PROJECT REPORT

ON

“A STUDY ON CONSUMER SATISFACTION AND MARKETING

EFFECTIVENESS OF RED BULL ENERGY DRINK”

SUBMITTED IN PARTIAL FULFILLMENT OF BACHELOR OF BUSINESS MANAGEMENT DEGREE COURSE OF BANGALORE

UNIVERSITY

2010-2011

BY

SUDARSHAN JAGANNATHAN

Reg No.07YAC08122

UNDER GUIDANCE OF

MS. RAJANI KORAH

GAIN MORE KNOWLEDGEREACH GREATER HEIGHTS

PRESIDENCY COLLEGE, KEMPAPURA, HEBBAL,

BANGALORE-560024

DECLARATI0N

I hereby declare that this titled as “A STUDY ON

CONSUMER SATISFACTION AND MARKETING

EFFECTIVENESS OF RED BULL ENERGY DRINK” is my

original work under the guidance of Ms.Rajani Korah, towards the partial

fulfilment of the requirements for BBM course of Bangalore University. This

has not been submitted earlier for award of any other degree by Bangalore

University or any other University.

DATE: NAME: SUDARSHAN

JAGANNATHAN

PLACE: BANGALORE REG NO: 07YAC08122

SL. NO. CONTENTS PAGE NO

1. CHAPTER 1- INTRODUCTIONThis chapter contains introduction to Marketing, Meaning, Definition, Importance and other relevant aspects of Customer Satisfaction and Marketing effectiveness, the theoretical background to Beverage Industry till date and Indian beverage market.

1-32

2. CHAPTER 2- RESEARCH DESIGN Statement of problem Objectives of study Scope of study Operational Definitions Research Methodology Tools of Data collection Sample Design Plan of Analysis Limitations of the study Overview of Chapter scheme

33-44

3. CHAPTER 3- COMPANY PROFILEThis chapter contains the historical background of the company, company vision, objectives, and SWOT analysis.

45-62

4. CHAPTER 4- DATA ANALYSIS AND INTERPRETATIONAnalysis and interpretation from the data collected through questionnaires, Tables and graphs representing it.

63-98

5. CHAPTER 5- SUMMARY OF FINDINGS AND CONCLUSIONSThis chapter contains the findings drawn from the study.

99-102

6. CHAPTER 6- SUGGESTIONSThis chapter contains the suggestions for the company.

103

7. ANNEXURESThis chapter contains Questionnaire.

8. BIBLIOGRAPHY Name of the books, author, magazines, websites.

INDEX OF THE TABLES

TABLE NO

TABLE NAMES PAGE NO

1. Table showing the profile of the respondents based on age

63

2. Table showing the profile of the respondents based on gender

65

3. Table showing the occupation of respondents 67

4. Table showing the annual income group of respondents

69

5. Table showing the respondents involvement with any extracurricular activities on campus or out of office

71

6. Table showing the respondents consumption of Red Bull

73

7. Table showing the increase in consumption of Red Bull by the respondents after advertisements

75

8. Table showing the source of awareness of Red Bull 77

9. Table showing the factors influencing to buy Red Bull

79

10. Table showing purchasing place of Red Bull by respondents

81

11. Table showing the respondents factors influencing to choose Red Bull

83

12. Table showing the weekly expenditure on Red Bull by respondents

85

13.

14.

Table showing the respondents opinion of prefering any other energy drink over Red Bull

Table showing the respondents opinion if red bull is over priced or not

87

15.Table showing the opinion of the respondents of facing difficulties in finding Red Bull and their satisfaction level with respect to availability of red bull

91

16 Table showing the respondents opinion about the Red Bull supremacy over the competitors in the market

93

17. Table showing Energy Drink Market share, (with sales and availability in retail shops)

95

INDEX OF THE GRAPHS

GRAPH NO

GRAPH NAMES PAGE NO

1. Graph showing the profile of the respondents based on age

64

2. Graph showing the profile of the respondents based on gender

66

3. Graph showing the occupation of respondents 68

4. Graph showing the annual income group of respondents

70

5. Graph showing the respondents involvement with any extracurricular activities on campus or out of office

72

6. Graph showing the respondents consumption of Red Bull

74

7. Graph showing the increase in consumption of Red Bull by the respondents after advertisements

76

8. Graph showing the source of awareness of Red Bull 78

9. Graph showing the factors influencing to buy Red Bull

80

10. Graph showing purchasing place of Red Bull by respondents

82

11. Graph showing the respondents factors influencing to choose Red Bull

84

12. Graph showing the weekly expenditure on Red Bull by respondents

86

13 Graph showing the respondents opinion of prefering any other energy drink over Red Bull

88

13. Table showing the respondents opinion if red bull is over priced or not

90

15.Table showing the opinion of the respondents of facing difficulties in finding Red Bull and their satisfaction level with respect to availability of red bull

92

16 Table showing the respondents opinion about the Red Bull supremacy over the competitors in the market

94

17. Table showing Energy Drink Market share, (with sales and availability in retail shops)

96

CHAPTER 1

INTRODUCTION

INTRODUCTION TO MARKETING

Marketing is the process of performing market research, selling products and/or

services to customers and promoting them via advertising to further enhance

sales. It generates the strategy that underlies sales techniques, business

communication, and business developments. It is an integrated process through

which companies build strong customer relationships and create value for their

customers and for themselves.

Marketing is used to identify the customer, to satisfy the customer, and to keep

the customer. With the customer as the focus of its activities, it can be concluded

that marketing management is one of the major components of business

management. Marketing evolved to meet the stasis in developing new markets

caused by mature markets and overcapacities in the last 2-3 centuries. The

adoption of marketing strategies requires businesses to shift their focus from

production to the perceived needs and wants of their customers as the means of

staying profitable.

The term marketing concept holds that achieving organizational goals depends

on knowing the needs and wants of target markets and delivering the desired

satisfactions. It proposes that in order to satisfy its organizational objectives, an

organization should anticipate the needs and wants of consumers and satisfy

these more effectively than competitors.

An orientation, in the marketing context, related to a perception or attitude a

firm holds towards its product or service, essentially concerning consumers and

end-users. Throughout history, marketing has changed considerably in time with

consumer tastes.

Contemporary approaches

Recent approaches in marketing include relationship marketing with focus on

the customer, business marketing or industrial marketing with focus on an

organization or institution and social marketing with focus on benefits to

society. New forms of marketing also use the internet and are therefore called

internet marketing or more generally e-marketing, online marketing, search

engine marketing, desktop advertising or affiliate marketing. It attempts to

perfect the segmentation strategy used in traditional marketing. It targets its

audience more precisely, and is sometimes called personalized marketing or

one-to-onemarketing.

Customer orientation

A firm in the market economy survives by producing goods that persons are

willing and able to buy. Consequently, ascertaining consumer demand is vital

for a firm's future viability and even existence as a going concern. Many

companies today have a customer focus (or market orientation). This implies

that the company focuses its activities and products on consumer demands.

Generally, there are three ways of doing this: the customer-driven approach, the

market change identification approach and the product innovation approach.

In the consumer-driven approach, consumer wants are the drivers of all strategic

marketing decisions. No strategy is pursued until it passes the test of consumer

research. Every aspect of a market offering, including the nature of the product

itself, is driven by the needs of potential consumers. The starting point is always

the consumer. The rationale for this approach is that there is no reason to spend

R&D funds developing products that people will not buy. History attests to

many products that were commercial failures in spite of being technological

breakthroughs.

A formal approach to this customer-focused marketing is known as SIVA

(Solution, Information, Value and Access). This system is basically the four Ps

renamed and reworded to provide a customer focus. The SIVA Model provides

a demand/customer-centric alternative to the well-known 4Ps supply side model

(product, price, placement, promotion) of marketing management.

Product → Solution

Price → Value

Place → Access

Promotion → Information

If any of the 4Ps were problematic or were not in the marketing factor of the

business, the business could be in trouble and so other companies may appear in

the surroundings of the company, so the consumer demand on its products will

decrease.

Organizational orientation

In this sense, a firm's marketing department is often seen as of prime importance

within the functional level of an organization. Information from an

organization's marketing department would be used to guide the actions of other

departments within the firm. As an example, a marketing department could

ascertain (via marketing research) that consumers desired a new type of product,

or a new usage for an existing product. With this in mind, the marketing

department would inform the R&D department to create a prototype of a

product/service based on consumers' new desires.

The production department would then start to manufacture the product, while

the marketing department would focus on the promotion, distribution, pricing,

etc. of the product. Additionally, a firm's finance department would be

consulted, with respect to securing appropriate funding for the development,

production and promotion of the product. Inter-departmental conflicts may

occur, should a firm adhere to the marketing orientation. Production may

oppose the installation, support and servicing of new capital stock, which may

be needed to manufacture a new product. Finance may oppose the required

capital expenditure, since it could undermine a healthy cash flow for the

organization.

Marketing research

Marketing research involves conducting research to support marketing

activities, and the statistical interpretation of data into information. This

information is then used by managers to plan marketing activities, gauge the

nature of a firm's marketing environment and attain information from suppliers.

