{"id":11528,"date":"2021-06-07T12:44:30","date_gmt":"2021-06-07T11:44:30","guid":{"rendered":"https:\/\/brandfinance.com\/?p=11528"},"modified":"2021-08-17T22:52:15","modified_gmt":"2021-08-17T21:52:15","slug":"corporate-bottle","status":"publish","type":"post","link":"https:\/\/brandfinance.com\/insights\/corporate-bottle","title":{"rendered":"Corporate Bottle: Acting like a Small Company"},"content":{"rendered":"\n<p class=\"is-style-intro-hook\">How an international corporation operated like a tiny, agile start-up. Because we did.<sup><a href=\"#footnote_0_11528\" id=\"identifier_0_11528\" class=\"footnote-link footnote-identifier-link\" title=\"&lsquo;Bottle&rsquo; an English slang term meaning &lsquo;bravery&rsquo;, &lsquo;courage&rsquo;, &lsquo;balls&rsquo;, &lsquo;cojones&rsquo;\">1<\/a><\/sup><\/p>\n\n\n\n<p class=\"is-style-default\">Meeting someone from IDV (International Distillers &amp; Vintners) at a conference in Stresa in 1969 was the luckiest break I ever had in business.&nbsp; I was a brand development consultant to them from 1969 to 1997, when they became Diageo.&nbsp; And I continued working for Diageo for a further 8 years, to 2005.<\/p>\n\n\n\n<p>During those years a host of brilliant brands were brought into the world. And happily, many of those are still thriving:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong><a href=\"https:\/\/brandirectory.com\/brands\/baileys\/\" target=\"_blank\" rel=\"noopener\">Baileys Irish Cream<\/a><\/strong>&nbsp;\u2013 the world\u2019s largest selling liqueur brand.<\/li><li><a href=\"https:\/\/brandirectory.com\/brands\/malibu\/\" target=\"_blank\" rel=\"noopener\"><strong>Malibu<\/strong>&nbsp;<\/a>- (sold to Allied Domecq for \u00a3560 million).&nbsp;<\/li><li><strong><a href=\"https:\/\/brandirectory.com\/brands\/bombay-sapphire\/\" target=\"_blank\" rel=\"noopener\">Bombay Sapphire<\/a><\/strong>&nbsp;- (sold to Bacardi, alongside Dewar\u2019s, for \u00a31.15 billion);&nbsp;<\/li><li>The Singleton, Smirnoff Black,&nbsp;Sheridan\u2019s,&nbsp;Tanqueray Ten,&nbsp;Le Piat d\u2019Or  - which in the 1970s was the leading French wine brand in the UK, Japan &amp; Canada, and C\u00eeroc&nbsp;\u2013 the world\u2019s first grape vodka.<\/li><li> Aqua Libra&nbsp;and&nbsp;Purdey\u2019s&nbsp;(the last two now owned by Britvic.)<\/li><\/ul>\n\n\n\n<p>Interestingly, on a rough calculation, the aggregate cost of bringing all those 11 brands to market probably did not exceed 1% of the billion dollars Diageo paid for each of George Clooney\u2019s Casamigos tequila and<em> <\/em><a class=\"rank-math-link\" href=\"https:\/\/brandirectory.com\/brands\/ketel-one\/\" target=\"_blank\" rel=\"noopener\"><strong>Ketel One <\/strong><\/a>Dutch vodka.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1798\" height=\"1200\" src=\"https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1499043689-1798x1200.jpg\" alt=\"bombay gin drinks\" class=\"wp-image-11531\" srcset=\"https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1499043689-1798x1200.jpg 1798w, https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1499043689-450x300.jpg 450w, https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1499043689-768x513.jpg 768w, https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1499043689-1536x1025.jpg 1536w, https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1499043689-2048x1367.jpg 2048w, https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1499043689-scaled.jpg 2560w\" sizes=\"auto, (max-width: 1798px) 100vw, 1798px\" \/><figcaption>Bombay Sapphire <\/figcaption><\/figure>\n\n\n\n<p>Looking back on my time with them and comparing it to time spent working with other global companies, IDV definitely trumped them all.&nbsp; And it happened eclectically over the years, not through some Business School-inspired Grand Design.<\/p>\n\n\n\n<p>Here\u2019s why the IDV way worked.&nbsp; And will still work today.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">1. The people at the head of the table<\/h2>\n\n\n\n<p>Inspired by Peters &amp; Waterman\u2019s best seller \u2018In Search of Excellence\u2019, IDV introduced a \u2018brand champion\u2019 idea, where responsibility for new brands was managed by people at the top of the organisation.