ANALYTICS Target Customer Despite the risks he identified, Cuvelier was optimist

Question

ANALYTICS Target Customer Despite the risks he identified, Cuvelier was optimistic. "I believe that SVEDKA is the only brand in the vodka category to bridge the two ends of the category, appeal- ing to both upgraders and consumers looking for the best possible value," he said. "T see SVEDKA as being at the crossroads of the market."SVEDKA wanted to capture the new vodka drinkers as the category was expanding, along with the "upgraders" who were looking for an opportunity to drink something better than the standard offerings. SVEDKA could be the vodka of choice for both price-driven groups. In addition to considering consumer price sensitivity, Cuvelier segmented vodka drinkers into two large groups based on age and consumption behavior. Regular vodka drinkers tended to be price-conscious and loyal to a brand; consumers in this first seg- ment were mostly older males. The second group consisted of the 21-to-35-year-old consumer, who represented 40% of the vodka market. (Exhibit 9-4 shows the break- down of distilled spirits drinkers by category and age group.) Cuvelier thought this target group was also price-conscious, but not so brand-loyal. He was confident that SVEDKA, if positioned properly, would be able to tap into this younger crowd Distribution Off-premise (or off-trade) channels were the liquor and retail stores, while on premise (or on-trade) channels included bars, hotels, and restaurants. Brands were usually launched simultaneously in both the on-trade locations and retail outlets. The on-premise percentage of volume was higher for premium brands because consumers often ordered drinks mixed with a specified brand-name vodka. For example, in 2003, 51 % of Ketel One's volume was from on-premise. The percentages ofon-premise con- sumption for Grey Goose, Absolut, and Stoli were 48%, 38%, and 37%, respectively porters The spirits industry was a highly regulated business. Producers and im could not sell directly to the retailers; instead, they were required to sell to licensed liquor wholesalers, who then serviced retailers. Licenses were issued by the state and therefore restricted wholesaler distributors from operating beyond any given state's jurisdiction. Cuvelier relied on a small internal sales team to manage the distributors as key clients. By leveraging relationships within the industry, "I tried to overcome the biggest hurdle of getting distributors on board," he said.ne the Another obstacle in distributing liquor was the issue of control states (also known retailing of es). In 18 U.S. states, accounting for about 25% of the population, state Vermont, governments exercised monopoly control over the wholesaling and/or alcohol (Exhibits 9-5 and 9-6). These states, among them North Carolina, as mon

Explanation / Answer

Q1. What advice would you give Cuvelier for SVEDKA’s rollout strategy?

: See Roll out strategy is very important when company is growing. Every time the goals , targets , objective are changing. Management needs to take a different approach every time.

They need to plan following roll out strategy systematically.

Exclusive Roll out

Invitation Roll out

Social Roll out

Prototype Roll out

Big Bang Roll out

80/20 Roll out

Split Testing

General Availability

Now above mentioned are the phases of roll out strategy .Cuvelier needs to follow this approach.

Q.No 2

Which elements of his total marketing strategy is he relying on for success in this market?

Answer :

There are various elements in his total marketing strategy.

But he is focusing on following points.

Segmentation

Brand

Promotion

Price

Product

Outsourcing

Communication

Q3. What is the brand positioning statement that might guide integrated marketing communications? How has the positioning evolved over time? Where is it headed?

Answer :

Brand positioning statements is very vital & effective for selling of a product.Bran positioning statements helps

1) To build brand

2) To sell the brands

3) To create the positive impact on customers mind

4) To maintain the relationship with customers

Yes it is integrated with marketing communications.All above mentioned things are related with marketing communications. If marketing communications factors are established successfully then above factors of brand postilion can be achieved.

Yes this evolved over a period of time.That seems from his roll out strategy.Time by time the company is growing , as per growing stage he is developing the new marketing plan , strategy ,new customers etc Every time this is changing because of growing market.

Yes it is headed at the center position of the market , where highly demanded by customer.

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.