Chivas Brothers Insists “Age Matters”

Christina Jelski
Posted: June 28, 2010

In response to extensive market research, Pernod Ricard’s Chivas Brothers unit is launching a global ad campaign designed to educate consumers on Scotch whisky age statements. “The Age Matters” campaign will also promote the company’s Scotch portfolio, including Ballantine’s, Chivas Regal and Glenlivet—all of which feature prominent age statements.

Conducted by Buzzback, an independent market research agency, the study surveyed 2,000 whisky consumers in France, the U.K., the U.S., India, Korea, Russia, Mexico, China and Brazil. Responses revealed that only 10% of consumers correctly understand that an age statement refers to the youngest whisky in the bottle. Instead, 48% think it indicates the average age and 35% believe it refers to the oldest whisky. The majority of consumers, however, see age statement as the primary indicator of quality—93% believe an older age means a better whisky and 89% focus on age statements when making a purchase.

“The revelation that so many existing whisky drinkers do not understand that the age statement refers to the youngest age of the whisky shows that there is an opportunity for us to inform them," said Chivas Brothers chairman and ceo Christian Porta, who intends to “empower consumers with knowledge, so that they fully understand the value of what they are buying.” By increasing the perceived value, he also hopes to boost luxury whisky prices.

The campaign will commence July 1st, targeting travel retail locations in Asia, the Middle East, Europe and the U.S. before expanding to domestic markets worldwide. A logo featuring the phrase “Guaranteed Age Whisky” will be displayed in retail locations and messages encouraging age statement awareness will be found on whiskies and point-of-sale materials.

According to Impact Databank, Ballantine’s, the world’s second-largest Scotch whisky brand, was down 11% by volume in 2009, while Chivas Regal fell an estimated 15.3%. Glenlivet is the single malt Scotch whisky market leader in the U.S. and sells 600,000 cases per year globally. The brand’s net sales value rose 6% by last March, and Pernod Ricard recently invested £10 million ($14.5m) in distillery upgrades for Glenlivet, increasing production by 75%.

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