Monday, 12 December 2016

Absolut attains premium vodka status

South Africa is not a big spirits market by global standards but the spirits category is growing exponentially as more consumers aspire to drinking leading whiskey, vodka, gin and tequila brands.   Pernod Ricard South Africa, providers of premium spirits brands like Jameson, Chivas Regal, Olmeca and Beefeater are heading this charge and, per the Aztec Market read, Absolut is the latest success story in their stable – with Absolut Blue becoming the leading vodka premium brand in value and volume in the last 6 Months (April – Sept 2016).

South Africa (the 13th largest alcohol volume country in 2015 out of 277), that figure is 18% with beer dominating (55% of volume) and wine also accounting for 18% of volume (ABV).  This picture is changing however, with the spirits category is showing the biggest improvement in rankings against competitor categories (beer, wine, cider and mixed drinks) in South Africa over the past 10 years (IWSR 2015).

Within this flourishing spirits sector, Pernod Ricard South Africa is a smaller player, but a company to watch, having made significant strides in growth and share gain over the past three years.

Key brands that have helped Pernod Ricard deliver its results include Jameson as the leading super premium whiskey in South Africa while Ballantine's has leading growth locally in premium whiskey. Absolut (including Absolut Blue, Absolut 100, Absolut Flavours and Absolut Elyx) is growing at 63% and had the largest share gain in the vodka category over the last year, in volume and value.

Since its launch in 1979, the Absolut Vodka bottle has stood out for its shape and even inspired Andy Warhol's artwork.  The iconic Absolut bottle shape adverts, the longest running campaign in history, were developed by a South African, Geoff Hayes.

Absolut's turn-around from the 'less cool' icon of a former era to a top performing vodka brand in South Africa is a compelling success story.  According to Melanie Campbell, Head of Marketing - White Spirits & Rum at Pernod Ricard South Africa, "Absolut set out two years ago to reclaim premium vodka leadership over the medium to five year term.  In less than 24 months, we achieved this with Absolut Blue by exceeding volumes and value versus our major competitor."