CYPRUS. 2004 is becoming a big year for vodka launches. SPI Spirits is carving out a share of the emerging ultra-premium vodka category with its latest launch Stolichnaya Elit, unveiled at the Duty Free Show of the Americas.
Elit, which sells at US$60 in domestic markets – equivalent to Ultimat or the new Absolut Level from V&S – was launched in Europe last October with great results, according to the company.
Speaking in Orlando, SPI international marketing manager Theo Papanicolao told The Moodie Report: “The regional distributors [Allied Domecq in the US] were eager for the launch here. It represents the highest level for the market, which is due to the vodka itself.”
The first duty free listing for Elit was with Cyprus Airways Duty Free where it is priced at €39.95. The Nordic markets and Nuance at Copenhagen Airport quickly followed and the first sales into UK duty free locations are also coming up. The company said Elit signals a renaissance of the fine, traditional vodkas drunk by the Czars and made using a secret recipe.
“We are supporting the brand with significant sponsorship of events such as the VIP parties of Fashion TV,” said Papanicolao. “But the domestic and duty free launch on a country by country basis will not necessarily be together.”
Meanwhile SPI said there is more news to come with the relaunch of another premium vodka Kremlyovska. “The spirit itself is actually new, as is the design, but it has images of the old look and the famous frosted bottle,” said Papanicolao. “It will be repositioned from premium to super-premium, at around +10% above Absolut. Initial feedback from distributors on the taste has been excellent.”
The company said the Stolichnaya family continues to do well in Latin America, which is seen as the big growth market. Here some 95% of Stolichnaya sales are with the base level Stolichnaya Red, but this is nevertheless perceived as a premium product, priced on a par with Absolut but with some tactical pricing. According to Papanicolao Stolichnaya showed an overall volume sales increase of +13% in 2003, and it is on course to reach the level of two million cases in 2004.
Trade enquiries to Theo Papanicolao at email: theo@spispispirits.com
