[slang]

Hey. Was watching forumula one the other day and realised this year red bull has an F1 team. Then I thought about it, they sponser tons of atheletes in many different sports, organise and pay for an incredible amount of events (just for biking alone- rampage, bike battle etc), do normal marketing like on tv and through the media, and host full episodes of their re:evolution tv. series (streamed, no less) on the net.

Yet they sell... drinks? and not just a whole line of drinks, just red bull.

How do they make the money? An F1 team is a HUGE investment that even some car companies find difficult to sustain.

 

[stiksandstones]

The numbers that they spend on marketing have been widespread, but I have heard 80% of their marketing dollars are spent on sports (racing, riders, events, etc) other 20% is ads, commercials-the traditional avenues.
RedBull is a global leader in energy drinks and its markup is ridiculously high. I think its poison and tastes like crap, but what do I know.

 

[oly]

it probably also only costs .25c to manufacture.

plus all the canadian kids who buy it by the case when in the US has to help.....

 

[Roasted]

it probably also only costs .25c to manufacture.

plus all the canadian kids who buy it by the case when in the US has to help.....

Dang canadian laws making us drink overpriced fruit juice ...

Been there done that haha

 

[Jayridesacove]

The owner of Red Bull is a Billionaire. I think he will have enough money.

 

[Cant Climb]

Hey. Was watching forumula one the other day and realised this year red bull has an F1 team. How do they make the money? An F1 team is a HUGE investment that even some car companies find difficult to sustain.

What is the cost of running an F1 team........40-60 million per year......?

How much do they put into mountainbike....?.....100K.....?

 

[MTB_Rob_NC]

Yet they sell... drinks? and not just a whole line of drinks, just red bull.

How do they make the money? An F1 team is a HUGE investment that even some car companies find difficult to sustain.

How much do you pay for a RedBull? $2. How much do you think that costs them?

 

[How]

yah that stuff is like $2 a bottle ! But I only drink red bull when I'm in need of an energy drink (a la with rum or something) because they are the best company to spend money on they help our sport so much.

 

[Jayridesacove]

Here are estimates from the 2003 season...

Total $2,141,100,000

$443,800,000 Ferrari
$353,300,000 Williams
$304,600,000 McLaren
$290,400,000 Toyota
$225,100,000 BAR
$206,800,000 Renault
$119,500,000 Sauber
$ 79,200,000 Jordan
$ 78,800,000 Jaguar
$ 39,600,000 Minardi

Engine budgets $931,000,000
$185,000,000 Williams
$175,000,000 Ferrari
$150,000,000 Toyota
$140,000,000 McLaren
$110,000,000 Renault
$105,000,000 BAR
$ 24,000,000 Sauber
$ 18,000,000 Jordan
$ 15,000,000 Minardi
$ 9,000,000 Jaguar

Operating the cars at tests $260,800,000
$88,000,000 Ferrari
$48,000,000 Williams
$29,100,000 McLaren
$24,700,000 Toyota
$22,000,000 BAR
$19,800,000 Sauber
$14,600,000 Renault
$ 7,500,000 Jaguar
$ 3,700,000 Jordan
$ 3,400,000 Minardi

Team salaries $194,000,000
$41,400,000 Ferrari
$32,300,000 Toyota
$30,300,000 McLaren
$24,000,000 Williams
$16,500,000 Renault
$12,800,000 BAR
$12,700,000 Sauber
$10,600,000 Jaguar
$ 8,800,000 Jordan
$ 5,300,000 Minardi

Operating the cars at races $187,300,000
$28,500,000 Ferrari
$22,500,000 Toyota
$20,800,000 Williams
$19,200,000 McLaren
$19,000,000 Renault
$18,200,000 Sauber
$17,600,000 BAR
$17,000,000 Jaguar
$16,000,000 Jordan
$ 8,500,000 Minardi

Research and development $173,000,000
$35,000,000 McLaren
$21,500,000 Toyota
$20,300,000 Williams
$20,000,000 Ferrari
$16,900,000 Renault
$16,500,000 BAR
$15,400,000 Jaguar
$14,600,000 Sauber
$12,600,000 Jordan
$ 200,000 Minardi

