march 2011 - Drinks International

march 2011

legend-of-kremlin.com

Global stats russia and Which craft?
poland
A world of numbers The latest on organic, fair
explained p6 Ian Wisniewski trade and boutique p25
looks east p14

Contents

11

21 Market Overview Vodka: eyes
wide shut?
Supplement Editor Lucy Britner 6 G lobal statistics
+44 (0)1293 590046 Euromonitor International experts investigate the V odka never sleeps. But occasionally
[email protected] it gets a bit drowsy. It seems Russia
continued resilience of the world vodka market is in a bit of a daze, following the
Managing Editor Christian Davis economic crisis and the Russian
+44 (0)1293 590047 News & What’s new government’s plan to clean up the country’s
[email protected] drinking habits, following shocking statistics
8 Round up about alcohol-related deaths. A report published
Reporter Hamish Smith The latest vodka news from around the globe as in medical journal The Lancet said alcohol
+44 (0)1293 590045 addiction accounted for more than half of all
[email protected] well as all things new and exciting deaths among 15 to 54-year-old Russians.
12 Analysis
Production Editor Jaq Bayles How vodka is trying to conquer the Far East As Euromonitor’s Jeremy Cunnington and
+44 (0)1293 590048 Spiros Malandrakis explain on page 6, the
[email protected] Features country set a minimum retail price per half-litre
of vodka, which is set to rise to RUB200 (about
Advertisement Manager 14 Central & Eastern Europe €5 at the time of going to press) by 2013. Sales
Justin Smith Ian Wisniewski looks at the trends in vodka’s of vodka in kiosks are now banned between
+44 (0)1293 590041 10pm and 10am in many Russian cities.
[email protected] traditional homelands
Poland seems to be faring well and the mighty
Senior Sales Executive 21 On-trade Stock Spirits is still dining out big time on the
Carmen Poel Francesch Is vodka losing favour with bartenders? Or is success of its Czysta de Luxe vodka brand.
+44 (0)1293 590042 [email protected]
marketing the villain of the piece, asks Tom Sandham But, Ian Wisniewski reports, among other
Sales Executive Renata Stefanovic things, that both Russia and Poland have been
+44 (0)1293 590043 25 Craft vodka influenced by western tipples and Absolut talks
[email protected] Hamish about “growing volume”, while Finlandia talks
about “an appreciation of Finland as a source
Publisher Smith finds
Russell Dodd a flourishing of top-quality vodka” in the
+44 (0)1293 590052 trade in region.
[email protected] products with When it comes to
provenance launches, Skyy and
Drinks International, Zurich House, Absolut seem to be
East Park, Crawley, West Sussex RH10 6AS United 29 Design relative insomniacs
Kingdom Tel: +44 (0)1293 590040 Kevin Shaw looks at how vodka packaging design on the innovations
front – expect flavours
defines its role for consumers and producers alike and a suprise super-
premium...

Lucy Britner
Supplement Editor

March 2011 drinksint.com VODKA SUPPLEMENT Drinks International 5

Euromonitor International alcoholic drinks
analysts Spiros Malandrakis and Jeremy
Cunnington investigate vodka’s continued
resilience in the face of global challenges

Vodka’s new

A tipple for tsars and The Russian factor. the downward trend witnessed over vodka a protected term like scotch
peasants alike, filtered In January 2010, a minimum retail 2005-2010. And brought global whisky or champagne, Diageo said any
through diamonds vodka volumes down with it. further “misleading” brands would
or packaged in PET price of RUB89 per half-litre of vodka also be taken to court. Considering
bottles, the Holy Grail was set in the country, while staggered However, eastern Europe aside, that, according to Euromonitor
of a young urbanite’s big night out and tax increases will be used to raise that all other regions saw vodka’s volumes International, the category is expected
a sophisticated drink for cocooning figure to RUB200 by 2013. As if this demonstrating signs of admirable to essentially flatline over the 2010-
aficionados – if there is one common was not enough to drive the point resilience. Ranging from Australasia’s 2015 period, this does not seem
denominator to vodka’s unprecedented home, from September 1 it became stratospheric 8% total volume growth to make much sense. Digging a bit
reach, it can be briefly summarised illegal for all off-trade outlets such as for the year to the relatively more deeper, however, and stripping eastern
in one, all-encompassing word: kiosks and supermarkets to sell vodka moderate 3% posted by western Europe’s massive gravitational pull out
versatility. between 10pm and 10am in most Europe – still a figure practically of the picture, the category appears
regions, including Moscow. unattainable for most major spirits to still be in rude health, expected to
At the same time as draconian categories in such a mature market – register relatively buoyant 3% total
measures deal a massive blow to It was the same month that Russia’s vodka appears to consistently prove volume growth over 2010-2015.
the category’s sales in its Russian head of public health chose to step its naysayers and critics wrong. And Manufacturers should take heed.
homeland – negatively skewing forward, calling for a blanket ban on innovation remains its primary vehicle
global growth figures in the process all advertising of alcoholic drinks in for growth. Vodka remains unchanged
– vodka continues to transcend class, the country – a proposal that had not
occasion and cultural limitations while yet come to pass at the time of writing. Organic offerings, ‘green’ The global vodka market remains one
reaffirming its resilience in the face of propositions and the neverending of the most fragmented of all spirits
severe economic volatility. Proposals include a plan to limit spate of flavoured varietals (ranging categories. The leading five vodka
the size of beer cans and bottles while from the aptly-named Chase Vodka producers accounted for only 22%
According to Euromonitor extending a night-time sales ban on Distillery’s Marmalade Vodka to UV’s of global sales in 2010, compared
International’s latest findings, the alcohol across the country following Sweet Green Tea inspired launch) with 73% for the top five producers
spirits industry’s most spoilt poster successful trials in Moscow. Alcohol spearheaded innovative activity over in blended scotch. This is in part due
child witnessed a sobering 0.4% could also be banned from sporting 2010 and will prove to be game- to the size of the vodka category, but
total volume decline in 2010. events, a move that may jeopardise changers moving forward.
Hardly surprising, one might think, distillers’ ability to profit from the
considering the lingering harsh FIFA World Cup in 2018. Vodka, the At the same time, Diageo is
economic headwinds still blowing dominant segment in spirits by a long surfacing as the category’s de facto
around the globe during the year. way, saw a volume decline of 4.6% guardian. Following successful legal
in 2010, signalling an acceleration of action against Vodkat, which made
Nevertheless, the category’s
seemingly uninspiring global
performance is, in effect, only
masking fundamental discrepancies
in its fortunes in individual regions.
Critically, eastern Europe, the
category’s traditional bastion, saw a
virtual collapse in sales, registering
more than a 3% decline in total
volume terms in 2010. The reason?

