Red Bulls Market Essay Example for Free

Red Bulls Market Essay A Bulls Market the marketing of Red Bull energy drink Red Bull, Austrias biggest export since Arnold Schwarzenegger, has methodically created and dominated the energy drink category much in the way players of the board game Risk would defeat their opponents. Dietrich Mateschitz, the owner of Red Bull International, created the highly caffeinated beverage in 1987. Five years later, the drink spread into neighboring countries like Hungary and Slovenia, followed by Germany and Switzerland. In 1997, Red Bull prepared to storm the U. S. market. Today, the slinky 8-3-OZ can has completed its invasion into nearly every cold box in the United States. (Ohio, Tennessee and the Dakotas are among the few states without it. ) In less than three years, Red Bull singlehandedly established and then lifted the booming energy drink category from a base of $12 million in (wholesale) dollar sales to $42 million in 1998 and $75 million in 1999, per Beverage Marketing Corp. Others soon followed, building energy drinks to a $130 million business. Now Coke (KMX) and Anheuser-Busch (180) are jumping in. Last year, Red Bulls market share stood at 65%, while the company reportedly pulled in a cool $1 billion in worldwide sales. Just how Red Bull managed to accomplish so much, so quickly has become the stuff of mythology Some have written off the product by calling it a flash in the pan or derisively note that its handlers got lucky. A closer investigation of the companys strategy however, reveals that luck had little to do with Red Bulls success. The companys consistent battle plan has been to open up a market by securing unusual distribution. When Red Bull initially set up camp in Santa Monica, Calif. , it piggybacked on established distributors. Typically distributors will deliver a number of brands; a Pepsi house will handle Pepsi, Diet Pepsi and Mountain Dew, and may even pick up a non-competing rival like Dr Pepper. Sales reps even greased the wheels by paying for their accounts promotional, advertising and sampling costs for three months. But as the drink caught on, the company began taking a more narrow approach. Now, a Red Bull sales rep will contact a small distributor and insist that he or she sell only Red Bull. Otherwise, Red Bull will set up a warehouse and hire kids to load up the vans and deliver product. These start-up distributors can focus their entire energies on getting Red Bull fully stocked in stores with prominent shelf placement. They generally break even within three months and are profitable within six. They buy direct from Red Bull. Theres enough margin and volume to make it work, said one Northeastern distributor. I wish theyd give it to me, but they have the kids with the vans doing it. Im looking forward to getting Snapples Venom [a new energy drink launching June 15] so I can compete with them. Next, the sales team visits key on-premise accounts: hot clubs and trendy bars. When owners begin buying a few cases, they receive a Red Bull branded cooler and other POP items. Thats when we start doing business officially, said Markus Pichler, evp-strategic planning, Red Bull North America. We go to on-premise accounts [vs. retailers] first, because the product gets a lot of visi bility and attention. It goes faster to deal with individual accounts, not big chains and their authorization process. Plus, on-premise provides fertile ground for new drink trends. In clubs, people are open to new things, said Pichler. The most important thing about [Red Bull] is, its working. If you had a tough week and want to dance, the product works. Perhaps a bit too well. Fueling Red Bulls growth is a mystique created by outlandish rumors about its contents: it is liquid Viagra; its secret ingredient is bulls testicles; someone overdosed from the drink because it has drugs in it. (The company shoots down these and other myths in an FAQ section on RedBull. com. Pichler wouldnt talk about Red Bulls natural fit with the speed crowd that frequents raves, taking designer drugs to stay awake for days at a time. Nor does the company endorse the mixing of Red Bull with vodka, Jagermeister or tequila-a ubiquitous bar call whose roots can be traced to Europe. From a sales perspective, Pichler acknowledged, [the mixability] is a nice side effect. Theres more to the guerrilla strategy than building buzz at clubs. Sales teams will open off-premise accounts