SuperbrandS Finland 44 Market Unlike the other

Report 1 Downloads 156 Views
Market Unlike the other Nordic countries, Finland is one of the ”vodka belt” countries of eastern Europe. Even though the US, the UK and Germany are now listed among the ten largest vodka nations by overall consumption, their per capita consumption remains clearly lower than in Finland. Per capita consumption of vodka in Finland was 3.8 litres in 2004, a rate only exceeded by Russia and its nearest neighbours. The corresponding consumption rates of Americans and British were only about one quarter of the Finnish figure. This means that vodka – or ‘viina’, as the Finns prefer to call this finely distilled, colourless beverage – is the drink of choice in Finland. In this country of five million people Koskenkorva Viina has become a cult beverage and symbol of merrymaking. Since the 1950s Koskenkorva has been the undisputed leading Finnish spirits brand. Even the increased competition that accompanied Finland’s accession to the EU in 1995 has failed to disturb the market dominance of Koskenkorva, despite forecasts to the contrary. Achievements Following its launch in 1953, Koskenkorva took only three years to capture a quarter of the Finnish spirits market, and annual sales exceeded one million bottles by the end of the 1950s. By the 1970s Koskenkorva sales had already exceeded 12 million bottles per year, with over 36 million bottles sold in the peak year of 1989. On reaching the 1990s Koskenkorva had become Finland’s alltime best selling spirit: a widely known and reliable quality Finnish product that was always in high demand regardless of economic conditions. In fact the business cycle had absolutely no effect on sales of Koskenkorva: there is always a reason to drink spirits when business is booming. As a suitably priced and versatile product, Koskenkorva even managed to usurp the role of champagne during the recession. By any standard of judgement, Koskenkorva remains the most popular spirit in Finland. Even in the few years of the new millennium over 80 mil-

44

Superbrands Finland

lion bottles of Koskenkorva have already been opened. History At its launch in July 1953, Koskenkorva Viina heralded a new era. Sulphite lye from the paper industry had been used to make spirits during the war, but now there was once again farm produce to spare for spirit manufacture. Koskenkorva Viina was named after the village of Koskenkorva in southern Ostrobothnia, where all Koskenkorva products have continued to be distilled right up to the present day. The spirit was originally made from potatoes. Use of grain as raw material began in the early 1960s. Today Koskenkorva is manufactured solely from the finest Finnish barley and pure, fresh spring water. The most important thing about Koskenkorva, however, is not the length of its history, but its depth of tradition. Koskenkorva is an inseparable part of modern Finnish history. It has become as much a symbol of the Finnish character as sauna bathing and rye bread. Koskenkorva is a standard of comparison, a topic of debate and a currency of barter. It has given rise to countless rituals regarding the manner of opening the bottle and drinking, the cracking sound made when uncapping the bottle, knocking elbows on the bottle and various drinking songs. Mass emigration from Finland to Sweden also led to rising demand for Koskenkorva in Sweden in the 1960s, resulting in an international version of the product, Koskenkorva Vodka. Today Koskenkorva Vodka is a firmly established product in the Nordic market. The introduction of Koskenkorva Salmiakki was also an extraor-

dinary episode in the history of this drink. Koskenkorva Salmiakki came onto the market following a fashion for ’salmiak’ liquorice snaps in the early 1990s. The success of this sensational new drink came as a shock to the alcohol regulation authorities, and the product was withdrawn after only three months. A few years later, however, Finland’s public policy on alcohol began to align with the general western European norm, and Koskenkorva Salmiakki returned to the market by popular demand. Today it is Finland’s best selling alcohol and sales are still rising rapidly. A proposal in 2001 to take the manufacturing of Koskenkorva abroad gave rise to a vigorous Pro Koskenkorva popular movement. A large number of leading figures in the science and arts signed protest calling for this national icon to remain entirely Finnish. The movement was successful and Koskenkorva manufacturing remained in Finland. Product The first and best known Koskenkorva product was 38% Koskenkorva Viina packed in a traditional half litre spirits bottle with a flavour slightly softened by a hint of sugar. The original label depicted a rural scene in southern Ostrobothnia showing a field with eleven barns that quickly became part of modern Finnish folklore. Indeed the number of barns on a Koskenkorva label has become a popular question in quiz events. A label designed by the leading Finnish academic and design artist Tapio Wirkkala was used between 1961 and 1993. A decision was then taken to mark the 40th anniversary of Koskenkorva Viina by

