Absolut Vodka Marketing Strategy: Lars Olsson Smith founded the company in Ahus, Sweden in 1879. Smith’s liquor business was the basis for the government monopoly that led to Vin & Sprit (Wine & Spirits), being created in Sweden in 1917.
The Absolut brand is known for its pure, natural, and enriched taste. It was influenced by an 18th-century apothecary bottle. According to 2017 data, the company has sold 11.5 million cases around the world.
Absolut, the parent company of Pernod Ricard, has a vast distribution network that reaches more than 150 markets around the world.
Absolut Vodka At A Glance – Marketing Strategy of Absolut Vodka
Company : Absolut Vodka
CEO: Anna Malmhake
Founder: Lars Olsson Smith
Year founded: 1917
Headquarters: Stockholm, Sweden
Absolut Vodka Fun Facts: Absolut Vodka is one of the most famous vodkas in the world. Launched in the US in 1979, it completely redefined the premium vodka landscape, becoming synonymous with art, culture and nightlife.
Marketing Strategy of Absolut Vodka
Absolut Vodka’s Marketing Strategy covers various aspects of the business right from segmentation and targeting to the overall mission and vision of the company and the various parameters which the company executes to become the top brand that it has in the market. So what is the Marketing Strategy of Absolut Vodka? Let us discuss.
Segmentation, Targeting, Positioning – Absolut Vodka Marketing Strategy
Segmentation allows you to understand the nomenclature for the different segments of the population. It is based on segmentation variables. Absolut Vodka employs a combination of demographic as well as geographical segmentation strategies to tailor its products to customers.
Through its extensive product range, the brand employs a selective targeting strategy to appeal to customers with rich tastes and offer them choices.
It employs a value-based positioning strategy to build a lasting brand image for potential customers by challenging the status quo.
Absolut Vodka Mission Statement
“Enjoy With Absolut Responsibility”
Absolut Vodka Vision Statement
Absolut Vodka Tagline
“When was the last time you were true to yourself? Sometimes being open to new possibilities is all it takes.”
Competitive Advantage – Marketing Strategy of Absolut Vodka
Strong parent company:
The Absolut Vodka brand is owned by Pernod Ricard, a French group. They purchased Absolut in 2008 for 5.63 billion euros from the Swedish state that sold Vin & Spirit. Pernod Ricard owns more than 22 brands and has a strong presence in over 150 countries.
Low to no operational costs:
Because 99% of its liquors were produced in Sweden, and are exported to other countries around the world, most of its resources are concentrated in Sweden. This results in a reduction in its operational costs in setting up the company offshore.
BCG Matrix – Absolut Vodka Marketing Strategy
Absolut Vodka, Absolut, and its various flavors are available worldwide by the Absolut Company.
Absolut and Malibu star in the BCG matrix, while other brands are questionable.
Distribution Strategy – Marketing Strategy of Absolut Vodka
Absolut Vodka, the #1 premium vodka worldwide, distributes its products via a mix of distribution channels that includes hotels, bars, and restaurants. The off-trade channel comprises large retailers and specialist stores. The travel trail covers all stores, places, and outlets within the traveler’s journey.
It is the fifth-largest brand of alcoholic spirits worldwide, after Bacardi or Smirnoff, and it is available in more than 126 nations.
Brand equity – Absolut Vodka Marketing Strategy
Absolut vodka’s rich history has been a hallmark of its excellence in branding strategies to create a buzz in the market by breaking stereotypes.
It has created buzz through its campaigns, such as “In an Absolute world” in 2007, a world without borders. In 2013, it launched its #absolutenights campaign. This featured a storyline on transgender people. In 2016, “Transform Today” was launched to reach urban millennials.
Competitive Analysis – Absolut Vodka Marketing Strategy
Absolut leads the market in more countries than 126 with its extensive brand portfolio of products. Absolut is leveraging the experience and resources of Pernod Ricard to unlock its true potential.
Absolut Vodka competes against companies like Smirnoff and Belvedere, Grey Goose, Grey Goose, Bacardi, and other complimentary drinks (other alcohol drinks like Rum, Whisky, etc. ).
Market Analysis – Marketing Strategy of Absolut Vodka
There are many alcoholic producers and breweries in the industry.
Rising health-related issues, Changing lifestyles, changing climatic conditions, changing drinking habits, and increasing health awareness/consciousness factors are affecting the growth of the companies operating in this industry.
Customer Analysis – Absolut Vodka Marketing Strategy
Absolut Vodka customers are different depending on where they live. For example, in areas with cold climates or hills, Absolut Vodka customers consume more alcohol than other people. Absolut customers are between 15 and 50 years old and enjoy spending time with their loved ones, friends, and family.
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