How A Splash of Premium Vodka and 2 Parts Diddy Catapulted Cîroc

“[Combs] expanded Cîroc from just a vodka to a lifestyle brand,” said Yodit Gebreyes, founder of the promotion company Talk of DC (talkofdc.com) and a social brand ambassador for Cîroc. That branding appears to be what has set Cîroc apart from its competition. According to SymphonyIRI, Cîroc has grown by 552 percent since signing Combs as brand manager and chief marketing officer.

Cîroc’s massive growth can be attributed to Combs’ marketing team, The Blue Flame Agency, which utilized various forms of media. Cîroc is frequently featured in viral video campaigns, social networking platforms, billboards, in the lyrics of popular songs, sponsored events and, of course, every time one sees Combs there’s never a bottle too far away. Combs even adopted the moniker “Cîroc Obama” during Cîroc’s marketing campaign that coincided with the 2008 presidential campaign of Barack Obama.

Gebreyes credits this non-stop marketing campaign for raising the profile of Cîroc as a brand. “They [The Blue Flame Agency] don’t slack on their marketing or promotion. They do a great job at grabbing people’s attention and keeping it,” she said.

Another strategy that worked in Cîroc’s favor was identifying a key demographic. “Diddy clearly went after the younger hip hop generation,” said David Meares, a bartender at Tonic in Washington, D.C.  “It’s smart. They’re a generation that doesn’t already have established drinks.”

However, this strategy does isolate other audiences. Tonic, whose patrons are primarily government workers and the business crowd in their mid 20s to mid 30s, has not seen the demand that Cîroc’s overall sales suggest.

“We get a few request for drinks made with Cîroc but mainly [customers] ask for their  ‘go to drinks,’” said Meares.

Hussein-Bey agrees. “Whenever Cîroc is ordered it’s usually by younger customers,” he said. “but most people already have their favorites that they stick to.”

Rob Frankel, noted branding expert and author of the bestseller The Revenge of Brand X: How to 
Build a Big Time Brand on the Web or Anywhere Else, is skeptical of Cîroc’s organic branding success. Frankel contests that Cîroc has not built a brand but is resting on the celebrity of Combs.

“Are people drawn to the vodka? Or are they drawn to Combs?” he asked.  “Chances are they’re drawn to Combs, which undermines the brand at the outset, because it’s selling Combs, not the vodka.”

“This, by the way, is the dirty little secret of Nike,” added Frankel. “Nobody can tell you why Nike is a better shoe, which is why Nike keeps pumping celebrities at the public.” The Blue Flame Agency was contacted but declined to comment.

But how much can celebrity matter when other liquor brands clearly haven’t fared so well with the use of celebrity endorsements? Brands such as the Jay-Z affiliated Armadale Vodka and the Ludacris endorsed Conjure Cognac have not gained entry into the elite club of leading brands, according to statistics from the Beverage Information Group.

Farrah Parker of FD Parker & Associates, a strategic marketing & public relations firm based in Los Angeles, lended her professional opinion on what has set Cîroc apart: “Cîroc has mastered the art of projecting a classy yet hip image that speaks to multiple demographics,” she said. “Unlike other celebrity-endorsed brands that have failed, Cîroc tastefully connects Sean Combs the ‘Business Man’ to the brand, while P. Diddy the ‘Performer’ is a subliminal message.”

If the branding is what gets consumers’ attention, than the product itself must be what makes them return and become loyal customers. “When I think about people drinking and taking shots, I always have this vision of that face that goes along with that after taste, not with Cîroc,” said Gebreyes.

In February 2010, Cîroc expanded by adding two flavored spirits to its repertoire: Cîroc Coconut and Cîroc Red Berry. The new additions assisted in ushering in a sales spike of 41 percent last year.

However, this rise in sales is still only attributed to a select market. According to Hussein-Bey, his hotel stopped stocking the new flavors because they weren’t selling.

But Gebreyes says Cîroc’s expansion has worked well in its favor. “They’re taking on competition from other markets,” she said. “With Coconut Cîroc and Red Berry, they’re challenging other genres like cognacs and rums and [are] being successful.”

Yet Cîroc’s aggressive branding and unique taste comes with a price.

“I believe Cîroc is our most expensive vodka per shot and that reflects the price we pay,” said Hussein-Bey

The vodka retails for about $30 (750 ml) while its competitors generally go for less. For example, Grey Goose is sold at $34 (750 ml). Absolut, Ketel One, and Smirnoff sell for roughly $22, $25 and $20 respectively.