6 Drinks International

Overview

Shutterstock: tarasov Khlebny Dar brand) was ranked 48th
in global vodka in 2006. Fourth-
mainly because most of the world’s in its domestic Polish market due from its strong global distribution. placed Russian-based Synergy has had
largest vodka markets in eastern to the rise of Stock Spirits’ brands Stock Spirits, whose growth has hit nearly as rapid a rise as Bayadera.
Europe have little history of branded impacting the volumes of its own Both companies, however, are still
products and have been highly brands, such as Absolwent. Most of two of the world’s three top players primarily focused on their local
fragmented. the latter problems took place in 2009 in the category, has seen the company markets.
with the dramatic rise of Stock Spirits, rise from being the world’s 40th
In 2010, Diageo managed to hold yet in 2010 CEDC was able to do little biggest vodka producer in 2007 to These eastern European companies
on to its global leadership with a more than keep the status quo. seventh in 2009, a place it maintained can fall as quickly as they can rise.
6.9% volume share, despite CEDC’s in 2010 with a 2% volume share. The Ukrainian-based Olimp Corp, which
acquisition of Russian Alcohol Pernod Ricard was the third largest company’s success has primarily been was the fifth-biggest global vodka
Group during the year. This was due player in vodka globally in 2010 with due to the rapid growth of its Czysta producer in 2007, ranked only 12th
to Diageo managing to maintain its a 4% volume share. Pernod Ricard’s de Luxe brand in Poland, which was in 2010.
volumes in core markets with heavy main focus in vodka is obviously the achieved through a combination
price and promotional activities in Absolut brand but it also has a range of competitive pricing and strong Trading down in
key markets such as the US and the of local brands. The company saw marketing. ‘western’ markets
UK, as well as growth in emerging its volumes and share recover slightly
markets such as Brazil for its main in 2010 following a poor 2009. A Eastern European As we have seen, both leading
brand Smirnoff. This, in turn, meant number of its local vodkas from companies rise and fall international companies were also
a withdrawal of its local economy Poland suffered, like CEDC’s, from hit by the trading down trend in
brands such as Popov and Gordon’s. the rise of Stock Spirits, but also a fall All the rest of the leading vodka ‘western’ markets, especially the US.
in volumes for the Absolut brand was companies are focused on eastern This has meant the rapid rise of local
The impact of the caused primarily by trading down in Europe. Many of these companies producers there with economy brands
rise of Stock Spirits the US. The company’s 2010 recovery have seen rapid rises in volumes at the expense of international brands
was primarily due to a recovery for the as they successfully manage to tap such as Smirnoff and Absolut. The
Second-placed CEDC, which held a Absolut brand thanks to some price into the large and fragmented markets company with the biggest rise has been
6.8% share, saw its volumes suffer discounts in the US and strong growth of eastern Europe, especially Russia Constellation Brands, which saw its
through a combination of slowing internationally as the brand benefits and Ukraine. Fifth-placed Ukrainian- ranking improve from 27th to 20th
sales in Russia as well as falling sales based Bayadera (producer of the between 2009 and 2010, and has been
driven by its Svedka brand in the US.

Other US companies have also
benefited, with McCormick Distilling
and Heaven Hill Distilleries rising
up three places to 26th and 27th,
respectively.

UB Group on the rise

The rapid growth of vodka outside
the traditional eastern European
markets has also meant the swift rise
of some companies from outside the
region. Chief among them has been
the Indian- focused UB Group. The
company, which dominates the Indian
spirits market, has benefited from the
rapid growth of vodka in India, and
was the world’s 16th biggest producer
in 2010 (41st in 2005), a ranking
that is only going to rise as the vodka
category is expected to more than
double between 2010 and 2015.

While consolidation in vodka should
continue through acquisition and,
equally importantly, though organic
growth as companies expand into
growing markets such as India, it will
remain a relatively fragmented category
for the foreseeable future, primarily due
to the fragmented nature of the largest
vodka market, Russia, combined with
the broadening geographic popularity
of the category, making it difficult for
major brands to gain a large share. DI

march 2011 drinksint.com VODKA SUPPLEMENT Drinks International 7

News

High-end vodka sees Pinky gets
US volumes increase new handler

Super-premium vodka is making a comeback in the company focuses, have done a particularly good job of W hyte & Mackay has struck
US, according to the Distilled Spirits Council of the attracting consumers. an agreement with Liquidity
United States (Discus). to manage Pinky vodka in North
The economic data report, based on figures from “Take vodka for instance. It’s clear that people are trading America.
2010, shows vodka, which accounts for 31% of industry up to high quality brands like Ultimat – the sector was up
volume, up 6.1% to 59 million 9-litre cases. The super- almost 18% last year, double and triple the growth of the The super-premium flavoured
premium category was up nearly 18% and revenue was up lower-end vodka categories.” vodka has joined a stable that
approximately 14%.  includes The Dalmore and Isle of
Jura single malt whiskies, Whyte
But Discus CEO Peter Cressy warned that the industry is & Mackay and Cluny blended
not out of the woods yet. scotch whiskies, and Glayva
liqueur.
He said: “In 2010, the industry improved its performance
over the previous year, but this recovery remains fragile, and Whisky specialist Whyte
we are not yet out of the woods. & Mackay already
represents Pinky in 35
“Consumers did begin to trade back up to premium international markets,
spirits products, but the hospitality industry is still far from including the recent
its average pre-recession performance.”
addition of Russia.

Ultimat vodka producer Patron Spirits International said Pinky’s existing
this news was “encouraging”. Californian-based brand
team will join Whyte &
Patron COO John McDonnell said: “It’s encouraging to Mackay’s US operation.
see that the spirits industry in the US is starting to make
a comeback. Super-premium brands, the sector where our Whyte & Mackay’s
vice president of the
Iceberg vodka lays claim to unbeatable purity Americas, Jorge Gutierrez,
said: “Whyte & Mackay
ACanadian vodka made “while tap water, which many Townhouse) and Darren will inherit a proven
from icebergs is to launch spirits are made with, typically Sum (The Old School Venue sales management team
in the UK. The aptly named contains 200-300ppm of Cocktail Bar). in California that will
Iceberg vodka is said to be impurities the water from help drive all of our
produced “from the pure icebergs contains just 0.04ppm”. So far, confirmed listings brands forward, while
water found inside the smaller include the Nobu Group, Zuma we look to take Pinky
icebergs after being detached The brand is owned by Ali and Roka. Iceberg is also to be into new markets across
from the main glacier”. Samli and Goran Svilar, who involved with Harper’s Bazaar’s the US, working with our
worked with drink experts Women for Women International importer.”
According to the company, Douglas Ankrah (LAB, charity event this summer.
First brand
Belvedere joins fight against diseases to gain US
certification
Belvedere has announced a partnership with fundraising outfit Red. Fifty percent of profits
from the sales of a special edition Red bottle will go to fight AIDS, tuberculosis and malaria T ito’s Handmade Vodka is the first
in Africa. spirits brand to be certified Made
in USA.
The bottle will be launched in late summer 2011 and the Red-inspired packaging will
contain the same Belvedere vodka. The vodka will be available in more than 50 countries in Nicole Portwood, brand manager,
a range of off-trade and on-trade outlets. said: “By becoming officially ‘Made in
USA’ certified we are able to assure our
The bottle was unveiled at a pre-Grammy party in LA with the support of R ’n’ B star customers that when they support Tito’s
Usher. The multi-platinum recording artist has teamed up with Belvedere to raise awareness Handmade Vodka, they are supporting
around HIV/AIDS. a 100% American company as well as
the economy here at home.”
Charles Gibb, president of Belvedere and Millennium Imports, said: “As one of the
world’s leading spirit brands, we are in a unique position to harness the power of our The vodka is available in all 50
customers to benefit the millions of people who are at risk of, or are living with, HIV. states and it is distilled and bottled in
Austin, Texas.
“We want to raise consumer awareness and incite more global action to eliminate AIDS
in Africa.”