Marketing researchers use statistical methods such as quantitative research,

qualitative research, hypothesis tests, Chi-squared tests, linear regression,

correlations, frequency distributions, poison distributions, binomial

distributions, etc. to interpret their findings and convert data into information.

The marketing research process spans a number of stages, including the

definition of a problem, development of a research plan, collection and

interpretation of data and disseminating information formally in the form of a

report. The task of marketing research is to provide management with relevant,

accurate, reliable, valid, and current information. A distinction should be made

between marketing research and market research. Market research pertains to

research in a given market. As an example, a firm may conduct research in a

target market, after selecting a suitable market segment. In contrast, marketing

research relates to all research conducted within marketing. Thus, market

research is a subset of marketing research.

Market segmentation

Market segmentation pertains to the division of a market of consumers into

persons with similar needs and wants. For instance, Kellogg's cereals, Fro sites

are marketed to children. Crunchy Nut Cornflakes are marketed to adults. Both

goods denote two products which are marketed to two distinct groups of

persons, both with similar needs, traits, and wants. Market segmentation allows

for a better allocation of a firm's finite resources. A firm only possesses a

certain amount of resources. Accordingly, it must make choices (and incur the

related costs) in servicing specific groups of consumers. In this way, the

diversified tastes of contemporary Western consumers can be served better.

Types of marketing research

Marketing research, as a sub-set aspect of marketing activities, can be divided

into the following parts:

Primary research (also known as field research), which involves the

conduction and compilation of research for a specific purpose.

Secondary research (also referred to as desk research), initially conducted

for one purpose, but often used to support another purpose or end goal.

By these definitions, an example of primary research would be market research

conducted into health foods, which is used solely to ascertain the needs/wants of

the target market for health foods. Secondary research in this case would be

research pertaining to health foods, but used by a firm wishing to develop an

unrelated product.

Primary research is often expensive to prepare, collect and interpret from data to

information. Nevertheless, while secondary research is relatively inexpensive, it

often can become outdated and outmoded, given that it is used for a purpose

other than the one for which it was intended. Primary research can also be

broken down into quantitative research and qualitative research, which, as the

terms suggest, pertain to numerical and non-numerical research methods and

techniques, respectively. The appropriateness of each mode of research depends

on whether data can be quantified (quantitative research), or whether subjective,

non-numeric or abstract concepts are required to be studied (qualitative

research).

There also exist additional modes of marketing research, which are:

Exploratory research, pertaining to research that investigates an

assumption.

Descriptive research, which, as the term suggests, describes "what is".

Predictive research, meaning research conducted to predict a future

occurrence.

Conclusive research, for the purpose of deriving a conclusion via a

research process.

Promotion (marketing)

Promotion is one of the four elements of marketing mix (product, price,

promotion, distribution). It is the communication link between sellers and

buyers for the purpose of influencing, informing, or persuading a potential

buyer's purchasing decision. Fundamentally, however there are three basic

objectives of promotion. These are:

1. To present information to consumers as well as others

2. To increase demand

3. To differentiate a product.

There are different ways to promote a product in different areas of media. Many

times with the purchase of a product there is an incentive like discounts, free

items, or a contest. This is to increase the sales of a given product.

Marketing strategy

The field of marketing strategy encompasses the strategy involved in the

management of a given product. A given firm may hold numerous products in

the marketplace, spanning numerous and sometimes wholly unrelated

industries. Accordingly, a plan is required in order to effectively manage such

products. For example, a start-up car manufacturing firm would face little

success should it attempt to rival Toyota, Ford, Nissan, Chevrolet, or any other

large global car maker. Moreover, a product may be reaching the end of its life-

cycle. Thus, the issue of divest, or a ceasing of production, may be made. Each

scenario requires a unique marketing strategy. Listed below are some prominent

marketing strategy models.

CUSTOMER SATISFACTION

Customer satisfaction, a business term, is a measure of how products and

services supplied by a company meet or surpass customer expectation.

Customer satisfaction is defined as "the number of customers, or percentage of

total customers, whose reported experience with a firm, its products, or its

services (ratings) exceeds specified satisfaction goals."

It is seen as a key performance indicator within business and is part of the four

of a Balanced Scorecard. In a competitive marketplace where businesses

compete for customers, customer satisfaction is seen as a key differentiator and

increasingly has become a key element of business strategy.

Within organizations, customer satisfaction ratings can have powerful effects.

They focus employees on the importance of fulfilling customers’ expectations.

Furthermore, when these ratings dip, they warn of problems that can affect sales

and profitability. These metrics quantify an important dynamic. When a brand

has loyal customers, it gains positive word-of-mouth marketing, which is both

free and highly effective.

In researching satisfaction, firms generally ask customers whether their product

or service has met or exceeded expectations. Thus, expectations are a key factor

behind satisfaction. When customers have high expectations and the reality falls

short, they will be disappointed and will likely rate their experience as less than

satisfying. For this reason, a luxury resort, for example, might receive a lower

satisfaction rating than a budget motel—even though its facilities and service

would be deemed superior in “absolute” terms.

CUSTOMER SATISFACTION IN 7 STEPS

1. Encourage Face-to-Face Dealings

This is the most daunting and downright scary part of interacting with a

customer. If you're not used to this sort of thing it can be a pretty nerve-

wracking experience. Rest assured, though, it does get easier over time. It's

important to meet your customers face to face at least once or even twice during

the course of a project.

2. Respond to Messages Promptly & Keep Your Clients Informed

This goes without saying really. We all know how annoying it is to wait days

for a response to an email or phone call. It might not always be practical to deal

with all customers' queries within the space of a few hours, but at least email or

call them back and let them know you've received their message and you'll

contact them about it as soon as possible. Even if you're not able to solve a

problem right away, let the customer know you're working on it.

3. Be Friendly and Approachable

A fellow Site Pointer once told me that you can hear a smile through the

phone. This is very true. It's very important to be friendly, courteous and to

make your clients feel like you're their friend and you're there to help them out.

There will be times when you want to beat your clients over the head repeatedly

with a blunt object - it happens to all of us. It's vital that you keep a clear head,

respond to your clients' wishes as best you can, and at all times remain polite

and courteous.

4. Have a Clearly-Defined Customer Service Policy

This may not be too important when you're just starting out, but a clearly

defined customer service policy is going to save you a lot of time and effort in

the long run. If a customer has a problem, what should they do?

If the first option doesn't work then what? Should they contact different people

for billing and technical enquiries? If they're not satisfied with any aspect of

your customer service, who should they tell? There's nothing more annoying for

a client than being passed from person to person, or not knowing who to turn to.

So make sure your customer service policy is present on your site -- and

anywhere else it may be useful.

5. Attention to Detail

Have you ever received a Happy Birthday email or card from a company

you were a client of? Have you ever had a personalized sign-up confirmation

email for a service that you could tell was typed from scratch? These little

niceties can be time consuming and aren't always cost effective, but remember

to do them. Even if it's as small as sending a Happy Holidays email to all your

customers, it's something. It shows you care; it shows there are real people on

the other end of that screen or telephone; and most importantly, it makes the

customer feel welcomed, wanted and valued.

6. Anticipate Your Client's Needs & Go Out Of Your Way to Help Them

Out

Sometimes this is easier said than done! However, achieving this supreme

level of understanding with your clients will do wonders for your working

relationship.

7. Honor Your Promises

It's possible this is the most important point in this article. The simple

message: when you promise something, deliver. Clients don't like to be

disappointed. Sometimes, something may not get done, or you might miss a

deadline through no fault of your own. Projects can be late, technology can fail

and sub-contractors don't always deliver on time. In this case a quick apology

and assurance it'll be ready ASAP wouldn't go a miss.

CUSTOMER LOYALTY

Obtaining a thorough understanding of customer loyalty is a prerequisite

for the execution of the research at hand. For that, the development of customer

loyalty research within the framework of relationship marketing will be

presented first, before different customer loyalty concepts will be introduced.

From these concepts, a definition of customer loyalty for use in this study will

be derived, before both consequences and antecedents of customer loyalty will

be portrayed.

Since the beginning of the 1990s, customer loyalty has gained importance

both in relationship marketing research and in business. In business, this can be

attributed to changing market- and competition-environments. Due to a shift

from a sellers’ to a buyers’ market and because of an increasing degree of

globalization, most industries find themselves confronted with new challenges.

In a first phase, firms tried to face these challenges by focusing on their internal

processes and organizational structures, trying to achieve cost reductions by

concentrating on internal improvements. A second phase of external focus

followed, where firms directed attention to their customers, trying to retain

existing ones and to win over new ones (churning). Since “acquiring new

customers is much more expensive than keeping them”. And “loyal customers

are the bedrock of any business”. A loyal customer base represents a barrier to

entry, a basis for a price premium, time to respond to competitor innovations,

and a bulwark against deleterious price competition. Loyalty is critical to brand

volume, is highly correlated to market share, and can be used as the basis of

predicting future market share; consequently, understanding loyalty appears

critical to any meaningful analysis of marketing strategy.