&nbsp;<\/p>\n\n\n\n<p>Middle-management-controlled brand development meant that fear of failure was a predominant condition.&nbsp; The result?&nbsp; Time and huge amounts of money were wasted in the pursuit of insurance against failure.&nbsp; And no form of market research or consumer assessment has been developed that can predict failure.&nbsp; Or success.<\/p>\n\n\n\n<p>Top management knew that we would fail from time to time.&nbsp; The aim was to fail quickly and cheaply. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\">2. Brand development was never a democracy<\/h2>\n\n\n\n<p>The more people who are allowed to engage in the creation of a brand, the more likely it is to fail.&nbsp; The brilliant <a href=\"https:\/\/brandirectory.com\/brands\/ketel-one\/\" class=\"rank-math-link\" target=\"_blank\" rel=\"noopener\"><strong>Bombay Sapphire<\/strong><\/a> was the work of an autocrat, the Frenchman Michel Roux.&nbsp; It was his unique vision.&nbsp; It was not designed by a committee.&nbsp; Everything was designed to fit his personal template.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignleft size-large is-resized\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1276258906.jpg\" alt=\"singleton\" class=\"wp-image-11533\" width=\"257\" height=\"386\" srcset=\"https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1276258906.jpg 667w, https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/shutterstock_1276258906-300x450.jpg 300w\" sizes=\"auto, (max-width: 257px) 100vw, 257px\" \/><figcaption>The Singleton<\/figcaption><\/figure><\/div>\n\n\n\n<p>The Singleton is now the 4th biggest-selling single malt in the world.&nbsp; It was created within 6 months, not a penny was spent on market research, and single decisions were taken on the name, pack design and product.<\/p>\n\n\n\n<p><a href=\"https:\/\/brandirectory.com\/brands\/baileys\/\" class=\"rank-math-link\" target=\"_blank\" rel=\"noopener\"><strong>Baileys <\/strong><\/a>received a negative rating in consumer research but was launched anyway in exactly the form it was originally presented.&nbsp; The architect of its success was the authoritarian Irishman, the late David Dand.&nbsp; It is now the world\u2019s leading liqueur brand.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">3. The single solution<\/h2>\n\n\n\n<p>All the brands mentioned above were created as the result of a single solution to a brief.&nbsp; They leveraged the experience and expertise of the protagonists, both creators and commissioners alike.<\/p>\n\n\n\n<p>Tiny amounts were spent on consumer research, which kept investment minimal and enabled brands to get to market at top speed.<\/p>\n\n\n\n<p>The exploration of options and alternatives is the greatest hindrance to agile, effective brand development.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">4. Tiny teams, global reach<\/h2>\n\n\n\n<p>The nucleus of IDV\u2019s brand development was based on small teams drawing on the company\u2019s wider resources.<\/p>\n\n\n\n<p>The IDV approach was not based on \u2018popularity contests\u2019 between multiple solutions but on optimising single ideas.&nbsp; This enabled a small team to service multiple companies across IDV\u2019s global network.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">5. Consumers like what they know.&nbsp; They don\u2019t know what they like.<\/h2>\n\n\n\n<p>IDV\u2019s was a \u2018supply-driven\u2019 approach, offering consumers brands based on new propositions.<\/p>\n\n\n\n<p><em>Aqua Libra<\/em> and <em>Purdey\u2019s<\/em> pioneered the added-value non-alcoholic sector in the mid-1980s \u2013 a category that has reached boom status in the last few years.<\/p>\n\n\n\n<p>IDV pioneered low-alcohol coolers, with <em>St Leger<\/em>, again in the 1980s, a category which has evolved to become the flourishing Hard-Seltzer sector today.<\/p>\n\n\n\n<p>And <a href=\"https:\/\/brandirectory.com\/brands\/ciroc\/\" class=\"rank-math-link\" target=\"_blank\" rel=\"noopener\"><strong>C\u00eeroc <\/strong><\/a>broke the tradition of grain-based vodka with the world\u2019s first grape vodka.