at convenience stores near colleges, gyms, health-food stores and supermarkets. The company has divided the U. S. into eight decentralized sales units, each of which is handled on a city-by-city basis. One regional office in New York, for example, services Maryland, New Jersey Pennsylvania and Virginia. The Boston office handles the New England states and upstate New York. Each unit is responsible for creating distribution, making sales calls and developing targeted marketing plans. The mission: to find out where the target demo (men and women age 16-29) hangs out and what interests them. Its their job to get the message out to the right clubs and at the right events. While 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. Events include the Red Bull Huckfest, a ski and snowboard freestyle competition held in January in Snowbird, Utah; and the Red Bull Flugtag (German for flying day),premiering in the U. S. this fall. At the latter event, amateur pilots will create exotic flying machines and attempt to soar off the Santa Monica pier. The brand also employs teams of consumer educators, who roam the streets and dangle free samples. With California as its stronghold, Red Bull made its way into Oregon, Settle, Texas and ski resorts in Colorado. It next moved into the Midwest, targeting urban markets like Chicago and its environs. Soon it showed up on the East Coast in Miami and New York. (The Big Apple had a head start: Europe leaked the beverage into the city) Newer markets include the Carolinas, Virginia and Washington, D. C. In the antithesis of any majors marketing plan, Red Bull buys traditional advertising last. Only when a market is deemed mature does the company begin a media push. The idea is to reinforce, not introduce, the brand. Media is not a tool that we use to establish the market, said vp-marketing David Rohdy. It is a critical part. Its just later in the development. Current ads, titled Red Bull gives you wings, focus around an animated bull character. The initial spot is set in the Renaissance era, where an artist is telling the man who commissioned his painting that he has created the perfect piece of art: Red Bull. Itll give you wings, he said. Indeed, in another ad, an energized bull is shown leaping over a city. The ads have begun airing during late-night TV in New York, and radio programs including The Howard Stern Show. A Santa Monica-based shop, Lunch, handles ads and POP materials for the entire U. S. Red Bull typically creates two new TV spots a year and runs them in mature markets. The brand spent $100 million in the U. S. last year, according to the company Measured media spending was only $18. 9 million last year, up from $9 million in 1999, per Competitive Media Reporting. Red Bulls runaway popularity had given it easy entree into mass merchandisers. It is currently the No. 1 product in Store24, where it is now a bigger seller than beer, milk, water and soda. 7-Eleven is experiencing similar results. We have seen double-digit growth [in the non-carbonated segment]. Red Bull tops the list big time, said Jim Jackson, category manager for non-carbonated beverages at 7-Eleven, Dallas. [Their success is due to] their single-product focus, major advertising dollars and distribution. They create demand before they even get it to retail. The picture may yet change, as Red Bull is now facing more than a dozen imitators, most notably Cokes KMX and A-Bs 180. Knockoffs they may be, but distributors say they have been moving extremely well. Weve done a lot of the dirty work for them, Rohdy said. Pichler was a bit more engaging. Were a fan of competition. Its a positive for us, he said. It validates the energy drink category. Red Bull has already experienced the c opycat phenomenon overseas. The company doesnt appear to be concerned, however, having hit the $1 billion worldwide sales mark. Besides, observers have said the also-rans dont have a prayer. Red Bull seems to have a cooler in every bar in every city. The sales force, thats all they do, said one new age beverage executive. The big guys will not put that much energy into it and will lose interest when they dont make any headway. After conquering the U. S. , the Red Bull army plans to move on. It is currently making headway in Brazil and South Africa, though South America and Africa as a whole remain largely untapped. If history repeats itself, it wont be long before everyone on the planet gets their wings.

