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Absolut Vodka Case Study

Absolut Vodka was introduced in the world market in 1979. Since its launch. In 2008, the absolute increased from ninety thousands liters to about ninety six million liters respectively. It is the world’s largest international spirit, and it is accessible in about 125 economies around the globe. Vodka is made from winter wheat. Approximately 80,000 metric tons of wheat (2,900,000 bushels) is used annually for the production of absolute vodka. More than 1 kilogram of grain is used per liter of bottle (Lewis, 1996).

The need to develop strong brand loyalty for hundreds of different varieties of domestically produced, imported and unique spirits in the market is essential to the continued success of the brand. Absolute vodka is no exception. Vodka stands for a quarter of alcohol sales. Vodka is classified into three groups: which are premium super premium and ultra-premium. Vodka’s tests are different, but there are 80 to 100 tests those give 50 percent of the alcohol content in a standard vodka. Voluntary banning of hard alcohol advertisements on television raised problems in the field of mass marketing. Companies were looking for other ways to promote strong drinks from alcoholic beverages. Bernardo Ricardo’s “Absolute Vodka” is one of the world’s most successful vodka to advertise products through other channels. The nominal amount of personal consumption for alcohol and tobacco is constantly increasing. The prediction from 2005 to 2015 shows a compound annual growth rate (CAGR) of 14.1 percent over five years (White & Smith, 2001).

In 2005, United States was the 45th largest country with the highest drinking level in the world. In the current liquor market, the two most popular beverages are wine and alcoholic beverages (“FAB”) correspondingly. Significant increase in alcohol consumption is mainly because FAB trading growth is 165 percent and external trade growth is about 149.8 percent respectively and it is the main factor in the market. This increase is related to the rise in the consumption level of alcohol of young women (Kohn, Smart, & Ogborne, 1984). According to Euromonitor International, regular American want to go out with friends at a weekend among young people who have not started pubs, bars, clubs, especially families. In addition, due to the low birth rate of the population, they have more time, more disposable income, willingness to communicate and go out. In addition to the consumer market, it is expected that the business market such as cafe and bar market will increase significantly in sales (Kohn, Smart, & Ogborne, 1984).

ABSOLUT vodka is a product that complements social function. Its unique taste, quality, style, popularity, related symbols, provide unique product positions. High quality vodka is included in many branded trade products. Compete instead of an intensive shelf location in the liquor store. The strong name of the ABSOLUT tag is always associated with creative advertising on print media. It also established a strong relationship with media, public and customer groups such as young designers through “submit your ABSOLUT ad campaign” (Jones & Donovan, 2001). Absolute vodka has commissioned around 290 artists over the last few years, but also leading artists in all fields like musicians, sculptors, fashion designers and glass designers. It was the main tactic of the company was to avoid the relevant products with only one the most significant style of the life of consumers and the ads were to have a timeless with the contemporize theme.

In Absolute, there are 300 artists, not only sculptors, glass designers, musicians, fashion designers, excellent artists in all fields, not only cost, but also yearly. The main strategy of the brand was not to associate products with one lifestyle, advertisements were always pure topics. Absolute pride that advertisement using various methods of paintings, limited bottles, shirt and T shirt (such as: Absolut, 2010 brand spotlight). TBWA highly appreciated the Absolut Vodka as one of the ten best campaigns of the last century in the era of advertising. The campaign received an award that can be an authoritative award in the advertising industry (2010), and has won many awards including the Effie Kelly Award. These popular and widely popular advertising campaigns can provide an important idea on positioning, successful arts and excellent products to high quality, high quality, relevant brand absolute, good living. In addition to Absolut Vodka, there are more than 30 kinds of vodka in the American market.

References

Jones, S. C., & Donovan, R. J. (2001). Messages in alcohol advertising targeted to youth. Australian and New Zealand Journal of Public Health, 25(2), 126–131.

Kohn, P. M., Smart, R. G., & Ogborne, A. C. (1984). Effects of two kinds of alcohol advertising on subsequent consumption. Journal of Advertising, 13(1), 34–48.

Lewis, R. W. (1996). Absolut Book.: The Absolut Vodka Advertising Story. Tuttle Publishing.

White, A., & Smith, B. L. (2001). Assessing advertising creativity using the creative product semantic scale. Journal of Advertising Research, 41(6), 27–34.

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