BRIENNE FILKINGINA GRUSSING

AMANDA HANSENCOLLEEN WHITE

PARMESH VENKATESWARAN

Promotional Strategy for Effen Vodka

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Agenda

Introduction to EffenIMC Campaign HighlightsResearch HighlightsSituational AnalysisCampaign ObjectivesIntegrated Marketing Campaign

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Introducing Effen Vodka

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Background

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Points

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Current Brand Image

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No differentiation from other premium vodka brands Brand is lost within the marketplace Consumers do not perceive the brand as being unique

from other premium vodka brands No meaningful differentiation from competitors

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IMC Campaign Highlights

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IMC Recommendations

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Brief Points

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Research Highlights

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Research Methodology

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Research Objectives To gain a comprehensive understanding of consumer perceptions

regarding ultra-premium vodka Research Sample

Effen Vodka drinkers College-educated, young professionals ranging in age from 23 – 30 years,

who live in New York, Chicago and Los Angeles

Consumers of super-premium vodka competitors College-educated, young professionals ranging in ages of 21-30 years, who

live in New York, Chicago, Los Angeles and East Central Illinois Observed vodka drinkers at bars and nightclubs

Bars and clubs in the greater Chicago-land area

Research Methods One-on-one Interviews Focus Groups Consumer Observations

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Research Results

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Points

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Situational Analysis

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Situational Analysis

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Strengths Many were loyal fans of the brand Packaging, taste, and flavors of Effen vodka appeal to customers

Smooth finish, visually appealing bottle and the popular black cherry flavored vodka Smoothness of drink and believed and no hangover

Weakness Low brand awareness/No distinct association with the brand Perceived as a low-end vodka among those unaware of brand Advertisements do not communicate product attributes Negative association with the name “Effen”

Opportunities Appeal to the younger, trendy crowd who are currently not targeted by other premium

vodkas Trendy young women would be a good sub-segment to target

Threats Proliferation of vodka brands in the market Proliferation of ultra-premium vodkas further fragments the market Macroeconomic conditions also decrease the preference for high-end vodka for home

consumer

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Campaign Objectives

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Campaign Objectives

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Target ObjectivesPositioning ObjectivesMarketing ObjectivesCommunication Objectives

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Target Objectives

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Target Segment Demographics Target consumer resides in a large metropolitan area Three reference cities were selected to gain key

demographic data - Chicago, New York, and Los Angeles Target age as 21-35 - approximately three million

household exist in this range. Median income is approximately $50,000 annually- one-

third earn over $75,000. Higher representation of racial and ethnic minorities

Target Segment Psychographics The target group crosses multiple Claritas segments “Young Digerati” “Bohemian Mix”

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Positioning Objectives

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Positioning Statement “Effen Vodka is the only ultra-premium vodka that provides 21-35 year

olds in bars, lounges, and nightclubs with a vodka brand that combines sophistication and bravado because Effen vodka is the only ultra-premium vodka brand that shrugs off elitism in favor of social merriment.”

Positioning Justification Uses reverse positioning to separate Effen vodka from other ultra-

premium vodkas and create a unique space in the minds of consumers. Target audience does not drink ultra-premium vodka just to fit in, but

also to share merriment with others and to reflect their personal style. Other ultra-premium vodka brands are not capable of communicating

with this group, because their positioning strategies all focus on sophistication and status.

The Effen brand name, while misunderstood by non-users or the brand, is well understood and appealing to the target group, because its double-entendre meaning is communicates nonconformity and bravado.

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Marketing Objectives

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Increase barrel volume by 18%, effectively achieving price premium, by the end of FY10.

Increase annual sales dollar volume by 20% to $12M by the end of FY10.

Realize 50%, or $1M, of added sales in markets outside of Chicago, Los Angeles, and New York.

Grow distribution in Atlanta, New Orleans, Boston, and San Diego by a combined 30% in FY10.

Induce 5% trial among the target audience in by Q2, and 10% by Q4.

Achieve 1.0% market share of the ultra-premium vodka market in the U.S. by the end of FY10.

Increase same-bar sales by 10% over FY09.

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Communication Objectives

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Generate brand awareness among 40% of 21-35 year old nightclub patrons in the targeted metropolitan cities within the first six months of the campaign.

Change the attitudes of the 10% of current ultra-premium vodka consumers by communicating “approachable” and “diverse” rather than “sophisticated” and “elitist” within twelve months.

Sculpt a brand image that encourages self-expression, rebellion, and individuality rather than promote status or conformity among 20% of new ultra-premium category users within one year.

Convey Effen Vodka as a companion in celebratory moments and social settings to 50% of current Effen Vodka consumers within 6 months, and 10% of the target audience within six months.

Encourage a shift in preference among 10% of the target audience consuming competitive brands by the end of one year by influencing the influencers such as bartenders and social mavens.

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Integrated Marketing Campaign

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IMC

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Creative Strategy StatementAdvertising StrategyMedia StrategySales Promotion StrategyEvent Sponsorship

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Creative Strategy

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Creative Strategy Statement “Effen Vodka is for consumers with discriminating tastes yet

undiscriminating attitudes”Creative Strategy Foci

Solidify Brand Personality – High Evoke Emotions – Medium Product Benefits - Low

Creative Approach Will effectively combine emotionality, humor, and brand

personality to delineate the unique positioning of Effen vodka. Tone will be approachable and open-minded to create a brand

that is a companionable to its consumers. Attitude, however, will communicate rebellion and

insubordination to high society and status-oriented brand

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Advertising Strategy

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The overarching advertising strategy will combine a grassroots feel with an edge of mystique

Advertising Objectives Inform, Persuade, Remind

Main Copy Points Do not get caught up in impressions Forget the rules, be you Lead, don’t follow Celebrate the moment

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Media Strategy

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Magazines Advertisements 944, Flaunt, URB, Six Degrees and Vision 60% of media budget on magazine placements

Internet Advertisements MyClubScene.com, Metromix.com, Nightclub.com 40% of media budget on internet advertising

Effectiveness and efficiency of Effen Vodka’s media plan can be measured through the use of Gross Rating Points achieved and the cost per thousand.

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Sales Promotion Strategy

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Trade-Oriented Promotion Nightclub and Bar Convention and Trade Show 2010

Consumer-Oriented Promotion “Be Smooth” Cocktail Drink Recipe Competition Effen “Be Yourself” Parties Cocktail Kit Promotion

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Event Sponsorship

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Lollapalooza - Annual music festival featuring a variety of music genres including, alternative, punk rock, hip-hop, indie and dance Occurs each summer over a span of three days in the heart of downtown Chicago,

at Grant Park The event has been sold out in recent years, as concert-goers span from across the

nation to attend the three day event In 2008, Lollapalooza attendance was around 225,000 people - record breaking

year City of Chicago signed a $13 million venue deal guaranteeing the event take place

in Chicago through 2018 Execution

Large Effen vodka tent will be pitched amidst the multitude of stages ; easily identifiable with novel signage that stands out and will create buzz

The tent will act not simply as a destination for an alcoholic drink, but also as a place to have a unique experience

Additionally, contests, prizes and giveaways will occur under the tent as another way to drive traffic to the tent and generate buzz.

Tent will act as a unique platform to communicate the message that Effen vodka is a brand that shrugs off elitism in favor of social merriment

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Campaign Budget

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Points

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Method of Evaluation

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Points

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IMC Recommendations

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Reiterate Points

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New Brand Image

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If campaign is successful, what image will the brand enjoy

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Thank You