Grey Goose and Brand Loyalty
Discussion Board 1 Response K. Austin DeLorme Liberty University: BUSI 601
There are many sources that cite Grey Goose’s slight decline in sales with the struggling economy. There are also many that say their drops are proportionate to the overall drop in consumer spending associated with the global financial strife. Though numbers may be dropping, according to a MSS Vodka impact study, “even in this economic environment, Grey Goose is the most recommended vodka by bartenders across the U.S.” (Grey, 2009). Generally, numbers don’t lie; Grey Goose appeared to have a definitive drop in sales. Being the number 1 recommended vodka does not refute that. It does indicate, however, that Grey Goose’s “saving grace” is strong brand loyalty
Grey Goose continues to do well in sales, despite some decline, and they continue to be highly recommended. While a change in financial management techniques may be in order, your suggestions associated to target costing may be more harmful than good. As you explained, Grey Goose’s advertising campaign specifically cites the use of fine ingredients and being the best. This advertising has placed them as 2010’s brand with the 4th most loyal customers across the world of all consumer products and companies (Bhasin, 2011). It is also the second consumer product for brand loyalty in the category of alcohol; beat out only by Patron (Bhasin, 2011). The claim for why is specifically associated with the quality of the product and its association to a high-class life-style. According to brand market research, Grey Goose’s brand market success is unprecedented for premium vodka, attributed to the fact that “Grey Goose represents more than just a spirit, but an attainable luxury lifestyle that brings comfort and reassurance to consumers who are loyalists” (Grey, 2009). Harming this image by using ingredients that don’t carry the same prestige could cause irreparable damage to the brand name, making way
There are many sources that cite Grey Goose’s slight decline in sales with the struggling economy. There are also many that say their drops are proportionate to the overall drop in consumer spending associated with the global financial strife. Though numbers may be dropping, according to a MSS Vodka impact study, “even in this economic environment, Grey Goose is the most recommended vodka by bartenders across the U.S.” (Grey, 2009). Generally, numbers don’t lie; Grey Goose appeared to have a definitive drop in sales. Being the number 1 recommended vodka does not refute that. It does indicate, however, that Grey Goose’s “saving grace” is strong brand loyalty
Grey Goose continues to do well in sales, despite some decline, and they continue to be highly recommended. While a change in financial management techniques may be in order, your suggestions associated to target costing may be more harmful than good. As you explained, Grey Goose’s advertising campaign specifically cites the use of fine ingredients and being the best. This advertising has placed them as 2010’s brand with the 4th most loyal customers across the world of all consumer products and companies (Bhasin, 2011). It is also the second consumer product for brand loyalty in the category of alcohol; beat out only by Patron (Bhasin, 2011). The claim for why is specifically associated with the quality of the product and its association to a high-class life-style. According to brand market research, Grey Goose’s brand market success is unprecedented for premium vodka, attributed to the fact that “Grey Goose represents more than just a spirit, but an attainable luxury lifestyle that brings comfort and reassurance to consumers who are loyalists” (Grey, 2009). Harming this image by using ingredients that don’t carry the same prestige could cause irreparable damage to the brand name, making way
References: Bhasin, Kim (2011). “The 20 brands with the most loyal customers.” In Business Insider. Retrieved from http://www.imakenews.com/clientcontact/e_article002315027_13.cfm?x=0,bqQLc6pP,w. Blocher, E. J., Stout, D. E., & Cokins, G. (2010). Cost Management: A Strategic Emphasis. New York: McGraw-Hill/Irwin. “Grey Goose Vodka continues to soar in the U.S. despite the economy” (6 April 2009). In Business Wire. Retrieved from http://www.reuters.com/article/2009/04/06/idUS87909+06-Apr-2009+BW20090406. McMains, Steve (12 Jan 2009). “Brand loyalty: the bottom line of any successful business.” In Hubpages.com. Retrieved from http://stevemcmains.hubpages.com/hub/-Brand-Loyalty-The-Bottom-Line-of-Any-Successful-Business.