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Absolut Chosen Differentiation and Positioning Strategy and Tactics

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Submitted By JJing
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Target market chosen by the company
Absolut targets at the global spirits market. Being available in 126 countries, the brand has acquired American, Canadian and Finnish market as its main export targets. In these countries, it has leading positions in liquor industry. Along with such broad operations area, Absolut’s strategy is aimed at acquiring specific industry niche worldwide: niche of luxury brands in the liquor industry. Today, Absolut is a leader in production of corporate chic. That is the major reason their product costs $35 per bottle.
The efficiency of such strategy is confirmed by the recent fact that even more expensive spirits gain their ground in American liquor market, exclusively due to their price. Therefore, in the first place, Absolut sells a mental image of instant cool (their site with its novel flash technologies, send this message in the most vivid manner). Absolut sells the image of chic and luxury. And naturally their target market consists of people looking for such image in the things they buy.
Absolut chosen differentiation and positioning strategy and tactics
Positioning strategy refers to how the organization want its consumers to perceive their product. The positioning strategy includes the message the company wants to convey to consumers about its product (Ries, Trout, 1986).
The positioning strategy of Absolut is built on differentiating their product from their competitors, of conveying its message through package, through style, though advertisement, that Absolut vodka is slightly different from other types and brands of spirits. The positioning and differentiation strategy of Absolut relies on the main option: emphasizing the distinctive unique benefit of the vodka concerned. This is emphasized by the price, by the package (uniqueness of bottle), by the unique advertising company, conveying both broadcast and narrowcast

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