Festive Fervour: Catching up with strategies and activations

Festive Fervour: Catching up with strategies and activations Popular chain Café Delhi Heights introduces a special beverage menu featuring winter-themed cocktails, which adds to the festive experience and makes it the most profitable time of the year.

With festivals and weddings galore across India, October through January each year, beverage alcohol brands, distributors and the on-trade are caught up in flurry of activities to heighten the cheer. Brews&Spirits looks at what’s fermenting…

“It’s the clink of glasses at family gatherings, the grandeur of weddings, and the joy of shared festivities that bring people together,” says Amar Sinha, Chief Operating Officer at Radico Khaitan, almost poetically.

It also captures the essence of what forms an essential part of every liquor marketer’s annual calendar, having to deploy every weapon in their book to make the most of what is an integral part of the business calendar for alcohol brands.

This is even more so for beverage alcohol than any other category, because festivals and weddings are opportune moments in India for celebration – and what goes more naturally with celebrations than a glass that cheers?

 

Radico Khaitan has a wide range (L) of whiskies, brandies and gins to promote. Its COO, Amar Sinha (R) says the season is about creating magic.

 

The run of the festivities – which also overlaps in part with the Big Fat Indian Wedding season – is October to January, stretching from Holi to Onam. Diwali, Christmas and New Year are, of course, at the centre of this.

As families come together, and the Diaspora makes a beeline for home, it is time to loosen up the inhibitions and purse strings to celebrate these occasions. India’s duty-free shops are a convenient port of call to pick up a few bottles on the way, so reunions get that much more cheerful.

Hemang Chandat, National Sales and Marketing Director for Monika Alcobev says, “Whether it’s gifting or gatherings, this period drives serious volumes.” The festive bump for alcohol is a pan-India feature, with some areas standing out. While North India celebrates Diwali on a larger scale, Christmas lightens up Goa, and Kolkata comes alive for Pujo, he notes.

MAXIMUM SPEND

The opportunities for marketers to maximise their share of sales in the festive season are manifold. That’s where the marketer’s experience comes in: knowing how much to invest and where to reap the benefits.

Returns via sales, however, call for investment, and both investment and sales are at a disproportionate share for this time of the year. Aditi Chakravarty, Marketing Manager at Moet Hennessy, indicates that up to 30% of her company’s annual spend is in this festival period.

Hemang indicates a similar percentage, repeating: “You don’t hold back in peak season; you double down to make an impact.”

The spending could go as high as 60% for Williams Devadass, Senior Vice President at ADS Spirits. These spends are primarily spread across gift packs, consumer schemes and event sponsorships. Above-the-line (ATL) activities are a critical part of these spends as the focus is on creating and sponsoring events and experiences that people remember.

 Apart from off-trade and on-trade, ATL spending in the form of event sponsorships and digital, is an important area of focus. The split between these channels is primarily a function of product portfolio, with lesser premium brands preferring to focus more on off-trade schemes and investing in ATL to help build brand pull.

“Nothing beats the reach and energy of a well-executed event. That’s where we see the most value,” says Hemang. It’s no surprise, therefore, that both sizeable consumer-centric cocktail festivals – the India Cocktail Week (ICW) and Explorer’s Club – step into their pan-India footprint around this time of the year.

 

Hemang Chandat (R) says one of Monika Alcobev’s standout releases was the ‘Day of the Dead’ Special Edition bottle (L) for Jose Cuervo Tequila.

 

EXOTIC MENU

For bars and restaurants, special menus and promotions in the festive season are par for the course. The premium on-trade also joins the party. Vikrant Batra, Co-founder of popular chain Café Delhi Heights, says, “During this period, we introduce a special beverage menu featuring winter-themed cocktails, which adds to the festive experience and drives additional footfall.”

He mentions their special ‘Love and War’ cocktail menu. “These menus, paired with festive dining experiences, have consistently drawn significant attention and increased footfall during the festive season.”

Sagar Neve, Co-founder of Mumbai’s popular Ekaa Bar, says the festive season contributes significantly to his business, accounting for approximately 70% of its annual sales. He mentions a recent standout promotion, a collaboration with Suntory and the royal family of Belgadia in Odisha.

“This initiative highlighted the unique flavours and ingredients of Mayurbhanj, incorporating elements foraged locally and sourced from nearby markets on our team’s trip there. The immersive approach and the region’s cultural richness made this promotion particularly memorable,” he recollects.

 

 

Som Distilleries focuses on multi-pack offers for their popular beer brands (L). Diwakaran (R) points to a 20% uptick in sales in the festival months.

 

GAB OF THE ‘GIFT’

Gifting is a big avenue for beverage brands to invest in. Liquor – the more expensive, the better – is an integral element of festivities and the corporate segment. Liquor brands, therefore, also use the season as an opportunity for special releases and packs.

Aditi points to partnerships with Moet Hennessy’s top five-star hotel accounts for their festive hampers as an important gifting avenue.

Das, General Manager at Bengaluru-based mega-retailer Tonique says, “Customers generally look for value added gift packs – maybe a bottle with a set of glasses, or a wine with a glass and an opener.”

He cites Diageo as being extremely aggressive when it comes to the gifting market. He remembers pre-packed hampers that Diageo creates with chocolates, dry fruits, etc. “Once you chose a bottle or two from their portfolio, your gift is ready!” he says.

Radico’s Amar Sinha points to their “memorable and personalised gifts” that help people mark their celebrations, citing the company’s Morpheus XO Brandy Festive Edition Gift Pack, the Jaisalmer Gin Gold and the Royal Ranthambore Heritage Collection, made available with an imported, luxurious Copa glass each.

Chief Operating Officer at Som Distilleries, Diwakaran focuses on multi-pack offers for the popular beer brands they make, as beer is something that people pick up in bulk when they have social gatherings. Gifts like beer glasses and chillers are also, therefore, doubly welcome.

Williams (from ADS) also uses festive packs to drive brand messaging, citing the example of “un-cask the new theme” for Woodnote whiskey.

 

Moet Hennesy taps into the emotional quotient by harvesting the services of influencers such as (L-R) Chef Anahita Dhondy, fashion stylist Divyak Dsouza and writer Karmaa Dhingra.

 

SALES BUMP

Digital is another avenue that brands double down on during the festive season, with branded content pieces and influencer marketing as key elements. Influencers, says Hemang, “help build emotional equity and deeper brand connections”.

A well-rounded strategy integrates organic content and well-placed advertisements to create a cohesive digital presence. Williams allocates as high as 40% of ADS Spirits’ ATL budgets on digital marketing. “The spends ensure that the audience is targeted during the heavy spending on the liquor category during this period,” he adds.

Consumers nowadays are more willing to spend on premium experiences, travel more frequently, and actively seek unique and memorable outings. This season sees a noticeable uptick in discretionary spending as people prioritise celebrations, gifting and social gatherings.

This time of the year is significant for the liquor industry as it accounts for a disproportionate share of sales. Moet Hennessy expects about 15% incremental sales on the back of activations. Som’s Diwakaran points to a 20% uptick in sales in the festive months. Hemang prefers to keep this number confidential but agrees that it’s when Monika Alcobev sees its most significant spikes.

Ekaa Bar’s Sagar succinctly summarises it all: “There is a heightened sense of celebration and indulgence. The festive mood generates demand for curated experiences. It is an ideal time for businesses like mine to capitalise on consumer enthusiasm and deliver offerings that align with the season’s spirit.” Well said, indeed!