Vodka in China

Vodka is an emerging market in China ,even if it’s still well behind the Whiskey, in deed the coming generation from 80’s and 90’s  will provide an important increase to this market. But this rise has already start  according to International Wine and Spirit Research, in 2015 Chinese people will buy nearly 7.7 billion liters of spirits which represents an increase of 8% compared to 2009 figures.

Here is the market share of the most famous vodka brand in China: 

Lets now have a look on the key players in the Vodka Market in China. What they have done to attract chinese customers trough many kind of limited editions: 

ABSOLUT VODKA:    Absolut 72 designed by Gao Yu young pop art artist. From August 6 2010 the date when this bottle was launched, more than 350000 bottle has been sold in China. 

SMIRNOFF: The Bristish group Diageo has teamed up with Shui Jing Fang to produce a premium vodka in the city of Chengdu using a combination of Russian and Chinese techniques. Paying tribute to the golden age of China during 1930's the Vodka was named "Shanghai White"

Beside of that when you speak about SMIRNOFF in China this Vodka is mostly associated to the best expatriates bars and clubs in major Chinese cities like Shanghai, Guangzhou and Beijing.  So it's clearly a clubbing positioning that SMIRNOFF has also choose for China as we can see in this video from the event " Vodka experience Shanghai" launched in 2005: 

THE RISE OF UPSCALE BRAND OF VODKA IN CHINA:

What's important for chinese people about Vodka isn't the taste or the origin so it's not on those arguments that Vodka need to communicate but more on the values of purity, luxury and social distinction. Here 3 examples of brand which have clearly understood this Chinese specificity. 

The vodka made by Fashion TV: 

Launched in 2010 by Michel Adam, President of the Fashion Tv Chanel, this Vodka called "the elixir of fashion", was very focused on the jet set market. Distributed only in the trendiest club the target was clearly the fashionistas, stylist...

Now we can find this Vodka bottle mostly in expatriates clubs, and in many event about fashion, luxury and design. As we can see on the video below, an event organized by Fashion TV. 

The design and the packaging of this Vodka bottle has well found the chinese market, through an image of fashion and luxe which maybe would be not work in other European countries for example. 

The Ice Fox Vodka: 

This Vodka is produced in the U.S and distilled in Northern California. Fastly the Ice Fox Vodka has known a huge success in China thank to the bottle design first. But this vodka has bring a new communication on its subtle taste. As Chinese consumers gain more knowledge about the vodka taste and aromatic notes, Ice Fox Vodka fills the need for a premium vodka in the Chinese market.

42 Below Vodka: 

As Ice Fox Vodka, 42 Below vodka communicates slightly about its origin and its "purity" very appreciate argument from chinese population. 

In the same way this Vodka is aiming to attract an audience with Vodka knowledge looking for intellectual distinction. 

In this example the brand image is less "jet set" and "clubbing" certainly because 42 Below Vodka is looking for the emerging market segment of consumer in major Chinese cities: the hipsters. 

To conclude, Vodka market ,even if it's still well behind Whiskey or Cognac market... , has a great opportunities to develop in China. Thank to relevant communication based on a clear positioning, Vodka brand has a great potential to find a position in this market. 

Sources: http://marketingtochina.com