Marketing Strategy of

Alcohol for millennial

SUBMITTED BY:
ANKUSH ANIL DAGOR
KUMAR ANIMESH ASHU
MAYANK SARDA
AMAN SINGH BAGHEL
DIVIDION: F1M
introduction

Beer and liquor brands are counting on millennial to lift their spirits.
From Budweiser to Smirnoff, alcohol companies are reorienting their personas
and their products for a generation that is interested in new tastes, as well as
brands with legacy and relevance.
Once upon a time, 100 years ago to be exact, Mrs. Julius S. Walsh Jr. of St.
Louis, Missouri, threw the first-ever cocktail party. Her innovative soiree,
dubbed a “Baby Party,” had guests dressing in infant-inspired clothing and
drinking cocktails out of baby bottles. There’s no doubt behavior like this in
such civilized times turned some heads. Walsh was avant-garde, a party
pioneer. But, for today’s liquor, beer and wine brands, it’s not as easy to
break new ground. That’s why alcohol promotions must create a buzz to help
brands stand out amid their saturated markets.
Millennial traits for alcohol
 Millennial love variety.
 Millennial demand quality
 Millennial drink socially

What Does This Mean for Retailers and Manufacturers?

 For manufacturers and retailers in the alcoholic beverage industry, these

trends can both help and hinder growth. Depending on how in tune
managers are with current trends, the millennial influence on the industry
can provide both opportunity for growth and the risk of stagnation.
 Manufacturers and retailers should download inventory software to keep
track of both fast and slow-moving products alike. When businesses
download inventory software, managers can track sales trends and prepare
stock and marketing strategies accordingly.
Strategy:
Marketing Alcohol Brands as Experience

“If you look at the 90s, people were looking for a nice logo,” said Eric
Vallat, global CEO of Rémy Martin. “Then, there was a search for
authenticity, which is why craft is booming.”
 A few years ago, alcohol-beverage giant Diageo realized it had a
problem. When Fireball-loving millennial wanted to take a shot, they
weren’t downing the company’s Captain Morgan rum.
 “Captain Morgan didn’t have an offering that appealed to [millennial],
because it was always Captain and Coke in their minds,” Deirdre
Mahlan, president of Diageo North America, told Fortune. To make a
play for the so-called shot “occasion,” Diageo (DEO,
+0.51%) developed new drinks, including Captain Morgan Cannon
Blast, which it marketed as “the shot to end all shots.”
Non stop innovation

 Beyond new campaigns and messages, alcohol brands continue to

focus on the core of their business: great products that meet the needs
of customers.
 Smirnoff continues to find ingenious new ways to package its vodka and
get it into the hands of consumers. For example, Smirnoff Ice Electric
Mandarin and Electric Berry varieties are targeted at millennial
festivalgoers and packaged in plastic, resealable bottles, allowing
consumers to “pursue a night of movement” on the dance floor or at a
party of friends.
 The Jack Daniels brand continues to grow its family of products across
countries, price points, channels, and consumer groups. Its competitor
to Fireball Cinnamon Whisky, for example, Jack Daniel’s Tennessee Fire,
tested very well and was introduced in the fourth quarter of 2015. And its
newer whiskey brands, including Fire as well as Honey, had explosive
growth in 2015 that is poised to continue in 2016. In February, Jack
Daniel’s released its first rye varietal, meant to appeal to both the
current segment of brand fans as well as an entirely new segment of
drinkers who previously had been drawn to heartier rye bourbons such
as Bulleit.
Pleasing the millennial palate

 Tastes among the next generation of customers continue to evolve, but beer, wine, and
spirit brands are doing a good job of keeping pace. Despite the talk of millennials having
an eye for only small craft brewers and distillers, size is not a de facto disadvantage
amid the huge spread of alcohol brands.
 Budweiser as a brand is embracing the notion of being a “macro brewery” in an effort to
attract beer drinkers in a market saturated with microbreweries. Its new positioning,
“Brewed the Hard Way,” supports this effort as well. Budweiser’s strategy is to appeal to
core Bud drinkers of all ages, including millennials.
 Corona enjoys a strong connection with millennials and with a wider variety of beer
drinkers, through experiential campaigns based on a shared affinity for the beach,
music, and sports. Its brand is built on this attitude as well as its highly recognizable bottle
depicted with a lime wedge, a one-of-a-kind taste, and its clever sense of humor.
 Meanwhile, Jack Daniel’s has maintained a popular storytelling strategy on social
media, focusing on an authentic Americana lifestyle. The brand also has taken a much
more interactive approach, responding to individual Facebook posts and tweets—and
reinforcing connections with the crucial millennial audience that is embracing the
brand’s old mystique for a new era.
Keep your customers excited (stay fresh)

 According to research conducted by BERA Brand Management,

there are five stages of development that parallel human
relationships – new, dating, love, boredom and divorce (see the
chart at the top of the page). In order for your company to
maintain a solid relationship with its customers, it needs to avoid the
boredom and divorce stage. It should aim to remain “fresh” and
“exciting” to its customers. Seek the intersection of your brand
authority and cultural trends to best connect with your market.
Five Love Lessons For Marketing to Millennial

 Understand the head winds and tail winds of millennial culture

 Seek the intersection of your brand authority and cultural trends
 Keep it fresh because love doesn’t stand still (i.e., boys will look at
other brands)
 Engage your consumer as a participant and do not refer to them as
a target audience
 Disrupt your last success because if you don’t someone else will