|Dhaval Thakkar | |Student ID - 341983 |
VOSS Bottled Water
Voss Inc. is a company established in 1999 which bottles and distributes Artesan water. The source of this water is a pristine aquifer in South Norway.
It is packaged in a uniquely designed and patented cylindrical shaped glass bottle and sold at a premium price. Some of the Hollywood actors and celebrities have been spotted using this premium bottled water.
Its close competitors are Fiji and Perrier who offer pure water at a premium price.
Differentiation Based Strategy
The founders of Voss, Christian Sandberg and Chris Harlem, recognized enormous potential for ultra premium bottled water from Norway after doing an extensive around the world research. Artesan water is the most purest form of water available and thus used as a unique value proposition to target the ultra premium segment.
Differentiation point 1 : Purest Water
It is recognised as the purest form of water by FDA and has recorded the lowest TDS of any bottled water ever tested by FDA. So, in a way it is a functional product that is uniquely different from any other product in the market.
Differentiation point 2 : Unique and patented packaging – Luxury Image According to a study, in the ultra premium bottled water segment, when people buy water it is for image and not just water. Voss roped in Calvin Klein’s former creative director Neil Kraft to design the packaging. He came out with a sleek cylindrically designed glass bottle when everybody else was offering plastic bottles in traditional bottle shapes. The design was later patented by Voss.
Voss, through its product offering, provides a unique value (purest water and image of Luxury /Exclusivity) which other competitors were not able to offer in the ultra premium segment.
Value Creation and Delivery (Mechanisms)
Value 1 - Product offering : Purest water drawn from Artesan well in pristine South Norway. No human intervention. The water is drawn from an aquifer by pressurizing the impermeable layer of rock and ice without the use of mechanical pumps. Product Quality and consistency is unquestionable since no mechanical/manual process is required to purify water. Customer is always certain to get purest water when they buy VOSS.
Value 2 – Luxury Image/Exclusivity : It is a market driving product. The strategy is to create exclusivity and associate luxury with the product. This is achieved by aligning all the marketing processes in a way that this value of luxury and exclusivity is delivered effectively.
Price – Ultra premium pricing helps in targeting the right segment i.e. rich and affluent (exclusivity).
Patented Designer Glass bottle – Unique packaging gives it an edge over others and helps in positioning and targeting the ultra premium segment
Controlled Supply - Sold almost exclusively through high-end hotels, restaurants, clubs and speciality stores (VOSS Red PET bottle). Voss‘s exclusivity is derived from the fact that Voss is served on the tables of the finest restaurant and lounges in the rooms of the most luxurious hotels and beachside at the trendiest resorts around the world. Voss is not available at retail outlets like 7-11 or corner convenience stores.
Promotions – No discounts or giveaways to maintain its brand image of luxury.
Advertisements - Heavily relies on PR...