Rockstar Revolution

IMC 472
Megan Gill April 14, 2011

Gill 2 Table of Contents Brand Overview.............................................................................................................................3 Brand Position...............................................................................................................................4 Competition...................................................................................................................................5 Target Audience.........................................................................................................................6-7 Objective and Strategies................................................................................................................8 Promotional Theme.......................................................................................................................9 Implementation Plan...............................................................................................................10-12 Media Support.........................................................................................................................13-14 Rationale.......................................................................................................................................15 References...............................................................................................................................16-17

Gill 3 Brief Overview of Rockstar Brand History Rockstar is an entrepreneurial success story of a brand created by Russ Weiner, who risked everything he had by taking a $50,000 mortgage on his condo to take on Red Bull, the number one energy drink in the country (Rockstar Energy Drink, 2009). Russ Weiner wanted to combat Red Bull by creating a larger sized, better tasting energy drink at a competitive cost (Rockstar Energy Drink, 2009). Rockstar was introduced in Northern California in 2001 at independent liquor stores and convenience stores using in-person taste tests. The product s success gained the attention of regional and national grocery and convenience buyers within months, causing a struggle to keep up with consumer demand for Rockstar. The rise of Rockstar is impressive considering the fact that the company did not use any national advertising. This nontraditional approach has made Rockstar the third largest energy drink globally (Rockstar Energy Drink, 2009). Additionally, as a leading global lifestyle brand, Rockstar energy drink has a history of charity work to help those in need, specifically in the following areas: families of fallen heroes, disabled veterans, AIDS services, animal rescue and rehabilitation, LGBT education and support services, LGBT bloggers initiative, and athlete recovery fund (Rockstar, 2009). Rockstar was originally distributed by Coca-Cola, but in 2009 PepsiCo became the exclusive distributor of Rockstar across the bulk of the U.S. and Canadian market (Berk, 2009). Product Overview Rockstar energy drinks are available in sixteen flavors (Rockstar, 2007). Rockstar energy drinks main ingredients are Taurine, Ginkgo Biloba leaf extract, Caffeine, Guarana seed extract, Inositol, L-carnitine, Panax ginseng extract, and Milk Thistle extract (Heckman, Sherry, and Gonzalez de Mejia, 2010, p. 308). Some are skeptical of energy drinks and believe that they are not good for you. However, research has shown that many of the ingredients in Rockstar are actually beneficial (Spencer, 2006). Rockstar is distributed at convenience and various grocery retail outlets (Rockstar, 2007). Rockstar currently utilizes social media such as Facebook and Twitter, as well as viral videos on its website and YouTube. Advertising for Rockstar is done through social media, event sponsorships nationwide, and direct mail. Rockstar promotes through online sweepstakes, aimed at extreme sports enthusiasts and sampling at sporting and music events. There are no national television commercials or billboards, as Rockstar takes a more nontraditional approach and supports extreme sports athletes and musicians through sponsorship (Rockstar, 2007).

Gill 4 Brand Position Positioning Statement Bigger. Better. Faster. Stronger. Rockstar is the world s most powerful energy drink. Enhanced with the potent herbal blend of Guarana, Ginseng, and Milk Thistle, Rockstar is scientifically formulated to provide an incredible energy boost for those who lead active and exhausting lifestyles- from athletes to rock stars (Rockstar, 2007). Rationale Rockstar sponsors a diverse mix of music tours, motor sports, mixed martial arts and action sports events that are enjoyed by a wide demographic and believes in freedom of speech, expression, and equality for all (Rockstar, 2009). The Rockstar brand resonates with consumers due to the product itself as well as the registered slogan Party like a rock star and brand name which is suggestive of celebrity, high energy and sex appeal (Spencer, 2006). Strengths The Rockstar Energy Drink UPROAR Festival has an established partnership with Child Find of America, which allows Rockstar to raise money for a national nonprofit organization. This nonprofit is dedicated to the prevention and investigation of kidnapping cases as well as helping the families of victims (Vegas, 2010). This is a strong partnership that allows the Rockstar brand to give back to the community and strengthen brand image and reputation. Rockstar is the third largest energy drink globally, behind Red Bull and Monster (Beverage World, 2009, p. 10). Rockstar is more cost efficient for consumers because it offers a 16 oz. can, unlike Red Bull. Rockstar sponsors a variety of events from concerts and festivals to extreme sporting events to appeal to the target audience. Weaknesses Red Bull and Monster have had a combined market share of 57%, while Rockstar had a market share of 11.4% in 2008 (Heckman, Sherry, and Gonzalez de Mejia, 2010, p. 304) According to Mintel, energy drink market penetration remained flat at 15% of all adults 18+ during 2007-2009, indicating a need to get new consumers (foodprocessing.com, 2010). Many consumers do not drink energy drinks because they think they aren t good for you, have too much caffeine, or are too expensive (Lukovitz, 2010). Although Rockstar offers many flavors, some consumers do not like the taste of Rockstar (Spencer, 2011).