8 Drinks International march 2011 drinksint.com vodka SUPPLEMENT

News

Competition takes
toll on Smirnoff

Cocktail World Diageo has reported a tough second promotions on Smirnoff were reduced, resulting
Cup anticipation half of 2010 for its Smirnoff vodka in in a share loss of one percentage point.
Europe and the US. Economic problems
V odka 42 Below has announced the line-up of in Spain and Greece led to net sales being down But the company reported strong growth
international judges for its seventh annual Cocktail by 1% on the previous year. in India and Latin America. Diageo said of
World Cup. these regions: “Smirnoff’s strategy of building
The company’s annual results
The week-long competition takes place in Queenstown, said of the number one vodka the brand by positioning it to the
New Zealand, and attracts bartenders from around the brand: “Although there was emerging middle-class consumer
world. strong growth in international, the continued to be successful, delivering
vodka category remained intensely strong net sales growth.
Judges include US drinks writer and cocktail guru David competitive in Europe, which led
Wondrich, legendary bartender Salvatore Calabrese and to negative price/mix and net “Marketing spend increased 16%
vodka ‘professor’ Jacob Briars. sales down 1%. as the Smirnoff Nightlife Exchange

Calabrese said: “It is a true celebration of talent and “In the United States, Project was launched globally.”
challenges not only our finest bartending skills but also the Smirnoff lost share as the Diageo said Ketel One vodka
bartender’s ability to work as team players, displaying the reduction in the level of
brotherhood that exists in our industry of which I am so off-trade price promotion sales were down 1% in the
proud to be a part.” increased its relative price. US, “reflecting the competitive
In Europe, net sales declined pressures in the super-premium
The 42 Below Carnival of the Cocktail is to launch on due to the economic vodka segment”.
March 14 in Queenstown. The week-long competition difficulties in Spain and
includes challenges such as Modern Mocktail and 21st Greece, along with lower However, the company said
Century Punch and will culminate in a grand final event on volume and negative channel volume continued to grow
March 18 under a big top marquee. mix in Great Britain.” behind its Gentlemen, This is
Vodka campaign.
In the US, Smirnoff
returned to volume growth “The roll out of the brand
on the performance of into other markets led to
Smirnoff Red, up 3%, double-digit net sales growth
partially offset by the decline in all regions outside North
in Smirnoff Flavours and America.”
Smirnoff Blue. Net sales
declined 1% as price/mix Cîroc continued its
was negative across all momentum in the US,
variants. “significantly growing volume
and net sales, as well as
Promotional activity in gaining share in the ultra
the premium vodka segment premium vodka segment”.
remained high. However,
The new coconut and red
berry flavours drove overall
brand growth and comprised
more than 50% of total
brand volume.

Agent 90-60-90 Nemiroff sale talks continue
trademarks name
R ussian Standard is still in talks to buy million nine-litre cases in 2009, to 2.5 million in
F ormer Russian spy Anna Chapman has registered her Ukrainian vodka Nemiroff, according to 2010. More than 65% of the product is exported
name as a trademark. Several products are involved reports. and, says Russian Standard, the brand also holds
and the world could see an Anna Chapman vodka on the a 50% share of the premium vodka segment in
back bar. Russian Standard brand owner Roustam its home market.
Tariko told Bloomberg he was “still optimistic
The 28-year-old, nicknamed Agent 90-60-90 by the about completing the deal”. When asked how Nemiroff has also reported strong growth in
Russian press in a reference to supposed measurements, much the deal was worth, he said “in the 2010. The Ukrainian brand said sales volumes
was a member of a 10-person spy ring arrested in the US hundreds of millions of dollars”. rose to $473.6 million – $56.8 million (+13.6%)
in 2010. up on the previous year. The company said the
Both companies filed positive results for 2010. largest growth areas were Ukraine and Poland.
10 Drinks International Russian Standard said global sales rose from 2.2

vodka SUPPLEMENT drinksint.com march 2011

Launches

soft & silky out of the ordinary Skyy Infusions
Dragon Fruit/
Absolut Elyx Skyy Infusions
Blood Orange
Brand Owner Pernod Ricard
Price To be confirmed Brand Owner Gruppo
Markets Canada, Greece, Korea and Mexico, with Campari
more to follow Price 5cl rrp $1.99, 75cl rrp
Contact absolut.com $18.49, and 1-litre rrp $26.49
Markets US
This product is at test launch stage and Absolut says Contact skyy.com
it has spent the past decade inventing a new vodka.
According to the company, the vodka is “crafted from The new flavours join
hand-selected estate wheat and blended with soft pineapple, ginger, cherry,
and naturally filtered water”. It is a small-batch vodka, grape, citrus, raspberry and
produced in a 1929 copper rectification still. Absolut passion fruit. The dragon fruit
says this is a super-premium product. hails from South America and
Asia and has a dark pink rind
Krister Asplund, master distiller at The Absolut with green and yellow tendrils
Company, says: “Aroma and flavour are the obvious and a white or pink fleshy
and most immediately striking characteristics of interior. Andrea Conzonato,
vodka. Absolut Elyx goes beyond that. It has a clean chief marketing officer for
and fresh taste with subtle floral and fruity tones, but Skyy Spirits, says of the Blood
its most defining quality lies in the texture… incredibly Orange vodka: “Orange is
soft, and leaves you with a silky feeling in your mouth.” the third most popular vodka
flavour in the US, but when
sustainability Chopin Rye Skyy does an orange, it is
anything but ordinary.”
PUre green organic Brand Owner Chopin
wheat vodka Price $31.99 750ml Burnett’s Limeade/Burnett’s
Markets Poland, US Orange Cream
Brand owner The Pure Green Vodka Contact Chopin Imports in
Company Manhasset, NY, chopinvodka.com Brand owner Heaven Hill Distilleries
price £47.50, E39.90-E44.90 Price $9.99 for 75cl
markets Hong Kong, UK, Netherlands. Chopin is to launch a rye vodka Markets US
to accompany its potato vodka Contact burnettsvodka.com
Israel from summer in the US. The product is already
contact lars@ available in its home market of Burnett’s flavoured vodkas brand manager Reid Hafer says: “There
puregreenvodka.com Poland but March sees the launch are plenty of new flavours in the category but we concentrate on
of the product in the States. quality, utility and taste.” The new additions bring Burnett’s portfolio
Pure Green is made from of flavours to 23. The range includes blueberry, cherry, citrus,
organically grown winter The company said the 1997 coconut, espresso and watermelon. The new products are available
wheat in the Charante introduction of Chopin Potato in 1.75-litre, 1-litre, 75cl and 5cl sizes, bottled at 35% abv (70 proof).
region of south Vodka to the US market “changed
western France, a the way the world thinks about, taste of summer
region that is well and drinks, vodka”.
known for cognac Drinks International 11
production. The Now, the distinctive black-
wheat is grown in labeled potato spirit will be joined
the small village of by red-labeled Chopin Rye on the
Breville just north of shelves of select US retailers.
the city of Cognac, a
few kilometers from Tad Dorda, owner of the Chopin
Château Bonbonnet brand, said: “The choice of base
where Pure Green is ingredient, whether potato or
distilled. The wheat is rye or another grain; the age and
distilled six times in a quality of that ingredient; and the
column still to create region in which it is grown – all of
a smooth distillate. these factors produce differences
The distillate is then in taste and quality of the final
blended with filtered product.
spring water to ensure
a “smooth and rich “With the introduction of Chopin
taste”. Everything Rye alongside Chopin Potato,
from bottle to label vodka enthusiasts in the US can
is made locally and experience and appreciate some
with environmentally of these distinctive qualities for
sustainable methods. themselves.”

