WHITE SPIRITS: VODKA


family farm. April 2018 marked our tenth anniversary, allowing us to reflect on both the longevity of our brands, passion and success in the market place.” The demand for craft


spirits has definitely helped Tito’s handcrafted Vodka to increase its global presence in duty free & travel retail, as TRBusiness has reported. The brand, which is well- known in the US, is now gaining traction in other regions. John McDonnell, Tito’s Managing Director


International


explains why. “The main trend in


vodka is that mainstream brands are declining whilst craft brands like Tito’s Handmade Vodka are growing.” McDonnell actually believes that


there are ‘too many flavours on the shelf’, which take up a lot of space. “There is not enough rotation,” he adds. “What we need is to see craft displays including brands from across the spirits category.” McDonnell says that the brand


is hampered by limited shelf space. “A very frustrating challenge for us is that demand is outpacing shelf stock. Tito’s needs more shelf facings because consumer demand continues to grow. Hopefully as duty free operators discontinue some of the flavours that aren’t selling, they will address this problem and give that space to Tito’s.


“What I observe is a movement


away from mainstream spirits and fancy packaging to more authentic craft products. This is especially true in the gin category. In terms of Tito’s this is reflected in the response from shoppers to our red white and blue burlap bag which we launched in July to celebrate American Independence Day.” Tajana Pečeničić Inácio,


International Marketing Manager for Stock Spirits Group believes that customers are also showing a preference for ‘natural’ ingredients.


Natural & local “There is also a growth in


consumer interest in the use of perceived ‘natural’ rather than ‘artificial’ ingredients, sourced where possible, from identifiable, trustworthy local producers.” Headquartered in the UK,


the group has more than 45 brands in its portfolio and describes itself as a leading spirits business in Central & Eastern Europe, majoring in vodkas and vodka-based liqueurs. Interestingly, SSG says it also grew


its total flavoured category volume and value versus last year, “achieving impressive growth on premium- priced Stock Prestige Flavours and Saska Flavours,” adds Pečeničić Inácio. Jean-Philippe Aucher, Global


Bacardi’s Grey Goose ‘positively disrupts’ the category


Although Grey Goose vodka sales slipped last year, in the last five years it has registered 8% CAGR (source IWSR 2017). “We are seeing especially strong


growth in Asia Pacific and Europe, closely followed by the Middle East,” says Mike Birch, Managing Director & Vice President - Global Travel Retail and Commercial Development, Bacardi. “The success is largely driven by our


engaging and disruptive brand pop-up campaigns like the Summer Campaign now at Paris and Mumbai, where the brand story-telling and sampling are key.” Birch believes that shoppers


Grey Goose positively disrupting passengers at Paris CDG.


SEPTEMBER 2018


respond positively to ‘disruptive brand engagement campaigns’. The latest campaign, currently running with Lagardère at Paris CDG and Orly,


and at Mumbai Duty Free is designed to be ‘distinctly disruptive’, says David Hughes, Director Europe, Bacardi Global Travel Retail. “Grey Goose is the brand of choice for


summer, whether that’s on holiday or at home celebrating the sunshine with friends and making your own Riviera- inspired cocktails. “Our objective is to emphasise the


French heritage of the brand and to inspire shoppers with the ease of making a great Grey Goose vodka cocktail and the added sophistication it brings to any summer drinking occasion.”


TRBUSINESS 45


“In the past, inexpensive and gimmicky vodkas were a novelty that relied on impulse buying, but those days are past.”


Eric Helms, Marketing Director, Brown-Forman Global Travel Retail


DF/TR Director for Stoli Group, agrees with McDonnell and Carter about the still-growing popularity of craft products. “Craft versions of premium spirits generally are likely to increase in popularity – it’s whether retailers will give space to the smaller individual brands producing these interesting varieties.” Eric Helms, Marketing


Director for Brown-Forman Global Travel Retail believes that in the last few years consumers have seriously upgraded their tastes in vodka purchases, moving away from the gimmicks. “Authentic products of a premium nature continue


to be the prime movers in travel retail which, of course, plays to the strength of Finlandia Vodka. In the past, inexpensive and gimmicky vodkas were a novelty that relied on impulse buying, but those days are past. Established trademarks like Finlandia with a solid reputation in both TR and domestic markets are proving to be the choice of today’s international travellers.” «


Left: Chase vodka 100cl Union Jack Tin.


Centre: Stock Spirits says its flavoured vodkas have been performing well.


Below: Stoli Gold Edition.


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