ABSOLUT VODKA
BRAND AUDIT
Carol Cheong
Ray Johnson
Chris Mahar
Marcela Mendez
Andrea Salas
ABSOLUT AGENDA
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Background
CBBE Model
Four A Model
Summary of Findings
Recommendations
ABOUT ABSOLUT
• ABSOLUT VODKA was introduced in the US
in 1979
• Today It is the 4th largest international
premium spirit in the world
• It is available in 126 markets.
(source: Impact International).
• Since its launch Absolut has achieved
significant global sales growth, from 90
thousand litres in 1979 to 96.6 million litres
in 2007
• Every drop of ABSOLUT VODKA comes from
one source, the village of Åhus in southern
Sweden
2009 Aust Alcohol Consumption Per Capita
Source: ABS
ABSOLUT STRATEGY
Core Values
•Clarity, simplicity and perfection
Target Market
•Primarily urbanites
•Men and women ages 25 to 34
Psychographics characteristics
• Young, up and coming individuals
• Highly conscious of wanting to
succeed in their life both
professionally and personally
• Interested in new trends in fashion,
music and design and they typically
know what’s going on in these
areas.
METHODOLOGY
Qualitative
• 1 Focus Group
• 15 Participants
Age Distribution
50%
33%
Quantitative
• Responses from 44 Surveys
Gender
52%
Female
2%
>18
48%
Male
19-24
25-30
7%
7%
31-35
35-45
CBBE MODEL
Resonance
Judgments
Performance
Feelings
Imagery
Brand Salience
SALIENCE
IMAGERY
PERFORMANCE
FEELINGS
JUDGEMENTS
RESONANCE
We have Top of Mind Awareness!
B ra n d a w a re n e ss - re c a ll
50% 52%
39%
What brands of Spirit come to mind
22%
16%
36%
14%
10%
A b s o lu t
R es p o n s e 1
S m irn o ff
Absolut
Smirnoff
Johnny Walker
R es p o n s e 2
Within the vodka
category
Within the spirit
category
Bacardi Rum
But…..not as good for Males
Brand awareness - recall - Male
73%
Brand awareness - recall - Female
65%
53%
27%
27%
Absolut
Response 1
Smirnoff
Response 2
43%
36%
30%
Absolut
Response 1
Smirnoff
Response 2
•By gender Absolut is less popular within Male consumers than Smirnoff
•Poor depth of awareness comparing with Smirnoff
•Maintain awareness with females and enhance it within males
Wine, Beer and Vodka the winners of the category…..
Category
Categorypenetration
penetration
81%
81%
77%
88%
88%
66%
Rum
Vodka
Scotch
Beer
Wine
wine
wine
Beer
Beer
50%
50%
54%
54%
Scotch
Scotch
93%
Category
Categyswitching
sw ithing
95%
Rum
Rum
95%
90,0%
80,0%
20,0%
00,0%
•High penetration in Vodka, beer and
wine categories
80,0%
70,0%
60,0% •High
number of consumers are
50,0% switching between Vodka and other
40,0% categories
30,0%
20,0%
60,0%
10,0%
40,0%
20,0%
0,0%
•Bring beer consumers to vodka
0,0%
Vodka is consumed at night…..
Where was the last place you drank vodka?
30%
13%
13%
Home
BB Q
28%
•People consume Vodka in Pub
and night Club (58%) but not as
much at Home and BBQ (26%)
•Increase consumption
occasions
Pu b
Ni gh t-Cl u b
H ow do you like to drink your vodka?
27%
•They like it mixed (100%)!!!
•Favourite mixed; Lemonade
(27%) and Orange (20%)
20%
11%
9%
•Let’s give them a ready to
drink (RTD) !
Le m o n a d e
Ora n ge
Co k e
Li m e
Good depth of brand Salience: Brand Name- Logo
•Consumers like the
brand name (95%),
easy to remember,
recognizable,
familiar and unique.
•Also up market and
classy
•We have brand
recognition
•Important POD,
worldwide brand
•We should not
change the name
or logo
95%
Li k e i t
93%
C lassy
88%
84%
U p m a rk e t
Re m e m be r
77%
77%
O ri g i n a l
Un iq u e
A strong POD  Absolut Bottle
•Consumers love it!!!
