Technically they are mobile virtual network operator (MVNO) just like Virgin Mobile, which means they sell access to an existing network with their own branding and price structure.
Virgin Mobile would be the only other similar brand in that space in Australia. I think it’s a move worth making. The costs of becoming a MVNO are relatively low for a global brand but they get instant brand recognition in the new market. This is a great brand extension policy.
Red Bull have added to that by using social media to get the word out. I’ve got a free SIM card from Red Bull Australia because I am an account at Klout. If you are quick and in Australia you can also get a free Red Bull Australia Mobile SIM.
The customer acquisition cost of this strategy has got to be ridiculously cheap. Compare what it would cost You&Me Inc to attract young brand aware consumers to a new mobile phone network.
If that link worked for you, and you got a free SIM, please comment below, and a like, +1 or other thanks would be appreciated.
Update 20 Aug 2011 @13:00:
A third party, Aggregato, will provide retail sales and distribution management and customer service support for Red Bull MOBILE.
Aggregato owns GRL Mobile who are rebranding as Red Bull MOBILE from 7 September according to this news announcement.
That reinforces my point about customer acquisition costs. GRLmobile’s total customer acquisition spend will rise under this deal, but their cost per customer acquisition will go down. Customers don’t have to overcome the “who are they?” question
Red Bull may only be taking a licensing fee for all I know, but given Red Bull Mobile’s international rollout, it seems like they’ve put some resources behind establishing their brand in the mobile space.