Brandweek, 11/13/06, p10: JQ Park

I read this article in the Brandweek, which I believe is really related to our course studies.

Johnnie Walker (Scotch Whisky Brand)is trying to promote its Blue line from a medium level to a luxury level brand (Johnnie Walker Portfolio: Red, Black, Green, Gold, and Blue). Johnnie Walker Blue used to cost about $125 ~ $140 depending on the states or stores. However, they are pulling up the price tag to $200 a bottle with a new design and a campaign.

According to VP-markting Chris Parsons, "single malts [industry] have an opportunity at very high price points," and they are launching the campaign before Thanksgiving and Christmans seasons because 40% of the sales are generated during the holiday seasons. They have sold Blue 25,000 cases in 2005 at New York. (Black: 695,000, Red: 660,000)

Patricia Pao compares what Scotch means to guys with what a hangbag means to women. I have got this information from somewhere that Couch (Women's apperal brand)is trying elevate its brand image by providing more high-end handbags to the customers while it keeps middle level (priced) products as well. Currently, I do not have the information on how well the Couch is doing.

However, What Johnnie Walker is trying to do is similar to what Couch is doing. They both are trying to elevate their brand image with one product or few product lines without changing name. One of the question is how are they going to target the Halo Effect?

I personally think they need a new product line with a new name, because the Blue has been around for centries. Blue has its own meanings to people.

I brought this up because I thought Johnnie Walker article was similar to the case we learned about Black & Decker.


by Jinkyoo Park