Havana

Club: Nothing Compares to Havana

Havana Club, an alcohol rum beverage brand, took the task in 2012 to defend its
brands position by rivalling the continuous number one hot brand, Bacardi
(WARC Case Study 2012: p.2). Teaming with M&C Saatchi, the Nothing
compares to Havana campaign was created, displaying the Cuban culture using
emotional selling appeal, directly addressing the consumer with the strapline to
go see your friends, you dont go on internet, you go see your friends and using
other strategic selling techniques; combining above and below-the-line activity
including billboard, print and cinema advertising, as well as online activity and
PR support. The campaign exhibited success after winning Grand Prix at the Euro
Effie Awards 2012, the gold standard in marketing communication effectiveness
(M&C Saatchi 2012). Reported by Ben Bold (6th July 2011) Yves Schladenhaufen,
Havana Clubs International Marketing Director said, Havana Club is known as
the genuine inheritor of Cuban rum tradition. Not only has it become a true
ambassador of Cuba across the globe, but also actively promotes the Cuban
creativity and talents to an international audience.

Advertising Agency: M&C Saatchi

M&C Saatchi formed in 1995, after brothers Maurice and Charles Saatchi were
removed of their chairman titles at Saatchi & Saatchi by shareholders. Brutal
Simplicity of Thought is the core philosophy of the agency, with recent clients
including NatWest, TFL, Ballantines Whisky, Peroni and Havana Club. In 2000
M&C Saatchi won Agency of the year and officially overtook Saatchi & Saatchi in
billings according to the M&C Saatchi Story (no date). M&C Saatchi acknowledge
a technological change, creating a Mobile sector at M&C Saatchi delivering 79%
growth in its first year, utilising a Central Strategy Unit to bring together
strategists believing that they [M&C Saatchi] are uniquely placed to help clients
navigate the incredibly complex new world (M&C Saatchi, no date).

Havana Club Brand & Campaign Objectives

The Havana Club brand sells whiskey-based products around the world in over
125 countries promoting its Cuban heritage, founded in 1878 by Jose Arechabala
in Cuba (Sainsbury 2006: p. 178). In 2009, Havana Club International set an
objective to compete with rival brand Bacardi to become an iconic premium
brand, sold at a premium price worldwide (excluding USA) and not become the
second-best mainstream brand in selling rum (WARC Case Study 2012: p.2).
Bacardi sells three times more cases every year with a global communication
budget ten times larger than that of The Havana Club (WARC Case Study 2012:
p.2). The Havana Club, despite the current economic recession working with
advertising agency M&C Saatchi, set out objectives to defend the brands position,
highlighted here from the WARC Case Study, Havana Club: Nothing Compares to
Havana (2012: p.2):

Business Objectives:
Reach 3.9 million cases sold globally in the 2011-12 fiscal year

 Increase volume and value market shares in all markets against Bacardi
Marketing Objectives:
Become a hot brand (increase advocates friends among consumers,
become a reference for bartenders)
Improve the brand consumer funnel (awareness, consideration, usage)
against Bacardi
Communication Objectives:
Improve brand image
Be talked about: PR coverage

The campaign titled Nothing compares to Havana promoted the Havana culture
known as Havana Cultura whereby promoting contemporary Cuban artists, the
shooting of print adverts in Havana with genuine Cuban people presenting
Cuban culture and values, and promote a feature length movie called 7 days in
Havana co-produced by Havana Club. According to Steve Paddok (2012)
repeating messages in different ways will encourage more of a response. The
campaign media strategy was distributed 24% in television, 5% branded
content, 6% online/ interactive, 3% digital, 1% trade magazine, 38% consumer
magazine, 1% point of sale and 22% on other marketing techniques (e.g. PR)
(WARC Case Study 2012: p.5). The wide range of media strategies ensures
Havana Club that the target audience have the best opportunity of experiencing
their campaign increasing the probability of consumer consumption.

