Svedka most recently worked with Cashmere. A spokesperson for Svedka owner Constellation Brands confirmed the agency switch but declined further comment.
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The refresh would appear to accompany Constellation’s ongoing work to reposition Svedka. According to executives speaking at Constellation’s Investor Day event last November, work was already underway to shift the brand from mainstream to an “affordable luxury” positioning, while reducing the number of flavor extensions and emphasizing its 80-proof flagship. Svedka also plans a new line of ready-to-drink martinis.
“We believe Svedka needs to be returned to its original roots as a higher-end, accessible luxury vodka. We’re going to be doing that,” Robert Hanson, then the president of Constellation’s wine and sports division, said at the event (Hanson retired earlier this year).
Svedka has been struggling for several years. Today it’s the fourth-largest vodka brand in the U.S., behind Tito’s, Smirnoff and New Amsterdam, respectively. Svedka was down by 5% last year and has averaged an annual decline of 3.6% over the past five years, according to case volume data from Impact Databank, which is run by liquor trade publication Shanken. Dan Marsteller, executive editor of Shaken News Daily, attributes Svedka’s struggles to the runaway success of Tito’s, as well as the growth of ready-to-drink vodka cocktails like High Noon, which together have left little space for traditional vodka brands to grow.
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“Svedka has been a drag on Constellation’s wine and spirits portfolio (along with [wine brand] Woodbridge) for some time now,” Sarah Barrett, executive editor of Wine & Spirits Daily, said in an email. Citing Nielsen scan data, Barrett said the vodka category experienced low single-digit declines in the first half of this year, with even Tito’s slipping into negative territory.
Femme-bot
DCX is led by former employees of Amalgamated, the agency that 20 years ago developed Svedka’s provocative “#1 vodka of 2033” platform. That introduced the world to “femme-bot,” the curvaceous and campy robot that became a sensation before going into retirement in 2013. Doug Cameron, chief strategy and creative officer at DCX Growth Accelerator, was then chief strategy officer at Amalgamated, and Tommy Noonan, DCX’s executive creative director, is also a former Amalgamated creative. Their campaign, which debuted in 2005, propelled Svedka from a virtual unknown to the third-largest U.S. vodka brand. (Amalgamated was later renamed Silver & Partners, which later closed.)
Svedka’s comeback plan seemingly does not include the femme-bot, which drew attention but was also polarizing. Cameron emphasized that DCX is on board not to recreate old campaigns, but to get Svedka back on a trajectory that would recapture its one-time status as the fastest-growing U.S. vodka brand. He declined to comment on the details of the new advertising, citing the lengthy time to launch.
The alcoholic beverage market is “extremely responsive,” to brand image advertising, Cameron said, but the industry hasn’t seen much of that lately. “The category has gotten a little soft in recent years in terms of brands breaking through and being talked about and being perceived as a leader,” he said. “And we see it as an opportunity to leapfrog the other brands.”