distinctive

march 2011 drinksint.com vodka SUPPLEMENT

Analysis Shutterstcck: fotohunter

Richard Brown
assesses the
opportunities and
challenges posed
by China and the
Far East

sThte enexpt

With their burgeoning standard volumes in the shorter term. However, in common with their super-premium category any time
populations and seemingly For imported spirits as a whole, at western counterparts younger affluent soon? The standard segment accounts
limitless growth prospects, Chinese drinkers like to experience for some 80% of volume – but interest
China and the Far East are on present China is emerging as a brown new things and may be experimenting in premium/super-premium vodkas is
everyone’s mind right now. But spirits market: whisky and cognac more with citrus and lemon flavours starting to emerge in some of the more
should international vodka brands be volumes are both rising rapidly – it’s a for their fresh taste. exclusive bars in trend-leading cities.
focusing on penetrating the vast, and two-horse race.
often difficult, Chinese market? Given the emerging trend towards The recent growth in premium and
Vodka may be leading the white individualism, novelty and self- super-premium vodka has been led by
Currently international spirits spirits category and has achieved solid expression we expect flavoured vodka Smirnoff Black and Grey Goose but we
brands are still tiny players in the growth in the past decade as a whole, to grow over the coming years. expect this to change as other premium
overall Chinese market, due to the but in China that isn’t saying much – brands, such as Ketel One, Belvedere
domestic players having high levels it is one of the world’s fastest growing The novelty value of flavoured and Ciroc, start to gain footholds.
of brand awareness and seemingly spirits markets and if the data is to be vodkas would also suggest they are
impenetrable distribution networks. believed vodka has suffered a decline well suited to the markets of the Far Currently Grey Goose is operating
in the past three years. East beyond China. at twice the price of competitors.
In 2010 we started to see some Standard cognac operates at the
multinational players in the Flavour innovation Pricing highest price points and international
spirits arena benefiting from the whisky brands are choosing China as
premiumisation trend, but this is yet Most vodka consumed in China is The premiumisation trend in China is the market to launch their super-
to gain real traction in the vodka in the original taste without flavour attracting the attention of both spirits premium brands and limited edition
category. addition. According to trade sources, manufacturers and distributors and, products.
80% of vodka is consumed in the in 2010, premium products have been
The international vodka brands on-trade, mostly as a base for cocktails. launched continuously in other sectors, Is this the next obvious step for
will need to decide whether they are but few currently in the vodka category. vodka?
going to target the premium end of the Absolut and Smirnoff account for Richard Brown is managing partner at
market for the longer term or chase just over 50% of the sector, with Skyy Can we expect vodka brands to Cognosis Consulting
in third place. make an attack on the premium and

12 Drinks International vodka SUPPLEMENT drinksint.com march 2011

V odka is such an established Ian Wisniewski Warsaw
international phenomenon reports on how
that it’s easy to forget how eastern and central The market continues to be dominated
recently this has happened. European countries by domestic brands, but imports are also
The start date was the mid- are moving on their making an impact.
1990s, with the launchpads being the UK vodka consumption
and US. It was a case of being in the right Absolut’s Danno says: “We are growing
markets at the right time, with a cocktail the vodka market grew by only 1%. Ian Wisniewski volume and gaining market share. In the
revival helping to establish vodka as the Consumers are showing increased interest second half of 2010 we started a new
most fashionable spirit. Vodka catered for in the category.” creative collaboration with local artists
every preference, being able to offer more via Absolut Project Pokolenie (Next
cocktails than any other spirit, while also In spite of the market being crowded Generation). These initiatives, coupled
inspiring more new cocktails than any and competitive, there are still with our on-trade activation and the
other spirit. A growing choice also saw opportunities for newcomers. success of the Absolut Glimmer limited-
western brands such as Grey Goose and edition bottle, have been instrumental to
Ketel One gaining a devoted following. Tomasz Berszterda, marketing & this performance.”
innovation manager, Diageo Eastern
Meanwhile, profound changes of a Europe, says: “There is still room to bring Meanwhile, it’s not just the economy
different nature were unfolding in vodka’s in new products with strong brand equity
historic homelands of Poland and Russia. or a completely new brand. However, both
The transition from state to private kinds of brands will require consistent and
ownership saw (arguably) more changes strong support for one to two years to
in the past 20 years than in the past gain tangible market share.”
500, with a new era of innovation and
commercialisation.

In Poland the process began in 1991.
“Privatisation energised the whole
industry, bringing in new products and
new technology. Poland has become a
dynamic market that’s all about brands,
and this is also improving the image of
vodka,” says Iain Grist, export director,
CEDC.

Vodka continues to account for the vast
majority of spirits sales in Poland and,
while the rest of the EU kept repeating
words such as recession and austerity,
Poland had a different vocabulary.

“Poland was the only member of the
EU to avoid recession – not only is there
confidence in the market, there is also
growing affluence. This has allowed for
an increasing level of trading up and
premiumisation. There’s huge confidence
that this will continue,” says John
Moreira, business development director,
Belvedere Vodka.

Needless to say, the Polish vodka
market is saturated, comprising an
extensive choice of brands at various
price points.

“Standard and value brands account
for the vast majority of the market,
but these sectors show signs of decline.
Premium brands and super-premiums are
much smaller sectors, but are showing
marked growth,” says Moreira.

