consistent with the other variables in the
marketing mix

44
Red Bull has a number of competitors in the energy drinks industry but yet
they are the market leaders. Hence, the pricing strategy is that of a market
leader but based on competitor pricing. Being on the top they can easily
charge a premium for their products and customers will even buy it for
their quality. Red Bull was the first in its category so it will always be the
number one choice for customers and its demand will never decrease.
People prefer buying Red Bull in bulk as its’ cheaper than buying a single
can. Yet overall they are the most expensive energy drink compared to
competitors like Rockstar, Tzinga, Cloud 9, Gatorade, Monster and KS. In
all the international markets, the company sets its prices on equal level in
order to attain high degree of competitive position in the global beverage
industry

45
PLACE MIX

Place is defined as the "direct or indirect channels to market, geographical

distribution, territorial coverage, retail outlet, market location, catalogues,
inventory, logistics and order fulfilment". Place refers either to the
physical location where a business carries out business or the distribution
channels used to reach markets. Place may refer to a retail outlet, but
increasingly refers to virtual stores such as "a mail order catalogue, a
telephone call centre or a website". It is the process of making a product or
service available for the consumer or business user that needs it.

Red Bull has greater degree of emphasis on the place mix element of its
marketing mix strategy. Under the place mix, Red Bull does the
distribution of its products on international level. Red Bull has successfully
managed to sell 5.9 billion cans worldwide in 2015 owing to its vast
distribution network worldwide. Red Bull is available at convenient
locations like a supermarket, convenience store, retail outlet or even night
clubs, bars and casinos. This way it becomes very easy for a customer to
buy the product. Also, Red Bull is often stored in Red Bull exclusive
refrigerators attracting customers to buy an energy drink when they go
grocery shopping or to a bar. Red Bull is also available online either in
bulk packs or single making it easier for customers to buy it in bulk. The
main motive of selling this drink at night clubs and bars is either people
prefer

46
 mixing it with an alcoholic beverage to add some extra flavor or
sometimes it is just to help them stay up late and party with friends. At
supermarkets and convenience stores they are placed along with other
competitive products giving the customer a choice between which one to
buy.

PROMOTION MIX

In marketing, promotion is advertising a product or brand, generating sales,

and creating brand loyalty. It is one of the four basic elements of the market
mix, which includes the four P's: price, product, promotion, and place.

Promotion is also defined as one of five pieces in the promotional mix or

promotional plan.

These are personal selling, advertising, sales promotion, direct marketing,

and publicity. A promotional mix specifies how much attention to pay to
each of the five factors, and how much money to budget.

Promotion covers the methods of communication that a marketer uses to

provide information about its product. Information can be both verbal and
visual.

There are three objectives of promotion. These are:

 To present information to consumers and others.

 To increase demand.

47
  To differentiate a product.

The purpose of a promotion and thus its promotional plan can have a wide
range, including: sales increases, new product acceptance, creation of brand
equity, positioning, competitive retaliations, or creation of a corporate
image.

The term 'promotion' tends to be used internally by the marketing function.

To the public or the market, phrases like "special offer" are more common.

Red Bull high degree of emphasis on the promotion of the products. For
promotional purpose, Red Bull organizes several kinds of activities in its
marketing process to promote its products on the global level. Red Bull being
an energy drink mostly targets sports people with their tagline “Red Bull
gives you wings” so owing to a huge customer base they organize a lot of
sports events and even sponsor teams as well as the events. Some of these
events include mountain biking, BMX, motocross, windsurfing, surfing,
skating, Formula 1, Red Bull Startos, Red Bull Foxhunt, Red Bull Cape Fear,
Red Bull BC One, Red Bull Battle Grounds, etc. They also endorse various
sports athletes and celebrities. Besides sports they also have a Red Bull House
of Art where they encourage artists to display their art in a period of 3 months
at their exhibitions. They have Red Bull T.V available on laptops, PCs,
mobiles, gaming consoles and tablets airing various music festivals, shows,
films, performances and videos. Red Bull also have their own merchandise
stores online and magazines for extreme sports persons. Sources of its
promotion are described below –
 Media Advertising –
Red Bull uses all the available media channels, meaning cinema,TV,
radio, press and the internet. In other words, the company focuses on
the media through which it reaches its primary target market-young
people.
Therefore, they advertise in TV shows like T.F.I. Friday and in
magazines like Time Out and men’s health. Their advertisements in the
different media channels are very successful. They allow the
consumers to interpret the product and the moments of use themselves.
Red Bull achieves this by a humorous and witty cartoon campaign,
transferring the message that this energy drink helps you to escape by
`giving you wings ´. The idea of communicating with the consumer in
form of a simple cartoon has got the advantage that the message is easy
to understand. People do not only enjoy the campaigns they even
remember what the product is called and what it delivers, which is the
most important characteristic for a successful campaign.

49
 Sports and Event Sponsoring –

The company also implements sponsoring in their marketing mix

strategy. Sponsoring supports the image, the credibility and the
visibility of the product.

On the one hand Red Bull sponsors the athlete target market in either
extreme sports such as free climbing, paragliding and motorsports or
fun sports, but always where Red Bull is needed. This strategy
contributes to Red Bull that the brand appears (logos and stickers) and
that the product ´s target market is more precisely defined.

On the other hand, Red Bull does event sponsoring. The company
either creates its own events (i.e. Red Bull Music Academy )
where the whole events are promoted by Red Bull or they promote
other events (i.e. Speed Ski World Championship). Event sponsoring
attracts people’s attention towards the product and connects them.

50
 Sampling –

Sampling is another very important part of the three-pillar marketing

system. The methods used are well tested and proven in other markets.
As the major purpose of Red Bull is to energise the company samples
at the right place at the right time, where it finds its exact target market.

Examples of usage are driving, studying, working night shifts and

sports. Red Bull is following the basic sampling rules consisting of:

i. never impose the product

ii. always explain the benefits of the product

iii. drink always a full can (250 ml)

iv. It must always be chilled

v. Always being cautious about whom you are sampling the

product

This year 8 teams will sample 400,000 consumers across the entire
country.

Through all these promotional activities they want customers to recall

their brand every time they see or hear energy drink thus increasing
their customer base. Hence, this covers the marketing mix of Red Bull.

51
SWOT ANALYSIS
SWOT Analysis is a general technique which can be applied across diverse
management functions and activities but its application is particularly
appropriate to appropriate to the early stage of strategy making and
marketing plan.

SWOT involves generation and recording of strengths, weaknesses,

opportunities and threats concerning a task, individual, department or
organization, it is customary to take account of internal resources and
capabilities (strengths & weakness) and factors external to organization
(opportunities & threats).

