Business Daily from THE HINDU group of publications Friday, Aug 31, 2007 ePaper |
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Marketing
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Brands United Spirits sets eyes on premium vodka segment
Owns global brand Vladivar and may re-launch it as its premium brand here. Looking to tap the high margins in the premium segment. Leads the regular vodka segment with an 83% market share.
Purvita Chatterjee Mumbai, Aug. 30 United Spirits is planning to enter the premium vodka segment currently monopolised by a single brand, Smirnoff, from the Diageo stable. Considering the company is already a leader in the regular vodka segment with brands such as White Mischief and Romanov, tapping into the premium segment with its attractive margins is an imminent possibility. Mr Debashish Shyam, Assistant Vice President, United Spirits, said, “There is a gap in the vodka segment unlike the rest of our liquor brands that are well presented in their various categories. There is a possibility of an international brand in the premium vodka segment while we may also consider a home grown brand.” United Spirits already has the advantage of owning an international vodka brand from the Whyte & Mackay stable under the name of Vladivar. “There is a premium vodka brand from the Whyte & Mackay portfolio. Vladivar did exist in India some time back and there is a possibility of its being re-launched in the Indian market as a premium vodka,” said Mr Shyam. Market hold
Meanwhile, in the regular vodka segment, United Spirits leads the category with an 83 per cent market share with its White Mischief brand followed by Romanov Vodka. “The regular vodka segment is growing between 25 to 40 per cent but we are also looking at the premium vodka segment where there are higher margins,” says Mr Shyam. There are also smaller regional vodka brands such as Red Ribbon and White Magic at the mass end of the vodka market but the company is not likely to focus on this segment. As Mr Shyam says, “There is a mass vodka segment but it continues to be scattered and we are not making any investments to support these brands.” Brand endorsers
At the same time, United Spirits is making an effort to rope in brand ambassadors for its regular vodka brands. After roping in actress Shilpa Shetty to endorse its Romanov Vodka, Zayed Khan will be the new face endorsing White Mischief. “Brand ambassadors help bring a distinct personality to the brand and break through the clutter,” says Mr Shyam. Besides, United Spirits is also in the process of creating more flavours for its vodka brands. While Romanov already sports flavours such as green apple and passion fruit, White Mischief is expected to have new flavours such as vanilla, chocolate and strawberry in the future. White Mischief would also build further equity through its extension into branded holidays for which it has a tie up with traveljini.com.
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