MarketLine Blog

Posts tagged to Alcohol

Premixed Smirnoff Vodka and Cola Case Study: Propelling Premix Spirits into the Mainstream


Although the UK RTD (ready to drink) sector is in long-term decline, Diageo has been innovating with a new range of canned premixed ready to drink spirit and mixer serves. Trading heavily on their low-entry price points and convenience credentials, this article looks at Diageo’s stable of premix alcoholic beverages, and the Smirnoff and Cola SKU in particular, and examines how they have created a distinct segment in the UK alcoholic beverages market. Convenience is not as big a consumer pull in alcohol as in other areas of CPG, such… Read more

FirstCape Tapping into the Needs of the UK Wine Consumer


Amid the economic downturn, price has become the key issue in the UK alcohol market with consumers turning to the off-trade where prices are lower and, in doing so, trading down to cheaper brands. The brands that have performed well in the UK wine category are those aligned with consumers’ ‘recessionary mindset’. This article explores one such brand, FirstCape—a South African wine brand—and determines that it has been successful by taking its marketing cues from the wider CPG arena in developing promotions, product tiering, branding, range, and pack sizes and… Read more

Somersby establishing an alcohol category adjacent to beer


With declining beer volumes throughout Europe, brewers have looked at diversifying their product portfolios and seek out new revenue streams from alcohol categories adjacent to beer. Carlsberg, one of the world largest brewers, has expanded its product portfolio with the addition of the Somersby cider brand. The brand, which was first launched in Denmark and Norway in 2008, is now available throughout northern Europe and Belgium and has most recently been launched in Croatia and, most significantly, Russia. Somersby cider is an example of a successful premium product launch outside… Read more

Premium Spirits Harnessing Greater Consumer Spending Power in the Chinese Market


Rising wealth among Chinese consumers has driven the market for luxury goods. While premium imported spirits have status-symbol appeal, they are also faced with strong competition from both within and outside the category. This article looks at opportunities for international spirits manufacturers in China, and the issues that need to be addressed when strategizing market entry and/or expansion. China is a key growth market for virtually all consumer packaged goods (CPG) categories, as the sheer size and spending power of the market is difficult to ignore. For premium spirits, the… Read more

Aperol – Aligning an Authentic Italian Alcohol Brand with Contemporary Consumer Needs


Amid volume declines in spirits generally, Gruppo Campari’s Aperol brand has achieved dramatic growth since 2004, with total sales quadrupling off the back of expansion both throughout its core Italian market and into Austria and Germany. This article examines how the Aperol brand has managed to achieve strong resonance among a geographically widening range of consumers despite its focus on the premium and on-trade aspects of the alcohol market in the middle of the global economic downturn. The Aperol brand has been one of the most notable success stories in… Read more

Strong Growth of Alcohol Consumption in Emerging Markets Prompts Mergers and Acquisitions


  In the past few years, there has been a great deal of M&A (mergers and acquisition) activity in the alcohol market. Most of this activity is taking place in emerging markets: Asia-Pacific, Latin America and Africa. In 2007, Asia overtook Europe and the Americas as the biggest beer-drinking continent. With regards to per capita alcohol consumption, European countries outperform other regions by far. The World Health Organization’s Global Status Report on Alcohol and Health 2011 revealed Moldova to have the highest per capita consumption, at 18.22 liters. Of the… Read more