Gill 5 Competition Red Bull The tagline for the brand is Red Bull gives you wings (Red Bull, 2010). Red Bull was the first energy drink introduced to the U.S. market in 1997, and continues to be the number one energy drink in the U.S. with a market share of 42.6% (Heckman, Sherry, and Gonzalez de Mejia, 2010, pp. 303-304). Red Bull is specially developed for times of increased mental and physical exertion, and claims to revitalize the body and mind. According to their website, Red Bull energy drink increases performance, increases concentration and reaction speed, improves vigilance, improves the emotional status and stimulates metabolism. For day or night, for job or fun. People who need more energy learn to value Red Bull energy drink, and the number of people who do is increasing all the time (Red Bull, 2010). Red Bull offers the original flavor, a sugar free version, and Red Bull Cola (Red Bull, 2010). Red Bull uses national television advertising, sampling at bars, nights clubs, and sporting events, Red Bull web tv, social media, viral videos and online games (Red Bull, 2010). Monster The tagline for the brand is Unleash the beast (Monster, 2011). Monster is the number two energy drink in the U.S. with a market share of 14.4% (Heckman, Sherry, and Gonzalez de Mejia, 2010, p. 304). Rather than utilizing ad agencies, TV commercials, radio spots, and billboards, Monster promotes their bands, athletes and fans. Monster backs athletes so they can make a career out of their passion and celebrates their fans and riders by throwing parties and events. It also uses social media and viral videos (Monster, 2011). Monster offers a variety of flavors (Monster, 2011). Full Throttle The tagline for the brand is Feel the energy at work (Full Throttle, 2011). Full Throttle is the number four energy drink in the U.S. with a market share of 6.9% (Heckman, Sherry, and Gonzalez de Mejia, 2010, p. 304). Full Throttle offers five flavors (Full Throttle, 2011). Full Throttle is also the official energy drink of the National Hot Rod Association (NHRA), which is a huge drag racing organization (Full Throttle, 2011). Full Throttle promotes through social media, viral videos, events, sampling, and online sweepstakes (Full Throttle, 2011). Rockstar and competitors price points range from $2.50-$3.50, depending on the store.

Gill 6 Target Audience Demographics Rockstar Energy drink targets young adults, specifically males, 18 to 34 years old (Heckman, Sherry, and Gonzalez de Mejia, 2010, p. 304). Rockstar advertises to males 18 to 34 because they are especially vulnerable to persistent exhaustion and insufficient energy. These males are most likely to believe in the veracity of the energy drink claims made by Rockstar (FactExpert, 2011). According to MRI data, 64.2% of Rockstar energy drink consumers are males, 18 to 34 years old (MRI, 2010). Even though Rockstar began in Northern California, their target market has greatly expanded and is not limited to a specific geographic area, as it is sold and consumed nationally (Rockstar, 2007). It has been found that the five cities with the highest energy drink consumption are Atlanta, San Bernardino, Chicago, Seattle, and San Diego (PRNewswire, 2009). Since Rockstar is the third largest energy drink, these cities can be cited as geographic locations for Rockstar consumption. According to Rockstar s President and CEO, the Rockstar lifestyle does not discriminate based on race, gender, sexual orientation, age, disability, ethnicity, national origin or religion (Rockstar energy drink, 2009). Therefore, Rockstar appeals to a wide demographic nationally, both urban and rural with differing levels of income. A demographic snapshot of young adults 18-34 shows that the average income for this group is $28,000-$30,000 (Rumbaut, Komaie and Morgan, 2007). Therefore it can be implied that Rockstar s target audience, males 18-34, earn $28,000-$30,000 annually. Psychographics These consumers tend to live a busy on-the-go lifestyle and are very active, creating the need to increase their energy level (Heckman, Sherry, and Gonzalez de Mejia, 2010, p. 304). Many Rockstar consumers are athletes and extreme sports enthusiasts and appreciate an extreme lifestyle. Although, many Rockstar drinkers associate with this lifestyle but might not engage in it firsthand. However, Rockstar is consumed by a variety of males who need an extra energy boost. This includes athletes, ravers, night clubbers, daredevils, shift workers, executives, long-distance drivers, students, and anyone who is sleep deprived (edrinks.net, 2011). Rockstar consumers are influenced by celebrity endorsements, whether it is an endorsement by a professional athlete, musician, or celebrity (edrinks.net, 2011). These consumers are adventurous and like to have a good time, like to party, and like the added energy that Rockstar provides them.