restoring its original appearance, and so a tastefully revised version of the original barn landscape by Lasse Linnanmäki now once more appears on the label. As times moved on, the original 50 cl spirits bottle was joined by other sizes to create a range beginning with the 5 cl mini-bottle and ending with the 4.5 litre magnum for use in bars and restaurants. A single half-litre bottle of Koskenkorva Viina requires 18,200 grains of barley grown in the Finnish fields. The manufacturing process uses only carefully selected types of barley, some of which are developed in partnership with contract farmers specifically for Koskenkorva production. The most commonly used barley types are Kunnari, Saana and Erkki. Recent Developments In 2004, Finland’s alcohol beverage import quotas from other EU countries were lifted, Finnish alcohol taxation levels were substantially reduced and Estonia joined the EU. The Finns then further increased their spirits consumption, with larger volumes imported from Estonia. Koskenkorva was the first to launch products on the Estonian market specifically aimed at the Finnish consumers, in the form of a two-litre bag-in-box and ten-bottle multipack known as the ”dachshund”. These packages attracted unprecedented consumer interest, and within a few weeks they had caught the attention of the popular afternoon press in both Finland and the other Nordic countries. Although a vigorous debate began between supporters and detractors, consumers continued to demonstrate their affection for the new packages and the Koskenkorva Viina ”dachshund” became the most popular product in the travel retail trade. Koskenkorva has followed the current strong trend towards flavoured vodkas by launching two new, upbeat colourless flavoured products: Vanilla and Nordic Berries, with flavours that are familiar and traditional to the Finns, but presented in a new and surprising context as a flavoured vodka drink. Promotion Koskenkorva is sold almost exclusively in markets where advertising and sales promo-

tion of spirits is prohibited by law. Despite this, Koskenkorva is frequently featured in the media as a symbol of alcoholic beverages and drinking. Usually Koskenkorva serves as a model when reporting on changes in alcohol pricing, Finnish merry-making and alcoholrelated problems. This poses particular challenges when building and maintaining the brand image. The basic message of Koskenkorva as a straightforward, genuine Finnish product has remained the same throughout its history. When Koskenkorva celebrated its 40th anniversary in 1993, and with Finland preparing for a new competitive situation as a member of the EU, some steps were taken to sharpen the product strategy, including use of the ‘Aito kirkas!’ (the genuine bright one!) slogan. The unique position of Koskenkorva in Finland’s alcoholic beverage culture and the national lifestyle also provided support for other promotional efforts such as the advertising campaign in 2000, which described familiar Finnish drinking situations in well known

Finnish landscapes, and promotions in bars and restaurants where, e.g. a genuine Finnish sauna was built or Koskenkorva was sold from a woodpile. The growing cocktail culture has favoured Koskenkorva, as this product is an important ingredient in a very broad range of cocktails. Young adults have recently been greatly interested in a new and trendy combination of Koskenkorva and stimulant drinks. The Koskenkorva & Battery energy drink combination sold as a ”Virtanen” became so popular in the late 1990s that use of the word ”Virtanen” was prohibited in advertising by licensed establishments, even though this word is also a most common Finnish surname. Brand Values Koskenkorva is Finland’s best known and best-loved brand of alcohol. It is a genuine, straightforward spirit with a firmly Finnish character. It has become an institution that draws strength from the fact that it neither mimics nor resembles any other product. It is the undisputed national alcoholic beverage of Finland. As a drink that is mindful of tradition, appreciation for Koskenkorva has grown over

the years. Where the product was previously associated with binge drinking and early middle-aged male consumers, the contemporary product image now combines Finnish character, tradition and reliability with a dynamic beverage for popular merrymaking. Koskenkorva has kept in touch with the times by carefully and systematically enlarging its product range. As the Koskenkorva product family has grown and diversified, it has also begun to appeal to a wider range of consumers. Novelty products, such as trendy flavoured vodkas, have encouraged young people and women to prefer Koskenkorva.

Things you didn’t know ABOUT… Koskenkorva • Koskenkorva Viina was named after the village of Koskenkorva in southern Ostrobothnia, where all Koskenkorva products are distilled. • A single half-litre bottle of Koskenkorva Viina requires 18,200 grains of barley grown in the Finnish summer sunshine. • The eleven barns of the Koskenkorva landscape are from the Alajoki plains of western Finland between Ilmajoki and Seinäjoki, which lie on both sides of the Kyröjoki River. • The Finns have many nicknames for Koskenkorva, most of them humorous variations on the Koskenkorva name itself: Kossu, Koskis, Kosymi, Hollolan Blöö, Koskisen Antti, Korvalääke, Korvatipat, Latoviina, Vakoviski, Koskikalja, Kosanderi, Kosken Kurlausvesi, Nollakolmetoista, Kosumiitti, Kosmonautti. • More than 400 million litres of Koskenkorva Viina have been sold during its 52-year history. www.altia.fi

45