Even though Absolute ads have been depicted in different media, the central theme of the campaign has remained unchanged (the bottle and the two-word slogan) over the years. In light of the above statement, do you think that the campaign will manage to hold sway or lose in impact in the near future? Give reasons to support your arguments.
Even though Absolute ads have been depicted in different media, the central theme of the campaign has remained unchanged (the bottle and the two-word slogan) over the years. In light of the above statement, do you think that the campaign will manage to hold sway or lose in impact in the near future? Give reasons to support your arguments.
For Assignment Solution Contact
Casestudyhelp.in
https://www.casestudyhelp.in
9422028822
Marketing Management
CASE: 1 Absolute Vodka: creating advertising history
The Absolute advertising campaign was often regarded by advertising experts as one of the most brilliant, innovative, successful and long-running campaigns ever. The several prestigious awards that the campaign has won since its first ad was launched stand as testimony to this fact (See Table) for details of some of the awards).
Table: A brief list of awards won by Absolut advertisements
Year |
Award(s) |
1989 |
The Kelly Grand Prize for the ad ‘Absolutla’ |
1990 |
Grand EFFIE Award for Absolut advertising campaign |
1991 |
The Kelly Grand Prize for the ad ‘Absolut Glasnost’ |
1992 |
Award of Excellence’ for animation on the Internet by the communication Arts magazine |
1993 |
Absolut Advertising Campaign introduced in the ‘Hall of Fame’ by the American Marketing Association |
2000 |
Four Cresta Awards for international Advertising for the ads ‘Absolut Accessory’, ‘Absolut Auckland’, ‘Absolut Voyeur’ and ‘Absolut Space’ from Creative Standards International and the International Advertising Association |
2002 |
Insight Award for Best online advertising |
2003 |
EFFIE Gold Award for sustained success of the Absolut advertising campaign |
‘Absolut adventure’: the making of a legend
In early 1979, Absolut vodka launched in the USA at the liquor trade convention held at Fairmont Hotel in New Orleans. Initially, the company concentrated its marketing efforts in and around New York, Los Angeles, San Francisco and Boston because these were the places where new trends were created, media attention was intense and the bar culture prevailed. V&S had sold around 25,000 cases of Absolut vodka when advertising agency TBWA took over its ad account in late 1979. Two at TBWA, Graham Turner and Geoff Hayes, were assigned the job of creating the ads for the ‘still not so popular Swedish vodka’. The duo began by getting familiar with the product’s taste and conducting extensive research on different liquor ads of the previous 10 years. They found that most ads were pretentious and pompous, featuring people dressed in expensive attire and living lavish lifestyles with a small liquor bottle tucked in some corner. Moreover, none of the ads was targeted at people below 40.
After extensive research and effort, the admen came up with three different advertisement samples. The first featured a Russian soldier looking through a pair of binoculars with each lens reflecting the Absolut vodka bottle, accompanied by a slogan that read ‘Here’s something that Russians would really love to put behind bars.’ This ad was aimed at challenging the Russian vodka brand Stolichnaya. The second ad featured some of the favourite pastimes of Swedes, with a picture of the bottle; the slogan read ‘There’s nothing the Swedes enjoy more when it’s cold.’ The third ad featured only the Absolut vodka bottle with a halo over it, with a two-word slogan: ‘Absolut Perfection’ (a modified version of one of the ads created at NW Ayer). This ad was designed with the intention of humorously portraying as pure and natural.
The admen had come up with a dozen designs, which depicted the bottle in different ways accompanied by a two-word slogan. It was one of the simplest themes anyone associated with Absolute had created up until then. The ads featured the Absolut bottle, a description of the product and the two-word slogan with one word describing the theme and the other the brand name itself. In early 1980, V&S launched the first advertisement, ‘Absolut Perfection’, along these lines. Since then, the bottle has been retained as the centerpiece for every advertisement of Absolute vodka accompanied by a two-word slogan.
All Absolute ads were published in popular American newspapers and magazines like Newsweek, Time, New York, Los Angeles, New Yorker, New York Times, Interview and GQ. Carillon decided to continue using the same ad concept with a variety of themes. Experts felt that by using the same concept to depict various events, people or things, Absolut ads always gave people something to think about. Soon the ads had become a topic of interest among liquor consumers.
People began drinking Absolute not only because it was a new premium brand available on the market, but also to experience the image that its advertisement had created—that of simplicity and purity. Analysts credited the popularity of Absolute to its advertisements as they involved viewers in a creative process. Within three years, v Absolute vodka was being exported to 16 different markets worldwide as well as its home country, Sweden. In 1984, V&S exported six million litres of Absolute vodka. In the USA, sales were doubling every year (see the table).