•Bottle is highly recognizable
(93%)
•Strong associations as unique,
different, original and stylish.
Bottle
93%
88%
86%
86%
•Represent a strong POD
81%
72%
70%
33%
Recognisable
Unique
Original
Stylish
•Don’t change the bottle!
Different
Upscale
Innovative
Old Fashioned
Slogan is good, but do you know it?
80%
Lika bl e
77%
Uni que
73%
Remember
•The consumer recognized that
the slogan was from Absolut
(because the name is in it); but
the slogan was not recalled.
73%
Di fferent
59%
59%
Famil i a r
Sophis ti ca ted
•Increase slogan recall, recognition
and awareness (way of increasing
familiarity).
Interesting brand associations.…
Absolut POD
•Bottle
•Flavours
•Advertising
Smirnoff POD
•Smirnoff Ice
•Cheap
•Red
•Decrease some Smirnoff POD
•Compete with Smirnoff Ice
•Enhance the idea of stylish but
affordable
OK
They aren’t just after our looks….
•Customer perceptions of Absolut align well with desired
image…..Exciting, Sophisticated and Reliable. Not at all Tough
corporate
S
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SR
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High quality, but perceived as
expensive!
Absolut $39.50
Smirnoff $35
(Average from 8 stores)
•Absolut is perceived as significantly higher quality, yet Smirnoff is perceived as
greater value for the price. The prices are not as different as people think!
•Improve brand perception about the performance (Value)
•Any initiative must be careful not to damage brand equity – tricky!
Smirnoff Points of Difference
Attributes where Smirnoff is Strong
1.03
1,03
0.99
0,99
0.52
0,52
0.30,3
0,57
0.57
0,38
0.38
Absolut lags behind Smirnoff in the
performance attributes of purity and
heritage.
Heritage
Purity
Taste
•Current campaign is on the right track, focusing on the product, production
process and the key performance attributes of taste, purity, and heritage.
•Keep the ad campaign!
Creating Points of Parity
“Doing things differently leads to
something exceptional"
"Differently" is woven in wheat and
describes the primary ingredient for
the vodka, "doing" is carved from a
glacier to depict the purity of the
water used in Absolut.
This campaign has the ability to
increase Absolut's stature as a
complete product with brand imagery,
leveraging its product quality
•Current campaign is on the right track, focusing on the product, production
process and the key performance attributes of taste, purity, and heritage.
•Keep the ad campaign!
Absolut Points of Difference
A ttribute s w he re A bsolut is Strong - PO D
1 .1 7
1 .0 4
1 .0 2
0 .9 4
0 .8 9
0 .5 7
0 .5 4
0 .3 7
0 .3 6
F lavours
S tyle
S tatus
Classy
0 .3 7
Innovation
•Absolut has done an outstanding job of building the attributes of style, status,
classiness, and innovation
•Absolut scores better in flavours, but why isn’t the brand at more bars/bottle
shops?
Encourage visibility of flavours, maintain PODs!
Overall attitude is good but much higher with Women
Average Attitude Towards Absolut (-3 to +3 Scale)
1.70
1.52
•Overall attitude towards the
brand was higher between
females (1.7) than males (1.33)
1.33
Male
Female
All
•Absolut needs to maintain their
superior brand equity over Smirnoff
while
complementing
their
marketing
and
communication
strategy to enhance appeal to men
ABSOLUT AGENDA
•
•
•
•
•
Background
CBBE Model
Four A Model
Summary of Findings
Recommendations
Absolut Consumer Loyalty
Adorers (30%)
“Absolut is almost the only brand that I consume“
Adopters (45%)
“Absolut is one of my
favourites along with others”
Acceptors (10%)
“I drink Absolut but just occasionally”
Availables (13%)
“I don’t know much about Absolut ”
Category Loyalty
Category
Categyswitching
sw ithing
Category Commitment
8%
23%
81%
81%
88%
88%
30%
20%
0%
0%
beer
Vodka
Rejectors
Availables
Acceptors
11%
13%
Rum
8%
0%
10%
34%
wine
50%
Beer
60%
50%
50%
54%
54%
Scotch
34%
Scotch
Adopters
Adorers
•Impressive number of committed consumers in Vodka, Beer category
•High number of consumers are switching between Vodka and other categories
•Maintain the brand within the actual consumers of the category, creating more
consumption occasions gaining a higher share of overall alcohol purchases,
especially from Beer
Brand Resonance
(Loyalty)
Brand Commitment
amiliar
3%
Do you recommend Absolut vodka?