Driver salaries $132,000,000
$44,000,000 Ferrari
$24,000,000 BAR
$20,000,000 Williams
$13,500,000 McLaren
$ 8,000,000 Jordan
$ 7,500,000 Toyota
$ 6,800,000 Sauber
$ 6,200,000 Renault
$ 1,500,000 Jaguar
$ 500,000 Minardi

Wind tunnel operating costs $93,600,000
$15,100,000 Ferrari
$12,900,000 McLaren
$12,200,000 Williams
$11,600,000 Toyota
$10,400,000 Sauber
$10,100,000 BAR
$ 8,000,000 Renault
$ 5,500,000 Jaguar
$ 4,500,000 Jordan
$ 3,300,000 Minardi

Travel and accommodation $86,600,000
$18,000,000 Ferrari
$13,000,000 McLaren
$12,000,000 Toyota
$ 9,300,000 Williams
$ 7,900,000 BAR
$ 7,500,000 Renault
$ 6,800,000 Sauber
$ 5,300,000 Jaguar
$ 4,500,000 Jordan
$ 2,300,000 Minardi

Corporate entertaining and catering $62,850,000
$12,200,000 Williams
$ 9,700,000 Ferrari
$ 8,900,000 McLaren
$ 7,200,000 BAR
$ 6,700,000 Renault
$ 6,300,000 Toyota
$ 5,600,000 Jaguar
$ 4,300,000 Sauber
$ 1,600,000 Jordan
$ 350,000 Minardi

Car manufacturing costs $19,250,000
$4,100,000 Ferrari
$2,700,000 McLaren
$2,000,000 Toyota
$2,000,000 BAR
$1,900,000 Sauber
$1,500,000 Jordan
$1,500,000 Williams
$1,400,000 Renault
$1,400,000 Jaguar
$ 750,000 Minardi

 

[Ciaran]

What is the cost of running an F1 team........40-60 million per year......?

How much do they put into mountainbike....?.....100K.....?

And how much more coverage does F1 get than MTB? That's why. Remember, here in America people only watch the big 3, but in the rest of the world auto racing, especially F1 is huge.

I would guess that the money that Red Bull puts into sports is an advertising investment.

 

[Cant Climb]

Here are estimates from the 2003 season...

Total $2,141,100,000

$443,800,000 Ferrari
$353,300,000 Williams
$304,600,000 McLaren
$290,400,000 Toyota
$225,100,000 BAR
$206,800,000 Renault
$119,500,000 Sauber
$ 79,200,000 Jordan
$ 78,800,000 Jaguar
$ 39,600,000 Minardi

 

[Zutroy]

And how much more coverage does F1 get than MTB? That's why. Remember, here in America people only watch the big 3, but in the rest of the world auto racing, especially F1 is huge.

I would guess that the money that Red Bull puts into sports is an advertising investment.

If the ratings are to believed F1 is the most watched sport in the world. Those boys know how to spend money, there is a reason Michael Schumacher is the highest paid athlete in the world.

 

[Damn True]

Id be interested to see how the $$ figures for the combined US sports (football, baseball, basketball, golf and NASCAR) stacked up against the European counterparts (soccer, F1).

 

[Zutroy]

If the ratings are to believed F1 is the most watched sport in the world. Those boys know how to spend money, there is a reason Michael Schumacher is the highest paid athlete in the world.

I take that back.-tiger nipped him last year. Not sure what we spend, but we sure do pay out guys well.

