Pernod Ricard USA

Premium spirits and wine company, Pernod Ricard USA (PRUSA), engaged Santiago ROI to analyze current and project potential Hispanic market share for their brand portfolio. We began by conducting field research in emerging and key markets.

Premium spirits and wine company, Pernod Ricard USA (PRUSA), the second-leading company in the U.S. by sales value, engaged Santiago Solutions Group to analyze current, and project potential Hispanic market share for their brand portfolio.

  • SROI evaluated the Hispanic liquor category by:
  • volume/consumption
  • penetration by age and acculturation
  • brand preferences and patterns
  • To uncover insights and drive our US Hispanic strategy, Santiago Solutions Group conducted field-site research in emerging and key markets:
  • 1,500 sample quantitative study
  • 100+ in-depth field interviews in the US, Mexico & Puerto Rico

We analyzed our research and learnings to create detailed category profiles of the Hispanic consumer. These category profiles provided us with sufficient volumetric guidance to generate incremental consumption and profit projections for the US Hispanic market.

Based on the category profiles, volumetric models and incremental Hispanic profit projections, we developed long-term Opportunity scenarios and a portfolio prioritization for select PRUSA brands.

  • Supported by the Opportunity Sizing recommendations, Santiago Solutions Group created a Hispanic Business Strategy for the Chivas Regal® brand. This strategy:
  • aligned with the brand image of Chivas Regal
  • was pertinent to its Hispanic customers
  • offered a unique framework for Off-Premise retail strategies
  • provided Chivas Regal with an exclusive and extendable platform of engagement with the Hispanic community

Following this Hispanic Business Strategy that we created for Chivas Regal®, Santiago Solutions Group developed a scalable, cause-related marketing platform that added a unique spiritual dimension to the brand.

The program, Espíritu de Progreso Latino (EDPL) or Spirit of Latino Progress, is anchored in the brand DNA of success and aspiration. It also stems from our uncovered “ownable” insight that Latinos want to be recognized for their strong values and work ethics in their constant pursuit of progress, rather than be victimized by their or their families’ status as immigrants to the US.

Santiago Solutions Group developed and executed Espíritu de Progreso Latino (EDPL) or Spirit of Latino Progress for the Chivas Regal® brand. This program is a long-term, Hispanic CRM platform aligned with customer insights, Chivas Regal brand positioning and growth trends.

In its first year, EDPL supported national, NY & LA Latino organizations helping Hispanics attain their American dreams through career development and focused on establishing the Cause of ‘Latino Advancement’ through a viral community initiative supported with digital consumer-generated-content and P-R activity. The program successfully delivered over 40 million impressions.

  • In its second year, Santiago Solutions Group layered the EDPL movement with a strong sales/retail component tied to the brand’s new focus on Chivas Regal 18 as its ‘halo product’ (Super Premium @ $60/bottle), integrating paid media, and various yet simple consumer engagement methods:
  • Retail promotion in key participating Hispanic off-premise accounts displaying POS and Chivas 18 ambassadors’ events
  • Paid ads and editorial support across targeted print, radio and online channels
  • Digital Direct Marketing including banner ads, contextual ads, SEM and social media marketing
  • Coordinated viral support from community-based organizations through flyers, e-Blasts, e-Letters, Facebook, site links
  • Campaign components drove viewers to:
  • Retailers participating in the program raising financial contributions to local community-based organizations
  • EDPL micro-site and Facebook page for engagement opportunities: to Vote for favorite Keys of Success; Become an EDPL Facebook fan; Post comments, questions or success stories

The 2009 EDPL program exceeded goals against the following measurements:

  • Brand impact
  • Improved opinion of brand = +67% vs. 50% goal.
  • Improved purchase intent = +32% (see actual sales increase under Sales Impact) vs. 10% goal.
  • Positive perceptions of EDPL & its support for Latino community = 91% vs. 85% goal.
  • Sales impact
  • Increase in Chivas Regal® 18 sales of +117% vs. YA (compared to -15% in control group of similar accounts not participating in Promo)
  • Increase in overall Chivas Regal brand sales of +19% vs. YA (compared with -14% in control group)
Online results1,3 Goals Final Final % Increase FY 09 vs. 08
Totals for Microsite & Facebook FY 2009 FY 2009 FY 2008
Total Visitors 6,000 13,972 3,387 313%
Total Page Views 10,000 19,659 9,908 98%
Total Engagement (votes, FB fans) 1,966 2,240 983 128%
  • Target reach1:
  • Bilingual = 91% vs. 67% goal.
  • Equally Bicultural = 54% vs. 40% goal.
  • 30-49 year olds = 72% vs. 51% goal.

1 Online random exit survey via FB & EDPL microsite

2 June 2009 PRUSA sales report

3 Google Analytics & Facebook tracking application

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