Brand Report – Monster v Red Bull

At the heart of every great organization, Is a world class product or service and in each competitive business market, organizations rival to be every consumers primary plectron. Effective provoker management Is essential to every business mental synthesis vigorous strike offs that not only reflect value and credibility, but in like manner outlive the product or service the business introduces, Is a dispute for m each organizations today.The FMC (Fast Moving Consumer Goods) labor is one of the biggest industries in the world, simply beca custom of the rands and products that get in up this sector such as Colgate, Dove, Palmolive and the list goes on. This base go away comp are two FMC check offs indoors the Australian market, namely devil slide fastener and exit shucks, and the consumers levels of sign awareness towards the selected betrays. It will alike discuss the immenseness of denounce association and how this is amountd.Through the use of these notic es, whale Energy and departure slovenly person, the report will illustrate the importance of an organizations ability to continuously build speck awareness with its consumers. Launched by Hansen Natural In 2002, teras Energy penetrated the Australian market In 2009 ND has since bumped up the consumption of strength swallows In Australia to 225 million liters, resulting In gross sale of $2. 37 billion, according to demon Corpss 2012 annual report. This figure alike includes Australias number one selling elan vital discombobulate comp each, Red Bull, with a market share of 40%.As be by Kettle (2009), a imperfection support be a name, sign, logo, symbol or a combination of these, that identifies an organizations product or service, differentiating them from separate competitors. According to Keller (1993), stake fair play is conceptualized from the perspective of the individual consumer. He withal asserts that customer-based brand equity (CUBE) occurs when the consumer is old(prenominal) with the brand and whilst holding favorable, strong and eccentric brand associations in memory (1993). CUBE (Customer-Based Brand Equity) is further defined by Keller (1993, up. ) as the differential effect of brand knowledge on consumer response to the marketing of the brand. Brand knowledge Is defined In In terms of two components brand awareness and brand Image. According to Keller (1 993), brand awareness relates to brand recall and recognition performance by consumers, whilst brand image refers to the set of associations that consumers hold in memory. Since its launch in 2002, Monster Energy has developed strong brand saliency, despite its non-evocative brand name.Placing the tidings expertness with Monster assists the customer to associate the product with the correct course of instruction. Brand salience is the first step in Sellers CUBE model (2008) and where organizations moldiness ratify who they are and what the brand represents to consumers. E stablishing an identity and creating brand awareness is important at this stage, as it is when customers initially create perceptions about the brand. McDonald &038 Sharp (2003) assert that a brand that has some level of brand awareness Is more in all likelihood to be selected by the consumer, than a brand unknown to the consumer.A challenge FMC companies must consider, Is the consumers want of decision making process Involved at the beat of purchase, making It onerous for new brands to penetrate an already infiltrated industry. When Monster was initially low. Despite heavy marketing promotions and sporting associations, Monsters position within Australias zippo drinks category was relatively low, in comparison to market dominator and competitor, Red Bull. In comparison to its rival, Red Bull, Monsters brand salience lacks depth in the brains of Australian consumers.Although the Monsters logo of a monster claw shaped as an M is slow recognizable internationally, Australian co nsumers still lack the ability to recognize or recall the product category in which Monster belongs. The breadth of brand awareness concerns the range of purchase and usage situations in which the brand comes to mind (Keller, 2008), which largely depends on the organization of the brand and the product knowledge in consumers memory.Today, Red Bull is the most recognized ND profitable zip drink in the world and is a beverage consumed at any time throughout the day. Both Red Bull and Monster offer a range of vigour products, targeting consumption at different times throughout a condition day. Both brands boast broad brand awareness, consumers associating them with extreme sports, beverage for consumption early, mid or late in the day and an might booster. Experiment 1 A question descry was conducted with a sample of 30 participants, 1 5 of which were young-begetting(prenominal) and 15 female (Fig 1 &038 2).The objective of the survey look into was to Determine if males or fem ales consume energy drinks and how frequently To determine the position of some(prenominal) Monster Energy and Red Bull in the mind of consumers Determine when and where the energy drink is most consumed Procedure The survey was formed with the appropriate questions to bid the data required to support brand awareness research on the energy drinks category. Participants were recruited from Speeches Australia Pity Ltd and also several students from the University of Western Sydney, Parameter campus.Results The first question was to determine how frequently males and females drink energy drinks throughout any given week (Fig 3). 19 participants describe drink 1 or less energy drinks throughout the week with only 2 drinking 5 times a week. The next question asked what energy drink they consume and Red Bull came in at 43% popularity and Monster ranking trinity frame at 20% Fig 4). The third question was asked to determine when and where the participants consumed their selected ener gy drink (Fig 5). 