Alcohol Beverage Sector

The August 2002 publication from UK pressure group Alcohol Concern, 100%
Proof: Research for Action on Alcohol, concluded that the majority of
econometric studiesfind little or no evidence for advertising effects on total
consumption levels (Dorsett and Dickerson 2004: p.155). However, there is a
growing concern for the possibility, restricting the advertising alcohol industry
further due to the rise in youth binge drinking; Campaign (26th September 2003)
reports although ads should not appeal to under-18s or depict drinkers under
25, the report said: There is a perception the content and target of advertising
go beyond the spirit of existing self-regulation. Havana Clubs 2012 campaign
Nothing Compares to Havana set their target market as Urban Cultural
Explores, both premium spirit drinkers and opinion leaders (WARC Case Study
2012: p.2); they explicitly did not include age, this prevents the possibility of
encouraging youth binge drinking but does not exclude them from the possibility
of the advert reaching them.

FCB Grid
Michael Ray developed an alternative hierarchies model as seen in figure 1
(Belch and Belch 2012: p.162), demonstrating three stages on product
involvement and product differentiation, with three different outcomes, to learn,
validate and passively learn. However this model fails to give clear
recommendations regarding optimisation of advertising content to advertise
different products (Belch and Belch 2012: p.161-162). According to Michael
Rays model, the alcohol advertising industry, selling low-involvement products,

are required to advertise effectively by ensuring consumers are passively

learning.

Vaughns FCB model, however, develops Michael Rays model with the
consideration of brain specialisation; considering high and low involvement and
thinking versus feeling processing at each involvement, this is demonstrated in
figure 2 (Belch and Belch 2012: p.165-166). Therefore, Havana Club, low
involvement/ feeling product known as the self-satisfaction strategy would
suggest consumers do not learn the product until after purchase. The best forms
of media strategy are billboards, newspapers and point of sale, the same media
strategies included in the Havana Club: Nothing Compares to Havana campaign;
furthermore, the most affective form of creative strategy is attention advertising,
also exhibited in Havana Clubs 2012 campaign.

Mortimer (2002: p.463) advanced both Rays and Vaughns models suggesting
each cell grid evokes a different product category as seen in figure 3 (Mortimer
2002: p.465); high involvement, thinking products are economic e.g. life
insurance, car, house insurance and low involvement, feeling products are social
e.g. alcohol, fast food, tobacco; therefore, the product differentiation, discussed
by Ray, is a cultural association between different product categories and the
consumers attitude, emotion and intension toward the advert; a European
consumer would enjoy alcohol with friends to relax, a societal norm, therefore
the product involvement is relaxed hence low involvement, feeling strategy.


Figure 4: Havana Club - Nothing Compares to Havana Advert. (Source:
WARC Case Study 2012: p. 4)

Figure 4 (WARC Case Study 2012: p.4) exhibits the selected advert from the
campaign that will be analysed in the following section of this report.

Creative Strategy

The unique selling point of the Havana Club rum was its clear and genuine Cuban
heritage, as apposed to its rival vaguely Latin competitors, Bacardi. M&C Saatchi
and Havana Club choose to expose Havana Club as a Cultural Brand, the only
international Cuban brand. The agencys clear objective was to make people
experience the incomparable human and artistic culture from contemporary
Havana (WARC Case Study 2012: p.3). Figure 4 (WARC Case Study 2012: p.4)
exhibits genuine Cuban citizens with a clear reference to the location in the
strapline In Havana. The display of Cuban cultural values throughout this
advert, is a rare creative strategy used for an international campaign; society
shapes consumers basic values, which affect their behaviour and determine how
they respond to various situations (Belch and Belch 2012: p.640). The
application of selling a product in a different country displaying native values
and norms as a form of selling is usually unresponsive, as each country has
certain cultural traditions, customs and values, which may be un-transferable
between countries and cultures (Belch and Belch 2012: p.136).