In marketing research, two trends mark the development of customer

loyalty. While individual transactions initially were in the center of marketing

research, the focus shifted towards analyzing relationships states that the

‘traditional’ marketing concept of the marketing mix with its ‘4 Ps’, developed

in the middle of the last century, had been the established approach until the

1990s.

This approach, how-ever, focuses solely on transactions, a deficit tackled by the

relationship marketing approach. At the core of it is the study of relationships

between buyers and sellers of goods or services, in contrast to merely

examining transactions. An often cited and comprehensive definition of

relationship marketing is provided “Relationship marketing refers to all

marketing activities directed toward establishing, developing, and maintaining

successful relational exchanges.” Therefore, the relationship marketing

approach pro-vides a suitable environment in which customer loyalty research

can be nested.

While the development of relationship marketing began in the early

1970s, it was not until the late 1980s that works from the ‘Nordic School of

Services’. Initiated a paradigm shift that geared marketing towards the creation,

conservation, and extension of buyer-seller relationships. Although relationship

marketing today is widely accepted among marketing researchers, its promoters

do not postulate the replacement of the transactional approach, but rather

juxtapose the two approaches. For example, delineates a strategy continuum, in

which different goods require different degrees of transaction- and relationship-

based marketing strategies. As a result of the focus on relationships in

marketing research, customer loyalty gained importance within research.

Before determining which stream the present study can be associated

with, however, it is important to create a clear understanding of different

customer loyalty concepts prevalent in research. This will be accomplished in

the following section.

OBJECTIVES OF CUSTOMER SATISFACTION PROGRAMME

Our Programs are research based, built on the three corner stone’s of customer

satisfaction: product quality, process and procedural quality, and relationship

quality. Our typical program assesses specific issues under each component, for

example:

Product Quality

          •       meets or exceeds expectations

          •       state-of-the-art technology

          •       validated, tested, & simulated to client specifications

          •       competitive pricing

          •       enhance customer value

Procedural Quality

          •       ease of ordering

          •       accurate fulfillment

          •       inventory meets needs

          •       on time delivery

          •       environmentally friendly packing

          •       packaged to prevent damage in shipment

          •       ease of tracking

          •       appropriate adjustment/return policy

          •       order-through-delivery process bests competition

   Relationship Quality

         •       product knowledgeable contacts

         •       knowledgeable about client needs

         •       communicates at client knowledge level

         •       one-stop problem resolution

          •       problems solved at the root cause

          •       legendary customer service benchmarks competition

The tailored Programs provide direct, statistically valid, comparison data of you

to your competition on the following actionable areas:

•       Responsiveness

•       Competitiveness

•       Innovativeness

•       Quality

•       Customer Service

•       Long Term Partnering

It accurately quantifies your competitive strengths and weaknesses from your

customers' perspective. Using the data, it will help you focus strategic efforts to

retain and increase market share. The programs also provide direct measure of

the effectiveness of initiatives your organization has implemented during prior

year (after first year's participation). That is, you will have quantifiable internal

benchmarks (in addition to the external competitive benchmarks) on the repeat

annual surveys to judge progress based on actions you have taken during the

previous 12 months.

TABLE SHOWING KEY FACTORS FOR CUSTOMER SATISFACTION

COMPANY FUNCTION QUALITY FACTORS

Sales

Product

Knowledge

Marketing

Brochure detail

Mailing frequently

Distribution

Order Delivery time

Order Completeness

After Sales

Problem Response Time

Time to Resolve

Accounts

Accuracy

Problem Response

Courtesy

HANDLING CUSTOMER COMPLAINTS

A complaint is any measure of dissatisfaction with your product or service, even

if it’s unfair, untrue, or painful to hear! Complaints may be about:

• Service Content, Delivery or Quality • Response Time

• Documentation • Personnel

• Billing • Communication

• Follow Up • Requests

This is a customer complaint resolution process that anyone can implement:

Focus on the Customer

If you can’t immediately solve the problem, respond to the customer and

identify an “owner” who will be responsible for final resolution. Complete the

communications loop with customer. If you’ve referred the complaint to others,

make sure there’s closure. If you’ve left the customer hanging without a

response, you’ve become part of the problem.

Focus on the Complaint

Collect all complaints from all external customers and categorize them in a way

that allows you to analyze data to see trends, patterns, concentrations,

tendencies, etc.

Focus on Process Improvement

Use the database of complaints to define processes that are important from the

customer’s perspective and to improve the most critical ones. Based on analysis

of the database, make appropriate investments to prevent issues that result in

customer complaints. If you can think of complaints as useful data for making

process improvements in your organization, you will go a long way towards

making changes that will differentiate you and make your work life easier, more

fun, and more responsive to customer needs.

SIX STEPS TO DEALING WITH DIS-SATISFIED CUSTOMERS

1. Listen carefully to what the customer has to say, and let them finish-

Don't get defensive. The customer is not attacking you personally; he or she has

a problem and is upset. Repeat back what you are hearing to show that you have

listened.

2. Ask questions in a caring and concerned manner-The more information

you can get from the customer, the better you will understand his or her

perspective. I’ve learned it’s easier to ask questions than to jump to conclusions.

3. Put yourself in their shoes-As a business owner, your goal is to solve the

problem, not argue. The customer needs to feel like you’re on his or her side

and that you empathize with the situation.

4. Apologize without blaming-When a customer senses that you are sincerely

sorry, it usually diffuses the situation. Don't blame another person or

department. Just say, "I'm sorry about that.”

5. Ask the customer, "What would be an acceptable solution to you?"-

Whether or not the customer knows what a good solution would be, I’ve found

it’s best to propose one or more solutions to alleviate his or her pain. Become a

partner with the customer in solving the problem.

6. Solve the problem, or find someone who can solve it— quickly!-Research

indicates that customers prefer the person they are speaking with to instantly

solve their problem. When complaints are moved up the chain ofcommand, they

become more expensive to handle and only add to the customer's frustration.

MARKETING EFFECTIVENESS

Marketing effectiveness is the quality of how marketers go to market with the

goal of optimizing their spending to achieve good results for both the short-term

and long-term.

Marketing effectiveness has four dimensions:

Corporate – Each company operates within different bounds. These are

determined by their size, their budget and their ability to make

organizational change. Within these bounds marketers operate along the

five factors described below.

Competitive – Each company in a category operates within a similar

framework as described below. In an ideal world, marketers would have

perfect information on how they act as well as how their competitors act.

In reality, in many categories have reasonably good information through

sources, such as, IRI or Nielsen. In many industries, competitive

marketing information is hard to come by.

Customers/Consumers – Understanding and taking advantage of how

customers make purchasing decisions can help marketers improve their

marketing effectiveness. Groups of consumers act in similar ways leading

to the need to segment them. Based on these segments, they make choices

based on how they value the attributes of a product and the brand, in

return for price paid for the product. Consumers build brand value

through information. Information is received through many sources, such

as, advertising, word-of-mouth and in the (distribution) channel often

characterized with the purchase funnel, a McKinsey & Company concept.

Lastly, consumers consume and make purchase decisions in certain ways.

Exogenous Factors – There are many factors outside of our immediate

control that can impact the effectiveness of our marketing activities.

These can include the weather, interest rates, government regulations and

many others. Understanding the impact these factors can have on our

consumers can help us to design programs that can take advantage of

these factors or mitigate the risk of these factors if they take place in the

middle of our marketing campaigns.

There are five factors driving the level of marketing effectiveness that marketers

can achieve:

1. Marketing Strategy – Improving marketing effectiveness can be

achieved by employing a superior marketing strategy. By positioning the

product or brand correctly, the product/brand will be more successful in

the market than competitors’ products/brands. Even with the best

strategy, marketers must execute their programs properly to achieve

extraordinary results.

2. Marketing Creative – Even without a change in strategy, better creative

can improve results. Without a change in strategy, AFLAC was able to

achieve stunning results with its introduction of the Duck (AFLAC)

campaign. With the introduction of this new creative concept, the

company growth rate soared from 12% prior to the campaign to 28%

following it.

3. Marketing Execution – By improving how marketers go to market, they

can achieve significantly greater results without changing their strategy or

their creative execution. At the marketing mix level, marketers can

improve their execution by making small changes in any or all of the 4-Ps

(Product, Price, Place and Promotion) (Marketing) without making

changes to the strategic position or the creative execution marketers can

improve their effectiveness and deliver increased revenue. At the program

level marketers can improve their effectiveness by managing and

executing each of their marketing campaigns better. It's commonly

known that consistency of a Marketing Creative strategy across various

media (e.g. TV, Radio, Print and Online), not just within each individual

media message, can amplify and enhance impact of the overall marketing

campaign effort. Additional examples would be improving direct mail

through a better call-to-action or editing web site content to improve its

organic search results, marketers can improve their marketing

effectiveness for each type of program. A growing area of interest within

(Marketing Strategy) and Execution are the more recent interaction

dynamics of traditional marketing (e.g. TV or Events) with online

consumer activity (e.g. Social Media). (See references below, Brand

Ecosystems) Not only direct product experience, but also any stimulus

provided by traditional marketing, can become a catalyst for a consumer

brand "groundswell" online as outlined in the book Groundswell.