Gill 7 Rockstar drinkers are risk takers and thrill seekers who are always looking to make life a little bit more exciting. They are decision makers who enjoy their independence and free time. These consumers are also fans of extreme music and heavy metal. They enjoy going to concerts and like loud music. They enjoy the thrill of extreme concerts and the added rush that Rockstar provides them at these concerts. Rockstar consumers are also heavy internet users (MRI, 2010). Rockstar drinkers appreciate the larger size can and the wide variety of flavors. Rationale This is the appropriate target audience for Rockstar because the energy drink market appeals mostly to 18 to 35 year old males, as they control 65% of the energy drink market (Energy Drink Market, 2010). They lead a busy, on-the-go lifestyle and feel the extreme need for the energy boost that Rockstar provides them. They are adventurous thrill seekers who appreciate the Rockstar lifestyle and what it represents, from extreme sports to extreme music.

Gill 8 Objectives and Strategies Objectives Build brand loyalty for Rockstar energy drinks Enhance relationships with Rockstar energy drink consumers Reinforce the Rockstar brand image Increase traffic to Rockstar energy drink website Help raise money for a nonprofit organization Increase sales of Rockstar energy drink Strategies Build excitement through increased interaction among consumers and the Rockstar brand. Engage consumers brand involvement with Rockstar through a unique promotion utilizing the existing partnership with Child Find of America. Generate buzz through the unique promotion. Encourage multiple purchase of Rockstar energy drinks Summary This promotional campaign is designed to reinforce the Rockstar brand and the lifestyle that it promotes. This is due to the fact that Rockstar is the third largest energy drink globally, so this national campaign must focus on reinforcing the brand and its image as well as support and enhance relationships with consumers who are loyal to the Rockstar brand. There is no need to focus on creating awareness for Rockstar since brand awareness already exists, so the main goal is to integrate this promotional campaign with Rockstar s existing campaign efforts and brand positioning.

Gill 9 Promotional Theme: Rockstar Revolution The promotional theme of this campaign is Rockstar Revolution, which integrates well with Rockstar s existing campaign and positioning as the energy drink for those who lead active and exhausting lifestyles- from athletes to rock stars (Rockstar, 2007). The Rockstar Revolution promotional theme embodies the brand image of Rockstar and its consumers. Rockstar consumers are extreme sports and music enthusiasts who are adventurous risk takers and thrill seekers, always looking to have a good time. This theme will resonate with Rockstar consumers and will help to continue building brand loyalty and enhancing relationships with the Rockstar brand. This theme relates to Rockstar s existing campaign, which includes sponsoring a diverse mix of music tours and action sports events that are enjoyed by Rockstar s target audience, males 18 to 34. Additionally, this promotional theme and campaign is integrated with Rockstar s existing campaign efforts because it does not attempt to change or interrupt those existing efforts. The Rockstar brand is very focused on entertainment and events, rather than traditional national advertising. This promotional campaign will continue to use Rockstar s nontraditional approach instead of making a change to more traditional. It is important to continue this approach because it has gotten Rockstar to the number three position globally in the energy drink category (Beverage World, 2009, p.10).