Guirec Danno, regional director, north
& east Europe, brand development, The
Absolut Company, adds: “In Poland
the premium segment had a compound
annual growth rate of 25% between
1990 and 2008, whereas the rest of

14 Drinks International

Central & Eastern Europe

Shutterstock: Nadila Gerbish

or degree of competition that influence to communication are innovative in-store The marketing equation also takes in
brand building, as marketing strategies displays and use of in-store TV screens,” other factors, such as purchasing and
are also determined by various says Neil Punwani, managing director, consumption patterns. Most vodka in
regulations. Finlandia Vodka. Poland is sold in the off-trade for home
consumption. Whether, and to what
“In Poland, for example, we are not Diageo’s Berszterda adds: “Not being extent, retail sales are affected by a rise
allowed TV or outdoor advertising, or able to build brands through above- in VAT – up by 1% to 23% since the
an open site on the internet. This places the-line communications creates higher beginning of the year – remains to be
challenges on marketing a premium pressure (and expectations) on below-the- seen. Meanwhile, the VAT hike isn’t
vodka brand, where the brand equity and line activations. The desired result is more expected to significantly impact sales in
brand image play an important role. Such difficult to identify short term and on a restaurants and bars. But then that’s just
restrictions are always a challenge and wide group of people, thus the marketing as well, because the on-trade already has
cause us to think creatively about how to programmes have to be more consistent plenty to contend with.
reach our target consumers. In Poland a and long term to make the proper impact
couple of examples bringing excitement on consumers.” “In 2010 there was a drop of  p17

march 2011 drinksint.com VODKA SUPPLEMENT Drinks International 15

Central & Eastern Europe

around 30% in overall revenue in the Punwani: ‘In Poland we are
restaurant and bar business in Poland. not allowed TV or outdoor
You have to work a lot harder to advertising’
promote the venue and get people in,
and pricing is also a crucial factor,” says Polish consumers developing a broader partly on the associations consumers have
Richard Winkler, a leading bar operator repertoire. with the country of origin.
based in Warsaw.
“As Poland has become more open to “While the logistics and regulations can
Recent regulations mean the on-trade the west, there’s also a growing interest in be challenging, there is an appreciation of
has also had to contend with a smoking drinking products from other countries – Finland as a source of top-quality vodka
ban, introduced late last year. wines and spirits other than vodka,” says – so being an imported vodka, if you have
CEDC’s Grist. the quality and taste to back it up that
“Regulations allow venues comprising can also be a strong positive. There is an
100sq m and above to have a smoking Affluent visitors acceptance of Finland as a source of high-
room, which must be completely quality vodka based on exacting quality
enclosed and properly ventilated. There’s a similar situation in Russia, with standards, great natural ingredients and
Installing a smoking room can of course significant numbers of affluent consumers the pure, natural environment of the
be expensive, so some venues have frequently visiting other countries. country,” says Finlandia’s Punwani.
become smoking clubs instead, charging
customers a nominal fee to be a member, “Russian people are travelling a lot, As the world’s largest vodka market,
and then lighting up is legal,” says and if they see Russian brands abroad Russia represents great opportunities for
Winkler. that’s going to add to the credibility of brands to succeed, and current trends are
the brand when they get back home. If encouraging.
Consumption patterns are also they’re going to buy vodka they want
beginning to evolve beyond the tradition to drink their own (ie Russian). There “We have seen a rebound in the
of serving vodka neat, with cocktail are now more Russian vodkas in export premium vodka category and expect close
culture being promoted by a new markets than you used to see, but still to double-digit growth in this segment in
generation of on-trade venues. However, very few. Additionally, as Russians travel the coming years,” says Absolut’s Danno.
cocktail culture remains in an early stage more they’re exposed to a lot more
of development in Poland, restricted international brands, so they’re also However, capitalising on opportunities
to cities such as Warsaw and Krakow. more interested in trying other spirits and also means negotiating various
Warsaw is, of course, established as wines,” says Grist. challenges.
cocktail HQ, and is the source of new
trends, but influences and inspirations are Consumption patterns are already “The Russian vodka market is
also coming from further afield. showing signs of change, but tradition extremely competitive – there are many
continues to dominate. more players, new brands and new
Bartender influence Migration packaging. Companies are putting all the
means that “Despite the fact that the consumption marketing tools and capitalist ways into
Belvedere’s Moreira says Polish new ideas are of wine, cognac, whisky and other the business,” says Grist.
bartenders who have worked abroad entering and alcoholic drinks is tending to increase,
are returning to Poland with more invigorating vodka is still the Russian national Focal points
knowledge. “This migration means that the polish bar drink. Imports of vodka to Russia are
new ideas are entering and invigorating scene still only 5% of the whole market,” One key factor is the importance of
the Polish bar scene. Germany has says Leonid Gelibterman, president of Moscow and St Petersburg to any brand
become a hot cocktail market, and there’s john the International Centre of Wine and plan. But in such a vast market there are
a lot of interest in what’s happening in moreira Gastronomy. also other significant areas to focus on.
Berlin especially, with a large number of belvedere
bartenders visiting from Poland. They Impacting imports “Moscow and St Petersburg are
want to do innovative things, and I extremely important for a premium brand
think the on-premise will become more With imports beginning to make an as they account for the vast majority of
experimental and exciting.” impact on the market, what are the premium spirits consumers. However,
challenges and opportunities of being an we can see many brands and operators
Cocktail culture may be gathering imported brand in Russia? That depends focusing more in regions as the core 11
momentum in Poland, but consumption Russian cities develop further,”  p18
patterns in the on-trade are primarily the
same as when serving vodka at home.

“The most popular way to drink vodka
is as a shot, although younger consumers
generally prefer to drink a shot of
flavoured vodka, and this has increased
interest in flavoured vodka. Drinking
shots of lemon vodka, for example,
became very popular last year and this
trend is still going strong,” says Winkler.

Although vodka’s reign as Poland’s
national spirit continues unchallenged,
a changing mind-set could at least see

