The beginnings were bumpy. Company founder Dietrich Mateschitz had existential fears. A year after his death, a companion remembers – and is certain: Red Bull’s success has no limits.
At Red Bull, sales records collapse almost every year – and everything looks like a continuation. “The potential is incredible,” says Volker Viechtbauer, advisor to the company’s heir Mark Mateschitz, to the German Press Agency.
In the home market of Austria, the per capita consumption of the energy drink is statistically 35 cans per year, in the USA it is only around 13. “If we do everything right, we can increase sales significantly in the next 15 years,” says Viechtbauer .
For 30 years, he worked alongside company founder Dietrich Mateschitz as chief lawyer and head of human resources for the company, which is now one of the world’s largest. A year after Mateschitz’s death (October 22), the company is running “as he wanted it to.”
Existential fears at the beginning
For Mateschitz, the beginnings of the company, which according to the most recent balance sheet in 2022 had sales of almost ten billion euros (plus 24 percent) and made a profit of 1.7 billion euros, were characterized by existential fears. “He fought for three years to get the drink approved and often thought he would end up under the bridge,” says Viechtbauer, whose book about Mateschitz and the company’s philosophy will be published on October 17th.
For example, while the German authorities initially stuck to their no because of the stimulating ingredients caffeine, taurine and glucuronolactone, a solution typical of the country was found in Austria in 1987. An approval through “non-prohibition,” writes Viechtbauer. Starting in Austria, market barriers fell worldwide over a 25-year process – most recently in Uruguay in 2014.
Mateschitz placed great value on a company culture in which – based on the Austrian psychiatrist and meaning researcher Viktor Frankl (1905-1997) – personal responsibility and an unconditional desire to create are the supporting pillars, says his close companion.
Football, extreme sports and Formula 1
Red Bull’s PR concept with its diverse involvement in football (Red Bull Salzburg, RB Leipzig), extreme sports and Formula 1 are examples of this. “We don’t sponsor the world champion, we are Formula 1 world champions,” says Viechtbauer. This immensely benefits the credibility of the brand. According to the balance sheet, Red Bull spent almost 2.3 billion euros on marketing, advertising, sponsorship and sales promotion in 2022.
According to the market research institute Mintel, the growth prospects for energy drinks in general are also considerable. Manufacturers are increasingly making sure that they move away from the more masculine image and also appeal to women.
In Germany, half of all women between the ages of 16 and 24 already drink an energy drink at least once a week, according to a recent study. In addition, Generation Alpha – those under 13 – is geared towards fun. “This is good news for energy and detox drinks,” the study continued.
The rise to a global brand with great market power has brought the EU’s competition watchdogs into action. Due to suspicions of various violations of EU antitrust law, house searches were carried out at various company locations in March. The company assured that it would cooperate with the investigators.
Inheritance worth around 15 billion euros
According to the Bloomberg agency, the company founder left his son Mark an inheritance worth around 15 billion euros. Since 2023, the company has been managed from Fuschl near Salzburg by a three-person management team. At the end of 2022, Red Bull employed almost 16,000 people in 175 countries.
The billionaire Mateschitz founded the Red Bull Media House with TV channels and magazines, but was known for not aggressively pushing himself into the public eye. According to Viechtbauer, he did not give any TV interviews, was only heard on the radio a few times and only very rarely gave newspaper interviews.
Head of communications Tina Deutner was not exactly popular with the media because of her negative answers to interview requests. “It was always important to Dietrich Mateschitz that she took last place in the annual ranking of the best press and company spokespersons in Austria,” the book says.
With death in mind, Mateschitz – in his usual way – cared about the company and less about himself, says Viechtbauer. “We worked until the end. He even co-wrote the later press release about his death.”
Source: Stern
