The leading energy drinks firm Red Bull is a partnership firm of an Australian business tycoon, and a Thai Businessman has delivered amazing results. The company got set up 25 years ago. The enterprise holds global revenues hit only shy of 5 billion euros ($6.5 billion) in the year 2012, trading an estimation of 5.2 billion cans of drinks in more than 164 nations. Its creator, Dietrich Mateschitz, turned out to be the wealthiest and most successful businessperson in whole Austria holding a net worth of $7.1 billion. His Thai partner, the late Chaleo Yoovidhya, one of the wealthiest businesspersons in entire Thailand with a net worth of $5.4 billion.
Red Bull’s uncontrolled success further created an entirely unique category in the international F&B market called the energy drink. There are several notable strategies responsible for Red Bull’s progress in addition to its relationship with extreme sports just like bungee jumping and hang gliding and its presence in the F1 circuit with the help of its eponymous team.
The slogan of the brand “Red Bull gives you wings” is very much in line with the company vision (and its significant financial assets) to few high-risk experiences in the sphere of aviation, inclusive of previous year’s first ever free-fall parachute jump which was 39 kilometres above the earth. This adventurous energy is an idea of Red Bull’s freewheeling corporate environment, which has allowed the organization to create an excellent performance record since the company’s very inception.
The owner himself symbolizes this culture. He abandons a system which controls the organization and popularly rejected the advice of market research reports which recommended him not to even think of launching an energy drink. Following his gut-feeling rather than listening to the advice he spent whole one year transforming the institution of the drink from the original Thai version and the next two years he spent making small adjustments to its marketing as well as a communication strategy. The launch of the drink occurred in Austria in the year 1987 and in various European nations before the end of the millennium.
The execution of innovative strategies in the UK occurred in an away, particularly in distribution targeting endeavours on non-conventional garage forecourts, nightclubs and convenience stores which led to the advancing sales from 6 million cans in the year 1996 to 300 million boxes in the year 2006.
Red Bull’s freewheeling science goes beyond corporate culture, although, and is further about the right of every nation operation to undergo strategies that they trust to be the best suit their local markets. Red Bull has also kept up harmony in their marketing as well as a communication strategy. The company might be minimally efficient than it could be because there are minimal endeavours to share the topmost practices throughout various operations or to carve the processes. This incompetence does not have an impact on the company in the past years because of its premium costing and dominant market share in numerous markets.
This article is part of September, 2019 Magazine. Click on link to view the magazine.