Gill 10 Implementation Plan Tactics for Rockstar Revolution campaign Implement an Ultimate Rockstar contest which allows winners of various categories to win licensed prizes relevant to each individual category of the contest. Sponsor a Rock out with Rockstar Takeover in 5 of the most caffeinated cities in the country where a Ride with Rockstar sweepstakes will be implemented and winners will win a variety of licensed prizes that relate to Rockstar sponsored extreme sports. Extend partnership with Child Find of America for the Rock out with Rockstar Takeover. Sponsor a nationwide tour of the Rockstar bus in conjunction with the Rockstar Energy Drink UPROAR Festival in order to interact with, engage and reward Rockstar consumers and enthusiasts. Rockstar coupons Ulimate Rockstar contest The Ultimate Rockstar contest will take place throughout the campaign, June through September (weeks 1-16) This contest will consist of multiple categories that Relate to extreme sports and music currently sponsored by Rockstar, including: BMX, skateboarding, motocross, paintball, snowboarding, surfing, drift, and heavy metal guitar. This will be an enter to win contest in which participants upload videos to the Rockstar website. This will increase traffic to the website while creating buzz and excitement among loyal Rockstar consumers. The website will also have separate links to enter videos for each respective category. Video entries can be submitted the first two months of the campaign during June and July (weeks 1-8), but will allow a grace period for late video entries (weeks 9-10). The remainder of the campaign will be dedicated to judgment of entries, and the winners will be announced at the end of the campaign (week 16). Videos will be judged, or voted on, by visitors to the Rockstar website. This contest will create consumer interaction with the Rockstar brand, the lifestyle it portrays, and the loyal Rockstar community. This contest will also work to create buzz and excitement about the Rockstar brand and will reinforce the brand image. All prizes will be licensed items for each respective category sponsored by Rockstar, as follows: BMX bike autographed by Lucas Parslow, skateboard autographed by Bucky Lasek, an off-road motorcycle autographed by Luke Arbon, a paintball gun autographed by the entire Rockstar Factory paintball team, a snowboard autographed by Freddy Austbo, a surfboard autographed by Dion Agius, a free day of instruction by drift champion Tanner Foust, and a heavy metal guitar autographed by the band Disturbed. All of these people are

Gill 11 sponsored by the Rockstar brand and appeal to the target audience, so prizes will be relevant and meaningful to contest participants and the Rockstar brand to encourage participation and increase traffic to the Rockstar website. Rock out with Rockstar Takeover Rock out with Rockstar Takeover will occur in the five cities with the highest energy drink consumption: Atlanta, San Bernardino, Chicago, Seattle, and San Diego (PRNewswire, 2009). To clarify, these cities are located in GA, CA, IL, WA, and CA again. The event will occur once in each city every Saturday, beginning the last week of June through the month of July, to create buzz and excitement and encourage interaction with the Rockstar brand (weeks 4-8). This unique promotional event will take place at extreme sports parks and venues in each of the specified cities, in which Rockstar will essentially take over each location by branding everything in sight with the Rockstar logo and decals. Three athletes endorsed by Rockstar will perform in each city for the takeover, which will help to build excitement. A Ride with Rockstar sweepstakes will be implemented in which winners can enter at the event and will be randomly selected to win a variety of prizes that allow them to Ride with Rockstar. BMX bikes and skateboards will be the main prizes given to 10 winners in each city. Secondary prizes will include Rockstar licensed t-shirts and hats, cases of Rockstar, and Rockstar extreme sports helmets. Sampling of various Rockstar flavors will be provided, as well as coupons for $1.00 of the purchase of two Rockstar energy drinks. Therefore, this takeover will allow for increased interaction among consumers and the brand and will also generate buzz. Additionally, the takeover will increase sales of Rockstar through the coupon that encourages multiple purchase. Extend Partnership with Child Find of America Rockstar currently has a partnership with Child Find of America, a national non-profit organization dedicated to the prevention and investigation of kidnapping cases as well as helping the families of victims. Rockstar and Child Find of America originally partnered for the Rockstar Energy Drink UPROAR Festival to address the issue of child abduction and raise money for the non-profit organization. A portion of UPROAR Festival ticket sale proceeds go to the non-profit and a text message based donation system is also utilized (Vegas, 2010). This partnership will be utilized for the Rock out with Rockstar Takeover in order to raise money for the non-profit organization while allowing Rockstar consumers to feel good about the brand and its contributions to others. The text message based donation system used at UPROAR will also be used at the Rock out with Rockstar Takeover to encourage attendees to easily donate to the cause and raise money for the organization.

