Jack Daniel's International Strategy Business
Jack Daniel's International Strategy
Global market's importance
Consumers' preferences regarding alcoholic beverages have modified over the past few decades. This includes Jack Daniel's, and also other American whiskey brands. Jack Daniel's is a characteristic beverage for the Woodstock generation and for the decades that followed, being associated with rock bands and rock music consumers. But customers' tastes have changed, shifting from whiskey to cocktail drinks, beer, or other new alcoholic beverages that re associated with the pop culture that characterizes today's generations.
This means that Jack Daniel's lost some ground in favor of other beverages, and this ground had to be replaced by new markets. This is why international expansion was so important for Jack Daniel's during the times when the business was not doing so well on the domestic market.
In foreign markets, Jack Daniel's has replaced traditional drinks of the country in case. For example, in Russia, Jack Daniel's has replaced the traditional vodka, while in China and India the brand benefited from a great deal of popularity compared to local brands (Robinson, 2007).
Step-by-Step, Jack Daniels started to be part of the social behavior of people in these countries and not only. This obviously increased the brands geographical coverage, the number of customers, and the sales volume.
The importance of the global market on Jack Daniel's growth also resides in the fact that the expansion on international markets helps the brand to remain at the top of alcoholic beverages worldwide, although the brand has lost some ground in favor of cheaper beverages and beer.
2. Jack Daniel's global marketing strategy
Jack Daniel's has not changed its marketing strategy in any major way since 1957. By implementing almost the same strategy for half a century the brand is emphasizing continuity.
Another trait that the marketing campaign around Jack Daniel's is trying to emphasize consists in returning to the roots, relating to the beginning of the brand. This also shows strength and trust in the brand.
The company's marketing department understands that if anything were to change regarding the Jack Daniel's brand, it would mean that the company itself does not trust the product has the capability to handle the changes in the alcoholic beverages worldwide market.
Even so, this strategy is understood in different manners by consumers belonging to different countries, and therefore, to different cultures. In Britain, customers appreciate the small-town story, less touched by industrialization and globalization. In China and India, however, younger customers do not appreciate these images because they do not represent an evolution for them.
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