Diageo underscores APAC’s importance with introduction of new worldwide brand, Odyssey

The company's scotch-whisky segment has grown more then 80 per cent in the region, with about half of that coming from its super deluxe range, prompting the region's chief marketing officer, James Thompson, to tailor luxury-oriented marketing strategies, as detailed in this Q&A discussion with Campaign Asia-Pacific.

A lot of luxury trends actually. We’re seeing a 40 per cent growth in our luxury brands in emerging markets. With ever-increasing premiumisation, people are moving up price points. Then there’s the emerging middle class—right now Asia has some 50 million people who are of legal purchasing age. And finally, there’s the growing number of working women in the region. In India there are many women in senior management roles, and Thailand has more women entrepreneurs, it seems.  

What is your marketing strategy in the region?

Our business is going to be luxury oriented, as is our marketing strategy. We’re going to be persuading people who drink local spirits to trade up. 40 per cent of our growth in the region is from new products, and everything we’re doing will be with an eye on luxury.

How so?

There are three pillars to this: The role of influencers, the power of physical spaces and digital engagement. All three will be core to our marketing plans.

Let me give you examples of each. Recently we set up a Johnny Walker house in Shanghai, it’s a scotch whisky house where influential people are invited—we want these influential people to amplify these events and experiences, eventually spreading the word. There are also other events we do like the Diageo Reserve World-Class Bartender of the Year contest, which was held in New Delhi last year. And finally we create a digital environment 365 days a year. Last year for instance, Johnnie Walker partnered with a Chinese director to produce a series of documentaries called the “Yulu project”, featuring 12 individuals from different walks of life. Through this campaign, we were able to engage some 73 million people.

Does that mean that digital ad spend has exceeded your spend on traditional media?

We don’t look at it like that anymore. Digital has become so much a part of what we do. Having said that, traditional television campaigns still work well, but it’s impossible to do a TV campaign without a digital one.

What marketing campaign have you planned for the latest launch?

I can tell you that closer to when we come out with a campaign.