Chapter 729 The Growth of Red Bull

Chapter 729 The Growth of Red Bull

Chapter 729 The Growth of Red Bull

The cooperation with Xie Guomin soon reached a verbal agreement. The current scale would not be very large. The core of both parties was still whether Carrefour could develop smoothly in Thailand. As long as Thailand developed smoothly, there would be a chance for Yang Wendong's capital to enter Thailand. Then, Hong Kong would naturally provide certain conveniences.

After all, there are still too many golden opportunities in Hong Kong in the next ten years. Not to mention Hong Kong Island and the Kowloon Peninsula that is already being developed, many places that are still uninhabited may be promoted by the Hong Kong government as satellite towns for core development in the future. This is also because a large number of new population will pour in in the next few years, and even the future real estate market will become more popular for this reason;
Population is the driving force of regional economic development. The future decline of real estate in the mainland is also closely related to this aspect.
At the end of July, Hong Kong's economy was still fluctuating, with no clear signs of recovery. The public was quite annoyed by this, but there was nothing they could do.

Yang Wendong didn't pay much attention to this. Anyway, he was now one of the largest real estate owners in Hong Kong and all he had to do was wait for the economic recovery. On the contrary, overseas business became more and more important to him as time went on.

On the 21st, Yang Wendong took a private plane to Los Angeles, North America;

"Mr. Yang, this is the largest presidential suite in our Four Seasons Hotel Los Angeles. What do you think of it?" Lin Youqiang greeted with a smile.

Yang Wendong looked around and saw the outside view. From here he could directly see the city of Los Angeles, the sea to the west, and the Hollywood sign. He nodded with satisfaction and said, "This view is very good and beautiful. If you want to live here for a long time, this is a good choice."

"Then how about I reserve this suite just for you?" Lin Youqiang asked.

Yang Wendong nodded and said, "Okay, then this suite will be reserved for me from now on. In the future, it will not be used by anyone except someone from my Yang family."

The super-rich generally do not share resources with others, especially places to live, so for places where they often travel, they either buy a luxury apartment for themselves or lock in a suite in a luxury hotel for a long time;

If I don't live there on weekdays, I'll keep it closed. Even if I only live there once a year, I'd still be willing to spend the money. Not to mention, the Four Seasons Hotel is still my asset. At most I'll just make a little less money on one room.

After all, for this group, money is more than they can spend, and all they need to do is make themselves comfortable, even if it is only on a psychological level. Coupled with the sanitation issues that are about to erupt in the 70s, this may be a top priority.

"Okay, Mr. Yang, I'll ask someone here to arrange it." Lin Youqing agreed immediately.

Yang Wendong asked again: "How are the sales of our Red Bull drinks in the United States recently?"

In the era when electronic products had not yet exploded, Changxing Group had only a handful of products that achieved excellent results overseas. Except for the sticky notes that were founded on creativity in the early days, all other products had to go through real competition.

As the industry has been in development for more than 15 years, many of the early patents are about to expire. Next, many industries will have to rely on their own hard power.
Lin Youqi replied: "Mr. Yang, Red Bull's sales in the United States are pretty good now. In the first quarter of this year, the sales in the United States reached 1069 million US dollars. In terms of channel construction, we have also spread through supermarkets and department stores in all 50 states in the United States;

In addition, Li Xiaolong has several sports superstars as endorsements, which has also made Red Bull more and more well-known in the United States. However, because the investment in endorsements is too high, we are still losing money to it.”

"It doesn't matter if I lose money. What I want now is the market." Yang Wendong shook his head and asked, "Are there any moves from Coca-Cola or other beverage brands? Do they have any intention of making sports drinks?"

In the early days of Red Bull, even in the first ten years, they didn’t think about making money. In such a traditional field, even if you take a different approach, you still need a lot of publicity to have a certain degree of popularity. If you care about profits at this time, you will definitely fail.