SWOT analysis is an effective way of identifying your strengths and

weaknesses and of examining the opportunities and threats.

What makes it particularly powerful is that with a little thought, it can help
you uncover opportunities that you are well placed to take advantage of.
And by understanding your weakness, you can manage and eliminate
threats that would otherwise catch you unawares.

More than this, buy looking at yourself and your competitors using the
SWOT framework, you can start to craft a strategy that helps you compete
successfully in your market.

52
SWOT ANALYSIS OF RED BULL

Red Bull as a premium market leader within a product classification that is

low involvement and highly contingent on the image and perceived
efficacy of the product. Red Bull- SWOT Analysis examines the
company’s key business structure and operations, history and products and
provides summary analysis of its key revenue lines and strategy. Following
are the points in the SWOT analysis of Red Bull –

53
STRENGTHS

1. Market leadership in the global scale- Red Bull is sold in more

than 169countries and about 60 billion cans of Red Bull have been
consumed so far. The company sold more than 5.9 billion of cans
in 2015 alone. Market leadership in the global scale is an
indication of a considerable strength from the viewpoint of the
brand equity and consumer loyalty.
2. Increasing popularity in emerging markets- Red Bull is engaged in
international market expansion with a focus on emerging markets
in an aggressive manner. In 2015, Red Bull sales in Turkey, South
Africa and India increased by 25 per cent, 19 per cent and 18 per
cent respectively. The current strategy of increasing presence in
developing countries is set to contribute to the long-term growth
prospects of the business.
3. Strong and visionary leadership by Dietrich Mateschitz -Dietrich
Mateschitz is a proven visionary leader who had to deal with
multiple obstacles during his pursuit of making Red Bull an
undisputed market leader in energy drink segment around the
globe. Innovative ideas of Dietrich Mateschitz for the further
development of the business are far from being dried and point
marks one of the noteworthy strengths of the brand.

4. Solid financial position-Red Bull is No.74 the most valuable brand

in the world with the brand value of USD 7.9 billion according to
Forbes. In 2015 alone, the company generated EUR 5.903 billion,
a 15.5 per cent increase compared to the previous year. Solid
financial position is a strategically important strength in terms of
enabling the company to engage in research and development to
enhance long-term growth prospects of the business.
54
WEAKNESS

1. Red Bull consumption has been linked to the cases of health

deterioration and in some occasions with fatal outcome for
consumers. These include the cases of Australian Matthew
Penbross’s, whose heart stopped after consuming 8 Red
Bulls within 5 hours in 2007 and 33-year-old Cory Terry,
from Brooklyn, whose death was linked to regular Red Bull
consumption in 2011. While the actual extent of the role of
Red Bull to the deaths of these people is a debatable matter,
there is consensus that overconsumption of the energy drink
will have negative health implications. This is because each
can contain 80 milligrams of caffeine along with taurine
(0.4pc) and pantothenic acid (B6, B12) – substances that
impose risks to health if consumed in more than moderate
quantities.

2. The company’s product range is limited to the following four

groups:

i. Red Bull Energy Drink

ii. Red Bull Sugar Free

iii. Red Bull Zero Calories

iv. Red Bull Editions: tropical, blue and orange editions

v. Red Bull Simply Cola

55
 A lack of choice for customers can be a considerable weakness
taking into account the increasing level of customer expectations
and a growing popularity of product customization according to
consumer needs and preferences.

OPPURTUNITIES

1. Red Bull needs to adopt the innovative policy to extend

their strategy and get the market share of the product.

2. The vending process can increase the sale of the product

and it can represent the commitment for its distribution
network.

3. Red Bull needs to expand their business and look for new
emerging markets to get good growth of its product.

4. The new production of Red Bull can facilitate in new

markets and countries to get the retail price at the
competitive level.

5. The company can keep or improve its market share with

the introduction of new flavours of its product.

THREATS
1. Competition –Monster represents the biggest threat as it contains
natural ingredients, which seems more desirable than Red Bull for
some consumers. Competition is becoming more and more
dangerous in term of marketing actions (copying Red Bull).

56
 2. High marketing costs –Maturity in developed markets makes
promotion harder than in the past, inducing higher marketing
costs.

3. Negative publicity –Media worldwide report Red Bull as harmful

for health. Parents also state that some components can be
dangerous if consumed by their teenagers (who are the product’s
target audience).

REASONS TO PURCHASE RED BULL

1. High quality products- all the products by this company are up to

the mark not only for its taste or benefits even for its high quality.

2. Available almost all over the globe- Red Bull is targeting the core
markets of Western Europe and the USA and growth markets in the
Far East, while also focusing on the worldwide roll-out of the Red
Bull Editions.

3. High brand equity- All the products are of high standards and they
provide complete satisfaction to all the customers which has led to
creation of a strong brand image of the company.

4. Value for money products – The products manufactured by the

company are amazing and provide great customer satisfaction and
hence, provide great value for their money.

57
 CHAPTER – 6
FINDINGS

 Red Bull’s messaging strategy revolves around their tagline, “Red

Bull gives you wings.” It focuses on the idea that their product gives

people the “wings” or energy they need to do whatever they want

when they want.

 Their values play a role in their content as well. They center around

one core phrase “giving wings to people and ideas.” Everything that

the Red Bull team communicates revolves around that tagline and

their values.

 Publishing awesome content: The content that the Red Bull

marketing team creates is on the same level as other major media

outlets that their audience might consume content from.

 Colossal publicity stunts: Red Bull takes “Go Big or Go Home” to

the next level by producing massive stunts that cause everyone to

freeze and watch what happens.

 Sponsoring or creating events: Red Bull proved its marketing

prowess by taking their product and associating it with things their

audience loves by sponsoring or creating events for them.

58
 It covers topics that interest their audience. Extreme sports, concerts

and music festivals are just a few of the topics covered on the Red

Bull website. Picture anywhere you might see someone enjoying (or

needing) a Red Bull and their content will cover it.

 Is their ability to sell their brand but not push their product. Their

content focuses solely on the enjoyment of the reader, not selling

Red Bull. In turn, their audience begins to associate their product

with content that they love to consume.

59
 COMPETITORS
1 MONSTER

monster Energy is an energy drink that was created by Hansen Natural Company (now Monster Beverage
Corporation) in April 2002. As of 2022, Monster Energy had a 30.1% share of the American energy drink
market, the second-highest after Red Bull.
As of July 2019, there were 34 different drinks under the Monster brand in North America, including its core
Monster Energy line, Java Monster, Zero Ultra, Juice, Maxx, Hydro, HydroSport, Extra Strength, Dragon
Tea, Muscle, Import, and Rehab.
Monster Energy is known for their sponsorship and support for extreme sports events, such as Bellator
MMA, Ultimate Fighting Championship, ONE Championship, MotoGP, BMX, motocross, Motorcycle
speedway, skateboarding, snowboarding and the Monster Energy NASCAR Cup Series (2017–19).
Monster currently sponsors the FIA World Rallycross Championship, the Invictus Games Foundation, two
of Dreyer & Reinbold Racing's Nitro Rallycross drivers, the PBR: Unleash the Beast Professional Bull
Riders tour, the bag of golfer Tiger Woods, as well as the helmets of the Mercedes AMG
Petronas F1 drivers.

