How Red Bull Drives Extreme Branding: Stratos

in marketing •  7 years ago 

How Red Bull Drives Extreme Branding: Stratos


On October 14th 2012, Austrian skydiver Felix Baumgartner jumped 39 kilometers from a stratospheric balloon, making a freefall towards the earth before parachuting to the ground (Red Bull, 2012). Known as ‘Red Bull Stratos’, this jump from the edge of space set a number of records, including highest exit altitude and the maximum speed of descent without a drogue (Smithsonian Institution, 2014).

Behind the epic jump was Red Bull, a renowned energy drink and sporting brand founded by Dietrich Mateschitz in 1987 in Austria. Since then, the energy drink has become widely available in more than 167 countries; selling over 50 billion cans so far (Red Bull, 2015). Red Bull has a marketing driven business model, spending 30% – 40% of its revenue on marketing endeavors (Duff, 2015), sponsoring and investing in numerous sporting events, athletes and art around the planet to promote their global brand and to continue to create consistent brand awareness and loyalty. This content-driven, market pioneering approach has proven to be extremely successful, with the company having a 70% - 90% market share in the energy drink industries of over 100 countries (Gschwandtner, 2015).

Red Bull’s corporate image is one of excitement, adventure and storytelling, focusing on a “buzz-marketing” strategy which attracts consumers to exclusive and thrilling events that receive high media coverage, often consisting of supporting world-class extreme sporting events and athletes. As founder Mateschitz explains, “We don’t bring the product to the consumer, we bring consumers to the product” (Gschwandtner, 2015). This artcile will specifically focus on the Red Bull Stratos marketing stunt and how this has contributed to the brand’s success.

Red Bull Stratos


Prior to the Stratos jump taking place, Red Bull implemented a powerful social media strategy through their digital mediums which allowed the public to interact with the team involved through online chats where they could ask questions. Furthermore, a multi-platform event RSVP tool was used to connect invitations across several social media platforms. These strategies alone saw over 2 million new accounts subscribe to Red Bull updates in just over two weeks before the event. This strategy not only built hype around the event which is a marketing achievement in itself, but also allows for Red Bull to connect and interact with these 2 million new fans in the future (Red Bull Media House, 2015).

The capsule in which Baumgartner ascended contained fifteen high-definition cameras, with the skydiver wearing an additional three and even more video technology deployed on the ground (Warren-Payne, 2012). This allowed Red Bull to capture an incredibly large amount of footage and content, which was built upon during and well after the stunt (in behind-the-scenes clips and documentaries for example).

It can be argued that opportunities to promote content are often overlooked. Such opportunities are not limited to maximizing video footage of course, but may consist of previous client successes or employees’ social media posts that can be used to depict a brand positively for example. Red Bull also has its own dedicated site for the press to acquire official images, videos and fact sheets that make it easier for journalists when reporting about the brand, facilitating PR communications and market exposure. People who want access to some of this material however must register their details, providing an extensive database of contacts for future communications. Some of these communications are ‘opt-in’, which leads us to question how brands can add enough value to consumers in order to market themselves to them in the future under their consent. Red Bull Stratos is an impressive answer.

So what made the Stratos jump different from other energy drinks’ marketing campaigns? Firstly, like many of Red Bull’s campaigns, it prioritized taking science forward in an exhilarating manner and not just focusing on the bottom line. Such feats awe and inspire people, taking them unwittingly into a state of self-realization, encouraging the consumer to take risks and leaps of faith and to live life to the fullest, all courtesy of the Red Bull brand and its associations. The emotional impact of such achievements and the “buzz” that this creates subsequently leads to discussion and coverage of both the brand and the energy drink itself, despite the Stratos jump having very little to do with the energy drink being sold.

The concept of the Stratos jump also affiliated with the brand’s slogan “Red Bull gives you wings” (Laquale, 2007), aligning with the brand’s values and mission in addition to its target audience’s interests. For marketers this provides a reminder that any campaign should reflect the company’s culture and values in a consistent manner to help maximize its effects on consumers, especially in the long-term.

Similarly, from start to finish Red Bull presented the stunt as a compelling story, one of passing the torch from the old record-breaker (Joe Kittinger, who led the team behind the stunt) to the young adventurer (Baumgartner) who aimed to break all of the former’s feats (Allen, 2012). This mentor-mentee relationship was featured throughout, appealing to consumers interested in the history behind the two iconic figures and aligning with the brand’s unwavering storytelling qualities, reiterating the aforementioned reflection of company culture and values.

