Absolut Vodka Case Study
Ben Lake
Prof McGovern
International Marketing
17/04/14
Absolut Vodka Case Study
2. Which alternative marketing strategies does V&S Absolut Spirits have to increase its market share for:
A) Aboslut Vodka in the USA?
In the last 20 years American citizens have developed a tendency for drinking ‘less but better’ alcohols; thus many people now drink cleaner and more pure alcohol. V&S Absolut Spirits must take advantage of this trend as this fits perfectly into their message. Absolut falls into the premium segment therefore they need to key on this with their advertising.
Social media has become an extremely effective tool in regards to advertising; Facebook alone has over 1 billion users. In the United States social media advertising has become the norm, we see it everywhere, Facebook, Twitter, Youtube, and Pinterest. Social media has become one of the most successful ways to advertise a product. In facts 80 percent of social media users prefer to connect with brands through Facebook. V&S Absolut Spirits must exploit the benefits of social media and increase their promotion on Facebook in order to increase their market share in the United Sates. Currently Absolut only has 4 million likes on their official Facebook page compared to Smirnoff who has 10 million!
B) Absolut Vodka in Europe?
In Europe there are very few established brands, most prefer locally produced vodka’s especially in Eastern Europe. The brand leader in Western Europe is Smirnoff which controls 16 percent of the market. In Eastern Europe the vodka market is very large and diverse with hundreds of brands on the market. The regional leader Kristal controls only 7 percent of regional sales, with its nearest rival brand, Smirnov, holding 4 percent of regional sales. I think for V&S Absolut Spirits to increase its market share in Europe they must venture to promote Absolut as an established ‘up market’ brand preferred over ‘local vodka’.
C) Absolut Vodka in other parts of the world?
The rest of
Prof McGovern
International Marketing
17/04/14
Absolut Vodka Case Study
2. Which alternative marketing strategies does V&S Absolut Spirits have to increase its market share for:
A) Aboslut Vodka in the USA?
In the last 20 years American citizens have developed a tendency for drinking ‘less but better’ alcohols; thus many people now drink cleaner and more pure alcohol. V&S Absolut Spirits must take advantage of this trend as this fits perfectly into their message. Absolut falls into the premium segment therefore they need to key on this with their advertising.
Social media has become an extremely effective tool in regards to advertising; Facebook alone has over 1 billion users. In the United States social media advertising has become the norm, we see it everywhere, Facebook, Twitter, Youtube, and Pinterest. Social media has become one of the most successful ways to advertise a product. In facts 80 percent of social media users prefer to connect with brands through Facebook. V&S Absolut Spirits must exploit the benefits of social media and increase their promotion on Facebook in order to increase their market share in the United Sates. Currently Absolut only has 4 million likes on their official Facebook page compared to Smirnoff who has 10 million!
B) Absolut Vodka in Europe?
In Europe there are very few established brands, most prefer locally produced vodka’s especially in Eastern Europe. The brand leader in Western Europe is Smirnoff which controls 16 percent of the market. In Eastern Europe the vodka market is very large and diverse with hundreds of brands on the market. The regional leader Kristal controls only 7 percent of regional sales, with its nearest rival brand, Smirnov, holding 4 percent of regional sales. I think for V&S Absolut Spirits to increase its market share in Europe they must venture to promote Absolut as an established ‘up market’ brand preferred over ‘local vodka’.
C) Absolut Vodka in other parts of the world?
The rest of
Cited: Mosher, James. Joe Camel in a Bottle: Diageo, the Smirnoff Brand, and the Transformation of the Youth Alcohol Market Joe Camel in a Bottle: Diageo, the Smirnoff Brand, and the Transformation of the Youth Alcohol Market Joe Camel in a Bottle: Diageo, the Smirnoff Brand, and the Transformation of the Youth Alcohol Market Joe Camel in a Bottle: Diageo, the Smirnoff Brand, and the Transformation of the Youth Alcohol Market Joe Camel in a Bottle: Diageo, the Smirnoff Brand, and the Transformation of the Youth Alcohol Market. ncbi.nlm.nih.gov Web 2012.