Ingredients
Nutritional value per 100 ml[12]

Energy 201 kJ (48 kcal)

Carbohydrates 12 g

Sugars 11 g

Fat 0

Saturated 0

Protein 0

Vitamins Quantity

60
 %DV†

Riboflavin (B2) 58%

0.7 mg

Niacin (B3) 57%

8.5 mg

Vitamin B6 62%

0.8 mg

Vitamin B12 104%

2.5 μg

Other constituents Quantity

Salts 0.19 g

 Units
 μg = micrograms • mg = milligrams
 IU = International units

Percentages are roughly approximated

†

using US recommendations for adults.

Health concerns
Energy drinks have been associated with health risks, such as masking the effects of intoxication when
consumed with alcohol, and excessive or repeated consumption can lead to cardiac and psychiatric
conditions. However, the European Food Safety Authority (EFSA) concluded that an adequate consumption
of Monster and other popular energy drinks is safe and that the amount of caffeine in standard Monster
cans is unlikely to interact adversely with other typical constituents of energy drinks or with alcohol.] Energy
drinks have the effects that caffeine and sugar give, but there is no distinct evidence that the wide variety of
other ingredients has any effect.
In December 2011, 14-year-old Anais Fournier died of "cardiac arrhythmia due to caffeine toxicity" after
drinking two 24 US fluid ounces (710 ml) cans of Monster Energy drink containing 240 mg of caffeine per
can. Fournier had a pre-existing heart condition, as well as Ehlers–Danlos syndrome. In October 2012, her
parents sued the company. Monster Energy has insisted that its energy drink played no role in Fournier's
death.

61
2. HELL

Hell Energy Drink (stylized as HELL) is a popular energy drink brand distributed primarily
in Europe and Asia. The brand was initiated in 2006 by a privately owned company, founded in Hungary,
2004, which took the name "Hell Energy Magyarország Kft." in 2009. Within three years it became the
market leader in Hungary.] A major milestone for the brand's popularity was a two-year sponsorship deal
with the AT&T Williams Formula 1 Team, where Hell Energy became second in the energy drink sector to
enter the world of Formula 1 Racing. Hell Energy is now also a market leader
in Bulgaria, Romania, Slovakia, Cyprus, Azerbaijan, North Macedonia, Greece, Croatia and Serbia and is
available in more than 50 countries worldwide. Hell produces the energy drink Speedstar for NORMA
supermarkets. Hell Energy has headquarters in Hungary, Romania, the United Kingdom, Russia and also
in Cyprus.
Hell Energy is the builder and owner of Avalon Park, a resort, spa and event center complex
in Miskolctapolca, a resort belonging to Miskolc. Avalon won several awards including gold medals in three
categories at the World Luxury Hotel Awards. It received the internationally recognized 5-star classification
at the International Hotel Awards.
Factory
The Hell Energy factory was built in 2011 in Szikszó, Hungary. It has two can filling lines with production
capacity of 2 million cans per day. There is a laboratory for the constant monitoring of the drinks'
parameters. The factory has the highest food safety certificate - FSSC22000 - available in Europe. In 2012
the factory was officially voted as one of the best three factories in Europe in the 'Global and World Class
Manufacturing' category at the Strategic Manufacturing Award in Düsseldorf, Germany. The plant is
accompanied with a fully automatized logistic center with an area of 6000 square meters. The Hell Energy
filling factory is able to manufacture 250, 330, 475, and 500 ml cans. Hell Energy has been producing for
the domestic and export market since 2011 in the Szikszó bottling factory. The can filling line has an annual
capacity of 600 million cans, thus it can accept assignments and outsource requests from other brands.
Ingredients

Nutritional value per 100 Ml

Energy 196 kJ (47 kcal)

62
 Carbohydrates 11

Sugars 11

Fat 0

Saturated 0

Protein 0

Vitamins Quantity

%DV†

Riboflavin (B2) 50%

0.6 mg

Niacin (B3) 53%

8.0 mg

Pantothenic acid (B5) 40%

2.0 mg

Vitamin B6 62%

0.8 mg

Vitamin B12 8%

0.2 μg

Other constituents Quantity

Salts 0.2 g

The caffeine content of a single can of Hell Energy is 80 mg/250 mL (32 mg/100 mL). This is about the
same as one cup of espresso coffee.

Marketing
In 2018, Hell Energy signed Bruce Willis as their brand ambassador.[9]

3.Sting
63
Sting Energy (or Sting) is a carbonated energy drink produced by Rockstar
Inc. (acquired by PepsiCo in 2020). Sting is available in flavors such as the
original Gold Rush, Gold (with Ginseng), Power Pacq (Gold Rush
with Malunggay), Power Lime (Kiwifruit/Lime), Berry Blast (Strawberry) and blue
thunder (blue raspberry).

Ingredients
Ingredients include carbonated water, sugar, citric acid, artificial
flavor, maltodextrin, sodium citrate, sodium hexametaphosphate, potassium
sorbate, caffeine, sodium benzoate, tartrazine, inositol, calcium disodium
EDTA, modified food starch, Panax ginseng extract, niacinamide, sunset
yellow, pyridoxine hydrochloride, and cyanocobalamin.

Nutritional information
Serving size: 200ml

Per Serving

Energy (Kcal) 120

Carbohydrate (g) 30.6

64
Vitamin B3 (mg) 3.4

Vitamin B6 (mg) 0.4

Protein (mg/L) 0

Total Fat (mg) |

Saturated fat (mg) 0

Total sugar (g) 230.4

Sodium (mg) 83.4

COMPARISON
 RED BULL AND MONSTER

Red Bull and Monster are two of the best-known energy drink brands.

Energy drinks are carbonated beverages that contain caffeine, as well as other
energy-boosting compounds, such as taurine and guarana (1Trusted Source).

They’re widely used as an alternative to other caffeinated drinks like coffee to

provide an energy boost throughout the day.

Red Bull and Monster are similar in many ways but have slightly different
ingredients and flavor profiles.

65
SUMMARY

Red Bull and Monster are two popular energy drinks, which are caffeinated,
carbonated beverages that may also contain other energy-boosting compounds.

