Business Case Studies & Business Publications

Absolut Vodka

Farris, Paul W., C...

Case

Absolut Vodka

Farris, Paul W.; Collins, Elizabeth A.

M-0366 | Published April 2, 1989 | 16 pages Case

Collection: Darden School of Business

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Product Details

This case depicts the history of an unusual brand in the "super premium" segment of the vodka market. The top-of-line positioning is supported with creative advertising, narrow distribution, point-of-purchase advertising, and expensive advertising production. Absolut has used very expensive inserts as advertisements in print vehicles during the Christmas season. The last inserts described in the case cost approximately $1 each to manufacture and distribute via the media vehicle (The New Yorker). The case asks students to decide whether such expensive advertising should be continued and, if so, how. The societal effects of advertising alcoholic beverages and the implications of pursuing such exclusive positioning strategies may also be explored.