4. Marketing Infrastructure (also known as Marketing Management) –

Improving the business of marketing can lead to significant gains for the

company. Management of agencies, budgeting, motivation and

coordination of marketing activities can lead to improved competitiveness

and improved results. The overall accountability for brand leadership and

business results is often reflected in an organization under a title within a

(Brand management) department.

5. Exogenous Factors - Generally out of the control of marketers, external

or exogenous factors also influence how marketers can improve their

results. Taking advantage of seasonality, interests or the regulatory

environment can help marketers improve their marketing effectiveness.

Beverage

Non-Alcoholic Beverages Alcoholic Beverages

Non-carbonated Carbonated Fruit Based Grain

INDUSTRY PROFILE

BEVERAGE 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 aluminum 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 nonalcoholic 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.

FACTORS DRIVING DEVELOPMENTS 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

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

cooling 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. 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 INDIAN 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

20% during 2011-2015.

India Alcoholic Drinks Market to Grow Over 14% CAGR during 2011-

2015.

The India Alcoholic Drinks Market Is Expected To Reach The 3 Billion

Liter Mark By 2015.

The sectors which are 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%

CHAPTER 2

RESEARCH DESIGN

INTRODUCTION

In 1982, Dietrich Mateschitz became aware of products called "tonic drinks",

which enjoyed widespread popularity throughout Far East. His idea to market

these functional drinks outside Asia evolved whilst he sat at a bar at the

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.Product range has widened and the customer has evolved.

TITLE OF THE STUDY

“A Study on Consumer Satisfaction and Marketing

Effectiveness of Red Bull energy drink.”

STATEMENT OF THE PROBLEM

Customer satisfaction plays a crucial role in enabling an organization to change

and develop with customers. Keeping the existing customer contended is

generally much easier, takes less time and involves less expense. The reason for

this is that it takes more time to find new prospective customer. In this context

study is conducted with special reference to customer satisfaction. A company

can earn more profits only when it has strong customer care towards product

and services offered by the company. So to have strong customer care it has to

provide a competitive price further advertising to increase.

OBJECTIVES OF THE STUDY

1. To understand the need for an Energy Drink in the market.

2. To have a better understanding about its features keeping in mind the

consumer needs.

3. To study the level of consumer expectation.

4. To learn the perception of the public towards the Energy Drink relating to

various parameters. (Safety, Hygiene, Affordability, etc).

5. To analyze the nearest competitors of Red Bull Energy Drink.

6. To ascertain the factors that affects the choice of Red Bull as opposed to

its competitors.

SCOPE OF THE STUDY

This study includes Customer’s response and awareness towards the brand,

products and services of Red Bull. The results are limited by the sample size 75

numbers and therefore the opinion of only selected customers is taken into

consideration. Mainly this study is conducted in Bangalore and the scope is

limited.

OPERATIONAL DEFINITION

1. Customer- A customer (also known as a client, buyer, or purchaser) is

usually used to refer to a current or potential buyer or user of the products

of an individual or organization, called the supplier, seller, or vendor.

2. Customer Satisfaction- Abusiness term , is a measure of how products and

services supplied by a company meet or surpass customer expectation.

Customer satisfaction is defined as "the number of customers, or

percentage of total customers, whose reported experience with a firm, its

products, or its services (ratings) exceeds specified satisfaction goals."

3. Marketing Effectiveness- It is the quality of how marketers go to market

with the goal of optimizing their spending to achieve good results for

both the short-term and long-term.

4. Respondents- A person who replies to something, esp. one supplying

information for a survey or questionnaire or responding to an

advertisement.

5. Objective- An end that can be reasonably achieved within an expected

timeframe and with available resources.

6. Energy drink- Energy drinks are soft drinks whose producers advertise

that they "boost energy.

7. Buying- To acquire in exchange for money or its equivalent purchase.

RESEARCH METHODOLOGY

The research will be carried out in various phases that constitute an

approach of working from whole to part. It includes subsequent phases trying to

go deeper into the user’s psyche and develop a thorough understanding of what

a user looks for while buying a energy drink.

The first phase is completely internal where it is stormed over the most effective

route of action, considering that it is product with minimal main stream

advertising.

The second phase is with some respondents who will be interviewed with the

help of questionnaire keeping in mind the time and cost constraints.

TOOLS OF DATA COLLECTION

The information relevant for study was drawn from Primary data collected

through survey method, which alone was not sufficient. Hence Secondary data

was collected to study successfully.

Primary data-

It will be collected using a questionnaire. A well laid out questionnaire

will be designed for this purpose. Also personal interviews will be

conducted with people in organization as well as consumers and

prospective buyers.

Secondary data-

This information will be obtained from secondary sources which include

newspapers, magazines, reliable websites, internal reports and other

published sources.

SAMPLE DESIGN

The research was carried out in various phases that constituted an

approach of working from whole to part. It included subsequent phases trying to

go deeper into the user’s psyche and develop a thorough understanding of what

the user looks for while buying an energy drink. For the customer satisfaction

study a sample of 75 persons was chosen from the in Bangalore city. The

sample was judgmental and methodology was convenient random sampling.

Size of Sample 75

Sampling technique Convenient Random Sampling

method

Location from which samples were

taken

Bangalore city

PLAN OF ANALYSIS

Raw Primary data has been collected with help of questionnaire. The raw

data has been tabulated with the help of table. From the tables, concept,

analysis and inferences are drawn which in turn was used for

interpretation. Based on, these charts were prepared to better pictorial

understanding of the study.

From the set of inferences and interpretation, conclusion have been drawn

which is followed by suggestions, keeping the objectives in mind

throughout the study.

LIMITATIONS OF THE STUDY

This research is geographically restricted to Bangalore city only. Hence

the result cannot be extrapolated to other places.

The study is restricted only to the organized sector of energy drink

industry.

Sample size was confined to 75 respondents keeping in view of time and

cost constraints.

Findings are based on sample survey. The information executed by

respondents may or may not be true because some respondents may not

be serious. However all possible has been made to collect the information

as authentically as possible.

All interview questions are undisguised or direct. Hence there is a scope

for the respondents to be biased or pretentious.

This project has been taken up at the undergraduate level and the

knowledge and experience of the student is limited and hence may not be

professional enough.

OVERVIEW OF CHAPTER SCHEME

Chapter-1 Introduction- Its all about the Introduction part. It mainly consists

of introduction to Marketing with its types, approaches, research and market

segmentation. Then comes introduction about Customer Satisfaction with its

steps, customer loyalty and concepts, handling customer complaints, how to

deal with dis-satisfied customers and objectives of customer satisfaction

program. Also talks about the marketing effectiveness. Later about beverage

industry till date, Indian beverage industry and its recent trends.

Chapter-2 Research Design- It consists of the title of the study, statement of

problem, objectives and scope of the study, operational definitions, research

methodology, data collection, sample design, plan of analysis and finally the

limitations of the study.

Chapter-3 Company Profile- This chapter contains the historical background

of the company Red Bull, company’s vision and objective, Red Bull products,

marketing plan and SWOT analysis of Red Bull.

Chapter-4 Data Analysis and Interpretation- This chapter consists of the

analysis and interpretation from the data collected through questionnaires, tables

and graphs representing it.

Chapter-5 Findings, Conclusion and Suggestions- This chapter contains the

findings drawn from the study and final conclusion about the whole project.

Also few suggestions are posted.

CHAPTER 3

COMPANY PROFILE

Company Overview

In 1982, Dietrich Mateschitz became aware of products called "tonic drinks",

which enjoyed widespread popularity throughout Far East. His idea to market

these functional drinks outside Asia evolved whilst he sat at a bar at the

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. Today Red Bull has annual sales of approx.

4 billion cans in 160 countries..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.

Marketing Plan Outline: Red Bull

Marketing Background

Company and Product Review

In 1982, Dietrich Mateschitz, creator of Red Bull alongside ChalermYoovidhya,

saw where Japan and Thailand were heading in the energy drink market and

decided they wanted a piece of the pie. By 1987, Austria proved to be a

difficult market for Red Bull to survive in and soon Mateschitz expanded into

Hungry and the rest of Germany. After expanding across Europe with a lot of

trial and error Red Bull was $12 million in the hole.

Rather than scrapping Red Bull as a loss, Mateschitz fired all his staff and hired

a marketing firm to help him target nightclubs and students. Buzz marketing

became the main focus of Red Bull’s marketing plan, and soon students were

pounding campus pavement and driving around in Mini Coopers with a big Red

Bull can strapped on top with free samples. His buzzmarketing proved to be

not only cost effective, but the very thing that gave Red Bull its appeal.

Although Red Bull was not welcomed with open arms in all countries, such as

France, Denmark and Norway, it was growing and expanding.