Nutritional comparison

Red Bull and Monster are nearly identical in terms of nutrition, providing the
following per 8-ounce (240-ml) serving (2Trusted Source, 3Trusted Source):

Red Bull Monster

Calories 112 121

Protein 1 gram 1 gram

Fat 0 grams 0 grams

Carbs 27 grams 29 grams

7% of the Daily Value

Thiamine (vitamin B1) 7% of the DV
(DV)

Riboflavin (vitamin B2) 16% of the DV 122% of the DV

Niacin (vitamin B3) 128% of the DV 131% of the DV

Vitamin B6 282% of the DV 130% of the DV

Vitamin B12 85% of the DV 110% of the DV

Caffeine 75 mg 85 mg

The two brands are fairly equal in calories, protein, carbs, and caffeine, with each 8-
ounce (240-ml) serving containing slightly less caffeine than the same amount of
coffee (4Trusted Source).

They’re also full of added sugars, which make up the vast majority of their carb
contents.

Both energy drinks are also high in B vitamins, which are added during processing
and play important roles in energy production .

66
SUMMARY

Red Bull and Monster are very similar in terms of calories, carbs, protein, and
caffeine. They’re high in sugar but also contain large amounts of B vitamins.

Similarities and differences

Red Bull and Monster share similar nutrient contents but differ slightly in their
ingredients and flavor.

Red Bull contains caffeine, taurine, B vitamins, and sugar — all of which may
provide a short-term energy boost .

Monster contains these ingredients as well but adds guarana, ginseng root, and L-
carnitine, which may also increase energy levels .

Moreover, while Red Bull is often sold in single-serving, 8-ounce (240-ml) cans,
Monster is usually available in 16-ounce (480-ml) cans, which contain 2 servings.

Most people drink the entire can in one sitting, no matter how many servings it
contains. Therefore, drinking 16 ounces (480 ml) of Monster would provide twice
the calories, sugar, and caffeine than drinking 8 ounces (240 ml) of Red Bull .

SUMMARY

Red Bull and Monster are very similar. Monster contains some additional energy-
boosting ingredients and typically comes in a larger can that contains two, 8-ounce
(240-ml) servings

67
CHAPTER -7
Goods and Services Tax (India)

The Goods and Services Tax (GST) is a successor to VAT used in India on
the supply of goods and services. Both VAT and GST have the same taxation
slabs. It is a comprehensive, multistage, destination-based tax: comprehensive
because it has subsumed almost all the indirect taxes except a few state taxes.
Multi-staged as it is, the GST is imposed at every step in the production process,
but is meant to be refunded to all parties in the various stages of production
other than the final consumer and as a destination-based tax, it is collected from
point of consumption and not point of origin like previous taxes.
Goods and services are divided into five different tax slabs for collection of tax:
0%, 5%, 12%, 18% and 28%. However, petroleum products, alcoholic drinks,
and electricity are not taxed under GST and instead are taxed separately by the
individual state governments, as per the previous tax system.[1] There is a
special rate of 0.25% on rough precious and semi-precious stones and 3%
on gold.[2] In addition a cess of 22% or other rates on top of 28% GST applies on
several items like aerated drinks, luxury cars and tobacco products.[3] Pre-GST,
the statutory tax rate for most goods was about 26.5%; post-GST, most goods
are expected to be in the 18% tax range.
The tax came into effect from 1 July 2017 through the implementation of the One
Hundred and First Amendment of the Constitution of India by the Indian
government. 1 July is celebrated as GST Day.[4] The GST replaced existing
multiple taxes levied by the central and state governments.
Also, to boost GST billing in India, the Government of India, in association with
state governments, has launched an "Invoice Incentive Scheme" (Mera Bill Mera
Adhikaar). This will encourage the culture of customers asking for invoices and
bills for all purchases. The objective of the scheme is to bring a cultural and
behavioural change in the general public to ‘Ask for a Bill’ as their right and
entitlement.[5][better source needed]
The tax rates, rules and regulations are governed by the GST Council which
consists of the finance ministers of the central government and all the states.
The GST is meant to replace a slew of indirect taxes with a federated tax and is
therefore expected to reshape the country's $3.5 trillion economy, but its
implementation has received criticism.[6][7] Positive outcomes of the GST includes
the travel time in interstate movement, which dropped by 20%, because of
disbanding of interstate check posts.[8]

68
History
Formation
The reform of India's indirect tax regime was started in 1986 by Vishwanath
Pratap Singh, Finance Minister in Rajiv Gandhi’s government, with the
introduction of the Modified Value Added Tax (MODVAT). Subsequently, Prime
Minister P V Narasimha Rao and his Finance Minister Manmohan Singh,
initiated early discussions on a Value Added Tax (VAT) at the state level.[9] A
single common "Goods and Services Tax (GST)" was proposed and given a go-
ahead in 1999 during a meeting between the Prime Minister Atal Bihari
Vajpayee and his economic advisory panel, which included three former RBI
governors I. G. Patel, Bimal Jalan and C. Rangarajan. Vajpayee set up a
committee headed by the Finance Minister of West Bengal, Asim Dasgupta to
design a GST model.[10]
The Asim Dasgupta committee which was also tasked with putting in place the
back-end technology and logistics (later came to be known as the GST Network,
or GSTN), in 2015. It later came out for rolling out a uniform taxation regime in
the country. In 2002, the Vajpayee government formed a task force under Vijay
Kelkar to recommend tax reforms. In 2005, the Kelkar committee recommended
rolling out GST as suggested by the 12th Finance Commission.[10]
After the defeat of the BJP-led NDA government in the 2004 Lok Sabha
election and the election of a Congress-led UPA government, the new Finance
Minister P. Chidambaram in February 2006 continued work on the same and
proposed a GST rollout by 1 April 2010. However, in 2011, with the Trinamool
Congress routing CPI(M) out of power in West Bengal, Asim Dasgupta resigned
as the head of the GST committee. Dasgupta admitted in an interview that 80%
of the task had been done.[10]
The UPA introduced the 115th Constitution Amendment Bill[11] on 22 March
2011[12] in the Lok Sabha to bring about the GST. It ran into opposition from
the Bharatiya Janata Party and other parties and was referred to a Standing
Committee headed by the BJP's former Finance Minister Yashwant Sinha. The
committee submitted its report in August 2013, but in October 2013 Gujarat
Chief Minister Narendra Modi raised objections that led to the bill's indefinite
postponement.[13] The Minister for Rural Development Jairam Ramesh attributed
the GST Bill's failure to the "single handed opposition of Narendra Modi".[14]
In the 2014 Lok Sabha election, the Bharatiya Janata Party (BJP)-
led NDA government was elected into power. With the consequential dissolution
of the 15th Lok Sabha, the GST Bill – approved by the standing committee for
reintroduction – lapsed. Seven months after the formation of the then Modi
government, the new Finance Minister Arun Jaitley introduced the GST Bill in
the Lok Sabha, where the BJP had a majority. In February 2015, Jaitley set
another deadline of 1 April 2017 to implement GST. In May 2016, the Lok Sabha
passed the Constitution Amendment Bill, paving way for GST. However, the
69
Opposition, led by the Congress, demanded that the GST Bill be again sent back
for review to the Select Committee of the Rajya Sabha due to disagreements on
several statements in the Bill relating to taxation. Finally, in August 2016, the
Amendment Bill was passed. Over the next 15 to 20 days, 18 states ratified the
Constitution amendment Bill and the President Pranab Mukherjee gave his
assent to it.
A 21-member selected committee was formed to look into the proposed GST
laws.[17] After GST Council approved the Central Goods and Services Tax Bill
2017 (The CGST Bill), the Integrated Goods and Services Tax Bill 2017 (The
IGST Bill), the Union Territory Goods and Services Tax Bill 2017 (The UTGST
Bill), the Goods and Services Tax (Compensation to the States) Bill 2017 (The
Compensation Bill), these Bills were passed by the Lok Sabha on 29 March
2017. The Rajya Sabha passed these Bills on 6 April 2017 and were then
enacted as Acts on 12 April 2017. Thereafter, State Legislatures of different
States have passed respective State Goods and Services Tax Bills. After the
enactment of various GST laws, Goods and Services Tax was launched all over
India with effect from 1 July 2017.[18] The Jammu and Kashmir state legislature
passed its GST act on 7 July 2017, thereby ensuring that the entire nation is
brought under a unified indirect taxation system. There was to be no GST on the
sale and purchase of securities. That continues to be governed by Securities
Transaction Tax (STT).[19]