Effects of War Exposed in All Quite on the Western Front, Bury the Dead

Effects of War Exposed in All Quite on the Western Front, Bury the Dead, and Paths of Glory      Ã‚  Ã‚  Ã‚   "From the happy expression on their faces you might have supposed that they welcomed the war. I have met with men who loved stamps, and stones, and snakes, but I could not imagine any man loving war." Margot Asquith revealed her discontent with war in this quote. War is defined in the American Heritage Dictionary as a concerted effort or campaign to combat or put an end to something considered injurious. A rather contradicting definition from the dictionary when one examines war's true meaning and the effect it has on mankind. Wars do not put an end to something considered injurious, war starts them. War stems from human greed and ignorance and is often used as a tool by men to seek fame and glory. People remember the glory of Alexander the Great, Hannibal, and Napoleon but forget the number of deaths caused by these so-called heroes. War is about death and the destruction of the human character and spirit. World War I, not only claimed millions of lives , but left deep scars in the memories of those who survived. Disillusioned and disheartened, these young people became known as the Lost Generation. Even though the cost of war was staggering, its psychological effects had no boundary. The soldier's greatest struggle during war is not physical, but mental and spiritual.   Ã‚  Ã‚  Ã‚  Ã‚     Ã‚  Ã‚  Ã‚  Ã‚   A war novel that gives its reader an insight into the lives of soldiers during WWI, All Quiet on the Western Front, written by Erich Maria Remarque, is considered the greatest war novel of all time. This book brings its readers into the personal life of Paul Baumer and the horrors he had to encounter as a young German s... ...think about themselves, about religion, and about war. Sometimes, when a soldier gets too caught up in the war, he tries to hide his true feelings even though he is facing the biggest battle of all: with himself.    Works Cited:    Cobb, Humphrey. Paths of Glory, a Novel, Viking Press, New York 1935, new edition, Dell 1957, William Heinemann Ltd, London.    Hynes, Samuel. A War Imagined: The First World War and English Culture, London: Bodley Head, 1991.    Remarque, Erich Maria. All Quiet on the Western Front. New York: Ballantine Books, 1984.    Shaw, Irwin. Bury the Dead. New Theatre & Film, 1934-1937. Ed. Herbert Kline. San Diego: Harcourt, Brace, Jovanich, c1985.    Stephen E. Tabachnick, "Afterword," to Humphrey Cobb, Paths of Glory (1935) (Athens: University of Georgia Press, 1987), pp. 267-304.      

Macroeconomics Homework 1 Essay

Principles of Macroeconomics Homework 1 Please write down your answers as clearly as possible. 1. Below are some data from the land of milk and honey. Year 2008 2009 2010 Price of Milk $1 $1 $2 Quantity of Milk 100 quarts 200 200 Price of Honey $2 $2 $4 Quantity of Honey 50 quarts 100 100 a. Compute the nominal GDP, real GDP, and the GDP deflator for each year, using 2008 as the base year. Calculating nominal GDP: 2008: ($1 per qt. of milk ï‚ ´ 100 qts. milk) + ($2 per qt. of honey ï‚ ´ 50 qts. honey) = $200 2009: ($1 per qt. of milk ï‚ ´ 200 qts. milk) + ($2 per qt. of honey ï‚ ´ 100 qts. honey) = $400 2010: ($2 per qt. of milk ï‚ ´ 200 qts. milk) + ($4 per qt. of honey ï‚ ´ 100 qts. honey) = $800 Calculating real GDP (base year 2008): 2008: ($1 per qt. of milk ï‚ ´ 100 qts. milk) + ($2 per qt. of honey ï‚ ´ 50 qts. honey) = $200 2009: ($1 per qt. of milk ï‚ ´ 200 qts. milk) + ($2 per qt. of honey ï‚ ´ 100 qts. honey) = $400 2010: ($1 per qt. of milk ï‚ ´ 200 qts. milk) + ($2 per qt. of honey ï‚ ´ 100 qts. honey) = $400 Calculating the GDP deflator: 2008: ($200/$200) ï‚ ´ 100 = 100 2009: ($400/$400) ï‚ ´ 100 = 100 2010: ($800/$400) ï‚ ´ 100 = 200 1 b. Compute the percentage change in nominal GDP, real GDP, and the GDP deflator in 2009 and 2010 from the preceding year. For each year, identify the variable that does not change. Explain in words why your answer makes sense. Calculating the percentage change in nominal GDP: Percentage change in nominal GDP in 2009 = *($400 − $200)/$200+ ï‚ ´ 100 = 100%. Percentage change in nominal GDP in 2010 = *($800 − $400)/$400+ ï‚ ´ 100 = 100%. Calculating the percentage change in real GDP: Percentage change in real GDP in 2009 = *($400 − $200)/$200+ ï‚ ´ 100 = 100%. Percentage change in real GDP in 2010 = *($400 − $400)/$400] ï‚ ´ 100 = 0%. Calculating the percentage change in GDP deflator: Percentage change in the GDP deflator in 2009 = *(100 − 100)/100+ ï‚ ´ 100 = 0%. Percentage change in the GDP deflator in 2010 = *(200 − 100)/100+ ï‚ ´ 100 = 100%. Prices did not change from 2008 to 2009. Thus, the percentage change in the GDP deflator is zero. Likewise, output levels did not change from 2009 to 2010. This means that the percentage change in real GDP is zero. c. Did economic well-being rise more in 2009 or 2010? Explain. Economic well-being rose more in 2009 than in 2010, since real GDP