Table V&S: Income statements, 1997-2002 (SEK million)
Particulars/year |
1997 |
1998 |
1999 |
2000 |
2001 |
2002 |
Net Sales |
3223.6 |
3,446.9 |
4028.6 |
5711.5 |
6725.1 |
9092.8 |
Other operating revenues |
(10.3) |
32.3 |
43.2 |
104.3 |
175.3 |
149.6 |
Operating Expenses |
(2449.8) |
(2626.8) |
(2924.9) |
(4177.4) |
(4741.2) |
(6686.6) |
Depreciation, amortization and write-downs |
(105.7) |
(130.7) |
(85.6) |
(235.0) |
(394.9) |
(519.2) |
Non-recurring items |
(17.0) |
287.3 |
(143.3) |
46.1 |
– |
– |
Operating Profit |
640.8 |
1009.0 |
918.0 |
1449.5 |
1764.3 |
2036.6 |
Financial items, net |
31.5 |
50.6 |
46.0 |
(16.2) |
(292.6) |
(167.6) |
Profit before taxes |
672.3 |
1059.6 |
964.0 |
1433.3 |
1471.7 |
1869.0 |
Taxes |
(175.0) |
(197.3) |
(273.5) |
(437.2) |
(462.0) |
(598.5) |
Minority share |
(0.4) |
(0.8) |
(0.3) |
(61.9) |
(0.5) |
(5.7) |
Net profit for the period |
496.9 |
861.5 |
690.2 |
934.2 |
1009.2 |
1264.8 |
In 1985, Michel Roux, President of Carillon and in charge of US distribution, came up with the idea of getting Absolut bottle painted and using it as an ad. Initially, there was opposition to this idea as it was a departure from the central idea of having the bottle photographed. However, Roux went ahead and commissioned celebrated artist Andy Warhol to paint the bottle, marking the beginning of Absolut’s association with art. The painting attracted a lot of accolades and the celebrity association gave the brand a great deal of mileage.
Thereafter, several artists painted their own interpretations of the Absolut bottle. Analysts observed that painting an Absolut bottle had apparently become an issue of pride for many leading artists. Big names such as Keith Haring, Kenny Scharf, Stephen Sprouse, Edward Ruscha, Arman and Britto made their own interpretation of the Absolut bottle (see Table given below for details). The above exercise was not only in the form of painting, but also in sculpture, glasswork, photography, folk art, wood work, computer/digital art and many other media. As Absolut’s association with the world of art gave the brand a lot of media attention and publicity, the company began regularly publishing these art ads along with the regular ads. Analysts noted that what began as an advertising campaign to promote an unknown Swedish vodka brand had become a part of American culture.
Table Absolut’s association with art and fashion
Year |
Name |
Description |
|||
ABSOLUT ART |
|||||
1990 |
Absolut Glasnost |
This art collection featured paintings by 26 Russian artists including Alexander Kosolapov, Evgeny Mitta and Leonid Lamm. |
|||
1993 |
Absolut Latino |
This collection featured artwork contributed by 16 artists from South and Central America. This collection showcased the artist’s interpretations of the Absolut bottle in traditional and contemporary Latino themes depicting the relationship between reality and illusion. Some of the artist who contributed to this collection were: Alberto Icaza, Vik Muniz and Monica Castillo. |
|||
1997 |
Absolut Expressions |
This collection featured art work contributed by 14 African and America artists. The artists (including Anita Philyaw, Maliaka Favorite and Frank Bowling among others) presented their interpretations of the bottle in traditional African art, early American folk art and in abstract imagery through mediums like canvas, quilts, and sculptures. |
|||
1998-99 |
Absolut Originals |
This included paintings contributed by 16 European artists including Damien Hirst, Maurizio Cattelan and Francesco Clemente. |
|||
2000 |
Absolut Ego (Paris) Absolut Exhibition (New York) Absolut Art |
Collections featured paintings contributed by famous artists like Damien Hirst and Nam June Paik. |
|||
Absolut FASHION |
|||||
1995 |
Absolut Newton |
This campaign featured designer wear created by famous fashion designers John Galliano, Helmut Lang, Anna Molinari and Martine Sitbon. It was first featured as an eight-page insert in Vogue, a popular fashion magazine. |
|||
1997 |
Absolut Versace |
This eight-page insert in Vogue featured designer wear created by Gianni Versace, the famous Italian designer. Gianni’s creations were modeled by famous models like Naomi Campbell, Kate Moss, Mark Findley and Marcus Schenkenberg, and photographed by famous fashion photographer Herb Ritts. |
|||
1999 |
Absolut Tom Ford/ Absolut Gucci |
This campaign included designer collections created by Tom Ford (of Gucci) a famous American fashion designer. The campaign was shot at a discotheque in Paris and was included as an eight-page insert in Vogue. |
|||
2000 |
Absolut Gaultier |
This campaign featured designs by Jean Paul Gaultier, inspired by Absolut and other Swedish legends. It was included as an eight-page insert in Vogue and other popular European fashion magazines. |
|||
Roux now began toying with the idea of making ads that were ‘stylish, hip and audacious’. With this began Absolut’s association with the world of fashion. In 1988, Roux commissioned the famous American fashion designer David Cameron to design an advertisement for the bottle. Instead of featuring the Absolute bottle, Cameron designed a dress (with the Absolute Vodka name and the text printed on it) that was modelled by a famous model of the day, Rachel Williams (she ‘represented’ the bottle). This print ad, named ‘Absolute Cameron’, was launched in February 1988 and gained tremendous publicity. On the day of its publication, 5000 women reportedly called TBWA wanting to buy the dress shown in the ad.