Implementation
The GST was launched at midnight on 1 July 2017 by the President of India, and
the Government of India. The launch was marked by a historic midnight (30 June
– 1 July) session of both the houses of parliament convened at the Central Hall
of the Parliament. Though the session was attended by high-profile guests from
the business and the entertainment industry including Ratan Tata, it was
boycotted by the opposition due to the predicted problems that it was bound to
lead for the middle and lower class Indians. The tax was strongly opposed by the
largest opposition party, the Indian National Congress.[20][21] It is one of the few
midnight sessions that have been held by the parliament - the others being
the declaration of India's independence on 15 August 1947, and
the silver and golden jubilees of that occasion.[21] After its launch, the GST rates
have been modified multiple times, the latest being on 10 May 2023 where
taxpayer with over ₹5 crore turnover in any financial year from 2017 to 2018
shall issue e-invoices w.e.f. 1 August 2023.[22]
Members of the Congress boycotted the GST launch altogether.[23] They were
joined by members of the Trinamool Congress, Communist Parties of India and
the DMK. The parties reported that they found virtually no difference between the
GST and the existing taxation system, claiming that the government was trying
to merely rebrand the current taxation system.[24] They also argued that the GST
would increase existing rates on common daily goods while reducing rates on
70
luxury items, and affect many Indians adversely, especially the middle, lower
middle and poorer income groups.

Tax
Taxes subsumed
The single GST [26] subsumed several taxes and levies, which included central
excise duty, services tax, additional customs duty, surcharges, state-level value
added tax and Octroi.[27][28] Other levies which were applicable on inter-state
transportation of goods have also been done away with in GST regime.[29][30] GST
is levied on all transactions such as sale, transfer, purchase, barter, lease, or
import of goods and/or services.
India adopted a dual GST model, meaning that taxation is administered by both
the Union and state governments. Transactions made within a single state are
levied with Central GST (CGST) by the Central Government and State GST
(SGST) by the State governments. For inter-state transactions and imported
goods or services, an Integrated GST (IGST) is levied by the Central
Government. GST is a consumption-based tax/destination-based tax, therefore,
taxes are paid by the state where the goods or services are consumed not the
state in which they were produced. IGST complicates tax collection for State
Governments by disabling them from collecting the tax owed to them directly
from the Central Government. Under the previous system, a state would only
have to deal with a single government in order to collect tax revenue.[31]
HSN code
India is a member of World Customs Organization (WCO) since 1971. It was
originally using 6-digit HSN codes to classify commodities for Customs and
Central Excise. Later Customs and Central Excise added two more digits to
make the codes more precise, resulting in an 8 digit classification. The purpose
of HSN codes is to make GST systematic and globally accepted.
The Harmonized System of Nomenclature (HSN) code is used for classifying
goods under the Goods and Services Tax (GST) in India. The HSN code is a six-
digit code that uniquely identifies a product. The first two digits of the code
identify the chapter, the next two digits identify the heading, and the last two
digits identify the subheading.
HSN codes will remove the need to upload the detailed description of the goods.
This will save time and make filing easier since GST returns are automated.
If a company has turnover up to ₹15 million (US$190,000) in the preceding
financial year then it need not mention the HSN code while supplying goods on
invoices. If a company has turnover more than ₹15 million (US$190,000) but up
to ₹50 million (US$630,000), then it needs to mention the first two digits of HSN
code while supplying goods on invoices. If turnover crosses ₹50

71
million (US$630,000) then it needs to mention the first 4 digits of HSN code on
invoices.

Rate
The GST is imposed at variable rates on variable items. The rate of GST is 18%
for soaps and 28% on washing detergents. GST on movie tickets is based on
slabs, with 18% GST for tickets that cost less than ₹100 and 28% GST on
tickets costing more than ₹100 and 28% on commercial vehicle and private and
5% on readymade clothes.[32] The rate on under-construction property booking is
12%.[33] Some industries and products were exempted by the government and
remain untaxed under GST, such as dairy products, products of milling
industries, fresh vegetables & fruits, meat products, and other groceries and
necessities.[34]
Checkposts across the country were abolished ensuring free and fast movement
of goods.[35] Such efficient transportation of goods was further ensured by
subsuming octroi within the ambit of GST.
The Central Government had proposed to insulate the revenues of the States
from the effects of GST, with the expectation that in due course, GST will be
levied on petroleum and petroleum products. The central government had
assured states of compensation for any revenue loss incurred by them from the
date of GST for a period of five years. However, no concrete laws have yet been
made to support such action.[36] GST council adopted concept paper
discouraging tinkering with rates.[37]