Tiger Woods 80.3 United States United States
2 Michael Schumacher 80.0 Germany Switzerland
3 Peyton Manning 42.0 United States United States
4 Michael Jordan 35.0 United States United States
5 Shaquille O'Neal 31.9 United States United States
6 Kevin Garnett 29.7 United States United States
7 Andre Agassi 28.2 United States United States
8 David Beckham 28.0 Great Britain Spain
9 Alex Rodriguez 26.2 United States United States
10 Kobe Bryant 26.1 United States United States
11 Grant Hill 25.9 United States United States
12 Derek Jeter 23.2 United States United States
13 Barry Bonds 22.7 United States United States
14 Manny Ramirez 22.1 Dominican Republic United States
15 Oscar De La Hoya 22.0 United States United States
16 LeBron James 21.1 United States United States
17 Vince Carter 20.2 United States United States
18 Dale Earnhardt Jr 20.1 United States United States
19 Arnold Palmer 20.0 United States United States
20 Phil Mickelson 19.8 United States United States
21 Allen Iverson 19.7 United States United States
22 Champ Bailey 19.6 United States United States
23 Jeff Gordon 19.3 United States United States
24 Lance Armstrong 19.2 United States United States
25 Tracy McGrady 19.0 United States United States

 

[Jeremy R]

You guys left out who is really buying Red Bull.
Its not extreme atheletes buying it, it is the pop-collared, pink shirt wearing, herd mentality dressing, frat people that are buying red bull mixed drinks by the thousands. Those things sell in bars right and left at ridiculous prices.
College kids' fathers are paying for Red Bull's F1 team.

 

[Lennox]

Driver salaries
$44,000,000 Ferrari

I think these numbers are off... Ferrari pays atleast 2 drivers.

One is Mr. 80 Million a year... so? ya.

 

[Jayridesacove]

That's why they are estimates...from 2003.

 

[clancy98]

i think red bull is into some secretive ****. everytime I see someone on a friggin jetpack or testing some weird extreme piece of hardware they are decked out in redbull duds. I think they are a front for a secret government operation. But dont tell anyone.

 

[Acadian]

I use to buy this at my local Asian market for like 90 cents a can. There is more than your traditional Red Bull can and it tastes MUCH better. I don't like Red Bull myself, but this stuff is great!!

 

[Jayridesacove]

I saw something similar, when I was on a deployment to Thailand in 2001. We saw the Redbull sold there. They were in these dark brown medicine looking bottles.

 

[Zutroy]

Driver salaries
$44,000,000 Ferrari

I think these numbers are off... Ferrari pays atleast 2 drivers.

One is Mr. 80 Million a year... so? ya.

I think Schumacher get about 32 from Ferrari in Salary, the rest is endorsment deals, Rubins the second Ferrari driver doesn't get paid much 5-6mil if i remember right. Not that i wouldn't jump at that kinda cash.

 

[trailhacker]

Driver salaries
$44,000,000 Ferrari

I think these numbers are off... Ferrari pays atleast 2 drivers.

One is Mr. 80 Million a year... so? ya.

But I don't think Tiger is getting $80 mil from Nike either?
Its a combination of endorsments from all there sponsors.

How is Grant Hill copping so much bank?

 

[Zutroy]

But I don't think Tiger is getting $80 mil from Nike either?
Its a combination of endorsments from all there sponsors.

How is Grant Hill copping so much bank?

That includes endorsements.

 

[Kevin]

Meh, Red Bull makes more sorts of drinks, not just Red Bull.
Some ish with herbs in like 4 different flavours.
They even make special "personel only" bottles of water that are bottled only during a full moon (no kiddin). They also serve m in the VIP area's during Red Bull events.
A friend of mine works for Red Bull Holland and I can tell ya its a really cool company with cool people running it, well at least in Holland. They also do a lot of good things for athletes all over the world too which has my apreciation.
My buddy drives a pimped out Voyager with 17 "bling and Red Bull decals which regularly takes us to races and other events.
I think most of their stuff tastes great, and not just because we get to drink it for free most of the time neaky: but I actually buy the stuff myself when my buds not with us.

 

[punkassean]

I recently read an article about the guy who started Red Bull. He used to travel a ton for business and when in Asia he drank energy elixers often to stay awake. It occurred to him that by adding some carbonation to those elixers he could make them more appealing to the European market. He started Red Bull and released it in the UK. It was a huge success and has grown into what it is today.