Gill 12 This partnership will allow an additional prize to be given in each city at the Rock out with Rockstar Takeover. This additional prize will be a pair of tickets to the UPROAR Festival. Nationwide Tour of the Rockstar Bus Rockstar will implement a nationwide tour of the Rockstar promotional bus in conjunction with the UPROAR Festival in order to interact with, engage and reward consumers. This will be an extension to the awareness campaign created by Rockstar and Child Find of America, which will continue to include covered tour buses with photos of missing children and a text message based donation system (Vegas, 2010). The 2010 UPROAR festival raised over $36,000, simply by having the wrapped buses at the Festival(Child Find,2010). Therefore, a nationwide tour will help to increase the amount of money raised for the non-profit while allowing Rockstar to reach the target audience and ultimately increase sales by encouraging multiple purchase. Stops will be made on the way to each destination of the UPROAR Festival, where sample sized cups of Rockstar energy drinks will be distributed while supplies last at each stop. Coupons for $1.00 off the purchase of 2 Rockstar energy drinks will also be given to encourage multiple purchase and ultimately increase sales of Rockstar. The UPROAR Festival begins in August and lasts through October, so the bus tour will run through the majority of the tour from August to September (Weeks 9-16). Portable mini-ramps will be set up at each stop to allow Rockstar sponsored skateboarders and BMX bikers to perform for Rockstar consumers. One band from the Rockstar Energy Drink UPROAR Festival will also perform a few songs at each stop. Attendees at each stop will be encouraged to donate to Child Find of America through the text message based donation system that has been established. Cash will also be accepted. Activity Graph June Ultimate Rockstar Contest Rock Out with Rockstar Takeover Extend Partnership with Child Find Nationwide Tour of Rockstar bus Coupons X X X X X X X July X X X X X X X August X X X X September X X X

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Gill 13 Media Support Internet Email marketing Social Media In-store These vehicles will provide the best support for this promotional campaign, due to the fact that Rockstar does not use traditional advertising such as print, television or radio (Rockstar Energy Drink, 2009). In other words, the chosen media support will not interfere with Rockstar s current campaign, but will support it. This media support will allow Rockstar to communicate this promotional campaign to the target audience in the most efficient and effective way. Internet The internet is one of the best ways to advertise Rockstar s promotional plan. Rockstar consumers are heavy internet users, so this provides the perfect vehicle to advertise this campaign (MRI, 2010). This campaign will be advertised on the Rockstar Website, which is a strong promotional platform for Rockstar which currently has an average of 19,700 visitors per month (Quantcast, 2011). Additionally, 53% of visitors to the site are males, which further proves that the Rockstar website is visited by the target audience (Quantcast, 2011). The campaign will also be communicated through Rockstar s YouTube channel, Rockstar TV, and Rockstar UPROAR site which are all linked to the Rockstar website (Rockstar, 2007). The Child Find of America website will also be used to communicate this campaign, since this nonprofit has a partnership with Rockstar (Vegas, 2010). Email Marketing Email marketing will be used to advertise this campaign because Rockstar already has an existing online mailing list (Rockstar, 2007). This will provide tremendous support for the campaign because it will reach current Rockstar consumers who are already loyal to the brand. This is highly appropriate to the target audience, because they have already requested to receive information and current news about the Rockstar brand. Therefore, this is a highly targeted means to communicate this promotional plan. Social Media

