Not only does Svedka participate in marketing to consumers for personal consumption, but a major portion of their marketing energies goes to business marketing. Through business that purchase large quantities of their products, such as distributors, warehouses, bars, and restaurants, Svedka's revenues are gained only through this method. Svedka falls into several categories as described in the text book. Svedka falls under the supplies product type, and is sold to resellers, who in turn do not modify or use the product to make another, but only seek to make a profit by marking up the price the purchase price. Even thought marketing relationships need to be strong for any successful company, sometimes the consumer market may demand another product. For example, while purchasing alcohol at Astoria Wine and Spirits in Astoria, Queens the other day - I was told that the store no longer carried Svedka, and that a more popular vodka took it's place. The demand was obviously higher for Vesica vodka. The store attendant then told me that their customers were seeking a less expensive product, and that it was problematic ordering cases of svedka because the demand was not there. This just goes to show that no matter how hard the efforts are of marketing sometimes they are not rewarded. Furthermore, the store invest in wines, rather than spirits which could explain the phenomenon. Phenomenon, because everywhere else in Manhattan carries Svedka, and advertises it heavily.
Monday, May 9, 2011
Ch. 7 - Business Marketing
Not only does Svedka participate in marketing to consumers for personal consumption, but a major portion of their marketing energies goes to business marketing. Through business that purchase large quantities of their products, such as distributors, warehouses, bars, and restaurants, Svedka's revenues are gained only through this method. Svedka falls into several categories as described in the text book. Svedka falls under the supplies product type, and is sold to resellers, who in turn do not modify or use the product to make another, but only seek to make a profit by marking up the price the purchase price. Even thought marketing relationships need to be strong for any successful company, sometimes the consumer market may demand another product. For example, while purchasing alcohol at Astoria Wine and Spirits in Astoria, Queens the other day - I was told that the store no longer carried Svedka, and that a more popular vodka took it's place. The demand was obviously higher for Vesica vodka. The store attendant then told me that their customers were seeking a less expensive product, and that it was problematic ordering cases of svedka because the demand was not there. This just goes to show that no matter how hard the efforts are of marketing sometimes they are not rewarded. Furthermore, the store invest in wines, rather than spirits which could explain the phenomenon. Phenomenon, because everywhere else in Manhattan carries Svedka, and advertises it heavily.
Tuesday, May 3, 2011
Ch. 8 - Segmenting and Target Markets
Tuesday, April 26, 2011
Ch. 11 - Developing and Managing Products
Guillaume Cuvelier began with an idea for a new vodka, that was affordable, appealed to better tasting vodka's like Stoli and Grey Goose, rather than Bowman's or Aristocrat, and also wanted a hip youung vibe to go along with the product. Several years went by before the product was purchased by Constellation who then employed Amalgamated Marketing to elloaborate on the elements needed to bring the product to life in the eyes of the consumers. The company who initialy developed Svedka, already had leaders in the food and beverage industries at the helm of the product's creation. They were aware of business analysis of vodka's on the market and what exactly the market was demanding at the time, as well as the future predictions of demand. Thus, came what is our present day product of Svedka. It is clear that market was satisfied by Svedka's developments. High ratings and awards presented to the product justify great marketing efforts, which were allowed by great product development.
Ch. 16 - Integrated Marketing Communications
Christopher St. - Sheridan Square Station
NYC
My favorite pre-game celebrity/model studded hotel below Canal St.
Speaks for itself
www.svedka.com
Tuesday, April 5, 2011
Ch. 10 - Product Concept
As you can see from the pictures above and below, Svedka's product concepts are almost too simple. So simple that Wine Enthusiast in 2010 rated Svedka #2 vodka behind Grey Goose. As you can see Svedka falls into a simple catergory of vodka type alcohol with only a few choices of vodka to choose from, maybe less than 30 brands. Svedka's vodkas are considered consumer products. The product depth is 6 with the line consisting of regular vodka and favors of cherry, citron, Raspberry, Clementine, and Vanila. The trademark of the company of course is it's name, Svedka. Very little label advertising is done to the product itself. The container is made of a stream like glass bottle with the name of the product, country of origin, and the flag of Sweden. No warranties are associated with this product. The Svedka product strays very little from the convention and does well as it aims at a younger, purchase powerful target market through emphesis on its price and sexy advertising.
Tuesday, March 29, 2011
Ch. 18 - Sale Promotion and Personal Selling
As you already know, Svedka vodka is a specialty product, and it is not very complex. The majority sales promotion is done towards the trade sales. Below is a picture of Svedka's trade promotions at a 2005 trade show.
Svedka will do very little personal selling. Strict alcohol laws would restrict many opportunities to do so. Wine and spirit distributors will do the majority of the promotional selling. As of 2009, Svedka signed into several multi-year contracts with distibutors Southern Wine and Spirits, Republic National Distributing, and National Wine & Spirits. The details and terms of the deals were not disclosed (http://www.bizjournals.com/sanfrancisco/stories/2009/07/20/daily83.html). Therefore, little is know on what incentives, promotional deals, and premiums the distributors were offered. We also do not know what measures are being taken to secure the on going relationship between the two entities. Svedka also stated that they will continue to work with other distributors to spread their products. As for the distributors for Svedka, they will then go into the personal selling process. They will identify, restaurants, bars, and liquor stores as their potential customers, and so on to the last steps until closing occurs. Below are sevaral Point-of-Purchase Promotions that you may find at liquor stores and bars.
Tuesday, March 22, 2011
Ch. 17 - Advertising and Public Relations
Through the modes of institutional advertising and advocacy, Svedka touches on controversial topics such as "gay rights/gay marriage, stem cell research, colonization of Iraq, Blue State succession, Scientology in Hollywood, etc." All these issues are important to the young demographic target market that the company wishes to effect. They of course aim for the positive aspects of these topics or common standing toward these issues that are usually shared with a democratic, less conventional audience. Svedka's major and continual campaigned was first launched in 2005. Its first print ad was featured in the September issue of Vanity Fair magazine. New York based company Amalgamated Advertising Agency was the company commisioned to the promotional task at hand. Through collaboration efforts of the agency and Svedka they decided on print ads as the main medium for advertisement, and later they will produce a television ad. As clearly evident in their ads, the appeals would suggest fun and pleasure. Scene's of sexual appealing men and women, laughing, smiling, and having fun in general are elements that justify the mood/image executional style of advertising. In addition, Svedka is a sponser for many celebrity studed events, as well as many nightlife parties in New York City and Los Angeles.
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