Mateschitz soon realized that an extreme sporting event was a profitable

avenue to take Red Bull down. Red Bull started supporting approximately 500

extreme sports athletes and hosting exclusive parties for these rock star

competitors. By 1997, Red Bull’s buzz marketing strategy proved successful in

the U.S. as well. Events are now hosed throughout the world ranging from

B.A.S.E. jumping to surfing. Their tagline, “gives you wings” is known

worldwide and Red Bull sponsors public and private events such as the X-

games and the Red Bull Air Races.

Distribution/Penetration

Red Bull is distributed in most grocery store, convenience store, and gas

station

across the U.S. such as HyVee, SuperSaver, Safeway, Trader Joes, Conoco,

Quick Trip, and 7‐11. It is also found in discount/supercenter stores such as

Target and Wal‐Mart. In 2002,

Red Bull completed its distribution share and the product is now available in all

50 states (Todd, Heather).

Target Market Statement

Red Bull’s target market are young, on the go people, who enjoy extreme

sports and lead an active nightlife, anywhere from 18‐35, who lead an active

lifestyles, and are skeptical of traditional marketing (Swartz, Jon).

Pricing

The pricing of Red Bull varies from if the consumer is buying an individual can,

which the price is $1.99, compared to a case of Red Bull. The average price of a

case of 24 Red Bull is $65.99, but depending upon the distributor, the prices

may vary. Pricing for energy drinks vary by brand, but Red Bull is typically $1.99

(Dolan, Kerry).

Sales and Market Share Analysis

The sale of Red Bull has only increased from the time Mateschitz introduced it

back in 1987. In 2008 Red Bull’s net sales was $4.28 billion, which was up 7.9%

from the previous year. A contributor to these sales is the fact that Red Bull

started to distribute more to the Middle East, Far East and South America

(DPA). In “some countries, Red Bull commands 80% of the market share. In the

U.S. where Red Bull enjoys a 47% share of the energy drink market, sales are

growing annually at a 40% clip” (Dolan, Kerry).

Competitive Analysis

Red Bull can be easily copied because the ingredients were printed on the can

and the drink was not patented. Even though the taste of Red Bull did not do

well in taste tests, it was the marketing strategy that made Red Bull so

successful (Gschwandtner, Gerhard).

In the late 80s, around the same time Red Bull was spreading across Europe,

American’s were drinking Jolt Cola, which was advertising as having “all the

sugar and twice the caffeine as Coke”. It can be said that Red Bull was the first

energy drink to be in competition with soft drinks but also created the new

energy drink category in most markets. After Red Bull hit the market hard in

the late 90‐the present, many other companies have tried to hop on the

energy drink bandwagon such as when Hansen, the natural soda company,

created Monster Energy.

Red Bulls has approximately 100 major competitors, such as 5 Hour Energy

Drink and Rock Star Energy Drink. Not only do energy drink companies fall in

these 100 major competitors of direct competition but, there is also the sector

of soft drinks that have proven to be a viable opponent. Coca‐Cola (Full

Throttle & Monster), Pepsi (AMP Energy Drink) and Gatorade (Rebranded as G

and G2) are three of Red Bulls major competitors.

Many celebrities have also taken on the role of putting their face to an energy

drink label, such as Ice‐T creating an energy drink called Liquid Ice, Nelly’s Pimp

Juice and Lil’ John’s, Crunk Juice.

However, in the end, no other energy drink has been able to claim Red Bull’s

70‐90% of the market share it has in over 100 countries worldwide, despite

these competitors (Penalty, Jeff).

Product Awareness and Attributes

Red Bull is known worldwide not only because of what’s inside the can but

because of the lifestyle the brand represents. Red Bull does not take advantage

of the traditional media, instead they rely on sponsoring extreme sporting

events and they give away free samples of Red Bull at the events. “Red Bull

relies heavily on bars and night clubs for its sampling events, alternative sports

have also proven to be a successful product‐trial arena.

The company underwrites a number of extreme sports competitions and

sponsors about three dozen alterna‐athletes” (Hein, Kenneth).

Demand Analysis

The demand of Red Bull increases each year and that is evident with how

rapidly Red Bull has spread not only all over the United States but the world.

From just looking at the market share analysis of Red Bull, sales are increasing

every year and sales are expected to keep rising with each coming year. Even

though Red Bull’s demand has increased with each coming year, the “Red

Bull’s U.S. market share has fallen from 75% in 1998 to roughly 47% today”

(Dolan, Kerry).

Purchase Rates and Buying Habits Red Bull consumers are loyal purchasers.

They buy Red Bull for its high energy kick before a class, before a work‐out,

before performing in a sporting event or anytime they need to get an extra

boost to perform at top level. Red Bull is also purchased to drink recreationally

during social functions and at nightclubs and bars to create various alcoholic

beverages.

Problems and Opportunities:

Problems: Red Bull is not a patented drink product, therefore anyone is able to

pick up a can, read the ingredients and go into business for themselves. This is

one of the reasons the market is flooded by competition. In addition to this

Red Bull, along with all energy drinks and supplements, has received negative

press from a medical standpoint.

High levels for caffeine and sugar can create negative effects on heart rate and

blood pressure along with dehydration.

Opportunities: Red Bull is one of the most popular energy drinks in the world.

They earned this title by intelligent, consistent marketing. Red Bull has the

opportunity to maintain their position and grow by continuing to target their

niche target audience by heavily using untraditional marketing tactics and

traditional marketing tactics sparingly.

This will not only maintain their dominance in the energy drink market, it will

strengthen their relationship with their target audience (Mr. Burgundy).

SWOT Analysis

Strengths

• Most popular energy drinks in the world.

• Red Bull represents a specific, edgy subculture, while still being consumed by

a variety of demographics.

• Three different versions (Regular, Sugar‐Free, and Cola) allow for variety

without spreading the brand too thin.

Opportunities

• Increase awareness of Red Bull’s dominance in the energy drink market

• Strengthen the relationship between Red Bull’s target audiences.

• Increase Red Bull’s sales in specific markets such as the Dakotas, Tennessee

& Ohio.

Weaknesses

• Not a patented drink product

Threats

• Health risks associated with over consumption.

• Competition is increasing.

Marketing Plan-

Sales Objectives

We want to maintain our position as the leader in energy drinks and the face

of extreme sports worldwide, while expanding our reach in the U.S. Currently

North Dakota, South Dakota, Tennessee, and Ohio are lagging in Red Bull

awareness and consumption. We want to increase distribution of Red Bull in

these states by 5% and increase brand awareness by 85% in these markets

while maintaining our national presence.

Target Market

(Malinauskas, Brenda et.al.)

The uniqueness of Red Bull is that the company does not follow traditional

media guidelines and that is why they chose the untraditional platform (Hein,

Kenneth). Their target audience is very receptive to this. As stated above, the

target audiences of Red Bull are people between the ages of 18‐35, who lead

an active lifestyle and what to have a sense of belonging in their community,

but in an untraditional way. But there is much more to Red Bull’s target

audience. Not only do they not trust traditional media they are turned off by it.

These antiestablishment and adventure seeking individuals that do not follow

the rules and needed Red Bull needed buzz marketing/extreme sports in order

to tap into them (Rodgers, Anni Layne).

The target audiences of Red Bull are people who work hard and play hard.

Theytake their profession very seriously but like to have fun in their free time.

From the college classroom to the boardroom, these people don’t check out of

life at five o’clock. The common thread connecting Red Bull consumers is that

they all enjoy staying active by participating in sporting events, watching

sporting events, playing video games or socializing (Hein, Kenneth).

Marketing Objectives and Strategies

Our marketing objective and strategy is to launch localized events to attract

youth on college campuses and at sporting events in North Dakota, South

Dakota, Ohio, and Tennessee. These events will feature some of our sponsored

athletes making guest appearances and free give‐a‐ways of Red Bull and Red

Bull products. We will host a Soapbox Race and a FlugtagFlightlab event the in

major cities in these states in order boost awareness and consumption of Red

Bull in those areas. In addition, Red Bull vehicles will make their way across the

United States, specifically in larger cities, promoting the brand and giving away

free samples. The Red Bull vehicle routes will travel with reps to college

campuses in major cities promoting the brand and its lifestyle. A million

samples will be distributed by these Red Bull Reps and have a code on the

bottom of each can. Also, an additional million cans will be distributed across

the U.S. to be sold by retailers. Thesecodes can be entered online to win free

Red Bull, a VIP trip for two to the 2010 winter X Games in Aspen, CO, a VIP trip

for two to the summer X Games in Los Angeles, CA, or free entry passes to the

Soapbox Races, or Flugtag Flight lab events hosted in our target states.

National, one in 50 can codes will give away free Red Bull, four in two million

will give away the two winter and two summer X Game packages. In our target

states, 200 cans will award recipients with passes to their local Soapbox Racing

and Flugtag Flight lab events.

As well as targeting North Dakota, South Dakota, Ohio and Tennessee, there

will also be two groups of two people assigned to each state. These Mini

Cooper teams will go to colleges and major cities promoting Red Bull and

advertising the Winter and Summer X Games.