E-Way Bill
An e-Way Bill is an electronic permit for shipping goods similar to a waybill. It is
an electronic bill; there is no requirement for a paper bill. It was made
compulsory for inter-state transport of goods from 1 June 2018. It is required to
be generated for every inter-state movement of goods beyond 10 kilometres
(6.2 mi) and the threshold limit of ₹50,000 (US$630).[38]
It is a paperless, technology solution and critical anti-evasion tool to check tax
leakages and clamp down on trade that currently happens on a cash basis. The
pilot started on 1 February 2018 but was withdrawn after glitches in the GST
Network. The states are divided into four zones for rolling out in phases by end
of April 2018.
A unique e-Way Bill Number (EBN) is generated either by the supplier, recipient
or the transporter. The EBN can be a printout, SMS or written on invoice is valid.
The GST/Tax Officers tally the e-Way Bill listed goods with goods carried with it.
The mechanism is aimed at plugging loopholes like overloading, understating
etc. Each e-way bill has to be matched with a GST invoice.
Transporter ID and PIN Code now compulsory from 01-Oct-2018.
72
It is a critical compliance-related GSTN project under the GST, with a capacity to
process 7.5 million e-way bills per day.
Intra-State e-Way Bill The five states piloting this project are Andhra Pradesh,
Gujarat, Kerala, Telangana and Uttar Pradesh, which account for 61.8% of the
inter-state e-way bills, started mandatory intrastate e-way bill from 15 April 2018
to further reduce tax evasion.[39] It was successfully introduced in Karnataka from
1 April 2018.[40] The intrastate e-way bill will pave the way for a seamless,
nationwide single e-way bill system. Six more states Jharkhand, Bihar, Tripura,
Madhya Pradesh, Uttarakhand and Haryana will roll it out from 20 April 18. All
states are mandated to introduce it by 30 May 2018.

Reverse Charge Mechanism

Reverse Charge Mechanism (RCM) is a system in GST where the receiver pays
the tax on behalf of unregistered, smaller material and service suppliers. The
receiver of the goods is eligible for Input Tax Credit, while the unregistered
dealer is not.
The central government released ₹352.98 billion (US$4.4 billion) to states as
GST compensation. For the implementation, this amount was given to states to
compensate for the revenue. Central government has had to face many
criticisms for delays in compensation.

Goods excluded from the GST

 Tobacco Products: Products like cigarettes and other tobacco-based items
attract separate taxes.[41]
 Alcohol for human consumption (i.e., not for commercial use).
 Petrol and petroleum products (GST will apply at a later date), i.e., petroleum
crude, high-speed diesel, motor spirit (petrol), natural gas, aviation turbine
fuel.[42]

QRMP Scheme
This is a recent amendment in GST Taxation System. If a taxpayer opts for this
scheme he will have to file GST Returns on Quarterly basis instead of regular
monthly basis, but Tax payment will have to be done monthly. QRMP means
quarterly return monthly payment.
The Quarterly Return Filing and Monthly Payment (QRMP) Scheme is a
simplified compliance regime under the Goods and Services Tax (GST) in India.
It is available to registered taxpayers whose aggregate annual turnover (PAN
based) is up to ₹ 5 Crore in the current financial year and the preceding financial
year (if applicable) and have already filed their last due Form GSTR-3B return.
73
Revenue distribution
Revenue earned from GST (intra state transaction - seller and buyer both are
located in same state) is shared equally on 50-50 basis between central and
respective state governments.[43][44] Example: if Goa has collected a total GST
revenue (intra state transaction - seller and buyer both are located in same state)
of ₹100 million (US$1.3 million) in January, then the share of central
government (CGST) will be ₹50 million (US$630,000) and the remaining ₹50
million (US$630,000) will be a share of Goa's state government GST (SGST) for
the month of January.[45]
For distribution of IGST (inter state transaction - seller and buyer both are
located in different states) collection, revenue is collected by central government
and shared with state where good is imported.[45][46] Example: 'A' is a seller
located in state of Goa selling a product to 'B' a buyer of that product located in
state of Punjab, then IGST collected from this transaction will be shared equally
on 50-50 basis between central and Punjab state governments only.[46]

GST Council
GST Council is the governing body of GST having 33 members, out of which 2
members are of centre and 31 members are from 28 state and 3 Union territories
with Legislature. The council contains the following members (a) Union Finance
Minister (as chairperson) (b) Union Minister of States in charge of revenue or
finance (as member) (c) the ministers of states in charge of finance or taxation or
other ministers as nominated by each states government (as member). GST
Council is an apex member committee to modify, reconcile or to procure any law
or regulation based on the context of goods and services tax in India. The
council is headed by the union finance minister Nirmala Sitharaman assisted
with the finance minister of all the states of India. The GST council makes
recommendations to the Parliament of India to make or amend laws related to
the taxes on goods and services in India.[47]

Goods and Services Tax Network (GSTN)

The GSTN software is developed by Infosys Technologies and the information
technology network that provides the computing resources is maintained by
the NIC. "Goods and Services Tax Network" (GSTN) is a nonprofit organization
formed for creating a sophisticated network, accessible to stakeholders,
government, and taxpayers, to access information from a single source (portal).
The portal is accessible to the tax authorities for tracking down every transaction,
while taxpayers have the ability to connect for their tax returns.

74
The GSTN's authorized capital is ₹100 million (US$1.3 million) in which initially
the Central Government held 24.5 per cent of shares while the state government
held 24.5 per cent. The remaining 51 per cent were held by non-Government
financial institutions, HDFC and HDFC Bank hold 20%, ICICI Bank holds 10%,
NSE Strategic Investment holds 10% and LIC Housing Finance holds 11% .[49][50]
However, later it was made a wholly owned government company having equal
shares of state and central government.[51]

GST Advantages
GST, or Goods and Services Tax, offers several benefits that significantly impact
businesses and the overall taxation system.

1. Easy Taxes: GST makes taxes simpler. Instead of dealing with many
different taxes, now there is just one tax to understand and follow.
2. No More Double Taxes: Before GST, businesses had to pay taxes on top
of taxes, which made things more expensive. With GST, this extra tax
burden has been reduced, making things more straightforward.
3. Simple Rules: GST has easy rules. Businesses can quickly understand
and follow them. It means less paperwork and more time for running the
business.
4. Get Credit for Taxes Paid: Businesses can now get credit for the taxes
they pay on their inputs. This helps in being fair and transparent, as they
can subtract what they paid for inputs from what they collected in taxes.
5. Same Rules Everywhere: In the past, different states had different tax
rules, making trade between states confusing. Now, with GST, rules are
the same everywhere, making it easier for goods and services to move
across the country.
6. Helps the Economy: Because GST makes things simpler for businesses,
it also helps the country's economy to grow. It makes our goods and
services more competitive around the world.[52]

75
 PUBLIC
FEEDBACK

76
NAME-AYUSHI
AGE-18
GENDER-FEMALE
This is a sample questionnaire to analyze customer satisfaction and loyalty. You are kindly invited to take part in
this survey for customers.

