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Case Analysis: Absolut Vodka - Managing Marketing Communications

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  1. Executive summary
  2. Background
  3. Publications
  4. Sponsorship Activities
  5. Art and Fashion
  6. Outdoor advertisements
  7. Conclusion

Much of Absolut's success can be attributed to chief executive Roux's marketing astuteness as he defied conditional marketing research data and transformed the adversarial environment into an opportunity. Similarly, what was an odd shaped bottle became Absolut's distinctive appeal and uniqueness.

Mr. Roux had the background, first-hand experience, determination, and suave salesmanship from his educational training and restaurant business which also contributed to the campaign's success through his input. While the market for brown liquor decreased between 1975 and 1986 by 35.65% and the overall Vodka market grew by 9.2%, Absolut enjoyed a phenomenal growth of 22% per year during the decade.

As the market trends changed, he adopted strategies to give Absolut an edge over its competition by listening to his sales representatives and incorporating ideas and marketing to adapt to these changes. He had an astute ability to engage trend-setters of the world by targeting these groups through magazines, concerts, etc. and then they would advertise the product for him. Furthermore, he tripled the advertising budget in 1988 compared to the previous year to become a trendsetter himself.

However, it would be important to highlight that Absolut was able to make bigger than expected inroads when Stolichnaya, the current bestseller, was boycotted due to political sentiments.

[...] Adds a new channel for the distribution of Absolut & helps it to develop its shipping logistics By giving the bottle a short neck, a contemporary look was embedded in Absolut vodka from the very beginning. Making it a sustainable contemporary image was one of the marketing objectives and the following strategies were adopted: Within vodka products at the end of the decade, one trend was toward flavors (Absolut Appendix particularly pepper. Absolut embraced this trend and Carillon's Absolut Pepper ad in 1987 showed the bottle in a jungle of Peppers hanging on vines with only the brand name. [...]

[...] Although many values remain relatively stable for decades, some values are influenced by changes and thus, long-standing advertising campaigns often reflect the complex and subtle changes in social values. Indeed, to remain effective, advertisements must evolve to reflect the changes in values over time. Absolut Appendix A Case Share of Case Share of Sold Market Sold Market (in (in millions millions ) ) goods goods s Absolut Appendix ABSOLUT VODKA has a rich taste, is smooth and mellow with a distinct character of grain; introduced in 1979. ABSOLUT PEPPAR is aromatic, complex and spicy. [...]

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