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Submitted by puertorico072184 on April 20, 2007
Category: Business
Words: 4150 | Pages: 17
Views: 869
Popularity Rank: 8,264
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1. Market Segmentation
1.1 Introduction
Red Bull is a non-alcoholic energy drink and therefore falls under the category of soft drinks. Soft drinks can be divided into sub-segments and one of these segments is energy and sports drinks. These can be divided again into three different categories:
• Glucose energy drinks
• Sport drinks
• High energy stimulation drinks
Since 1996 the market of soft drinks has grown by 5% and by 1997 it reached a total amount of £6.896bn, which is an equivalent of 10bn liters. Moreover we can say that the segment of energy and sports drinks represents 2.6% or £177m of the overall soft drink market. Since 1992 an increase of 64% in volume sales can be found within this very young market of energy and sports drinks.
The main differences of the three above mentioned sub-segments of soft drinks are as followed:
1.2 Glucose Energy Drinks
These drinks provide physical energy through glucose or a mixture of sugars. Originated from the Lucozade brand. These drinks do not contain any other substantial ingredients such as Lucozade Energy, Lucozade NRJ or Red Card. In 1927 they were originally positioned as a convalescence drink.
1.3 Sports drinks
Also known as isotonic drinks, replaces body fluids after sport activities or exercises. Sport drinks help to re-energize and re-hydrate the body and can be taken before, during or after exercises. That's because you should drink it in great amounts and fairly quickly, they are usually still or low carbonated. Examples for this kind of drinks are Gatorade, Isostar and Dexters.
1.4 High-energy Stimulation Drinks
These drinks have ingredients such as caffeine and taurin, which help to increase concentration, endurance, alertness and reactions. This kind of drink is not only designed for sports men, it can be used nearly from everyone who wants to get stimulate and energize mind and body. Red Bull,...
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