17 participants reported having an energy drink in the afternoons, with mornings being the time energy drinks were least consumed.Consumption within the workplace was reported as being the most common place of consumption with social events ranking in second with a reported 9 participants (Fig ). Summary Although the sample was small, the data research supports the statistics that Red Bull Energy rates higher in consumers minds than Monster Energy. Despite some(prenominal) brands being strongly associated with humor, fun, excitement and extreme sports, one can stop that because energy drinks are most consumed during the day and within the workplace, the breadth of brand awareness for both Monster and Red Bull is relatively broad.According to asker (1992), brand association is anything linked in memory to a brand associations enable a company to differentiate their brands in the market and can be tildes as an organizations competitive advantage. Keller (2013) cla ssifies brand associations into three categories attributes, benefits and attitudes. Attributes are the features of the brand, benefits are the values the consumer attaches to the brand and attitudes refers to the consumers overall evaluation of the brand. Building brand equity can also be done through the leverage of link or secondary brand associations (Keller, 2013).Secondary brand association can be an effective way for an organization to reinforce existing strong, favorable and strong associations if the existing brand is deficient. Red Bull uses celebrity endorsements, sporting, cultural and residential district events as secondary brand associations. Low &038 have (2000) discusses the importance of firms amount being able to measure associations with their brands and the techniques that can be use to accurately measure consumer brand associations. Brand image, attitude and perceived quality have been used to measure brand associations for many years.After much research, L ow &038 Lamb concluded that not all brand scales such as disposition or attributes can be applied across all categories, therefore, playacting as separate constructs as opposed to nee-dimensional brand associations. This gives rise to the paper that consumers now have more developed memory structures for more familiar brands. The authors also suggest that care must be taken when cadence associations of familiar brands as quoted by the author Familiarity moderates the dimensionality of brand associations.Asker (1996) asserts that in narrate for organizations to perform optimumly and allocate resources fairly across its portfolio of brands, it must implement common measures of performance. Managers should seek new branding strategies, to always from the same category as their product, but from the other brand categories. This will provide sweet ideas and new insight, resulting in new product positioning in the market. Kara also discusses the use of ten different measurements u sed to measure brand associations.He also asserts that the one measurement of brand equity that can be used is price premium. The reason behind this is that regardless of brand, any driver of brand equity will affect price premium. The consumers association with any given brand is important to any organization wishing to maintain rivalry in the business market. Suppresses (2000) discusses the lack of knowledge regarding brand association pertinent to other brands in other product categories. Suppresses points out the challenges brought about by private label brands.Suppresses also discusses the ways by which firms can research consumers brand associations including lengthy personal interviews as opposed to group interviews and collateral given answers to questions. By validating answers, one can increase the chance of detecting hidden associations. Suppresses concludes that brand managers need to attain a deeper concord f the sources of brand equity in order to implement optima l brand strategies and to maintain effective communication. The way by which firms undertake research should delve into the unconscious and non-verbal associations that consumers have for their brands (2000).Experiment 2 Personal interviews were conducted with two participants, male and female, aged 27 and 19 respectively. The objective of the survey research was to the emotions associated with Red Bulls secondary association through sporting imagery Determine the emotions evokes when the participants brand Red Bull Procedure The interview was conducted to determine the emotions consumers have Bull and its secondary brand association. Both participants ( manful A and were students of University of Western Sydney, Parameter campus. pillow The words RED BULL was vocalizes to each participant two times.The FL to measure their initial reaction and the second was to validate that area reacted immediately with mo recognition and slight excitement. Fem. recognition but not of excitement. When validating their reactions, Male loves the brand and is a regular consumer however, Female B said she c Red Bull but is not a fan of the taste. A picture of the Red Bull logo (Fig. 5 to both participants and both reacted similarly, with recognition. Male A recognition and affordability for the brand with the use of facial distill head gestures.Similar to the reacted of Female B, although she wasnt t the product. The third measurement was through the use of imagery re Bulls secondary association, sporting endorsements (Fig. 8). Male Bis ex. increased and he vocalizes his interest in X-tree sporting events and of Red Bulls consistent involvement in the sporting arena. Female Bis en however, dropped and was visible by her posture and lack of verbalism Brands can evoke strong emotions and memory associations from consul that ones negative perception of the brand as a result of taste or expert difficult for organizations to change.The research also illustrates that the association consumers hold with Red Bull is a positive one. Following Ex and Experiment 2, the results reflect the premise that the selected bran gigantic brand salience with consumers and that if consumers are expo positive marketing, perceptions tend to remain. Red Bull is a superior BRB otherwise saturated energy drink category, posing increased competition riveter label beverages and other energy brands. By continuously impair strategic branding, firms can be authoritative that with these strategies, it will competitive edge within the business market.Brand management with industry is of utmost importance, as monopoly retailers continue to dicta brands to display on their shelves, minimizing consumer choice and the increase competition within all product categories. The energy drinks exception, with consumers progressively befitting more health conscious industry battling to remain competitive with an increasingly globalizes market. With the right brand strategies and managers to drive and imply strategies, one can be confident that Red Bull will continue to dominate energy market share. Appendix Fig 7.