rose in 2009 but not in 2010. In 2009, real GDP rose but prices did not. In 2010, real GDP did not rise but prices did. 2. What components of GDP in this year (if any) would each of the following transactions affects? How about total GDP in this year? Explain. a. A family buys a new refrigerator Consumption increases because a refrigerator is a good purchased by a household. Total GDP increases by the same amount. b. Aunt Jane buys a new house Investment increases because a new house is an investment good. Total GDP increases by the same amount. c. Ford sells a Mustang from its inventory 2 Consumption increases because a car is a good purchased by a household, but investment decreases because the car in Ford’s inventory had been counted as an investment good until it was sold. The increase in consumption cancels the decrease in investment, so there is no change to the total GDP (recall that GDP does not include the value from sale of used good) d. You buy a pizza from a local Pizza place. Consumption increases because pizza is a good purchased by a household. Total GDP increases by the same amount. e. California repaves Highway 101 Government purchases increase because the government spent money to provide a good to the public. Total GDP increases by the same amount. f. Your parents buy a bottle of French wine Consumption increases because the bottle is a good purchased by a household, but net exports decrease because the bottle was imported. The increase in consumption cancels the decrease in net exports, so there is no change to the total GDP (recall that GDP does not include the value of foreign produced goods) g. Honda downsizes its factory in Marysville, Ohio Investment decreases because some structures and equipment were put away. Total GDP decreases by the same amount. h. A senior lady in Cleveland receives social security from the government. Neither any of the components nor the total GDP is affected. Because social security is a kind of transfer payment, which is not included in GDP. 3. Explain a. Why a closed economy’s income must equal its expenditure? A closed economy’s income must equal its expenditure, because every transaction has a buyer and a seller. Thus, expenditure by buyers must equal income by sellers. b. Why do economists use real GDP rather than nominal GDP to gauge economic wellbeing? Economists use real GDP rather than nominal GDP to gauge economic well-being because real GDP is not affected by changes in prices, so it reflects only changes in the amounts being produced. Because it measures the economy’s production of goods and services, it reflects the economy’s ability to satisfy people’s needs and desires. But nominal GDP is affected both by quantity and price. You cannot determine if a rise in nominal GDP has been caused by increased production or higher prices. Thus real GDP is a better gauge of economic well-being than is nominal GDP.

Gun Violence And Gun Control - 1043 Words

In the past decade or so, Americans had experienced epidemic level of gun violence taking place in every corner of country. Actually owning gun is legal in the USA, it’s actually our second amendment; the right to bare firearms. Approximately 300 million Americans held gun in their homes. Gun violence has centered in our community as major issue. Gun violence and gun ownership have been in the news lately due to numerous shooting taking place at Movie theatre, Offices, , colleges and even elementary schools. The gun issue discussion were even discussed in a national court, but due to intense controversial opinion from both side, the case is still unresolved. Many civilians believe that laws regarding owning gun should be stricter and if possible ban civilians from having guns. On the other hand, some say it is our right to own gun as it is guaranteed in our second amendment. But second amendment was written in 1970s and we are in 21 century now with cases of innocents being killed in gun shoot frequently. Therefore, it is not wrong to claim that gun ownership are responsible for rising death number in America, First, banning gun shot will exceptionally decrease the number of deaths. Unarmed citizens were killed and injured during most gun shoot incidents. Nowadays, G un shoot cases are shown in news channels and internet every now and then. For example, the gun shot that happened in our neighbor nursing college in oakland; Oikos University. It took away the lives ofShow MoreRelatedGun Control And Gun Violence1054 Words   |  5 PagesGun control generally refers to policies that regulate the manufacture, sale, transfer, possession, modification, or use of firearms (Wikipedia). This is an important definition for citizens, lawmakers, and gun lobbyists to follow over the debate on gun control. As well as the Second Amendment in the constitution which states, â€Å"The right of the people to keep and bear Arms shall not be infringed†. There has been a debate on whether that specifies within the home or outside of the home. For more thanRead MoreGun Control And Gun Violence1172 Words   |  5 Pagespeople depart from this earth due to gun violence in the US every day. From school children, to victims of domestic violence, to people going ab out their daily lives, this status quo is unacceptable. On Tuesday January 5th, 2016 President Obama announced that he would send proposals on reducing gun violence in America to Congress. His spokesman, Jay Carney, mentioned that this is â€Å"a complex problem that will require a complex solution.