Gill 14 Rockstar currently uses social media to promote the brand, so this campaign will continue to utilize social media. Facebook will continue to be used to promote. The Rockstar brand currently has 764,186 fans and growing (Facebook, 2011). This is an excellent way to promote the plan while enhancing relationships with Rockstar consumers, reinforcing the Rockstar image, and increasing interaction among consumers and the Rockstar brand. The Rockstar Facebook page also provides a link to the website, which will help to increase traffic to the Rockstar website. Twitter will also continue to be used to advertise this campaign. This is also an excellent way to promote the plan to loyal Rockstar consumers, since Rockstar currently has 14,806 followers and counting (Twitter, 2011). Like Facebook, Rockstar s Twitter page provides a link to the website, so Twitter will help to achieve the objective of driving traffic to the Rockstar website. Twitter is an excellent platform to advertise because it is updated multiple times a day, allowing for extra exposure and the ability to build excitement and create buzz about the promotional campaign. Both Facebook and Twitter will be used promote the Ultimate Rockstar Contest in order to encourage participation in the video contest. They will also be used to promote the Rock Out with Rockstar Takeover and the Ride with Rockstar sweepstakes, as well as the nationwide Rockstar bus tour. Facebook and Twitter are important promotional tools because they allow consumers to interact with the brand and ask specific questions regarding the promotional plan. In-store The promotional campaign will also be promoted through in-store P.O.S. displays. These displays will be located in supermarkets in the five most caffeinated cities: Atlanta, San Bernardino, Chicago, Seattle, and San Diego (PRNewswire, 2009). These displays will be located in SUPERVALU supermarkets, because it is a nationwide chain and has stores in each of these 5 cities (SUPERVALU, 2011). The in-store displays will be special coolers designed with large skateboards on each side of the cooler, as well as a replica skateboard ramp motion display on the top of the cooler. A replica skateboard will be attached to a track on the ramp that will allow it to move back and forth on the ramp, just like in real life. These displays will showcase Rockstar drinks, command attention, and reinforce the Rockstar brand image. Product spotters, specifically skateboard stickers on the floor of the supermarket, will lead consumers from the store entrance to the display. These displays will be present throughout the entire campaign. The first day of the campaign, mini ramps will be set up in parking lots outside of the stores for the first 3 hours, where Rockstar skateboarders will perform. This will further build excitement and generate buzz about the campaign as it kicks off.

Gill 15 Rationale Rockstar Revolution greatly appeals to Rockstar s target audience of males, 18 to 34, who are extreme sports enthusiasts. The campaign reinforces the Rockstar brand as well as the lifestyle that it promotes. The promotional theme itself implies extremism and risk taking, which perfectly fits the brand image and reputation. The campaign is specifically designed to accomplish the objectives and strategies that have been established. The Ultimate Rockstar contest will kick off the campaign and build excitement through increased interaction and engagement with consumers. The contest will increase traffic to the Rockstar website while building and enhancing brand loyalty throughout the campaign. Due to the fact that website visitors are judging the contest, this is a guaranteed way to increase traffic to the Rockstar website in a way that is fun and exciting to Rockstar consumers. The Rock Out with Rockstar Takeover is a unique promotion that will build excitement and generate buzz at a key time period. The timing coincides with the Summer X Games, an extreme sporting event that Rockstar athletes participate in, as well as the kick off of the Rockstar Energy Drink UPROAR Festival. This takeover, which begins in the fourth week of the campaign, will utilize the existing partnership with Child Find of America and will help to raise money for the nonprofit organization. This takeover will also engage consumers brand involvement with Rockstar, enhance relationships with them, and reinforce the Rockstar brand image. The coupons provided will help to increase sales of Rockstar and will also encourage multiple purchase. The Ride with Rockstar sweepstakes at the Rock Out with Rockstar Takeover will also build brand loyalty for Rockstar and reinforce the brand image by rewarding consumers with licensed prizes that they desire. The nationwide tour of the Rockstar bus in conjunction with the UPROAR Festival will also allow Rockstar to interact with, engage, and build relationships with consumers. Like the Rock Out with Rockstar Takeover, the bus tour will also help to raise money for a nonprofit organization. The bus tour will work to increase sales of Rockstar energy drinks and encourage multiple purchase through the use of the coupon. The celebrity appearances at the Rock Out with Rockstar Takeover and the nationwide tour of the Rockstar bus will help to achieve the established objectives and strategies because Rockstar consumers are influenced by celebrity endorsements (Edrinks.net, 2011). The Rockstar Revolution integrates into Rockstar s existing campaign and positioning as the energy drink for those who lead active and exhausting lifestyles- from athletes to rock stars (Rockstar, 2011). This campaign allows thrill seeking consumers to interact with the brand while having a good time and consuming their favorite energy drink.

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