Positioning Strategy

R&A Agency will continue to position Red Bull and Red Bull events as a unique,

off the radar subculture. Spotting the Red Bull vehicle will be an event in itself,

creating buzz on the streets and water cooler talk. By using Red Bull to guide

drinkers to Red Bull events we will succeed in increasing consumption and

awareness in lagging markets and stay consistent across the U.S. The events

will be a place where like minded people can come together, have fun, be

creative, blow off some steam and feel like a part of the exclusive Red Bull

family. R&A Agency will not change Red Bulls existing tagline, Red Bull Gives

You Wings, because we feel the company has already established a tag line

that many people already know about. R&A Agency will continue to use the tag

line on products and just make the tag line more evident on products, such as

on the give‐a‐ways that the college

Reps will be giving out.

Marketing Mix Implementation Tools

“Red Bull Gives You Wings” across the United States Red Bull is an energy drink

that represents a lifestyle, and we want to bring that lifestyle to the masses.

Our marketing mix will consist of Public Relation promotions, non‐traditional

advertising, and sponsorships of extreme sports athletes and events. By using

this mix, we will attract traditional media to cover our product without creating

traditional ads ourselves. We plan to keep the price of Red Bull the same as it

is now, but do free give away during PR events and during sponsored events.

Our PR event is a cross‐country road trip in Red Bull’s Mini Coopers. The road

trip will consist of 100 two‐men teams that will be making stops at major

colleges and universities across the U.S., including Yale, Berkley, Notre Dame,

and the University of Nebraska‐Lincoln. In addition to the stops in major cities,

special attention will also be given to North Dakota, South Dakota, Ohio, and

Tennessee to increase consumption and brand awareness. During their stops,

they will host events that give‐a‐way free Red Bull and Red Bull products as

well as other prizes such as flat screen T.V.s and Play station 3s. It will be a year

long event of appearances by the Red Bull Mini Coopers at college campuses in

major cities. These colleges will be contacted ahead of time to arrange free

interns to help plan and set up the events. Students will be able to play video

games, test drive the

Mini Cooper, win prizes, all while drinking Red Bull.

Red Bull will continue to have heavy sponsorship of their 500+ athletes and at

the Winter and Summer X Games. Clothing, banners, mini events will be the

main tools during these sponsorships that will be picked up by the local and

national television and radio stations covering these athletes careers and

sporting events.

Marketing Plan Budget and Calendar-Part of our 50 million dollar budget is

meant to focus on North Dakota, South Dakota, Tennessee and Ohio to make

them feel more as if they are part of the Red Bull community by tying them

into major events that Red Bull sponsors. The bulk of our 50 million dollar

budget will be going towards sponsoring the Winter and Summer X Games as

well as purchasing give‐a‐ways.

RED BULL PRODUCTS

Red Bull Energy Drink

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.

Red Bull Sugarfree

Red Bull Sugarfree 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 Sugarfree vitalizes body and mind.

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 in

AUSTRI

A,SWITZERLAND,UNITEDKINGDOM,ITALYIRELAND,RUSSI

A.USA, BELGIUM/LUXEMBURG

RED BULL ENERGY SHOTS

Red Bull Sugarfree Shot is a concentrated Red Bull

Sugarfree in a 60ml bottle with the same functional

ingredients as in a Red Bull Sugarfree 250ml can and

only 2 calories.

Buyer Behaviour Analysis For Red Bull

In 2008, the UK Energy and Sport drink market is estimated to be worth £650

million, with growth projected for the future. Red Bull stands as the market

leader in not only the UK market, but also worldwide. The market is decidedly

young, focusing mainly on the 16 to 24 year old segment. The product itself

and its effectiveness is highly subjective, shaped by previous conceptions,

brand image and health knowledge. Research has shown that these factors

play a role in not just the perception of energy conferred by the product, but

also the actual effectiveness. This study hopes to quantify the multitude of

factors shaping the consumer buying and usage process with respect to the

product and the market. To analyze this effectively, the study focuses on the

consumer perceptions of the energy and sport drink market, which are closely

related, the perception of Red Bull with respect to its current competitors and

the attitudes and opinions specific to the product. In order to explore our

research objectives, a focus group was conducted utilizing eight respondents, 6

female and 2 male. The group, with respect to age, was firmly rooted in the

core demographic of product users. Questioning was guided along the lines of

the three research groupings and utilized an open ended style to illicit valuable

insight about the product. Data was also gathered with respect to quantifiable

values on taste, image and other factors relative to the product and its

competition.

Findings were analyzed in the context of three models: Fishbein, Means-end

chain and the consumer decision process. Findings illustrated the image of 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. Consumer value perception played a lower role than assumed from

secondary research, with taste and effectiveness heavily shaping consumer

decisions. Within the means-end chain, the product was found.

Graph showing Energy Drink Market share

Red Bull76%

Cloud 96%

SJ XXX3%

Power Horse8%

Rock Star4%

Burn1.4%

SoBe0.7% Amway

0.9%

Energy Drink Market Share(INDIA)

CHAPTER 4

DATA ANALYSIS AND

INTERPRETATION

TABLE No.1

TABLE SHOWING-THE PROFILE OF THE RESPONDENTS BASED ON AGE

AGE NO. OFRESPONDENTS

PERCENTAGE

20-24 30 45%

25-29 19 26%

30-34 14 18%

Above 35 12 11%

TOTAL 75 100%

Analysis

From the above table it is clear that 45% of the respondents are aged between

20 and 24, 26% between 25 and 29, 18% between 30 and 34 and only 11% aged

above 35 years.

Interpretation

It is revealed that majority of respondents are between 20 and 29 years. From

this we can conclude younger generation and middle age are more interested in

Red Bull because it is thrilling and inclined towards the product.

GRAPH No.1

GRAPH SHOWING-THE PROFILE OF THE RESPONDENTS BASED ON AGE

45%

26%

18%

11%

20-24

25-29

30-34

Above 35

TABLE No.2

TABLE SHOWING-THE PROFILE OF THE RESPONDENTS BASED ON GENDER

GENDER NO. OFRESPONDENTS

PERCENTAGE

MALE 49 65%

FEMALE 26 35%

TOTAL 75 100%

Analysis

From the above table it is clear that 49% of respondents were male and female

respondents constituted just 26% of total responses.

Interpretation

It is clear that most of the users of Red Bull are males mostly because men are

addicts to it.

GRAPH No.2

GRAPH SHOWING-THE PROFILE OF THE RESPONDENTS BASED ON GENDER

65%

35%

Male

Female

TABLE No.3

TABLE SHOWING-THE OCCUPATION OF RESPONDENTS

OCCUPATION NO.OFRESPONDENTS

PERCENTAGE

STUDENT 29 38%

GOVERNMENT SERVICE

9 12%

EX-SERVICEMEN 3 4%

PROFESSIONAL 21 28%

SELF-EMPLOYED 13 18%

TOTAL 75 100%

Analysis

From the above table it is clear that 38% of the respondents were students

pursuing their graduation or post graduation studies and 28% were

professionals. 18% of the respondents were self employed, 4% were ex-

serviceman and 12% belonged to government services.

Interpretation

It is clear that users are mostly Professional males, 20-35 years of age including

some students because it helps in focusing and staying awake.

GRAPH No.3

GRAPH SHOWING-THE OCCUPATION OF RESPONDENTS

Student Govt service Ex-servicemen Proffesional Self-employed

No. of Re-spondents

0.380000000000002

0.12 0.04 0.28 0.18

3%

8%

13%

18%

23%

28%

33%

38%

TABLE No.4

TABLE SHOWING-THE ANNUAL INCOME GROUP OF RESPONDENTS

INCOME GROUP NO. OFRESPONDENTS

PERCENTAGE

LESS THAN 1,20,000 39 52%

1,20,001-3,60,000 10 14%

3,60,001-7,20,000 14 18%

ABOVE 7,20,000 12 16%

TOTAL 75 100%

Analysis

From the above table it is clear that 52% of the respondents had an annual

income of lesser than 1,20,000, 18% had income between 3,60,001 and

7,20,000, 16% earned more than 7,20,000 per annum and 14% had income

between 120001 to 3,60,000.

Interpretation

It shows that Red Bull is placing their products in the appropriate and

reasonable price range and the people of income bracket less than 1,20,000 can

easily afford this product.

GRAPH No.4

GRAPH SHOWING-THE ANNUAL INCOME GROUP OF RESPONDENTS

52%

14%

18%16%

Less than 1,20,000

1,20,001-3,60,000

3,60,001-7,20,000

Above 7,20,000

TABLE No.5

TABLE SHOWING- THE RESPONDENTS INVOLVEMENT WITH ANY EXTRACURRICULAR ACTIVITIES ON CAMPUS OR OUT OF OFFICE

YES/NO NO. OF RESPONDENTS

PERCENTAGE OF REPONDENTS

YES 23 30%

NO 52 70%

TOTAL 75 100%

Analysis

From the above it is clear that 30% of the respondents are involved in

extracurricular activities and 70% of them do not participate.

Interpretation

It clearly shows that majority of the respondents do not participate in any

extracurricular activities.