The Stratos jump was also particularly spectacular because of how accessible it was. Over 8 million people viewed the jump live online on YouTube (a record in itself) which also included Twitter integration for easier sharing and the distribution of official hashtags with which Red Bull could track user involvement. From the integration of Twitter in the live stream, more than 1 million distinct users contributed to the event’s conversation for not only a one-off participation, but for an extended engagement. Consumer posts increased significantly over the length of the event, yielding over 2 million distinct user actions (Red Bull Media House, 2015) creating a constant conversation and consistent engagement with the event, a remarkable accomplishment in terms of attention towards the brand and its prestige.

Millions more watched the event on one of 40 TV stations and 130 digital outlets that aired it. Furthermore, the social media explosion that it caused on sites such as Twitter (over 3.2 million tweets) and Facebook (over 1 million likes on a single photo released by Red Bull’s official page) created a colossal ‘word-of-mouth’ effect, contributing to the immediately powerful outreach of the social media on varying audiences within the global community, similar to that described by the Hypodermic Needle Model, however in this scenario, instead of the ‘mass media’ injecting its message into a passive audience (University of Twente, 2010), it is the audience itself that actively shares and instills Red Bull’s messages via social media.

Red Bull didn’t have to spend millions of dollars on these broadcasts either, it was all extremely cost-effective for the company as due to the nature of the record breaking, slightly life-threatening jump, outlets and consumers showed initiative and eagerness to share the endeavor for their own benefits and entertainment purposes (Sprung, 2012).

Furthermore, the entertainment that consumers experience courtesy of Red Bull is likely to lead to consumer retention, which may for instance lead to further attention and coverage of future Red Bull events, which provide momentous publicity which in turn potentially translates into higher sales, although it must be noted that this connection is extremely difficult to measure.

Conclusion


The Red Bull Stratos jump is one of many extreme marketing campaigns that the company has undertaken. These approaches satisfy the growing trend of consumers demanding that brands don’t simply obsess over brand image and valuation, but prove their worth through being innovative and improving people’s lives, such as through entertainment and scientific progress as depicted in the example of Stratos.

By improving peoples’ lives in a gripping narrative driven by rich content, a brand practically demonstrates its intangible worth in a more tangible manner, which is both relatable and beneficial to consumers, ultimately increasing prospective consumers’ willingness to buy Red Bull’s product(s) through effective differentiation in an otherwise saturated market. Extensive consumer engagement via social media platforms and the accessibility to the stunt which became global news and embedded in modern popular culture were instrumental in promoting the brand, illustrating its determination, dedication and innovation.

It is evident from this that the emphasis of the stunt was not on the product being sold, but on the event and thus the brand at the root of the product.

Sources


Allen, N., 2012. The Telegraph. [Online]
Available at: http://www.telegraph.co.uk/news/science/space/9613463/Felix-Baumgartner-Joe-Kittinger-says-it-was-like-deja-vu.html

Duff, A., 2015. Bloomberg Business. [Online]
Available at: http://www.bloomberg.com/news/articles/2010-11-03/red-bull-s-675-million-formula-1-spending-spree-helps-brand-top-ferrari

Gschwandtner, G., 2015. Selling Power. [Online]
Available at: http://www.sellingpower.com/content/article/?a=9437/the-powerful-sales-strategy-behind-red-bull

Laquale, K. M., 2007. Red Bull: The other energy drink and its effect on performance. Virtual Commons - Bridgewater State University, n/a(n/a), p. 43.

Red Bull Media House, 2015. Social Media. [Online]
Available at: http://www.redbullmediahouse.com/products-brands/online/social-media.html

Red Bull, 2012. Red Bull Stratos. [Online]
Available at: http://www.redbullstratos.com/the-mission/what-is-the-mission/

Red Bull, 2015. Red Bull. [Online]
Available at: http://energydrink-us.redbull.com/company

Smithsonian Institution, 2014. Smithsonian National Air and Space Museum. [Online]
Available at: http://airandspace.si.edu/exhibitions/redbull/index.cfm

Sprung, R., 2012. Hubspot. [Online]
Available at: http://blog.hubspot.com/blog/tabid/6307/bid/33931/10-of-the-Most-Memorable-Marketing-Campaigns-of-2012.aspx

University of Twente, 2010. University of Twente. [Online]
Available at: http://www.utwente.nl/cw/theorieenoverzicht/Theory%20Clusters/Mass%20Media/Hypodermic_Needle_Theory/

Warren-Payne, A., 2012. E-Consultancy. [Online]
Available at: https://econsultancy.com/blog/10897-five-content-marketing-lessons-from-the-red-bull-stratos-jump/

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