1. In total, how long have you been a customer of red bull?

■ New
□ Less than Six months
□ 1-2 years
□ 3-5 years
□ Above

2. Red bull understands the service needs of my organization?

□ Strongly agree
■Agree
□ Neutral
□Disagree
□Strongly disagree

3. Overall, how satisfied or dissatisfied are you with red bull company?

□ Not at all satisfied

□ Somewhat satisfied
■ Satisfied

77
□ Very Satisfied
□ Delighted

4. How well does Red bull service meet your needs?

□ Extremely well
■ Very well
□ Somewhat well
□ Not well at all

5. How likely are you to repurchase the service of red bull company?

□ Extremely likely
■ Very likely
□ Somewhat likely
□ Not so Likely
□ Not at all likely

6. Based on your experience with red bull service, would you recommend this to other firms or
individual?

□ Definitely will
■ Probably will
□ Might or might not
□ Probably will not
□ Definitely will not

7. How much time did it take red bull to address your questions and concerns?

78
■ Shorter than expected
□ About what I expected
□ Longer than expected
□ Much longer than expected
□ Did not receive a response

8. How responsive have red bull to your question and concerns about the services?

□ Extremely responsive
■ Very responsive
□ Somewhat responsive
□ Not so responsive
□ Not applicable

9. Overall, the value of red bull service compared with the price is

□ Poor
□ Fair
■ Good
□ Very good
□ Excellent

10. Overall how satisfied are you with the amount of contact between you/your organization and
Red bull service organization’s management?

□ Very satisfied
■ Satisfied

79
□ Neutral
□ Dissatisfied
□ Very dissatisfied

11. How would you rate red bull overall?

□ Excellent
□ Above average
■ Average
□ Below average
□ Poor

12. Why you choose red bull?

BECAUSE OF ITS SERVICES

13. Please tell us what red bull should do to improve the quality of the documentation delivered with
your platform?
BY HEARING THEIR CUSTOMERS NEEDS

14. If you like to share any additional experiences about the services, please enter them below.
NO

15. Do you have any comments and concerns?

NO

80
AME-KANCHAN
AGE-20
GENDER-FEMALE
This is a sample questionnaire to analyze customer satisfaction and loyalty. You are kindly invited to take part in
this survey for customers.

1. In total, how long have you been a customer of red bull?

□ New
□ Less than Six months
■ 1-2 years
□ 3-5 years
□ Above

2. Red bull understands the service needs of my organization?

□ Strongly agree
■ Agree
□ Neutral
□Disagree
□Strongly disagree

3. Overall, how satisfied or dissatisfied are you with red bull company?

□ Not at all satisfied

□ Somewhat satisfied
□ Satisfied

81
■ Very Satisfied
□ Delighted

4. How well does Red bull service meet your needs?

■ Extremely well
□ Very well
□ Somewhat well
□ Not well at all

5. How likely are you to repurchase the service of red bull company?

□ Extremely likely
■ Very likely
□ Somewhat likely
□ Not so Likely
□ Not at all likely

6. Based on your experience with red bull service, would you recommend this to other firms or
individual?

□ Definitely will
■ Probably will
□ Might or might not
□ Probably will not
□ Definitely will not

7. How much time did it take red bull to address your questions and concerns?

82
□ Shorter than expected
□ About what I expected
■ Longer than expected
□ Much longer than expected
□ Did not receive a response

8. How responsive have red bull to your question and concerns about the services?

■ Extremely responsive
□ Very responsive
□ Somewhat responsive
□ Not so responsive
□ Not applicable

9. Overall, the value of red bull service compared with the price is

□ Poor
□ Fair
□ Good
■ Very good
□ Excellent

10. Overall how satisfied are you with the amount of contact between you/your organization and
Red bull service organization’s management?

□ Very satisfied
□ Satisfied

83
■ Neutral
□ Dissatisfied
□ Very dissatisfied

11. How would you rate red bull overall?

□ Excellent
□ Above average
■ Average
□ Below average
□ Poor

12. Why you choose red bull?

BECAUSE OF ITS SERVICES

13. Please tell us what red bull should do to improve the quality of the documentation delivered with
your platform?
BY HEARING THEIR CUSTOMERS NEEDS

14. If you like to share any additional experiences about the services, please enter them below.
NO

15. Do you have any comments and concerns?

NO

84
NAME-MANSI
AGE-21
GENDER-FEMALE
This is a sample questionnaire to analyze customer satisfaction and loyalty. You are kindly invited to take part in
this survey for customers.

1. In total, how long have you been a customer of red bull?

□ New
■ Less than Six months
□ 1-2 years
□ 3-5 years
□ Above

2. Red bull understands the service needs of my organization?

□ Strongly agree
□Agree
■ Neutral
□Disagree
□Strongly disagree

3. Overall, how satisfied or dissatisfied are you with red bull company?

□ Not at all satisfied

■ Somewhat satisfied
□ Satisfied

85
□ Very Satisfied
□ Delighted

4. How well do not red bull service meet your needs?

□ Extremely well
■ Very well
□ Somewhat well
□ Not well at all

5. How likely are you to repurchase the service of red bull company?

□ Extremely likely
■ Very likely
□ Somewhat likely
□ Not so Likely
□ Not at all likely

6. Based on your experience with red bull service, would you recommend this to other firms or
individual?

■ Definitely will
□ Probably will
□ Might or might not
□ Probably will not
□ Definitely will not

7. How much time did it take red bull to address your questions and concerns?

86
□ Shorter than expected
■ About what I expected
□ Longer than expected
□ Much longer than expected
□ Did not receive a response

8. How responsive have red bull to your question and concerns about the services?

□ Extremely responsive
■ Very responsive
□ Somewhat responsive
□ Not so responsive
□ Not applicable

9. Overall, the value of red bull service compared with the price is

□ Poor
□ Fair
■ Good
□ Very good
□ Excellent

10. Overall how satisfied are you with the amount of contact between you/your organization and
Red bull service organization’s management?

□ Very satisfied
■ Satisfied

87
□ Neutral
□ Dissatisfied
□ Very dissatisfied

11. How would you rate red bull overall?

□ Excellent
□ Above average
■ Average
□ Below average
□ Poor

12. Why you choose red bull?

BECAUSE OF ITS SERVICES

13. Please tell us what red bull should do to improve the quality of the documentation delivered with
your platform?
BY HEARING THEIR CUSTOMERS NEEDS

14. If you like to share any additional experiences about the services, please enter them below.
NO

15. Do you have any comments and concerns?

NO

88
NAME-PRIYA
AGE-21
GENDER-FEMALE
This is a sample questionnaire to analyze customer satisfaction and loyalty. You are kindly invited to take part in
this survey for customers.