March 2011 drinksint.com VODKA SUPPLEMENt Drinks International 17

Central & Eastern Europe

says Neil Punwani. Narzibekov: ‘Moscow follows what’s The privatisation process
Needless to say, Moscow plays a happening in the UK’
The route to privatisation in Poland and Russia included
leading role in various ways, including developing their profile in export several key dates and stages.
setting trends. markets. With various western brands Privatisation of Russian distilleries was phased in between 1991 and
also having a significant following, the 1995, with the state monopoly for the production and retail of alcoholic
“Cocktail culture has been growing future can only become more competitive beverages abolished in 1992. Initially, distillery employees were able to
for the past two years and is just starting for everyone. But a more competitive buy shares at a fixed, inexpensive price or, in some cases, given free
to become big, but this is essentially market can also yield significant benefits shares.
in Moscow, and to a certain extent for the category. More brands being more A secondary public share offering also allowed distillery employees
St Petersburg, which follows trends active, talking about ingredients and to either sell or buy additional shares. Additional reforms in 1998
established in Moscow, such as the the production process, and conducting prevented any further trading in shares. Moreover, the government
popularity of fruity cocktails, while tastings to explore the differences established a new regulatory authority, Rosspirtprom, in the summer of
Moscow follows what’s happening between brands will result in consumers 2000. Ownership of the government’s remaining shares in distilleries
in the UK,” says Bek Narzibekov, being more informed. And more informed was also transferred to Rosspirtprom.
creative director, Russian Cocktail Club, consumers are more discerning, and so In Poland the government initially granted autonomy to the 25
which operates bars in Moscow and more interested in listening to brand Polmos distilleries in 1991 (which remained state-owned). Each Polmos
St Petersburg. stories and discovering the differences was allowed to continue producing ‘classic’ brands, such as Wyborowa
between brands. and Zubrowka, on the basis of a licence for which no fee was required
Consumption patterns (the name of the distillery appeared on every bottle). Autonomy also
Brand story enabled each distillery to develop new brands, which were owned by
Cocktail bars also provide an insight into that distillery.
the consumption patterns of different An integral element of any brand story, The Polish Treasury set the price of ‘classic’ vodka brands, and
consumer groups. and the most accessible for any consumer, therefore the margin, though each Polmos distillery was able to
is always country of origin. Meanwhile, establish the price of its own brands (subject to Treasury approval).
“Moscow’s fashion-conscious, 25 to as the choice of brands continues to grow As many new brands were premium or super-premium, with added-
30-year-old consumers prefer whisky, rum in key markets such as the UK and US, value packaging, this typically meant higher margins. It also meant
and tequila to vodka, as they’re interested consumers are faced with brands from an a whole new look. Whereas ‘classic’ brands were traditionally sold in
in trying what is being drunk in the west. array of different countries. standard 0.5-litre bottles, which were returnable and recycled, designer
These consumers only drink vodka in a packaging yielded a new genre: taller, slimmer bottles featuring a
cocktail because it’s the international way “Country of origin still has a great deal ‘window’ on the front, through which a decorative feature could be
of drinking vodka, which makes it cool, of relevance to consumers if your brand is viewed on the back of the bottle.
so cocktails are bringing them into vodka from a country with a history of making Rationalising ownership of ‘classic’ vodka brands was the next stage
and other younger consumers will also vodka, and having heritage behind a of the privatisation process. In 1999 each Polmos was invited to bid
copy this. The trend is different among brand always helps. Branding is really for specific brands at an auction, which was structured to prevent any
consumers over 30, who still prefer vodka important for modern consumers and single distillery from acquiring a monopoly of classic brands. The results
to every other option, and drink it neat,” country of origin is always going to be an included Polmos Poznan acquiring Wyborowa, Polmos Bialystok gained
says Narzibekov. important component of a brand story,” Zubrowka, while Polmos Zielona Gora purchased Luksusowa. Following
says Iain Grist. the auction there was a one-year ‘phase out period’, during which each
That’s the picture in Moscow. But distillery wound down production of any ‘classic’ brands it did not own.
like most capital cities, Moscow isn’t One current ‘case study’ for the Several distilleries were subsequently privatised, while a series of
necessarily representative of what’s importance of country of origin is acquisitions included Pernod Ricard taking over Polmos Poznan, which
happening elsewhere. Zorokovich 1917, a Ukrainian brand brought Wyborowa, among other brands, into its portfolio.
which recently launched in the UK.
“Moscow is like a different country Moreira: ‘I think the says: “We’re getting a great response to
from Russia. Outside Moscow the Dan Edelstyn, creator of Zorokovich on-premise will become more the history and authenticity of the brand
mentality is still traditional and people 1917 (see DI March, Profile, page 22), experimental and exciting’ story, over and above the country of
drink neat vodka rather than any other origin, though when people get into the
spirits or cocktails,” says Narzibekov. brand story they also want to know all
about where it comes from in Ukraine.
While imported brands face various
challenges in Russia and Poland, Polish “People love the story that I
and Russian vodkas are continually was tracing my family history and
stumbled upon my great grandfather’s
Winkler: “Pricing is also a crucial factor’ distillery, as well as the social enterprise
element – that 20% of profits from the
brand will go back to rejuvenating the
village in Ukraine where the brand is
produced. We’re trying to connect the
village to a marketplace, while also
connecting people who drink the vodka
to the village.” DI

18 Drinks International drinksint.com MARCH 2010

On-trade

divideThe love/hate

Tom Sandham asks the industry’s vodka Shutterstock: Jim Barber
players if the spirit has finally had its day
Even as a child I was
somewhat suspicious of denigrated when compared to something in the future. By 2015, more than every
transparent liquids on the aged and characterful. third bottle (35.1%) of spirits sold in the
dinner table. For me, water US will be vodka.”
was a punishment in the face Any sneering is mostly reserved for
of Ribena, Robinsons Orange Squash the trade, of course, and is not reflected Those who work in vodka obviously
or, on special occasions, Coca-Cola. among consumers – indeed, vodka celebrate such statistics, it’s their job to
Anything with a bit of colour promised remains the number-one seller across the after all, but the passion many display
my tender tongue sweeter characteristics planet. has seen some willing to put their necks
and this possibly goes down as my first on the line for the category.
memory of palate appreciation. Last year’s report from International
Wine & Spirit Research backs this up, The determination of Claire Smith,
These days I know better, always indicating in its forecast report that, head of spirit creation and mixology for
searching for the next glass of water so between 2010 and 2015, the global Belvedere Vodka, is a good example.
I can hit my two-litre daily requirement. vodka market will grow at a compound
My body is a temple, that’s why the shoes annual growth rate of 0.7%. The market At Tales of the Cocktail last year – one
are on the outside. Meanwhile, Coca- dipped very slightly between 2004 and of the gala events for the spirits and
Cola is only really approached the day 2009 but, looking at markets such as cocktail community – she hosted an
after I’ve sampled too much whisky. Germany and India, it’s certainly on the I Hate/Love Vodka seminar with some
rise again. of the industry’s biggest-hitting bar
But for many alcohol enthusiasts, professionals.
vodka has similar undertones, and the The IWSR also revealed: “Despite
neutral and transparent spirit is often repeated claims to the contrary, the vodka “I suggested this seminar back in
market in the US continues to develop January last year,” says Smith. “I’d had
well and growth is expected to be strong yet another conversation with a bartender
in Brooklyn, who explained that  p22
march 2011 drinksint.com VODKA SUPPLEMENT
Drinks International 21