I support Red Bull because they support us. I love the events they sponsor and the influence they have on most unorthodox sports. I also like the taste and effect. I can't remember the last time I paid for a Red Bull either. They are free at the Rampage, the BIKE mag awards (with free Vodka even!) and they were even giving them away at the Firestone DH race. If Red Bull goes to the trouble of coming out to (and sponsoring) nearly all events when Chevy and other big corporations are pulling out of MTB, I will return the favor and pay the extra dollar over most other energy drinks on the rare occasions when I actually do pay for one. Red Bull is a cool company IMO

Red Bull + Jäger = mmmm

 

[DRB]

I use to buy this at my local Asian market for like 90 cents a can. There is more than your traditional Red Bull can and it tastes MUCH better. I don't like Red Bull myself, but this stuff is great!!

Kratingdaeng is thai for bull piss.

 

[slang]

Does anyone have any sales figures on their products?

I seriously think redbull should start venturing out and create clothing/decals/body armour the way things are going for them.

Then again, they're very cool the way they are. And yeah, I do like they're drinks (the non carbonated version's nicer. we get that in Singapore for ssooo much cheaper then over here in north america) and support them because they're doing good things for us.

 

[partsbara]

I use to buy this at my local Asian market for like 90 cents a can. There is more than your traditional Red Bull can and it tastes MUCH better. I don't like Red Bull myself, but this stuff is great!!

yeah, i remember drinkin that gold can stuff in thailand about 10 years ago... great stuff...

 

[Racer-X]

I think its poison and tastes like crap, but what do I know.

well if i said that i would probably start to question how much i know as well.

don't feel left out.

 

[F.O.G]

Why ventue out on different products???? The company is in the top ten in the last Forbes. The guy found a niche and only has to produce a couple of products, I think it is amazing that a company in this day and age that can accomplish such a feat. I agree with Stick, I think it is horrible but they sell the **** out of the stuff.

 

[ALEXIS_DH]

the markup is huge.. and the sales too.
plus they basically own their market.

f1 audience is huge in the world (but the US), even at 100 mill per year to have a team its still cheap advertising and airtime, plus the association with a sport with a high cool factor.

here in peru the king of those beverages is not red bull, but a local company that sells stuff made from coke leaves at 3 bucks a can...
but its more of a marketing thing because its a pussyfied coke that went thru a de-alcaloid-ization...

 

[black noise]

I saw something similar, when I was on a deployment to Thailand in 2001. We saw the Redbull sold there. They were in these dark brown medicine looking bottles.

When I was in Whistler at the supermarket in the Village I got one of those. I was really confused by their lack of real Red Bull, so I got the medicine bottle one instead. It wasn't very good, it was sissified I think. And warm.

Why is Red Bull illegal in Canuckistan? Is there some gnarly chemical that they outlawed?

 

[sleepinggiant]

Uh, Red Bull and vodka, duh.

 

[buildyourown]

When I was in Whistler at the supermarket in the Village I got one of those. I was really confused by their lack of real Red Bull, so I got the medicine bottle one instead. It wasn't very good, it was sissified I think. And warm.

Why is Red Bull illegal in Canuckistan? Is there some gnarly chemical that they outlawed?

the stuff in the bottle is the sameas "Red Bull", but its not carbonated. You can buy it at any asian grocery.

 

[xy9ine]

Why is Red Bull illegal in Canuckistan? Is there some gnarly chemical that they outlawed?

its available here now. i assume there was some questionable ingredient that required approval.

 

[lovebunny]

taurine. something aboput the taurine in it that the canuks didnt like

 

[TamaSKA]

i dunno where they get that lot money, but they have it. probably not from me, i cannot drink that awful thing.

interesting that the F1 car has only 2 or 3 other sponsors sticker on it. They said they dont need anybody elses money. not bad.

 

[Lefty]

Kratingdaeng is thai for bull piss.

Lol..

well i like it for the same reasons as Punkassean does. And Redbull Bart like Kevin said is a wellknown person by me. And get free drinks from him to.

 

[ATOMICFIREBALL]

I didn't grow up drinking energy drinks..Don't need them now really.But as you get older i can see some benefits some days...

 

[renegade999]

i pissed in a red bull can when dude wasnt looking. he drank it all down, and i laughed and laughed.