Professional Documents
Culture Documents
Absolut Vodka Case Study Nida Barros
Absolut Vodka Case Study Nida Barros
1. Main motivate for Pernod Ricard's acquisition of V&S (including Absolut Vodka)
in 2008.
Pernod Ricard wants to gain more share along with vodka portfolio and wanted
to compete with Diageo, the largest vodka producer. He sees the potential in
Absolut Vodka and wants to gain more revenue as well that’s why he wants to
own them. With the acquisition, Pernod Ricard group own the Absolut Vodka
Since the market share of vodka in the US has reached a saturation point and as
the trend of US, consumers concerns more about health. They drink cleaner and
Absolut Vodka could promote their drink as pure and cleaner drink in order to
complete with Smirnoff who is the world’s most popular vodka producer which
present themselves as a premium drink and has 22 percent market share in the
US.
Vodka consumption is the highest in Europe along with how consumers are
quality of its product since people there understand the quality of vodka.
Since the internet has been used by almost all ages, Absolut Vodka could create
a viral video of its product and promote them as trendy drinks. In addition, for
each region. Absolut Vodka could create a specific video for each region by
Another way is like how Stolichnaya was included in Eminem’s music video
for Love The Way You Lie. Absolut Vodka could be included in a music video
consume vodka the most in which excluding the homemade vodka which
means that it is even higher than the number showing in table 1. Meanwhile, in
the US, the market share of Absolut Vodka has reached a saturation point so it
might be the time of Absolut Vodka to move forward and attacking the number
and the UK. The reason may be because they target only the mature drinker
and came up with the mature campaigns, unlike another brand that has a
thing for them to do so just to avoid criticism. This case is kind of tricky, they
may not really go directly into the market because of a certain moral reason
that’s why they failed. Besides, the FAB product is popular among the younger
drinker as well.
Another reason is that their marketing strategies may not effective enough to
catch the mature drinker in these countries. Moreover, the volume of each
region for these countries are low except the UK from Eastern Europe.
5. Should Absolut Vodka relaunch a mixer product in the global FAB market?
Absolut Cut has a potential in FAB market. They should relaunch it and change
it a little bit. The shape of the bottle for example. In FAB market, the vodka
products are perceived as trendy and suitable for drinking directly from the
bottle. Redesign the bottle to be trendier, connect its image to both young and
older drinker since the FAB product is popular among consumers within 18-30
years old. Push and connect the product to a nightclub, stylish bars or into the
cocktail culture because these places are the most popular places for consuming
the drink and would raise awareness of the product among the target drinker.