Bringing the Great Dane to Russia (FAXE - Den Store Dansken) Spectacular transformation on the most fragmented beer market in the world.
In the ever-evolving world of beer, brands constantly strive to break through the clutter and draw attention of the target audience, especially on markets where the average number of brands available supersedes 200. One such brand that has achieved remarkable success through a series of strategic marketing activities is FAXE.
FAXE, an imported brand, was initially exported to Russia from the mid-90s until 2008 when it started being produced locally under a “license agreement”. FAXE is owned by partly family-owned breweries Royal Unibrew A/S.
The average annual sales were not higher than 10,000 HL, the brand had minimal activities and a vague perception among the audience. It lacked the reputation of a German beer or the beloved status of a Czech beer deeply ingrained in minds of Russian consumers. Instead, it was simply another unremarkable Danish brand with a Viking logo.
Despite facing numerous challenges, including a weak brand identity and limited distribution, FAXE was determined to conquer the Russian market. With support of brand owner, enthusiasm of local marketing team in Moscow, and a hands-on brand strategy, FAXE embarked on its journey to overcome these obstacles and make its mark.
Every successful brand transformation begins with a thorough evaluation of its identity. Despite not having a centuries-old history like Heineken or Carlsberg, and lacking the loyal community support enjoyed by brands like Pabst or Budweiser, FAXE found that its viking logo and a strong connection to Denmark and Viking heritage were factors that seemed to provide some help.
With these ideas FAXE underwent a brand identity enhancement. The brand's initial weaknesses and limitations were meticulously analyzed and transformed into strengths and unique selling points. A VIKING OF BEERS has born.
As is often the case, the key to success lies in understanding and connecting with the target audience. Through the collaboration with international research agencies and the conduct of multiple focus groups, it was discovered that consumers strongly associate Vikings with positive qualities such as a willing heart, bravery, loyalty, and honor. These associations presented an opportunity to leverage these traits and create an appealing image for FAXE.
A brand can only thrive when it possesses a deep understanding of the market and its competitors. In the case of FAXE, there were no competitors specifically targeting the territory of Vikings. TUBORG focused on promoting music festivals, such as GreenFest. Carlsberg aimed to establish itself as "probably the best beer," and other global brands were heavily involved in music, football or food-pairing platforms. This created an opportunity for FAXE to differentiate itself and carve out its own unique niche in the market.
Recognizing the importance of this critical aspect, the local marketing team in Russia made a strategic investment in thorough consumer research conducted in collaboration with international agencies. Equipped with valuable insights, the brand was able to develop a new and distinctive VIKING platform, which stood out amidst the fragmented marketing landscape. This platform employed a unique voice that resonated with the target audience.
By creating an innovation that captivates and motivates consumers, one can become a content generator. FAXE recognized the power of storytelling and embraced it through limited editions series that offered a unique interpretation of Vikings. This concept gained immense popularity, to the extent that some consumers even chose to get tattoos inspired by it.
The LE Viking series proved to be a success, resulting in increased brand loyalty, heightened engagement, and the formation of a growing community of brand advocates. This success prompted the brand owner, Royal Unibrew, to extend the reach of these limited edition artworks on a global scale, despite the fact that they were exclusively designed in-house by the local marketing team in Moscow
In the age of digitalization, it is crucial for brands to capitalize on every chance to establish a connection with their intended audience. FAXE recognized this imperative and skillfully designed digital marketing campaigns that made a lasting impression. By leveraging celebrity endorsements, particularly from modern Vikings in the MMA realm (such as sponsorship with M1 Fighting Championship of Fedor Emelianenko and collaborations with MMA stars like Jeff Monson ), the brand was able to harness the influence of social media personalities. As a result, FAXE achieved remarkable levels of brand visibility, customer engagement, and ultimately saw increased sales in retail outlets.
Both TV and digital platforms proved to be influential marketing channels for FAXE, serving as a powerhouse for the brand. Through a new campaign centered around the concept of "Vi-KING OF BEER" (as a counterpoint to "BUD. KING OF BEER"), FAXE successfully revitalized its target audience. This campaign went viral, capturing the attention and interest of consumers. With a well-planned strategy encompassing engaging content on social media, consistent brand messaging, the introduction of limited edition Viking series products, and active interaction with followers throughout the campaign, FAXE experienced enhanced brand reputation, and heightened customer satisfaction.
The journey of FAXE serves as a testament to the power of strategic marketing and the remarkable transformations that can be achieved through perseverance and innovation. A brand that had formerly 0.01% market share has achieved 0.70% by the 2020 on the most fragmented market in the world, competing with a BIG BEER companies .
Faxe VIKING OF BEER. MANIFEST 2020 TV Campaign