he just didn’t ‘need’ a vodka behind Smith: ‘Is it a mixologist’s job to open the slowly into the premium outlets, this is
his bar because he was perfectly adept public’s eyes to gin and other spirits, or is what is required here. So there’s no one
at making cocktails with other, more the vodka-loving customer always right?’ approach that works for all markets.”
‘flavourful’ spirits.
alone is evidence there is space for vodka Perhaps more important when trying
“While we sat at the bar, sipping our behind the back bar. to find success in the vodka market,
bacon-infused Manhattans, at least three though, is money. Alex Kammerling
people came to the bar and ordered Which might explain why so many is currently launching a ginseng spirit
a vodka-based drink. This provoked spirit makers launch into the market. called Kammerling’s and knows all about
much eyebrow waggling from me, and Indeed, with more than 1,000 brands the challenge of making a noise with a
an uncomfortable exchange with said out there, it’s a saturated playing field brand. But prior to this he was brand
bartender, but only confused and slightly and trying to make a success out of ambassador for Grey Goose, so can also
bewildered looks on the faces of the something new is more of a challenge relate to the necessity of deep pockets
customer who just wanted a Vodka than convincing people to try it. when pushing a brand forward.
Cranberry and no, they would not prefer
it with gin, thank you very much indeed. Robert Zajaczkowski runs the bar at “The story and quality are obviously
It made we wonder, is it a mixologist’s Baltic in London, a venue dedicated to key these days,” says Kammerling.
job to open the public’s eyes to gin and vodka, and he is perfectly positioned to “People want artisanal. Look at
other spirits, or is the vodka-loving consider the new brands on the market.
customer always right? That he is also brand ambassador of the
Polish vodka Potocki reminds us all that
“In the seminar we looked at vodka having the right individuals presenting
from both sides of the fence, in an the brand is key.
attempt to understand both its lure and
its limitations.” Authenticity

On the hate side were the likes of Ian Potocki has launched with the
‘Rum Ambassador’ Burrell, John ‘Mr background that seems to tick the
Sagatiba’ Gukuru and tequila lover authenticity boxes – Polish and made
Henry ‘Agave’ Besant, while cocktail with rye, there’s a castle involved in the
expert Anastasia Miller, bartender history which was home to the second-
Jeremy Thompson and Tanqueray brand oldest distillery in the country.
ambassador Angus Winchester opposed.
“The state took it back under
Tricky to dismiss Communism but it has recently been
relaunched according to the traditional
It’s difficult to pick a winner in something methods,” says Robert. “This is
of this nature, but vodka fared well and, important as a story for the vodka. But
as Smith impresses, even the connoisseur every market is different and, even with
cannot easily dismiss the category. this heritage, vodka in Poland is viewed
separately to other countries.
“Even the ‘haters’ had to acknowledge
(pretty quickly actually) that they only “In Poland it’s seen as a commodity and
hated ‘commodity’ vodka,” says Smith. the aim is to make it premium because
“Brands that advertise purity as a byword even the newest, most expensive will face
for neutrality, or aggressively market their challenges. In other European markets
brand as ‘world’s best’. However, those such as London we look to release it very
brands that represented provenance –
centuries of distilling expertise combined
with incredible raw materials – deserve a
place on any back bar.

“The result was that, of the 180 people
in the room, all agreed the real issue
for vodka is marketing. It has become a
victim of overexposure and subsequently
it would have been more accurate to call
the seminar I Hate Marketing.

“The majority agreed that, for
the key influencers and gatekeepers,
the marketing of vodka had led to a
prescribed approach to the treatment of
the spirit and had ensured that vodka
became a spirit that wasn’t interesting to
them anymore.”

The Love/Hate seminar is sure to return
at a later date – people like to have a say
on the contentious category – but this

22 Drinks International

something like Sipsmith with a beautiful still need a marketing budget to keep you On-trade
little still in a residential area of west at the top of the game.”
London that produces a great spirit. It of the bunch.
has a great story, but what’s interesting is Ben Carlotto agrees but feels style is But perhaps the best evidence of how
looking at how these and other distillers also important. As an award-winning
deal with demand. If they exceed capacity bartender and manager and now
product serious the major players still are about
and have to distil somewhere else, do you and mixology manager for
Bacardi vodka came through Pernod Ricard’s
lose a bit of the romanticism? Brown-Forman Brands, he works closely E5.6bn acquisition of Absolut in 2008.
with all brands, but particularly Grey
“Flavoured vodkas have made an Goose, Finlandia and 42 Below in the Positive vibes
impact but, again, it’s down to quality of portfolio.
the flavour. The best deliver true length Matt Pomeroy, a seasoned bar
and variety of sweet and bitter profiles. “Traditional Polish vodkas remain professional who has worked with a
Flavours are about line extension of more popular – they are generally a number of vodkas, has taken on brand
course, but it has the name of the brand softer, more full-bodied product due to responsibilities for Absolut vodka and
on it so quality is essential. the cultural way they drink it there. They remains positive for the future.
tend to sip not shoot so we’ve seen a lot
“Even with all this in place though, you of new vodkas arriving on the market in “It’s such a dynamic and varied
the past 10 years made to take advantage category that there is usually something
of these qualities. Grey Goose and 42 exciting going on, but here at Absolut
Below are perfect examples, creating that innovation is key,” says Pomeroy. “We
soft, smooth character with butter-like have always been that way and will
viscosity and that actually have a flavour always continue to push boundaries,
to them with a finish.
The modern palate be different and constantly look to add
has had 10 years of it and wants more. something exciting and creative to the
market.
Style with substance
“The recent arrivals of limited editions
“Whatever style is en vogue though, such as Absolut Glimmer and Watkins
vodka will always be strong in the (spiced coffee and almond) showcase
marketplace because everybody, old or our variety and creative vision and with
young, knows what to expect instinctively our new super-premium vodka Elyx now
– something not too challenging, being launched in test markets, it’s indeed
something not too overpowering or exciting times.
offensive but that will deliver alcohol. It’s
a default call like beer or wine.” “A focus that I see standing out right
now is an increase in the popularity of
How the brands interact with bar small-batch, hand-crafted vodkas (see
professionals is also crucial in the Craft Vodka, page 25). These styles of
battle for the back bar. Brands such vodka are fast becoming iconic boutique
as 42 Below and Finlandia have been brands which have real integrity and
proactive in this respect and the Finlandia respect. Products such as Tito’s in the
World Cup remains the biggest cocktail US spring to mind. Made from yellow
competition in the world. Chris White corn in Austin, Texas, it’s said to be
has recently taken on brand management microdistilled using a traditional pot still
responsibilities and presided over and gained industry credibility due to its
the latest UK final, which selected discreet word-of-mouth marketing.”
Nottingham’s Christian Tirel from Coco
Tang to go forward and represent his Pushing boundaries
country in Lapland.
Pomeroy adds: “Another which has
Last year it was Anton Velich who took gained similar kudos is Chase potato
the grand final prize, a bartender from vodka in the UK. What makes these
Slovakian bar Rio Grande. brands interesting is their focus on
ingredients and production.
“It’s an important category,” says
Velich, “but we don’t only have the “Vodka is still the number-one spirit
standard vodkas to play with. In the on the planet, so it has to be constantly
Finlandia Vodka Cup competition I could developing and pushing boundaries to
use the flavoured varieties, which adds to stay ahead of the competition.”
the opportunities in mixing.
Of course, the numbers clearly speak
“It’s a great competition to win because for themselves; we consume roughly 6.5
vodka is still the number-one spirit in our billion bottles of vodka every year – one
country. If it’s what customers want then for every person on planet Earth – so it’s
I’m trying to make the best drinks I can not as if vodka is going to struggle any
with it.” time soon. Even so, there is still a lot of
love for the spirit from areas of the bar
Vodka loyalty earned then, which is community and to simply dismiss it as
important if you’re trying to stay ahead neutral and bland is not only senseless
when dealing with consumers but those
who stand behind the stick as well. DI

Drinks International 23

Design

Vodka is a poisoned chalice for designers, says
Stranger & Stranger’s Kevin Shaw. How do you make
ethanol, water and impurities an alluring proposition?