As for beverage industry giants, such as Coca-Cola, once they set their sights on this market, they will simply create some similar beverages and put their own brand on them. This will be a complete dimensionality reduction attack on other brands.

Therefore, the time difference is very important. You have to seize the market and reputation while the major companies are still not able to react. By the time they react, you will have grown stronger. At that time, you can fight again. Even if you still cannot defeat the traditional giants, as long as you can injure them and make them uncertain of their absolute interests in the future, they will not continue to force it.

"Not yet. Red Bull's current output value is nothing to the major beverage giants in the United States." Lin Youqi explained, "In fact, in addition to sports drinks, other types of beverages also have a market of several hundred million US dollars in the United States. These markets are also segmented. Coca-Cola or Pepsi are aware of this and they won't care too much." Yang Wendong nodded and said, "That's good. While they are not paying attention, you need to invest more publicity resources as soon as possible, invite sports stars to endorse, participate in soft advertisements for movies or TV series, and thoroughly consolidate the brand's reputation."

There are indeed many other beverages on the market. Even Coca-Cola cannot capture all markets. This is why giant companies react slowly. Even in the future electronic technology or Internet industry, there are too many small businesses and small industries. If you are not a person of the future, no one knows which company will be able to grow.

Lin Youqi smiled and said, "I understand, Mr. Yang. I am also preparing to sponsor various extreme sports events in the United States on a large scale as planned."

"What extreme events?" Yang Wendong suddenly asked curiously.

Lin Youqi replied: “It has not been finalized yet, but it should include cliff diving, high-risk mountain bike racing, space parachuting, rock climbing, extreme skiing, etc.
These events are also very famous in Europe and America, and we can’t sponsor them just because we want to. There has to be a certain degree of competition.”

"Are there any sports car races?" Yang Wendong asked again;
He remembered that in his previous life, Red Bull was also a strong sponsor of racing competitions, and that in American culture, the preference for cars was even stronger than in Europe.

Lin Youqi said awkwardly: "Not yet. The requirements for advertising sponsors in F1 racing are too high. They are basically the world's top companies. Whether in terms of popularity or capital, we can't reach them.

Even if we really pay, the organizers may not accept it. Moreover, this kind of competition involves a global audience. With our channels and publicity power, it would not be cost-effective even if we force it to participate.”

"Yeah, that makes sense. Let's wait until we become more famous before we talk about it." Yang Wendong nodded in agreement.

When it comes to advertising, the bigger the better. The simplest example is that in the past, a small regional product advertised in the time period between the CCTV News Broadcast and the weather forecast. Its popularity would indeed increase instantly, but that was nationwide. If your channels were not good, forcing such advertising would be a pure waste of resources and might even have a counterproductive effect.

Only when Red Bull’s fame reaches the point where almost everyone in the world knows about it, and then investing in top-level advertising under this background, will the effect be best.

Lin Youqi asked again: "Then Mr. Yang, do you have any special requirements for the events we sponsor?"

Yang Wendong thought for a moment and asked, "Among the various variety shows in the West, is there a wilderness survival show?"

"Wilderness survival? Never heard of it? I'll check it out later." Lin Youqing replied quickly.

"Well, since you don't even know it, it's probably not that famous." Yang Wendong smiled;
It seems that Wild Survival was started by Bear Grylls in his previous life, which is a bit far away from this era. The reason why he remembers it is because there was a time when he liked this program very much. For Wild Ambition, natural adventure seems to be an instinct engraved in his genes.

Then he added: "As for the specific projects to sponsor, you guys can decide for yourself. I won't get involved. You can make adjustments based on market feedback.

In short, the most important thing is to build awareness first, so that American customers will think that they should drink Red Bull after exercise. In short, don't think about saving money. I will give you some extra funds."

"I understand, Mr. Yang." Lin Youqing agreed.

PS: Ask for monthly ticket

(End of this chapter)