Distribution Decisions
Distribution channel or the
marketing channel plays a very crucial role in making the product available to
the final customer or the target consumer. There are various types of marketing
channels or distribution channels. These are:-
Push
and Pull Strategies:
In push strategy,
manufacturer uses his sales force, trade promotion, money or other means to
include intermediaries to carry promote and sell its products to end users. Red
bull does not include any push strategies as they do not believe in involving
intermediaries in their distribution process.
In pull strategy,
manufacturer users advertising, promotion and other forms of communication to
persuade the consumer. This is the form of communication Redbull prefers and
uses.
Direct
and Indirect Channel:
Direct channel- the type of
distribution channel used by Redbull is the direct channel in which they
directly provide the finished goods to the customer without any intermediaries
and have been successful at it till now.
Indirect distribution- Indirect distribution
channel consist of one or more intermediaries between the manufacturer and the
final customers. In India Red Bull does not resort to such measures.
The retail
channel is the contact-point of the product and the end-consumers. For energy
drinks, retail outlets include bars and night clubs, supermarkets, convenience
stores, health clubs, etc. Red Bull is available in all of these channels, and
is considered the number one energy drink brand in all of them.
Smart Transport:-
Red Bull Energy
Drinks travel to their destination predominantly by train and ship. They
only use trucks when it's absolutely necessary. Since their cans are
compact in shape and light in weight, they are a more efficient transport
packaging than PET or Glass Bottles.
Transportation
to more than 165 countries around the world:-
As soon as the Red Bull cans have been filled,
they're transported from Austria and Switzerland to more than 165 countries
worldwide. The cans travel long distances, whenever possible by ship and rail.
Transportation by truck is the last resort when there's no other means of
delivery - it remains Red Bull's priority to allocate ever more transport to
rail and shipping.
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