Why Rich Energy faces a huge battle

Why Rich Energy faces a huge battle

Rich Energy arrived in F1 on a wave of hype as title sponsor of the Haas team. But business guru MARK GALLAGHER has seen how the energy drinks business works...

Juergen Rauch remembers the first time Dietrich Mateschitz turned up at their factory in Rankweil, Austria, asking his father if they would be able to facilitate a small production run. The Rauch family business had been in operation since 1919 and was renowned for its fruit juices.

Switching production lines over to a low-volume run of Mateschitz's new product, something called an energy drink, seemed like a risk. In the end Rauch Sr agreed and when, not long after, Mateschitz came back to place a second order, the family's decision to supply the ambitious young entrepreneur was vindicated. As sales of Red Bull gathered momentum at home and expanded across Europe, production soared.

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