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Business of Number 1 Yaari

IMPACT speaks to Varun Koorichh, VP of Marketing, Diageo India, as he shares his insights on McDowell’s entry into the white spirits market and the key role of continuity in building legacy brands

BY Pritha Pahari
21st October 2024
Business of Number 1 Yaari

Q] Talk me through the launch and the event.
We’re excited to launch the X Series, McDowell’s fresh move into white spirits, targeting younger consumers seeking new experiences and flavours. This follows the release of our single malt range as part of our premiumization strategy. The X Series taps into a growing 10 million case category, propelling McDowell’s from its whiskey heritage into a vibrant and fresh new pool. Launched already in Maharashtra, UP, and Goa; we plan a nationwide rollout in the next 6-8 months.

Q] Alcobev brands often partner at launch events so that the attendees can naturally engage with the products. Do you think events are becoming one of the most important platforms for Alcobev companies to advertise and connect with consumers?
Events have always been important for Alcobev brands, as alcohol plays a key role in social settings. However, it’s crucial for marketers to carefully choose the right events. For McDowell’s, which focuses on friendship and social connections, we prioritise places where friends gather and have a great time. While events are important, digital and 360-degree integrated marketing strategies are essential too. It’s critical to maintain a strong content engagement strategy year-round to keep consumers actively engaged, rather than relying solely on events.

Q] You mentioned that Digital was also one of the marketing channels for you; which would you say is your preferred mode of marketing?
It varies from campaign to campaign and brand to brand. For McDowell’s, as a mass brand, reaching 170-180 million consumers requires the right media mix. For the X Series, targeting younger consumers, who are highly engaged with digital platforms and are globally aware, the focus shifts more towards digital activities and experiences rather than relying heavily on traditional advertising.

Q] Can you provide an overview of how your marketing budget is allocated across different channels? Which channel takes up the largest portion of your budget?
In our category, consumers have a strong opinion and invest more, so we focus heavily on advocacy, influencers, and bar programs. Most of our budget goes to digital and experiential marketing, with about 10% on traditional advertising as we’re a mass brand. The remaining 90% is split between digital, experiential, and influencer strategies.

Q] The Ziro Music Festival is organised with an aim of promoting the rich culture, and music of the Northeast. How important is the Northeast as a market for your company?
Signature is a distinct brand focused on eco-friendly, sustainable living. While the festival is in the Northeast, we ensure national reach, highlighting its unique positioning. For McDowell’s, it’s all about elevating ‘Yaari Jam’, our decade-old IP. In today’s digital era, we don’t just activate in one market, but use these events to communicate our brand values and deliver a meaningful, eco-friendly experience.

Q] With many new domestic brands emerging and going global, how do you stay competitive as a long-established brand?
To compete with emerging domestic brands, we focus on the fundamentals of marketing: product, price, place, and promotion. For the X Series, we prioritise disruptive product design and taste while listening to consumer needs. We ensure competitive pricing, as Indian consumers are value-driven and willing to pay a premium for accessible products. By consistently getting our 4Ps right and staying true to our brand values, we can effectively compete without worrying about competition.

Q] With the trend of premiumization in the alcobev industry, which categories are driving sales at Diageo India, from McDowell’s to Johnnie Walker? Are you focusing on elevating the mass market to a more premium segment, and what strategies are you implementing to achieve this?
Premiumization is indeed occurring in the Alcobev category, driven by consumer demand for better-quality products. With rising incomes and rapid urbanisation in tier one and tier two cities, consumers are willing to pay more. This shift began with McDowell’s, where we signed Karthik Aryan to enhance brand impact and reach. Our campaign, “Yaaron Waali Baat,” reflects what consumers want—experimentation with flavours, mixers, and cocktails, making our brands desirable and something they can proudly share on social media. By staying attuned to consumer needs, our premiumization strategy for McDowell’s is proving effective, ensuring we remain ahead of trends.

Q] Let’s discuss sustainability and why it plays a significant role in your brand. How are you incorporating sustainable practices into your operations?
Consumers today associate sustainability with Signature, while McDowell’s focuses on inclusion and diversity. Each brand has a unique role based on purposeful positioning. Signature, for instance, has taken sustainability seriously since its reinvention two years ago, emphasising eco-friendly practices. This is evident in initiatives like the Ziro Festival of Music and our campaign with Ayushmann Khurrana, “One with Nature, My Signature,” promoting conscious living. Additionally, our Signature Mangrove project in Orissa showcases our commitment to sustainability, making Signature the most distinctive brand in the upper prestige category.

Q] While alcohol is consumed year-round, does your advertising spend increase during the festive season? What specific marketing strategies are you implementing for these festivities?
As a marketer, it’s essential to maintain strong engagement throughout the year. For McDowell’s, key festivals like Holi, Diwali, and Durga Pooja serve as opportunities for connection among friends. We develop programs for these significant occasions, recognising that the festive season isn’t limited to just Diwali, Dussehra, and Christmas; it also includes Holi and others. As our products are consumed regularly, it’s crucial to stay active year-round.

Effective communication and consistent engagement with consumers are essential for ensuring our brand remains top-of-mind.

Q] Are there any upcoming marketing initiatives we can look out for in the near future?
Continuity is key. As McDowell’s evolves, particularly with the X Series, we’re transitioning into a more premium and disruptive brand. We’re targeting younger consumers with aspirations to create their own status symbols. To stay relevant, we need to consistently innovate and deliver exciting experiences. For instance, in our ‘Yaari Jam’ campaign, we featured artists like Anuv Jain, Zaeden, and Lisa Mishra, and our challenge is to bring in trending artists each year. As marketers, it’s essential to find the right mix to connect with our consumers effectively.


PROFILE
Varun Koorichh, Vice President of Marketing and Portfolio Head at Diageo India, has played a pivotal role in elevating the company’s marketing and premiumization strategies. At Diageo, he has focused on purposeful branding, particularly within the Prestige portfolio, which includes brands like McDowell’s, Signature, and Royal Challenge. Noteworthy campaigns under his leadership include McDowell’s ‘Yaaron Waali Baat’ and Signature’s ‘Green Vibes.’

ABOUT THE BRAND
McDowell’s, a prominent brand under Diageo India, is known for its portfolio of alcoholic beverages, particularly Whiskey, rum, and brandy. Established in 1963, McDowell’s has grown into one of India’s most recognizable brands, appreciated for its affordability and quality. Its flagship product, McDowell’s No.1, is one of the best-selling Whiskey brands in India and has a strong market presence globally.

FACTS
Media/Creative/Activation/Digital: Publicis Group
Design Partners: Design Bridge and Partners
PR Agency: Burson Genesis

  • TAGS :
  • #marketing
  • #yaari
  • #Business of Number 1
  • #Varun Koorichh
  • #Diageo India
  • #McDowell’s
  • #White Spirits
  • #Legacy Brands

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