Executive Summary
Numerous arguments have emerged regarding the role and impacts of preliminary marketing plan in the success of businesses in the contemporary dynamic economy. However, studies confirm that preliminary marketing plan is a vital tool that supports successful establishment and management of businesses (Anne and Erin 79). Preliminary marketing plan is a comprehensive blueprint that describes the overall marketing effort in an organisation. The subsequent preliminary marketing plan will outline the Red Bull company’s objective and strategies in Vietnam market. The strategies and ideas in this preliminary marketing plan are based on Vietnam culture and the current market trend of energy drink in the country. Vietnam is renowned for its strong cultural believes on family and cultural institutions. The location of Vietnam country has attracted a good number of energy drinks production companies in the last view decades. The Australian Red Bull GmbH company intended to establish new market in Vietnam market. In this respect, the company opted to come up with a realistic preliminary market plan to succeed in the current market.
Company Overview
Red Bull GmbH Company is one of the biggest and most productive energy drinks producing company in the world. Apart from the Red Bull brand, the company also trades in other brands that include F1 Edition, Silver Edition Red Edition, Total Zero, Cola, Sugar Free, Original, and Blue Edition. The company is also the major sponsor of Formula One Racing. The company’s headquarter is situated in Australia; however, it has many outlets in various parts of the world. The company has made significant progress in its production and productivity since its establishment in 1987. Presently, the company has employed over 9000 individuals in its activities. Following the opening of the Vietnamese economy in 1990, the company has embarked on the process of introducing the Red Bull brand in the country. However, due to the dynamic nature of the country in terms of cultural beliefs, the company has countered numerous challenges in penetrating them market (Red Bull 2).
The Company’s Objectives
The main goal of Red Bull GmbH Company in Vietnam market is to emerge as one of the most productive company in the country. The company also aims at meeting the needs and demands of all its consumers in the country. The company has an objective of producing a brand the meets the demands and needs of the country cultural beliefs and perception on energy drinks. To gain popularity in the new market, the company has an objective of offering exceptional products to the Vietnam citizens. The company also aims at being a giant producer of energy drinks in the country by outshining the quality and quantities of the products produced by its competitors.
Market/Product/Customer Analysis
Majority of Vietnam population reside in rural areas. In this context, Red Bull GmbH Company aims at establishing various outlets at rural areas in order to increase the number of its royal consumers in the country. In addition, compared to Australia market, Vietnam economy has huge, energetic and vibrant population. A good number of Vietnam’s population are middle-income earners. Following this consideration, the company intends to reduce the production cost in order to minimise the prices of its products to encourage the middle-income earners to consume their products.
Red Bull brand is one of the commonly known energy brands in the global market. However, to meet the needs of the new market population, the company intend to increase the quality and status of its brand. The company also intend to increase the quantity of its brand to supply enough in its new large market. Based on the available statistical information, it is also clear that Vietnam energy drink consumption is relatively high. This is owes to the fact that, a good number of the country’s population engages in hard labour to earn their living. In addition, the country geographical features forces the population to consume a lot of energy producing products (Price & Darredeau 331).
Marketing Strategy
The Red Bull GmbH company intends to produce high quality products that meet the needs and demands of its customers in the new market to be successful in the Vietnam market. The company also intend to come up with a mechanism that allows its customers to present their opinions and suggestion regarding the quality of its products in a timely and reliable manner. Furthermore, the company will work hard to reduce the prices of its products in order to increase the number of its consumers. As noted, the large percentage of the Vietnamese population comprise of middle-income earners citizens. Therefore, the company intends to set affordable prices for its products. The company will also use various marketing and promotion initiatives to increase awareness on the availability and strength of its product in the market. Online services such as social media will be vital in promoting the brand. In addition, mass media and use of posters will also be critical in the company’s marketing initiative (Gerald and Edwin 17).
Financial Projection
Following the presence of numerous energy producing brands Company in Vietnam’s market, the Red Bull GmbH company is projecting to use a huge amount of resources launching its operations the new market. Consequently, the company projects to use about $1, 000000 to establish a new production plant in the country. The introduction of a production plant in the country will be vital in reducing the distribution and operational cost. Furthermore, the company plans to use $250,000 to promote its brand in the new market. The promotion strategy will include the establishment of pubic campaigns and use of online services and mass media services. Additionally, $100, 000 will also be required to cater for other logistical issues and requirements.
Implementation Plan
The company intends to take one years to implement its penetration strategy in the Vietnam market. The company will use the first six months in setting out a new production plant in the country. The next three months will be used for working on all logistical and legal issues that are essential before commencing a business in Vietnam. The final three months will entail the initial commencement of the business. Promotion strategies will also take place within the last three months.
Evaluation and control metrics.
The company will use various means to evaluate the success of the company’s marketing plan. The company will evaluate changes in its sales to examine whether the number of the company’s customer has increased. Increase in the company sales will confirm the increase in the number of the company’s customers. The increase in the company’s profitability will also indicate an increase in brand position in the country’s energy drink market. Other indicators for the success of the company’s marketing strategy will include an increase in the consumers’ participation in the company’s activities and the increase in the demand of the company’s brand.
Work Cited
Anne Coughlan and Erin. Anderson. Marketing Channels. New York, NY. Prentice Hill. 2001. Print.
Gerald Albaum and Edwin Duerr. International Marketing and Export Management. London: Prentice Hill.2008. Print.
Price, Hilchey & Darredeau, Fulton. Energy drink co-administration is associated with increased reported alcohol ingestion. Drug and Alcohol Review, 2, 9, (2009), 331-333. Print.
Red Bull (2013). Red Bull Dolomitenmann 2013: A new course record. Web: www.redbull.com/en