1. In total, how long have you been a customer of red bull?

□ New
□ Less than Six months
□ 1-2 years
■ 3-5 years
□ Above

2. Red bull understands the service needs of my organization?

□ Strongly agree
□Agree
□ Neutral
■Disagree
□Strongly disagree

3. Overall, how satisfied or dissatisfied are you with red bull company?

■ Not at all satisfied

□ Somewhat satisfied
□ Satisfied

89
□ Very Satisfied
□ Delighted

4. How well does Red bull service meet your needs?

□ Extremely well
□ Very well
□ Somewhat well
■ Not well at all

5. How likely are you to repurchase the service of red bull company?

□ Extremely likely
□ Very likely
□ Somewhat likely
■ Not so Likely
□ Not at all likely

6. Based on your experience with red bull service, would you recommend this to other firms or
individual?

□ Definitely will
□ Probably will
■ Might or might not
□ Probably will not
□ Definitely will not

7. How much time did it take red bull to address your questions and concerns?

90
□ Shorter than expected
□ About what I expected
■ Longer than expected
□ Much longer than expected
□ Did not receive a response

8. How responsive have red bull to your question and concerns about the services?

□ Extremely responsive
□ Very responsive
□ Somewhat responsive
■ Not so responsive
□ Not applicable

9. Overall, the value of red bull service compared with the price is

□ Poor
■ Fair
□ Good
□ Very good
□ Excellent

10. Overall how satisfied are you with the amount of contact between you/your organization and
Red bull service organization’s management?

□ Very satisfied
□ Satisfied

91
□ Neutral
■ Dissatisfied
□ Very dissatisfied

11. How would you rate red bull overall?

□ Excellent
□ Above average
□ Average
■ Below average
□ Poor

12. Why you choose red bull?

BECAUSE OF ITS SERVICES

13. Please tell us what red bull should do to improve the quality of the documentation delivered with
your platform?
BY HEARING THEIR CUSTOMERS NEEDS

14. If you like to share any additional experiences about the services, please enter them below.
NO

15. Do you have any comments and concerns?

NO

92
NAME-VAISHNAVI
AGE-21
GENDER-FEMALE
This is a sample questionnaire to analyze customer satisfaction and loyalty. You are kindly invited to take part in
this survey for customers.

1. In total, how long have you been a customer of red bull?

□ New
■ Less than Six months
□ 1-2 years
□ 3-5 years
□ Above

2. Red bull understands the service needs of my organization?

■ Strongly agree
□Agree
□ Neutral
□Disagree
□Strongly disagree

3. Overall, how satisfied or dissatisfied are you with red bull company?

□ Not at all satisfied

□ Somewhat satisfied
□ Satisfied

93
■ Very Satisfied
□ Delighted

4. How well does Red bull service meet your needs?

■ Extremely well
□ Very well
□ Somewhat well
□ Not well at all

5. How likely are you to repurchase the service of red bull company?

□ Extremely likely
■ Very likely
□ Somewhat likely
□ Not so Likely
□ Not at all likely

6. Based on your experience with red bull service, would you recommend this to other firms or
individual?

■ Definitely will
□ Probably will
□ Might or might not
□ Probably will not
□ Definitely will not

7. How much time did it take red bull to address your questions and concerns?

94
□ Shorter than expected
■ About what I expected
□ Longer than expected
□ Much longer than expected
□ Did not receive a response

8. How responsive have red bull to your question and concerns about the services?

■ Extremely responsive
□ Very responsive
□ Somewhat responsive
□ Not so responsive
□ Not applicable

9. Overall, the value of red bull service compared with the price is

□ Poor
□ Fair
□ Good
■ Very good
□ Excellent

10. Overall how satisfied are you with the amount of contact between you/your organization and
Red bull service organization’s management?

□ Very satisfied
■ Satisfied

95
□ Neutral
□ Dissatisfied
□ Very dissatisfied

11. How would you rate red bull overall?

□ Excellent
■ Above average
□ Average
□ Below average
□ Poor

12. Why you choose red bull?

BECAUSE OF ITS SERVICES

13. Please tell us what red bull should do to improve the quality of the documentation delivered with
your platform?
BY HEARING THEIR CUSTOMERS NEEDS

14. If you like to share any additional experiences about the services, please enter them below.
NO

15. Do you have any comments and concerns?

NO

96
 CONCLUSION

Red Bull has demonstrated a novel approach to marketing and has introduced a
new product to the market that has spawned an entire new category of product.
Through its actions, the company has become very successful and has become
the market leader in its sector. Its use of a marketing message that is light on
selling the product but heavy on building the brand image and associating it with
extreme sports and other activities of interest to its target audience has possibly
shown the future direction of much marketing effort.

The current position of Red Bull remains strong in its market sector. However,
as it is now the leading brand in many markets, it will find it difficult to
maintain its position due to increased competition from other brands that have
seen the opportunities offered by the sector. The growing age of its original
target audience may also prove a factor; the company has deliberately addressed
a youthful market and as these original customers grow older, it remains to be
seen whether the product will continue to appeal to newer generations.
However, the company can n develop new markets, and it can potentially reduce
costs by focusing on domestic production. These new markets may allow the
development of complimentary new products. It is possible that these could then
be sold in its mature markets, widening its product portfolio.

Whether the company remains successful will depend on a number of factors.

Primarily, there is a question of whether the brand can continue to be trendy
now that it is well established in the market. It faces increasing competition in
its sector, and this will affect sales unless the company can successfully fend it
off. However, it can still expand into new markets and streamline its production
facilities to allow the business to continue to grow.

97
 SUGGESTIONS

• The company should come up with new, better and attractive

flavours to attract all segments of the market.

• The company can come up with different beverages other than

energy drinks.

• The company can reduce prices and introduce promotional

campaigns so larger mass can try the product.

• Red Bull is affiliated with caffeine industry, which might help

them exploit coffee industry.

• The packaging should help retain the chillness of the drink

without which it is tasteless.

98
 BIBLIOGRAPHY

Text books

• Marketing Management, 13th edition - Philip Kotler

• Survey Research Method - Charles Babbie

Magazines Referred

• The Red Bulletin

Websites

• https://www.wiiings.com

• https://www.google.co.in/search?
q=redbull&oq=redbull&aqs=chrome..69i57.4506j0j1&sourceid=chrom
e&ie=UTF-8

• https://coschedule.com/blog/red-bull-marketing-strategy/

• https://www.redbull.com/in-en/

• https://en.wikipedia.org/wiki/Red_Bull

99