39%
29%
32%
Package
25%
ka drinker
ame ol. Do you recommend homebrand sugar to 43%
your friends?
every occasion
3%
11%
Loyalty
- likelihood of recommendation
26%
30%
9
8
7
29%
5
32%
45%
47%
od
brand I tried
Promoters
Passives
14%
10%
12%
2%
13%
3%
Sm irnoffDetractors
34%
Brand Commitment
5%
Rejectors
Availables
Stolichnaya
Absolut
3%
Acceptors
11%
Adopters
Adorers
Grey Goose
3%
11%
29%
30%
26%
•25% can be classified as promoters of Absolut vodka in recommending to their
29%
friends (those scoring 9 and 10 in the scale), 38% as passives, and 33% as
32%
43%
detractors.
45%
•The adorers of Absolut (30%) have a likelihood of recommend the brand 9 out
47%of
10 while the adopters (45%) have
8 out of 10, 10%
and so on
34%
14%
12%
2%
0
13%
3%
5%
11%
•Enhance brand loyalty in the
second group Absolut
of consumers (adopters)
and maintain
Sm irnoff
Stolichnaya
Grey Goose
relationship within those consumer that are currently loyal
Male consumers aren’t as loyal to the Brand!
Brand Switching – Consumers that drink
Absolut + Other brand
83%
Brand Commitment/ Loyalty by gender
12%
21%
35%
43%
25%
53%
42%
13%
43%
39%
6%
16%
29%
13%
21%
0%
13%
0%
4%
0%
4%
4%
Male Absolut
Female Absolut
Male Smirnoff
Female Smirnoff
Rejectors
Availables
Acceptors
Adopters
Adorers
•83% of the consumers that drink Absolut drink Smirnoff as well (potential market
share increase!!)
•The number of committed males with Absolut are half of the number of Smirnoff
(12% vs. 21%) and 1/4 compared with females (12% vs. 43%)
•53% of Absolut males consumers belong to the Adopter group (2nd)
•Enhance brand image and performance in order to increase loyalty/ commitment
and between adopters
•Use potential of 83% brand switching to convert consumers into Absolut adorers
•Create relationship campaign within Women Adorers and adopters in order to
capitalize their loyalty and create new adorers
SUMMARY OF FINDINGS
Brand Issues
•Switching between Vodka and beer
•High amount of loyal consumers in
Vodka category
•Vodka is an “all occasion drink”
•Absolut does not have TOMA with
male consumers
•Men who are committed to Absolut
represent only half that are as loyal
to Smirnoff (12% vs 21%)
•Flavours are a POD but it’s not easy
to buy in night clubs or bars.
• Consumers can not recall the
slogan
•53% of Absolut males consumers
belong to the Adopter group
•Absolut ranked lower than Smirnoff
in the purity, taste and heritage
attributes.
•Absolut ranks higher in quality than
Smirnoff but with less value for the
price

Brand Objectives
•Increase
consumption
occasions- penetrate
beer/wine categories
•Appeal more to men
among adopters and
acceptors.
•Capitalize on adorers,
female loyalty, and
create new adorers
through a relationship
campaign
•Increase visibility in
the following areas:
Availability of Flavours,
Value, Slogan
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1. Maintain, ad campaign, logo, bottle, PODs
Classy
Sophisticated
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2. Brand Extension: Re-Launch Absolut Cut
• Absolut Cut (Ready To Drink)
launched in AUS, CA, UK in 2004
• Big Hit in Australian Market
• Flop in Canada, UK
• Ownership pulled out completely
• Shift focus to
“main brand – high-end”
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2. Brand Extension: Re-Launch Absolut Cut
Why Re-launch Absolut Cut?
