Robin Hicks
Aug 7, 2008

Windsor looks for new markets

ASIA-PACIFIC - Diageo has awarded regional advertising duties for its Windsor premium whisky brand to McCann Worldgroup as the drinks giant looks to expand the beverage beyond its core market in Korea.

Windsor looks for new markets

Windsor is Korea’s best-selling premium whisky, but the brand has yet to launch in many big whisky-drinking markets in Asia, such as India and Thailand. The brand also exists in China, though its presence is minimal.

James Thompson, marketing director of Diageo Asia-Pacific, said: “Since Windsor was launched in 1996, it has become the world’s best selling super-premium whisky brand, with Korea being its largest global market.”

“We would like to grow the product further over the coming years through a major brand rejuvenation. We have a strong relationship with McCann Erickson, and look forward to working with them to expand Windsor’s footprint in Asia-Pacific.”

McCann won the brief after a hard-fought three-month review. It beat JWT, one of Diageo’s key roster agencies, and Bates141, which collaborated with 10AM Communications in the pitch.

McCann’s Southeast Asia area director Mark Ingrouille noted: “Windsor is the king of scotch whiskies in the super-premium segment and we’re sure it will grow to be more successful for Diageo.”

Windsor is one of Diageo’s four “pillar brands” in Asia-Pacific, according to Thompson. The other three are Guinness, Johnnie Walker and Smirnoff, and these are the core of Diageo’s growth strategy for the region.

However, its plans for expansion have been put to the test in recent months. While volume growth for Diageo Asia-Pacific grew by six per cent last year, and sales grew by one per cent, operating profit fell by 12 per cent, according to company figures. The loss of Diageo’s importation licence in Korea did not help matters, hitting the group’s business hard. As a result of that decision it has to work with a third party to import into Korea.

Building the Johnnie Walker brand in China and focusing on the group’s core brands in Australia has helped sales growth, although sales have not been supported by growth in marketing spend. Spend fell by 12 per cent last year, and Diageo would not reveal its budget for this year or 2009.

Source:
Campaign Asia
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