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Market Research. Summary. The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion. 13%. 77%. 10%. The firm : DIAGEO (1/6). Foundation 1997: fusion between Guiness and GrandMarket Diageo Greater actor on feeding market This trust work on 3 axes:
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Summary The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion
13% 77% 10% The firm : DIAGEO (1/6) Foundation 1997: fusion between Guiness and GrandMarket Diageo Greater actor on feeding market This trust work on 3 axes: Stock exchange Quotation in London stock exchange and Wall street Financial results CA = 12,5 milliards € en juin 2004 The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion Source : latribune.fr et boursier.com
The firm : DIAGEO (2/6) Products A lot of the best brands of alcoholized drinks The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion Source : introductiondiago.pdf sur www.diageo.com
The firm : DIAGEO (3/6) Geographical results The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion 6% 6% 9% 42% 37% Results on Jun 2004 Net result : 2 091 861 € • World’s leader on alcoholized drink’s market
The firm : DIAGEO (4/6) SMIRNOFF range The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion 2005 result 25.2 million of 9 liters boxes sold Increase of sales : +3% • SMIRNOFF’sfive biggest markets • USA • Great Britain • Canada • South Africa • Brasil Source : www.diageo.com
The firm : DIAGEO (5/6) • Market situation • World’s leading premium drinks company • Diageo is the market leader • USA • Great Britain • Ireland • Australia The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion • Brasil • India • Korea, China • Russie Emergent markets • Geographical position • implanted on 180 countries • 3 geographical areas : • North America • Europe • International Source : www.diageo.com
The firm : DIAGEO (6/6) Main strength and weakness Strength World’s Brands recognized Complet range (vodka, whisky, rhum, gin, bier, win, liquor) They adapt their range to the different world’s areas Weakness Alcohol consumation is bounded by many rules (restreint of action fields) Tastes of consummers change quickly The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion Source : www.diageo.com
Communication strategy Their notoriety Dia (latin) = day and geo (greek) = world Catchphrase : « Celebrating life, every day, everywhere » « Every day, everywhere, people celebrate with our brands » Is known as « party partner » The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion • Marketing activities : • Programs with a powerful creativity which aim to increase their fame. • Callback : alcohol consummation must be sensible. Source : www.diageo.com
Westerners 18-35 years old up to date 18-25 years old 25-35 years old women men men women Needs of consummers Segmentation The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion NEEDS ARE CLOSE BUT DIFFERENT
Needs of consummers Segmentation • Statistics • 50 million of people in Europe • General case • Quality ensured by a well-known brand • Hedonism • Alcoholic drinks • Signs of fest • Oneself picture The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion
Needs of consummers Segmentation The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion • 18 – 25 years old up to date westerners • Innovation / fashion • Way of consummation + young people • Nomadism • Beer alternative • Taste • Price • Low alcohol content (women especially)
Needs of consummers Segmentation The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion • 25 – 35 years old up to date westerners • Traditional consummation • Enssential consummation during parties • Beer alternative • Taste hiding alcohol • Not very expensive • Individual part (women especially)
Needs of consummers • Similar expectations but three different groups • Cheap and fashion drink, with taste and • slightly alcoholized • Drink slightly alcoholized, new, with taste and • prices don’t matter • Alcoholized drinks, not very significant taste • and price, significant returned image The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion
Competitor : ABSOLUT • Identity • Group : Vin & Spirit AB • Headquarters : Stockholm (Sweden) • Place of production : Ahus • World growth of the vodka Absolut drink(Annual report ABSOLUT 2004) • 1985 : 12,3 M liters • 1995 : 43,2 M liters • 2004 : 76,1 M liters Currently, the drink world growth of the « spirits » tends to slow down, except for the BAA. • Absolut, its brand image : the drink for connected people The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion
Competitor : ABSOLUT • The structure of the offer V&S ABSOLUT • Wine • Liquor • Vodka • Range vodka ABSOLUT • 1979 : ABSOLUT VODKA • 1986 : ABSOLUT PEPPAR • 1988 : ABSOLUT CITRON • 1992 : ABSOLUT KURANT • 1999 : ABSOLUT MANDRIN • 2003 : ABSOLUT VANILIA • 2004 : ABSOLUT RASPBERRI • 2005 : ABSOLUT APEACH The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion
Competitor : ABSOLUT • Geographic coverage • The Absolut’s products are sold everywhere in the world • Distribution • In the coffee-house, hotels, restaurants, supermarkets • Main customers The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion www.absolut.com
Competitor : ABSOLUT • Partners • Leadership Jean-Paul Gaultier, Gucci, Versace • Bars and connected night clubs Advertising with partners • The artists • Positive aspects : a quality brand image, a good and effective communication, a good product, the coherence between its range and its image • Negative aspects : its price The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion
Competitor : ABSOLUT • Place in a supermarket The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion ABSOLUT ERISTOFF SMIRNOFF
In conclusion TEST IT !!! The firm : DIAGEO Strategy of communication Needs of consummers The competitor Conclusion