Target Audience

The Havana Club target market in the wake of its new campaign did not specify a
gender target; the spirit rum is a unisex product internationally, therefore not
using any specific gender selling technique (WARC Case Study 2012: p.2). Both
gender and sexualisation of the gender hold good selling techniques that cannot
be directly applied to the selling of Havana Club, as it is a unisex advert it must
display appeal of both genders. Women are usually presented as traditional
housewives or contemporary independent women when selling a product
directly to a woman, and men are usually presented as independent and strong
with a strong use of rational appeal when selling directly to a man (Zimmerman
2008: p.72). However, the use of women in an advert selling a male gender
product sexualises a womens body and attitude, and a man in a female gender
product advert displays a good father and/or husband figure in the form of a
metrosexual man (Zimmerman 2008: p.77). Marketing (2012: p.14) reports
there are great alcohol brands that manage to disproportionately appeal to
women without defining their rai son d'tre [reason for being] by gender.
Havana Club: Nothing Compares to Havana, displays a balanced appeal to both
men and women, the advert displays both genders, neither in a provocative
manner. The lady in the background has a low cut top and the man physic
establishes him to be a strong man, the interaction between the male and female
is positive, these appeals cover the range of techniques of communicating with
both genders.

Print Advertising
Print Media is a successful tool of advertising, used in magazine, newspapers,
collateral and out-of-home, figure 4 (WARC Case Study 2012: p.4) displays
Havana Club Print advert used in consumer magazines. Belch and Belch (2012:
p.405) suggest magazines have a number of characteristics that make them
attractive as an advertising medium. Strengths of magazines include their
selectivity, excellence reproduction quality, creative flexibility, permanence,
prestige, readers high receptivity and involvement and services they offer to
advertisements. Bronner and Neijens (2006) completed a study whereby
participants were surveyed to state their experience of different mediums. As
seen in figure 5 (Bronner and Neijens 2006: p.93), print media, newspapers, free
local papers and magazines present the least negative emotion/irritation
experience of participants and magazine medium presenting the most successful
medium in transformational experiences amongst participants.

Message

The ability to effectively persuade an audience through the use of print adverting
is dependant on the message; the structure of the advert and message appeal
technique (Belch and Belch 2012: p.195). Havana Club: Nothing Compares to
Havana as exhibited in figure 4 (WARC Case Study 2012: p.2) demonstrates the
most effective display of structure, research on learning and memory generally
indicates that items presented first and last are remembered better than those
presented in the middle. Havana Club present the product at the bottom of the
advert alongside the strapline and the brands website. The visual content of the
advert is displayed from the top to the middle of the advert; subtly using
persuasive advertising techniques, yellow clothing worn in the advert reflects
the brands trademark colours alongside the pigmentation of the colour red in
the advert.

The strapline reads, In Havana, when you cant find a party, you throw one, a
close-ended conclusion is the technique used; although Belch and Belch (2012:
p.197) suggest, more highly educated people prefer to draw their own
conclusions, they also state even a highly educated audience may need
assistance if its knowledge level in a particular area is low, it could be assumed
that M&C Saatchis market research presented a lack of knowledge of the Cuban
culture, therefore using this technique as an effective tool.

Furthermore, a one-sided message technique is utilised by Havana Club, due to
the campaign objectives of defending the brands position against rivals Bacardi,
a two-sided message may discourage the brand further; Belch and Belch (2012:
p.197) report one-sided messages are the most effective when the target
audience already holds a favourable opinion about the topic, M&C Saatchis
market research may also of concluded a favourable opinion on alcohol
beverages.

Havana Club: Nothing compares to Havana campaigns advert utilises an
emotional appeal message through transformational techniques. Puto and Wells
(1984: p.638-643) define transformational advertising as one which associates
the experience of using (consuming) the advertised brand with a unique set of
psychological characteristics which would not typically be associated with the
brand experience to the same degree without exposure to the advertisement.
Havana Club is establishing a cultural belief that will be activated when
consumers use it, transforming their interpretation of the usage experience
(Belch and Belch 2012: p.294).

Effective Campaign

The Nothing Compares to Havana campaign set out to defend the brands
position. One objective to reach 3.9 million cases sold globally in the 2011-2012
fiscal year set to meet its objective, reaching 3.85 million cases globally sold in
2011 alone (WARC Case Study 2012: p.6). Both business and marketing
objectives set out to overtake rivals Bacardi, as number one rum hot brand, in
the Drinks International Magazine 2012, yearly report, Havana Club was ranked
number one Hot Rum Brand for the first time, and even better became the

number one brand in the Bartenders Top 10 for all spirits brands (WARC Case
Study 2012: p.5).