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">6. Floreat emptor<\/h2>\n\n\n\n<p>A lifetime\u2019s experience in the ideas business has taught me that the real heroes are the people who <em>buy<\/em> the ideas.&nbsp; They take risks with the company\u2019s money and indeed their own reputations.&nbsp; IDV were blessed with a number of individuals who really understood the drinks business and were able to make a call on a single solution to a brief.<\/p>\n\n\n\n<p>Buying ideas is a rare skill and companies should go out of their way to seek out people who have that talent.<\/p>\n\n\n\n<p>One of the great benefits of the IDV approach of by-passing middle management and marketing management, was that there was no \u2018over-thinking\u2019 in the creation of brands.&nbsp; Top managements\u2019 preoccupation was with \u2018when?\u2019 rather than \u2018how?\u2019<\/p>\n\n\n\n<p>The full story of my experiences working with IDV is chronicled in my book \u201cThat s*it will never sell!\u201d which can be previewed on <a href=\"http:\/\/www.thatshitwillneversell.com\" target=\"_blank\" rel=\"noopener\">www.thatshitwillneversell.com<\/a> and ordered either from the website or Amazon.<\/p>\n\n\n\n<p><em>\u2018Bottle\u2019 an English slang term meaning \u2018bravery\u2019, \u2018courage\u2019, \u2018balls\u2019, \u2018cojones\u2019<\/em><\/p>\n\n\n<div id=\"div_block-237-631\" class=\"ct-div-block \" ><div id=\"new_columns-37-7143\" class=\"ct-new-columns\" ><div id=\"div_block-38-7143\" class=\"ct-div-block\" ><img decoding=\"async\"  id=\"image-231-631\" alt=\"alcoholic drinks\" src=\"https:\/\/brandfinance.com\/wp-content\/uploads\/2021\/06\/Alcoholic-Drinks-2021.jpeg\" class=\"ct-image\"\/><\/div><div id=\"div_block-39-7143\" class=\"ct-div-block\" ><a id=\"link-28-7143\" class=\"ct-link\" href=\"https:\/\/brandirectory.com\/reports\/alcoholic-drinks-2021\" target=\"_blank\" rel=\"noopener\"><h5 id=\"headline-220-631\" class=\"ct-headline\">Brand Finance Alcoholic Drinks 2021<\/h5><div id=\"text_block-222-631\" class=\"ct-text-block\" >Download the full report to learn more.&nbsp;<div><br><\/div><\/div><\/a><\/div><\/div><\/div><div class='footnotes'>\r\n<h4>References<\/h4><ol class=\"footnotes\"><li id=\"footnote_0_11528\" class=\"footnote\">\u2018Bottle\u2019 an English slang term meaning \u2018bravery\u2019, \u2018courage\u2019, \u2018balls\u2019, \u2018cojones\u2019<span class=\"footnote-back-link-wrapper\"><a href=\"#identifier_0_11528\" class=\"footnote-link footnote-back-link\">&#8617;<\/a><\/span><\/li><\/ol><\/div>","protected":false},"excerpt":{"rendered":"<p>How an international corporation operated like a tiny, agile start-up. Because we did.1 Meeting someone from IDV (International Distillers &amp; Vintners) at a conference in Stresa in 1969 was the luckiest break I ever had in business.&nbsp; I was a brand development consultant to them from 1969 to 1997, when they became Diageo.&nbsp; And I [&hellip;]<\/p>\n","protected":false},"author":550,"featured_media":11532,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[136,1],"tags":[15],"class_list":["post-11528","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industry-analysis","category-insights","tag-brand-strategy"],"acf":[],"_links":{"self":[{"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/posts\/11528","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/users\/550"}],"replies":[{"embeddable":true,"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/comments?post=11528"}],"version-history":[{"count":33,"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/posts\/11528\/revisions"}],"predecessor-version":[{"id":12388,"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/posts\/11528\/revisions\/12388"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/media\/11532"}],"wp:attachment":[{"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/media?parent=11528"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/categories?post=11528"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/brandfinance.com\/wp-json\/wp\/v2\/tags?post=11528"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}