Pernod Ricard Replaces 'Ballantine's' Sign with 'Jameson'... "Continuing Whiskey Popularity"

Pernod Ricard Korea (PRK) is positioning 'Jameson,' a whiskey well-known as an entry-level option, as the company's flagship brand. Unlike existing key brands such as 'Ballantine's,' 'Royal Salute,' and 'Chivas Regal,' which have relatively high prices and somewhat dated images, Jameson offers a flexible transformation into cocktails and highballs and has excellent price accessibility, creating a comfortable image. PRK believes Jameson is the right candidate to revive the somewhat stagnant popularity of whiskey recently.

(From left) Franz Horton, CEO of Pernod Ricard Korea, Kim Heesang, Brand Ambassador, and Miguel Pascal, Executive Director of Marketing, are posing for a commemorative photo at the Jameson pop-up store 'Jameson Madang' press conference held on the 14th.

원본보기 아이콘

PRK announced on the 14th that it will operate a pop-up store called 'Jameson Madang,' representing the Irish whiskey brand Jameson, near Hongdae in Seogyo-dong, Mapo-gu, Seoul, for about a month from the 17th of this month to the 14th of next month. On the morning of the same day, PRK held a media event to introduce Jameson Madang and explain future brand operation plans.

This Jameson Madang is a pop-up store focused on consumer experience. PRK plans to present various programs so that visitors to the event can experience the brand with all five senses. In particular, the focus is on delivering the differentiated 'bar' experience that Jameson pursues. The name of the pop-up store, Jameson Madang, carries the meaning of a space where various Jameson activities can be gathered and enjoyed.

The interior of the pop-up store is designed with the concept of a 'Jameson Bar,' allowing visitors to experience Jameson and various drinks made with Jameson. Additionally, through the tour program 'Jameson Distillery on Tour,' which recreates the Jameson distillery in Dublin, Ireland, the brand's story and whiskey production process will be conveyed. A cocktail class, where visitors can learn cocktail and highball making directly from professional bartenders, will also be held daily. Furthermore, on the 16th, to commemorate the opening of the pop-up store, performances by the brand ambassador 'Crush' and famous DJs are scheduled.

Pernod Ricard Korea 'Jameson Distillery Edition'

원본보기 아이콘

PRK has recently been putting effort into growing the Jameson brand. Prior to this pop-up store, PRK operated three Jameson pop-up stores last year: in August at Lotte World Mall in Jamsil, in October at the Go Out Camping Festival in Andong, Gyeongbuk, and in December at Phoenix Park in Pyeongchang, Gangwon. Considering that PRK's fiscal year ends in June and starts in July, it means that four pop-up events for the same brand were held within one fiscal year.

PRK is driving the Jameson brand because it believes that recent changes in trends in the liquor and whiskey markets are accelerating. The domestic whiskey market has been steadily shrinking due to reduced working hours with the introduction of a five-day workweek and a 52-hour workweek, and the implementation of the Improper Solicitation and Graft Act (Kim Young-ran Act) in 2016, which reduced entertainment demand. However, with the COVID-19 pandemic, home drinking and solo drinking emerged as new drinking cultures, leading to a rebound spearheaded by high-priced products such as single malt whiskey and well-known blended whiskeys.

However, as endemic conditions return and daily life recovers with more gatherings like before, whiskey demand has shifted from drinking alone at home to enjoying it comfortably with others. In fact, last year, whiskey imports reached a record high of 30,586 tons, but import value decreased by 2.7% year-on-year to $259.57 million (about 340 billion KRW), marking a downward trend. Consumption patterns have shifted to focus more on quantity than quality. This is also why PRK judged that the Jameson brand, with a comfortable image and retail price around 30,000 KRW, is better suited to continue the growth trend in the whiskey market than existing premium brands with refined images.

원본보기 아이콘

As the growth of the whiskey market slows, more liquor companies are turning their attention to other types of alcohol, but PRK appears to be pushing forward with a whiskey-centered business. However, the list of leading brands is expected to include Jameson alongside the existing Ballantine's. Last year, the Jameson brand showed potential with a 52% growth rate compared to the previous year, and the specialized liquor research institute IWSR forecasts an average annual growth rate of 6% for the whiskey category in the Korean liquor market through 2027, indicating continued high growth potential, which is also considered a factor.

PRK plans to raise brand awareness and expand consumer touchpoints through active marketing this year as well. Franz Horton, CEO of PRK, said, "The fact that we are developing and conducting campaigns specifically targeting the Korean market itself proves that Korea is a strategically important country." He added, "This year, more funds than last year will be invested in marketing activities." In the 2023 fiscal year (July 2022 to June 2023), PRK's advertising expenses were 54.6 billion KRW, a 4.2% increase from the previous year. Compared to 2020 (33.4 billion KRW), this is a 63.5% increase over three years.

© The Asia Business Daily(www.asiae.co.kr). All rights reserved.