The success of the campaign was noted and awarded with the Grand Prix the
gold standard in marketing communication effectiveness at the Euro Effie
Awards 2012 (M&C Saatchi 2012). The success of the campaign could increase
competition for number one Hot Rum Brand; Bacardi may encourage their own
heritage or loose their vague association with the Latin heritage, dependant on
market research in strategies at the given time. To encourage further success,
Havana Club could promote social media networks on print media adverts as a
call to action, subtly sharing their brand message and weaving product
promotion (Kincy 2011: p.40).



Havana Club were suffering from being the second best Rum globally, in 2012
the brand teamed up with M&C Saatchi agency with the clear objective to defend
brand position and become number one. The campaign, Nothing Compares to
Havana, consisted of radio, television, billboard, consumer magazine and
newspaper advertising as well as PR and marketing promotions. The success of
the campaign was evident and the objectives were met when Drinks
International published Hot Rum Brands 2012, with Havana Rum ranking first
place for the first time, with rivals Bacardi falling short to second place (WARC
Case Study 2012: p.6).

Reference List

Belch, G and Belch, M. (2012) Advertising and Promotion: An Integrated
Marketing Communications Perspective. 9th Edition. New York, USA, McGraw-Hill
Irwin.

Bold, B (6th July 2011) M&C Saatchi produces movie to promote Havana Club.
Campaign. [Online] Available from:
http://www.campaignlive.co.uk/news/1078833/ [Accessed 2nd January 2012].

Bronner, F and Neijens, P (2006) Audience experiences of media context and
embedded advertising. International Journal of Market Research. [Online] 48 (1)
81-100. Available from: Business Source Premier [Accessed 2nd January 2013].

Campaign (26th September 2003) Govt plots anti-binge drinking advertising
push. Campaign. [Online] Available from: Business Source Premier [Accessed 2nd
January 2013].

Dorsett, J and Dickerson, S. (2004) Advertising and alcohol consumption in the
UK. International Journal of Advertising. [Online] 23 (2), 149-170. Available from:
Business Source Premier [Accessed 2nd January 2013].

Kincy, J (2011) Advertising and Social Media. ABA Bank Marketing. [Online] 43
(7) 40. Available from: Business Source Premier [Accessed 2nd January 2012].

M&C Saatchi (no date) About us. [Online] Available from:
http://www.mcsaatchi.com/london/news/new-thinking/the-year-ahead-for-
mobile/ [Accessed 2nd January 2013].

M&C Saatchi (2012) Effie Grand Prix Win. [Online] Available from:
http://www.mcsaatchi.com/london/news/new-awards/effie-grand-prix-win/
[Accessed 2nd January 2013].

M&C Saatchi Story (no date) Celebrating 40 Years of Saatchi. [Online] Available
from: http://www.mcsaatchi-la.com/#past [Accessed 2nd January 2013].

Marketing (3rd October 2012) A beer for no man. Marketing. [Online] p.14.
Available from: Business Source Premier. [Accessed 2nd January 2013].

Mortimer, K. (2002) Integrating advertising theories with conceptual models of
services advertising. Journal of Services Marketing. [Online] 16 (5), 460-468.
Available from: Emerald [Accessed 2nd January 2013].

Paddok, S (2012) Advertising in the real world. Marketlink integrated
marketing. [Lecture to BUSM2061]. 22nd November.


Puto, C, P. and Wells, W, D. (1984) Informational and Transformational
Adverting: the Differential Effects of Time. Advance in Consumer Research.
[Online] 11, 638-643. Available from: http://www.acrwebsite.org/search/view-
conference-proceedings.aspx?Id=6323 [Accessed 2nd January 2012].

Sainsbury, B. (2006) Cuba. 4th edition. Los Angeles, Lonely Planet Publications.

WARC Case Study (2012) Havana Club: Nothing Compares to Havana. [Online]
Available from: WARC (World Advertising Research Centre) [Accessed 22nd
December 2012].

Zimmerman, A. (2008) The Sexual Objectification of Women in Advertising: A
Contemporary Cultural Perspective. Journal of Advertising Research. [Online] 48
(1) 71- 79. Available from: Business Source Premier [Accessed 2nd January
2013].