With its sales slowing (though holding up better than most rivals), the British company is tackling one of the toughest challenges in marketing: changing consumer behavior. Diageo says it will continue to plug its Smirnoff, Jose Cuervo, and other spirits, but plans to spend millions in an attempt to make the cocktail cool again. "It's a nice idea, but it's not that easy," says David Morris, who analyzes the food and beverage industry for Mintel, a research firm. "There is some expertise needed to create a good cocktail." Not only will Diageo have to turn Americans on to mixed drinks, but it will have to teach people how to make them, too.
Business Week
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