Impure

I Googled vodka. At the top Triple distillation removes everything Smirnoff's Be There demonstrated conclusively that people’s
Wikipedia informs us that vodka but about 0.8 milligrams so Grey Goose campaign is a celebration of brains experience more pleasure when
is “water and ethanol with traces impurities are worth more than £62,000 the ‘restless, inventive and they drink from bottles with higher-
of impurities”. Underneath that: per kilo. That’s around twice the price of extraordinary’ quality packaging. That’s common
“Smirnoff, the world’s #1 vodka, gold. More than the price of platinum. knowledge now, but does Grey Goose
invites you to be restless, to be inventive, I’m in. really look, and hence taste, that much
to be extraordinary, to be able to say I better than Smirnoff?
Was There.” And underneath that the I checked the markets but couldn’t
Shopping Results has Smirnoff Red 75cl find the correlation between Grey Goose When the Smirnoff redesign came out a
for £12.95 at The Whisky Exchange and and runs on precious metals, so maybe it few years ago we all sat in stunned silence
a Grey Goose 1.5-litre at drinkshop.com wasn’t the impurities after all. I checked for a few seconds before we jumped to
for a whopping £102.08. the marketing but both brands are our feet and gave it a standing ovation.
equally exciting. Smirnoff invites me to The sharp shoulder. The embossing. The
Over a hundred quid for a Grey Goose say I Was There, whereas Grey Goose proud foot. All that red. The balance
magnum and I’m not even being invited is The World’s Best Tasting Vodka. No between impact and quality detailing
to say ‘I was there’? I did the maths. doubt thanks to the powdered platinum. layers. And only 12 quid! The shoulder
Given that the water and ethanol are No, hang on; we’ve already ruled that alone was worth the price of admission
common to both vodkas the impurities in one out, so it must be something else. and has been ripped off by every major
Grey Goose are worth about £50 per litre brand on the shelves ever since.
more than the impurities in Smirnoff. What about the packaging?
Researchers at Stanford and Caltech have Have a look around. There’s a  p30

march 2011 drinksint.com VODKA SUPPLEMENT Drinks International 29

Design

‘Beckham’ of sharp shoulders out there premiumisation of Soviet graphics with Reyka's USP was being based was the purest water in the world because
now but back then it was a classic move. Stoli. We’ve seen Dutch old school on on the purest water in the it came from a deep, almost frozen,
Grey Goose, on the other hand, seemed Ketel One and the American Skyy is, well, world Icelandic meltwater lake. That’s really
to succeed despite itself. The typography just blue. We’ve seen real diamonds in the cool – very cold in fact – and it’s a great
is comparatively crude and there’s Shaw wakes up every day proposition. You can do stuff with that.
no mention of the heritage, triple oligarch’s Diva bottle and we can hoping it’s the day he can We had a similar angle for some Siberian
distillation and filtration that the see Glen’s basic blend going for as better Absolut Mandrin vodkas. Siberia is proper wilderness
Smirnoff label heralds. little as £9. We’ve seen vodka from which alludes to the pureness everyone
as far afield as New Zealand with Grey Goose was one of the expects from a vodka. Plus it’s the
There’s no signature, batch 42 Below and we know we can also pioneers of the frosted bottle motherland. Nowadays there’s very little
numbers or special embossing, get grain, potato, grape and even mask cold wilderness left where you’re even
just some incongruous images and apple variants of ethanol. There are allowed to build a distillery, so are we
some tricky frosting. You could thousands out there. just left with who has the sexiest glass?
be forgiven for thinking that
it wasn’t designed at all, We’ve put every type These days the new briefs are often
yet it’s a hugely successful of vodka into every for French vodkas and I do blame Grey
brand. conceivable shape of bottle Goose for that. It’s as if France has
become the new standard. The not-quite-
So is the trick to say less at every price point, so is as-far Eastern Bloc. And why not? You
and ask for more? Well there any real innovation can produce vodka pretty much anywhere
it can be but not in this left in the vodka market? and pretty much everyone does produce a
instance. Grey Goose was Without making it from white spirit of some description.
one of the pioneers of the swamp grass because
frosted bottle mask, along that’s a really hard sell. I’m waiting for the Arctic Vodka brief. An
with Belvedere, Chopin Or maybe not... icebreaker anchored off the 79th parallel
and a mixed case of cod- making spirit on board in clean air from
frozen imitators. The trick We get new briefs at molten icebergs and polar bear carcasses.
was to be among the first. Stranger & Stranger every And I’m waiting for the vodka pouch brief
week but a vodka brief so I use less glass. And the half-gallon party
Grey Goose made its is such an endangered drum brief for the same reason.
mark with one of the species these days that our
great bottle decoration ears immediately prick up And, given the shame I feel whenever
innovations and deserves then, unless it’s private I see Fiji water in the supermarket – do
all the respect in the label, our eyes narrow in we really need to ship in water from half
world for standing out. suspicion. Supermarkets way around the world? – I’m waiting for
I asked the studio what can push their own brands regional local vodka briefs. Made from
they thought and almost but who, in their right Suffolk Winter Wheat or Kent Barley.
in chorus they saluted the mind, thinks the world Provenance is the new white.
Swedes. Absolut’s designs needs another independent
were so way ahead of their vodka? But more than anything I’m waiting
time that they almost killed for one of those tabletop stills that John
the flavoured sector for everyone else We saw Smirnoff on sale Glaser (Compass Box whisky distiller)
before they’d even had a chance to pick in a New Jersey Costco for has so I can just make it at home. DI
their berries. $19.95 for a 1.75-litre bottle. I know its
impurities are from the wrong side of the
These days you have to do flavours tracks but who can compete with that
like Breadfruit or Defiance just to get a price?
USP. Absolut had all the icon ideas on You see vodka, for a designer, is
shelf before we’d even got the briefs. The a poisoned chalice. It is ethanol,
orange base on the bottom of the bottle added water and a pinprick’s worth
is so sublimely simple and I so wish I’d of impurities. That’s it. No oak from
done it. Every morning I think today petrified forests. No hummingbird
might be the day that I do something tears. Ethanol. Water. Grain of sand.
better than Absolut Mandrin. Everyone does multiple distillations so it’s
increasingly difficult to find something to
Yet all these brands have been say in a brand that’s real, different and,
around for a while so where’s the next more importantly, inviting.
hero coming from? We’ve seen the When we did Reyka we were told it

30 Drinks International VODKA SUPPLEMENT drinksint.com march 2011