This led to the next phase of Absolute’s advertising strategy, wherein the bottle began to be represented in new, innovative ways. By the mid-1990s TBWA ran several ads linked to fashion, like Absolute Fashion (eight pages of coverage in Vogue), Absolute Style and Absolute Menswear, in popular fashion magazines like Vogue, Elle and GQ (see Table for details).
As the themes for the advertisements became more complicated, the cost of producing them went up substantially. For instance, some of the Absolute Christmas ads cost more than US$1 million to produce. Thus, over the years, V&S continually increased its advertising budget. TBWA spent approximately US$25 million on Absolute ads in 1990, an increase from US$750,000 in 1981. In 1997, Absolute also became associated with The Ice Hotel (an entire hotel made from ice) in Jukkasjarvi, Sweden. An ‘Absolute Ice Bar’ was added to the Ice Hotel, where different kinds of drinks made from various Absolute brands were served in glasses also made of ice.
By the end of the 1990s, Absolute ads began targeting not only the sophisticated, upper-class consumers but also sports fans, professionals, artists, intellectuals and even those who could not comprehend subjects like art and literature. Clearly, V&S was now aiming at a broader set of customers as the ads were featured in almost all kinds of magazines: sports, entertainment, art and fashion, business, and so on. By now the company had launched more than 1000 Absolut ads all over the world.
‘Absolut continuity’: the brand marches strongly ahead
By 2ooo, Absolute advertisements were recognized the world over for their stylish, humorous and innovative attributes. As people began collecting the ads, analyst observed that the brand had become an advertising phenomenon. More importantly, sales of Absolute were increasing over the years. Apart from the USA, Absolute was now exported to Russia and many Asian and Latin America countries. The brand generated most of its sales in the USA, Canada, Sweden, Greece, Spain, Germany and Mexico. In 2002, total sales stood at 7.5 million cases, making it the world’s largest premium spirit brands.
In 2002, Absolute was presented with the international advertising industry’s most prestigious awards for its online advertising on its website, www. absolut.com, and the Absolutes fashion campaign. Advertising experts regarded the website as ‘a premier online brand and lifestyle destination’.
Commenting on the creativity that Absolute ads stood for, Richard W. Lewis, author of Absolutes book: The Absolute Vodka Advertising Story, says, ‘Readers enjoy a relationship with this advertising that they have with few other advertising campaigns, especially in the print media. They are challenged, entertained, tickled, inspired and maybe even befuddled as they try to figure out what is happening inside an Absolute ad.’
In January 2003, the company launched Absolut Vanilia. Unlike the previous variants, Absolut Vanilia was launched in a white bottle. The launch of the new flavour was not only supported by print advertisements, but also with radio and outdoor ad campaigns. These ads were launched in a phased manner, beginning with teaser ads in different magazines in April 2003 followed by interactive online ads. The online ads were featured on websites like Maxim.com, EntertainmentWeekly.com, style.com, and Wired.com. These ads were created specifically to suit the product tag-line ‘a different kind of vanilla’.
In October 2003, in line with its penchant for creativity/innovation, Absolut ventured into the world of music with the launch of the Absolut Three Tracks project. This campaign featured music created by different artists according to their interpretations of the Absolut bottle. Analysts felt that the Absolut Three Tracks project, had opened am entirely new chapter in brand communications, as it enabled users to ‘listen to the Absolut brand.’ Commenting on this, Michael Persson, Director, Market Communications, ASC, said, ‘For years, our consumers have seen interpretations of the brand by some of the world’s most prominent artists and designers. With this new project they will also be able to listen to the brand: this is the voice of Absolut’.
Advertising experts felt that even 25 years after its launch, the Absolut advertising campaign was still going strong, innovatively, without changing the central theme. Even while creating music for Absolut Three Tracks, the bottle was used as the central theme. Aril Brikha, one of the artists who created a music track for Absolut Three Track said, ‘I had scanned the shape into a computer program that turns a picture into a tone—a futuristic way of including a picture without letting the listener know. I find it quite similar to previous Absolut projects where the bottle has been hidden in a picture.’ Industry observers as well as customers agreed on one issue: whatever the mode of expression—be it art, photography, technology, fashion or music—Absolut had until now stood for ‘brilliance in advertising’. Said an analyst, ‘We are surprised each year by the creativity and innovation of the brand. It is successful because it is contemporary. There is no end to the campaign.’
Questions:
-
Discuss the role advertising plays in increasing brand awareness and brand loyalty among consumers, especially for products that have very subtle differentiable attributes. In the above context, examine the impact Absolute advertisements had on its target audience. Do you think the advertisements fulfilled their purpose?
-
‘The Absolute advertising campaign is successful because it is contemporary.’ How did TBWA maintain the ‘freshness’ of the Absolute campaign? Discuss with respect to the brand’s association with different media: art, fashion, technology and music.
-
Even though Absolute ads have been depicted in different media, the central theme of the campaign has remained unchanged (the bottle and the two-word slogan) over the years. In light of the above statement, do you think that the campaign will manage to hold sway or lose in impact in the near future? Give reasons to support your arguments.