GRAPH No.5

GRAPH SHOWING- THE RESPONDENTS INVOLVEMENT WITH ANY EXTRACURRICULAR ACTIVITIES ON CAMPUS OR OUT OF OFFICE

No. of Respondents

0

10

20

30

40

50

60

70

Yes No

TABLE No.6

TABLE SHOWING-THE RESPONDENTS CONSUMPTION OF RED BULL

CONSUMPTION NO. OF RESPONDENTS

PERCENTAGE OF RESPONDENTS

EVERYDAY 15 19%2-3 DAYS A WEEK 20 27%4-5 DAYS A WEEK 12 16%

ONCE A WEEK 7 10%EVERY 2-3 WEEKS 9 12%

ONCE A MONTH 7 9%LESS THAN ABOVE 5 7%

TOTAL 75 100%

Analysis

From the table it clearly shows that 19% of the respondents consume Red Bull

everyday, 27% of them 2-3 days a week, 16% of them 4-5 days a week, 10%

once a week, 12% every 2-3 weeks, 9% once a month and 7% less than above.

Interpretation

It is clear that in customers there is a high regularity amongst consumption by

customers in a week.

GRAPH No.6

GRAPH SHOWING-THE RESPONDENTS CONSUMPTION OF RED BULL

Everyday 2-3 days a week

4-5 days a week

Once a week

Every 2-3 weeks

Once a month

Less than above

0

2

4

6

8

10

12

14

16

18

20

No. of Respondents

TABLE No.7

TABLE SHOWING- THE INCREASE IN CONSUMPTION OF RED BULL BY THE RESPONDENTS AFTER ADVERTISEMENTS

YES/NO NO. OFRESPONDENTS

PERCENTAGE

YES 47 62%

NO 28 38%

TOTAL 75 100%

Analysis

From the table it clearly shows that 62% of the respondents are affected by the

advertisements and 38% of them are not.

Interpretation

It is clear there is an increase in consumption of Red Bull after advertisements

and hence this marketing strategy has benefited.

GRAPH No.7

GRAPH SHOWING-THE INCREASE IN CONSUMPTION OF RED BULL BY THE RESPONDENTS AFTER ADVERTISEMENTS

YES

NO

0%

10%

20%

30%

40%

50%

60%

70%

62%

38%

No. of Respondents

TABLE No.8

TABLE SHOWING- THE SOURCE OF AWARENESS OF RED BULL

MEDIA NO. OFRESPONDENTS

PERCENTAGE

MAGAZINES 24 32%

FRIENDS 19 25%TV ADS 11 15%

WEBSITE/BLOGS 15 20%

OTHER SOURCES 6 8%

TOTAL 75 100%

Analysis

As we can see here the major promotional tool which is influencing the

customers is Magazines and friends which is around 32% and 25% respectively,

after that the source of awareness among customers is a mixed response where

in 20% from website/blogs, 15% from TV ads and 8% from other sources.

Interpretation

It clearly shows that magazines and friends create high awareness of Red Bull

amongst people.

GRAPH No.8

GRAPH SHOWING- THE SOURCE OF AWARENESS OF RED BULL

magazines friends and re-lations

TV adds Website Other sources

Respondents 0.320000000000002

0.25 0.15 0.2 0.08

3%

8%

13%

18%

23%

28%

33%

TABLE No.9

TABLE SHOWING- THE FACTORS INFLUENCING TO BUY RED BULL

FACTORS NO. OFRESPONDENTS

PERCENTAGE

RELIEVING FATIGUE

15 20%

FOR STAYING AWAKE

18 24%

DAILY ROUTINE 13 17%

INCREASE CONCENTRATION

18 24%

HANGOVER REMEDY

11 15%

TOTAL 75 100%

Analysis

From the above table it is clear that 20% of respondents buy Red Bull for

relieving fatigue, 24% of them for staying awake, 17% of them daily routine,

24% of them for increasing concentration and 15% for hangover remedy.

Interpretation

It is clear that there are majority of reasons supporting the consumption such as

fatigue, for staying up and to increase the level of concentration.

GRAPH No.9

GRAPH SHOWING-THE FACTORS INFLUENCING TO BUY RED BULL

Relieving fatigue For staying awake Daily routine Increase concen-tration

Hangover remedy

No. of Re-spondents

15 18 13 18 11

1

3

5

7

9

11

13

15

17

19

TABLE No.10

TABLE SHOWING-PURCHASING PLACE OF RED BULL BY RESPONDENTS

PLACE NO. OFRESPONDENTS

PERCENTAGE

CONVINIENCE STORE

16 22%

SUPER MARKET 44 58%

DRUG STORE 6 8%

OTHERS 9 12%

TOTAL 75 100%

Analysis

From the above table it is clear that 22% of the respondents buy Red Bull in

nearby convenient store, 58% of them in super market, 8% of them in drug store

and 12% by other means.

Interpretation

It is clear that super markets are on top of retailers in the sales of Red bull

energy drink.

GRAPH No.10

GRAPH SHOWING- PURCHASING PLACE OF RED BULL BY RESPONDENTS

22%

58%

8%

12%

Convinient store

Super market

Drug store

Others

TABLE NO.11

TABLE SHOWING- THE RESPONDENTS FACTORS INFLUENCING TO CHOOSE RED BULL

FACTORS NO. OF RESPONDENTS

PERCENTAGE

ENERGY 25 34%PRICE 13 17%

TV COMMERCIALS 9 12%ADS ON NEWSPAPER 4 6%

MARKETING CAMPAIGN

7 10%

PACKAGE 4 5%BRAND 6 7%TASTE 6 7%

WORD OF MOUTH 1 2%TOTAL 75 100%

Analysis

34% of the respondentsprefer to buy their bike drink for energy, 17% of them

for price, 12% of them due to tv commercials, 6% from ads on newspapers,

10% due to marketing campaign, 5% from package, 7% each for brand and taste

respectively and 2% due to word of mouth.

Interpretation

It is clear that the energy drink provides rejuvenation and replenishes energy

into the people consuming it.

GRAPH NO.11

GRAPH SHOWING- THE RESPONDENTS FACTORS INFLUENCING TO CHOOSE RED BULL

0

5

10

15

20

25

25

13

9

4

7

46 6

1

No. of Respondents

TABLE No.12

TABLE SHOWING- THE WEEKLY EXPENDITURE ON RED BULL BY RESPONDENTS

AVAILABILITY NO.OFRESPONDENTS

PERCENTAGE

RANGE OF RS.100 13 17%

RANGE OF RS.200 9 12%

RANGE OF RS.300 12 16%

RANGE OF RS.400 6 8%

RANGE OF RS.500 19 26%

MORE THAN ABOVE

16 21%

TOTAL 75 100%

Analysis

From the above it is clear that 17% of the respondents spend Rs.100 on Red bull

weekly, 12% of them spend Rs.200, 16% of them spend Rs.300, 8% of them

spend Rs.400, 26% of them spend Rs.500 and 21% of respondents spend above

Rs.500.

Interpretation

It is clear that majority of the respondents are around the 500Rs mark and spend

around 500Rs on the energy drink.

GRAPH No.12

GRAPH SHOWING- THE WEEKLY EXPENDITURE ON RED BULL BY RESPONDENTS

Category 1

0%

5%

10%

15%

20%

25%

30%

Range of

Rs.100

Range of

Rs.300

Range of

Rs.500

Range of Rs.100

Range of Rs.200

Range of Rs.300

Range of Rs.400

Range of Rs.500

More than above

TABLE No.13

TABLE SHOWING - THE RESPONDENTS OPINION OF PREFERING ANY OTHER ENERGY DRINK OVER RED BULL

YES/NO NO. OFRESPONDENTS

PERCENTAGE

YES 17 23%

NO 58 77%

TOTAL 75 100%

Analysis

Maximum number of people (77%) doesn’t prefer any other energy drinkover

Red Bull and 23% of respondents prefer other energy drink also.

Interpretation

It is clear that red bull energy drink dominates the energy drink market and

consumers prefer red bull over other energy drinks.

GRAPH No.13

GRAPH SHOWING - THE RESPONDENTS OPINION OF PREFERING ANY OTHER ENERGY DRINK OVER RED BULL

23%

77%Yes No

TABLE NO.14

TABLE SHOWING- THE RESPONDENTS OPINION IF RED BULL IS OVER PRICED OR NOT

RATING NO. OFRESPONDENTS

PERCENTAGE

YES 16 22%

NO 59 78%

TOTAL 75 100%

Analysis

From the above table it is clear that 78% of the respondents felt Red Bull is not

over priced and 22% of them felt its cost is high.

Interpretation

It is clear that majority of the respondents feel red bull is money to worth

product and not over priced for the quality of the drink.

