The main competitor is Monster
The main competitor is Monster. First of all, both of them are very clear who is their target customers. Compared to others beverage on the market, the consumer group of energy drinks is much more narrower.The consumer group of energy drink is among the age of 18 to 25 years old,and those who are pursuing stimulation males. Understanding it, Monster and Red Bull sponsored and held extreme sport actively such as racing,surfing, BMX,etc. In the meanwhile, they also hold parties and concert. Through these activities, they delivers free drinks. It can attract target consumer efficiently. Additionally, they also sign a sponsored contract with a lot of extreme athletes or singers from a band. It can help them to not only complete the sport game but also have an performance opportunity. At the same time, brand awareness is promoted through the popularity of the sponsorship. The most important point is that both Red Bull and Monster will elaborately record the live coverage of the sport events or the concert and upload it to social media and Internet media. It is exactly what is called “content market”. According to the both official website, we can found that we’re easier to click in to the link of the brand sponsorship sport’s game and activity’s content on the two website. However, the sport drink is put in a invisible place, content has become the protagonist of marketing. What’s the worth to mention is, Red Bull is the model in the field of content marketing. Not only publishing the magazine, they have possession of over four thousands videos on Youtube channel. Recently, they even start to authorize the exclusive video to others media company to earn the royalty income. It is tantamount to transforming the marketing tools into the main body of products that the company provides to consumers, successfully giving the brand a new layer of meaning and increasing the source of income. From the point of view of consumer psychology, the fact that consumers buy product is not entirely due to the actual functions that they can bring. Some of them may be “expectations” for the products’ claimed effects. On the others words, as long as the product can provide a clear hope of appealing, consumers can make a purse purchase,and this hope usually exists in the sense represented by the brand. Monster said:”Monster is not just a can of energy drinks,it is a kind of attitude to life!” When the brand becomes a culture, a way of life, it is not difficult for consumers to link products and brands together. According to a survey, from 2011 to 2013, the two rivals Red Bull and Monster included the market’s first and second respectively. And it is worth noting that the gap between Monster and Red Bull has narrowed. The reason is facing the market leader and market pioneer of Red Bull, Monster has made his own style and grew fast. Although both of them emphasized their own limits, Monster added a bit of darkness and deviant spirit. This can be obviously felt from their logo. In addition, Monster selected sponsored sports programs are very strict. For example, they will not select basketball players and football players as spokesman. The sport itself must be dangerous enough to be sponsored. Therefore, Red Bull sports sponsorship is also checking strict, but with compared with Monster, the sports types are more diverse. Overall, Monster is more”bad”. As a result, it is successfully separated the market,established a group of loyal supporters, and enjoyed high-speed growth. The two companies are evenly matched. Nevertheless, the battlefield between Monster and Red Bull is not only in supermarket or convenience store, but even extends to their sponsored sports events. In the field of extreme sports, we always can see the athletes of the two brands competing in the same game, the winning also greatly promote their own results on their website, quite provocative! On Aug. 14,Coca Cola decided to buy 16.7% stake in Monster, and in the meantime traded its own energy drink sub-brand with Monster’s sub-brand in exchange for higher growth. This deal is very beneficial to Monster. Notably can concentrate more on operating the energy drink section, buy also means that he can use Coca Cola’s channel advantage to expand market share. I believe the market leader Red Bull will respond. It seems that the battle between Red bull and this one will continue to prosper!