• New Ownership (Pernot Ricard) - New Goals:
 Interest in reaching new markets- wants Absolut to
appeal to a larger market
38% of respondents consumed beer/wine but not
vodka in the last 12 month
 RTDs compete with beer/wine
 Capitalize on popularity of Absolut Flavours
 Vodka drinkers were already mixing it
 Smirnoff Ice considered strong competitor POD
 Potential of U.S. Market in the future
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2. Brand Extension: Re-Launch Absolut Cut
Flavours
• Absolut Citron Cut (Absolut and Lemonade)
• Absolut Mandarin Cut (Absolut and Orange)
48% of vodka
drinkers
already mix
with lemonade
or orange
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3. Increasing Brand Equity (Image) for Men
Leveraging secondary
associations with the brand
– Celebrity endorsement
– Clever product
placement in movies
(Oceans 11), and in Print
Media.
– Enhance Male image
without risk of affecting
Female market
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3. Increasing Brand Equity (Image) for Men
EVENTS
• Leverage secondary associations in a way
that is appealing to men.
•Party at the ‘Absolut Marquee’ at the
following invitation only events.
–Melbourne Cup
–Sydney to Hobart Yacht Race
•Launch of Absolut “Cut” at the Melbourne
Cup.
•PR : Press kits and press releases at each of
these events.
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4. Relationship Marketing
BTL campaign in nightclubs and pubs and relationship marketing campaign
Have Absolut marketing staff hand out cocktails inspired by Absolut flavours
•
Include a flashy business card that has:
1.The recipe they just tried
2.The Absolut website with a link to the Free Drinkspiration iPhone App
Knowledge that signing up for this app will give them access to:
• secret Absolut Events
•new product samples
•the ability to earn points toward great prizes (vintage Absolut posters etc.)
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4. Relationship Marketing
Social Media
• Our Facebook link for the
particular flavour to “become a
fan”
• Our Twitter handle @ Absolut
Australia for more special offers
and deals
Absolut CUT
• The Absolut “Concoction” Cut
• Send product samples to Opinion
Leaders.
• Invite Opinion Leaders to teaser
events.
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5. Visibility of Price, Flavours, and Slogan using
Retailers
• “Win the visibility war” contest through the sales channel
to generate more visibility and availability
• Large Absolut Bottle Displays
• Prominently placed in stores
• Large eye-catching pricing
• Wide range of Absolut products
• Negotiate slotting fees
• Use retailers to relay competitive pricing message through
print advertising
• Incorporate slogan into displays and ads
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5. Visibility of Price, Flavours, and Slogan using
Retailers
Liquorland Flyer
In-Store Display
Pub/Club Display
$39.50
$39.50
$39.50
$21.50
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Salience –
Awareness
Image – Feelings
•Enhance brand image
in order to appeal more
to men
•Increase
consumption
occasions
Any initiative must be
conscious
in
not
damage the actual
positioning and brand
equity
•Increase
brand
availability
and
visibility
in
connection moments
for males.
1. Brand extension
Relaunch Absolut Cut
–
2. “Win the visibility war”
contest through the sales
channel
3. Increase exposure to
slogan through multiple
channels
BTL: delivering Cocktail
recipes and promotions at
bars.
4. Increase brand equity
(Image) for men. Leverage
secondary brand
associations.
•Sport events
•Celebrities
•Product placement in
movies, magazines, etc.
Performance Judgement
ResonanceLoyalty
•Highlight the taste,
purity and heritage
attributes of the
brand
•Create relationship
campaign
within
Adorers to capitalize
their loyalty
•Improve
brand
perception about the
performance (price/
quality) of the brand.
•Campaign appealing
to men and women
5. Maintain current
advertising campaign;
focused on the actual
product and production
process.
•Use distribution
networks to combat
price/quality gap though
prominent placement in
stores and large displays
with attention-grabbing
pricing
•Increase commitment
between men adopters
and acceptors
6. Relationship
Marketing.
Offline and Online
Campaign creating
interaction, and
awarding loyal
consumers
•Events
•Integration of web
page, Social Networks
and mobile
applications.
Thank You!
Questions?