GRAPH No.14

GRAPH SHOWING- THE RESPONDENTS OPINION IF RED BULL IS OVER PRICED OR NOT

5

15

25

35

45

55

Yes

No

TABLE No.15

TABLE SHOWING-THE OPINION OF THE RESPONDENTS OF FACING DIFFICULTIES IN FINDING RED BULL AND THEIR SATISFACTION LEVEL WITH RESPECT TO AVAILABILITY OF RED BULL

YES/NO NO. OF RESPONDENTS

PERCENTAGE

YES 13 18%NO 62 82%

TOTAL 75 100%

RESPONSE FOR SATISFACTION

NO. OF RESPONDENTS

PERCENTAGE

YES 64 85%

NO 11 15%

TOTAL 75 100%

Analysis

The above table shows that 82% of the respondents accept that there are no

difficulties in finding Red Bull in market and 18% felt they have difficulties.

Also the satisfaction level is 85% of the respondents are extremely satisfied and

34% are not satisfied with respect to availability of Red Bull.

Interpretation

It is clear that there is ample availability of the drink in the market and not much

difficulty to access it.

GRAPH No.15

GRAPH SHOWING-THE OPINION OF THE RESPONDENTS OF FACING DIFFICULTIES IN FINDING RED BULL AND THEIR SATISFACTION LEVEL WITH RESPECT TO AVAILABILITY OF RED BULL

Point of Satisfaction

Yes85%

No15%

Yes

No

0

10

20

30

40

50

60

70

13

62

No. of Respondents

TABLE No.16

TABLE SHOWING-THE RESPONDENTS OPINION ABOUT THE RED BULL SUPREMACY OVER THE COMPETITORS IN THE MARKET

FACTORS NO. OFRESPONDENTS

PERCENTAGE

PRICE 13 18%

TASTE 28 37%

BRAND IMAGE 24 32%

PROMOTION 10 13%

TOTAL 75 100%

Analysis

From the above table it is clear that 18% of the respondents felt price as the

answer, 37% of them felt taste is the reason for the supremacy, 32% of them felt

its brand image and 13% of them felt promotion.

Interpretation

It is clear that red bull is chosen unanimously for its taste over other factors that

support to the strengths of the energy drink.

GRAPH No.16

GRAPH SHOWING- THE RESPONDENTS OPINION ABOUT THE RED BULL SUPREMACY OVER THE COMPETITORS IN THE MARKET

Price Taste Brand Image Promotion0

5

10

15

20

25

30

13

28

24

10

No. of Respondents

TABLE NO.17

Table showing Energy Drink Market share, (with sales and

availability in retail shops)

BANGALORE SJ XXX Red Bull Cloud 9 Others

North 8 41 6 11

East 5 20 5 10

West 5 26 18 16

South 3 27 6 11

Central 9 49 5 17

Total/326 30 163 40 65

Analysis

From the above table it can be analyze that out of 326 retail shops, Red Bull has

maximum sales and availability (163 shops), followed by Cloud 9 (40 shops)

and then SJ XXX (30 shops) (being in the introductory phase of its life cycle).

Interpretation

From the above data it can be interpreted that Red Bull has the maximum

availability in 163 retail shops out of 326 shops.

TABLE NO.17

Table showing Energy Drink Market share, (with sales and

availability in retail shops)

NorthEast

WestSouth

CentralTotal/326

0

20

40

60

80

100

120

140

160

180

85

53 9

30

41

20 26 27

49

163

65

18

65

4011

10 1611 17

65

SJ XXX Red Bull Cloud 9 Others

CHAPTER 5FINDINGS AND CONCLUSION

FINDINGS

1. It is revealed that majority of respondents are between 20 and 29 years.

From this we can conclude younger generation and middle age are more

interested in Red Bull because it is thrilling and inclined towards the

product.

2. It is clear that most of the users of Red Bull are males mostly because men

are addicts to it.

3. It is clear that users are mostly Professional males, 20-35 years of age

including some students because it helps in focusing and staying awake.

4. It shows that Red Bull is placing their products in the appropriate and

reasonable price range and the people of income bracket less than

1,20,000 can easily afford this product.

5. It clearly shows that majority of the respondents do not participate in any

extracurricular activities.

6. It is clear that in customers there is a high regularity amongst consumption

by customers in a week.

7. It is clear there is an increase in consumption of Red Bull after

advertisements and hence this marketing strategy has benefited.

8. It clearly shows that magazines and friends create high awareness of Red

Bull amongst people.

9. It is clear that there are majority of reasons supporting the consumption

such as fatigue, for staying up and to increase the level of concentration.

10.It is clear that super markets are on top of retailers in the sales of Red bull

energy drink.

11.It is clear that the energy drink provides rejuvenation and replenishes

energy into the people consuming it.

12.It is clear that majority of the respondents are around the 500Rs mark and

spend around 500Rs on the energy drink.

13.It is clear that red bull energy drink dominates the energy drink market

and consumers prefer red bull over other energy drinks.

14.It is clear that majority of the respondents feel red bull is money to worth

product and not over priced for the quality of the drink.

15.It is clear that there is ample availability of the drink in the market and not

much difficulty to access it.

16.It is clear that red bull is chosen unanimously for its taste over other

factors that support to the strengths of the energy drink.

CONCLUSION

From the study it is clear that majority of users are between 20 and 29

years i.e. younger generation and users of Red Bull are Professional males

including some students because it helps in focusing and staying awake.

Red Bull is placing their products in the appropriate and reasonable price

range and in customers there is a high regularity amongst consumption by

customers in a week. Also there is an increase in consumption of Red Bull after

advertisements with magazines and friends creating high awareness of Red Bull

amongst people.

There are majority of reasons supporting the consumption of Red Bull

such as fatigue, for staying up and to increase the level of concentration. Super

markets are on top of retailers in the sales of Red bull energy drink. The energy

drink provides rejuvenation and replenishes energy into the people consuming it

and customers are around the 500Rs mark and spend around 500Rs on the

energy drink. So v can say Red Bull energy drink dominates the energy drink

market and consumers prefer red bull over other energy drinks.

Red Bull is money to worth product and not over priced for the quality of

the drink and there is ample availability of the drink in the market and not much

difficulty to access it. From this we can conclude that Red Bull is chosen

unanimously for its taste over other factors that support to the strengths of the

energy drink.

CHAPTER 6

SUGGESTIONS

SUGGESTIONS

1. The company should come up with new, better and attractive flavors

to attract all segments of the market.

2. The company can come up with different beverages other than

energy drinks.

3. The company can reduce prices and introduce promotional

campaigns so larger mass can try the product.

4. Red Bull is affiliated with caffeine industry, which might help them

exploit coffee industry.

5. The packaging should help retain the chillness of the drink without

which it is tasteless.

ANNEXURE

QUESTIONNAIRE

This information is required for the successful completion of a project based on-

‘A Study on Customer Satisfaction and Marketing Effectiveness of Red Bull

energy drink, Bangalore.’ I would appreciate all your help in generating the

response to this questionnaire. Thank you.

RESPONDENT INFORMATION

Name:

1. Age:

2. Gender : Male Female

3. Occupation:

Student Government service

Professional Self employed other

4. Annual Income:

Less than 1, 20,000 1, 20,001-3, 60,000

3, 60,001-7, 20,000 Above 7, 20,000

5. Are you involved with any extracurricular activities on campus or out of office? Social events you participate in?

Yes No

6. Have you consumed an energy drink before?

Yes No

-If “yes” why? / If “No” why not?

Yes No

7. Have you tried the Energy Drink “Red Bull”?

Yes No

8. How often do you consume Red Bull?

Everyday 2-3 days a week 4-5 days a week

Once a week Every2-3 weeks Once a month

Less than above

9. Has marketing or advertising affected your consumption of Red Bull?

Yes No

10.Please specify your source of awareness of Red Bull?

Magazines TV Ads Friends

Website/blogs Other Sources (Please specify)

11.Why do you buy Red Bull?

For Relieving Fatigue For staying Awake

Daily Routine Increase Concentration

Hangover Remedy Others

12.Where do you usually buy Red Bull?

Convenience Store Supermarket Drug Store

Others

13.What are important factors to choose Red Bull? Please provide your top 3 answers.

Energy Price TV Commercial

Ads on newspaper/magazine Marketing Campaign

Package Brand

Taste Word of Mouth

14.How much do you usually spend on Red Bull per week?

Range of Rs.100 Range of Rs.200 Range of Rs.300

Range of Rs.400 Range of Rs.500 More than above

15.Would you prefer any other energy drink over Red Bull?

Yes No

If Yes why?

16.Do you think Red Bull is over priced?

Yes No

17.Have you ever faced difficulties in finding Red Bull?

Yes No

Are you satisfied with availability of Red Bull in market?

Extremely satisfied Not at all satisfied

18.What do you think is the Red Bulls supremacy over its competitors in the

market?

Price Taste Brand Image

Promotion

19.Which company do you think has the highest market share in the energy

drink segment?

Red Bull XXX

Cloud 9 Others

20.Any Suggestions

BIBLIOGRAPHY

BIBLIOGRAPHY

Books Referred

Marketing Management, 13th edition - Philip Kotler.

Survey Research Method - Charles Babbie.

Magazines Referred

The Red Bulletin

Websites Referred

www.google.com

www.wiiings.com

www.redbull.com

www.wikipedia.com