† The ability to own a gun is considered by some a birthright ofRead MoreGun Violence And Gun Control726 Words   |  3 PagesI have read were â€Å"Connecticut School Shooting ‘An Attack on America’† by Ted Anthony and â€Å"The Price of Gun Control by Dan Baum. All around I believe these articles were both very interesting and both took different perspectives on the issues of guns in America. Both Anthony and Baum illustrated the different problems that we have in America and our communities with gun control and gun violence. But, they both brought the text together to relate it on a personal level. I enjoyed reading both textsRead MoreGun Violence And Gun Control1007 Words   |  5 Pagesshootings and various other methods of gun violence, tens of thousands of people die every year. These gun-related deaths primarily originate from murder and children accidentally shooting themselves. Although those in favor of gun control tend to believe that guns should be terminated completely, the second amendment prevents lawmakers from being able to do so. Therefore, in order to combat these causes, alternative gun control solutions must be made for each one. Gun-related murders can be decreasedRead MoreGun Control And Gun Violence1226 Words   |  5 PagesViolence is everywhere in the world. In every country, city, town and village there is some form of violence. In my lifetime, there have been countless deaths and injuries due to gun violence. We happen to live in a country where gun violence is among the most prevalent in the world: The United States of America. Today, gun control and gun violence has become a controversial issue in Americ a. The issue for gun control has been debated for a long time, probably ever since they were invented. It isRead MoreGun Violence And Gun Control1406 Words   |  6 Pages Gun violence in America is a huge topic of discussion. Many people have heard about this topic on the news or in the newspaper, but have very little knowledge on this ongoing topic. Those who have a lack of information on gun control tend to not feel strongly towards guns or people owning or carrying guns. People that have never been around guns are often scared of them, but the truth is a gun is nothing more than a hunk of metal. For a gun to go off the gun needs a shooter, so should the realRead MoreGun Violence And The Gun Control1253 Words   |  6 PagesGun Violence in America According to CDC, One person is killed by a firearms every 17 minutes, 87 people are killed during an average day, and 609 are killed every week†(CDC). That means gun violence is out of control, and you can be next. In fact, there s been an increase of mass murders occurring everywhere due to guns. Which has brought our attention to the gun violence in our nation. They say guns are for protection, but in reality there seems to be more murder associated with it. There sRead MoreGun Violence : Gun Control And The Violence Essay1241 Words   |  5 Pagesissue in American society would be gun control and the violence it brings. We live in a time where technology allows news to spread rapidly and every week gun violence crimes seem to be in the news. These crimes start to divide us as a society. â€Å"Each year for the last decade in America, more than 30,000 people have died due to firearms† (Swanson, 2015). From 1968 to 2015, we had about 1.6 million deaths due to firearm related deaths (Swanson, 2015). Gun violence only seems to be getting worse asRead MoreGun Violence And Gun Control Essay1301 Words   |  6 Pagescaused by gun violence this year. This is an alarming statistic, especially when you consider that 354 mass shootings have contributed to the body count. 1952 of these deaths have been labeled accidental, which is almost as startling as the death toll itself. (@GunDeaths) Gun violence is a problem that is not going to go away unless there is action taken to combat it. A lack of gun education, weak gun regulation, and government indifference towards gun violence in the country has allowed gun violenceRead MoreGun Violence And Gun Control1166 Words   |  5 Pagesmany people as the Land of the Free; a Land of Opportunities. There has always been a gun culture in America; however it has also been a gun-control culture. Whenever a devastating mass shooting occurs, such as the Sandy Hook Elementary School massacre, a deliberation about gun violence follows suit. Depending on whom you discuss this with, that case is not always true. There are those that are for gun control and those that are against. There are also conspiracy theories that claim that the events