MOLDOVA

A wine drop in the bucket of country

images

Student: Nejra Hodi

Instructor: Maja Savi Bojani
Course: Public Diplomacy
Sarajevo School of Science and
Technology
June, 2015

Content
Background: Investment & Tourism Promotion............................2
Branding Moldovan Wine..........................................................5
Is there a potential for improvement?..........................................9

Inflation of Visibility...............................................................................9

Diplomatic Wine-Promotion Campaign...................................................10

Conclusion............................................................................ 12
Bibliography.......................................................................... 13

 Background: Investment & Tourism Promotion

Nation branding has not been an important segment of Moldovas foreign policy
for a long time, due to internal instability and inability of the political forces to agree
on future path of the country. The split revolved around pro-Russian and pro-EU
forces. Eventually, the European Union prevailed and throughout the last couple of
years, the priorities of Moldovan foreign policy and consequently public diplomacy
were to attract the attention of the European Union and move along the road of the
EU integration as a prospective candidate. According to Freedom House rankings,
Moldova has shown the greatest improvement among the European countries in
transition (Freedom House, 2015).1 Moldova has also experienced swift economic
growth in recent years. According to Munteanu, its trade has increased by 40 percent,
and in 2010, 55 percent of Moldovan exports went to the EU market (Carneige
Endownment for International Peace, 2011).

Starting from 2006, Moldovan

International Export Organization launched a brand with Quality Driven (quality

being independence, location, size, open-minded society) essence (World Intellectual
Property Organization, 2012). The visual solution is a cube used with the country
name Moldova that symbolizes: Energy, Ownership, Preciousness, Independence,
Nature, Warmth, and Dynamics (Figure 1). According to WIEPO, the cube represents
crucial features, benefits and brand essence of Moldova.

Figure 1. Moldovas brand 2006 (WIPO, 2012);

1 Index of freedom in Moldova is currently 3 and moving towards 2, as compared to B&H (4),
Macedonia (4) and Albania (3,5).

Although this strategy focused on several nation branding aspects including

tourism, culture, people, investments and export, its success was very limited.
Moldova was still one of the remote post-communist states after this campaign in
2006. The most recent efforts are launching of a new tourism brand centred on the
symbol Tree of Life and slogan Discover the routes of life (Figure 2). The director
of tourism agency of the Moldovan Republic explained that the new brand will allow
Moldova to compete as an authentic tourist destination, offering cultural experience
unpublished in the heart of Europe, representing an example of conservation of
cultural values and promoting them through modern marketing techniques. Its
implementation will increase the flow of foreign tourists, but domestic tourism as
well. Also, Programme will contribute to improve the country's image to attract
foreign investments, as well as increasing national dignity, inviting and citizens
everywhere to promote their country (Platon, 2014). Therefore, the nation branding
strategies of the country remain focused upon the same segments - primarily tourism,
export and investment.

Figure 2. Moldovas brand 2014 (Travel Maniacs, 2014);

The export area of nation branding is probably the future of the Moldovan public
diplomacy efforts. It is important not only for economic growth, but also for the
international image of the country given the clich nature of the general strategies put
forward so far. Attempting to make Moldova unique using the same tools and

mechanisms most of the countries do is not working in its advantage, particularly

when contrasted to powerful nation brands that have been the creators of such
approach to branding. The new late 2014 brand is better, culturally associable, but
still lacks the action behind it. Exports, on the other hand, are the area that has both
political and economic means available for upgrading the countrys image. Moldovan
International Export Promotion Organization has been the major actor in working
towards this change. It was formed in 1999 by the Ministry of Economy of the
Republic of Moldova with responsibility for investment attraction and export
promotion (MIEPO, 2015). In addition, MIEPO works in two directions advising
and accompanying Moldovan exporters at international markets as well as acting as
contact partners for companies which come to the Moldovan market by searching for
attractive and reliable opportunities/locations/business partners in the country
(ibid). MIEPO has created an easily accessible online resource page called Invest in
Moldova that publishes first-hand information about the country and its economic
climate in the Investment Guide. However, it also extends to social networks
advocating their products, food and traditional commodities. For example, in
February MIEPO participated in agri-food exhibition of the Gulf promoting local
products (MIEPO, 2015). Still, there is one very promising product Moldova has
branded in 2013 that carries a lot of potential for becoming the prevailing association
for the country in the eyes of the foreigners. It is, of course, the wine.

 Branding Moldovan Wine

The wines of Moldova are crafted in this country for 5 000 years and today, out of
3.5 million people 300 000 are contributing to the wine producing (Moldova Wine
Guild, 2014). Most of the grapes are hand harvested and the winemakers attempt to
craft the wines of an indigenous flavour, despite the fact that many classical grape
varieties are planted as well (ibid). This indigenous aroma is something unique a
concept sought for any type of brand. In 2013, therefore, Ministry of Agriculture and
Food officially launched the national brand "Wine of Moldova" in the event attended
by winemakers, ambassadors and politicians (Teleradio-Moldova, 2013). Soon, a very
clever visualization2 was presented (Figure 3) and a web platform under the same
name established. This platform is extremely modern and user-friendly, but also
designed to

Figure 3. Wine of Moldova Brand (WOM, 2015);

2 We had many opinions about how the logo should look and insisted to keep
storks legend promoted for 60 years. A legend was preserved and it was given a
touch of dynamism." - Minister of Agriculture (ibid)

offer a deep insight into any question one might ask about Moldovan wine. Here, the
statistical data on wine exports, wine producers included under the umbrella of the
brand, historical overview of the wine production, cultural elements with wine
motives as well as upcoming events are accessible. The new brand is awarded only to
quality wines recognized as such by National Office of Vine and Wine (ibid). Their
program to market local wines encompasses complex strategic initiatives, the legal
framework of quality control, a unique promotion and visual identity. The ultimate
goal is for the exports of Moldovan wine to grow annually to 200 million litters until
2020 (ibid). According to WOM, the major importers of Moldovan wine at the
moment are Russia, USA, Chech Republic and Kazahstan. If this export-motivated
strategy succeeds, new countries in the Europe and overseas might be added to this
list. The sub-brand of the Wine of Moldova strategy is also the grape-shaped
country (WOM, 2015). Although the idea of equating the shape of the country with
the strategic goal is not new on the branding market, it could significantly contribute
to promotion of Moldovan image as a wine country (Figure 5). Catchy descriptions
are also a good way to attract attention of the travellers and audiences researching
about the country getting to know it (Figure 5). Another strong side of this strategy
is the promotion of wine exhibitions in which Wine of Moldova participates.
International promotions are a very powerful tool for attracting investment, but also
creating a certain opinion about the country through its products.

Figure 4. Major importers of Moldovan wine (WOM, 2015);

Figure 5. Grape-shaped country brand with descriptions below (WOM, 2015);

Our wine is produced with

care by talented

The history of Wine of

Moldovas

Moldova starts in 3000 BC,

underground cellars

winemakers from grapes

while the first vines were

that are picked from rich

recorded here 7000 years

vineyards with local

BC. Wine used to be utilized

are legendary by their

big wine collections

as a medium of exchange

which are recognized

varieties adjusted to the

and a trophy awarded after

by the Guinness Book,

local terroir. It expresses

fights, which has made the

mysterious by the

the authenticity and

wine a national product of

distance of the

varieties and international

traditional style of
winemaking for consumers
who are looking for
adventure.

Moldova.

underground routes,
glorious by the names
of the well-known
personalities who
visited them, and
authentic by their
presence in the
household of every
Moldovan.

Nevertheless, the audiences on such events are usually familiar with different
brands of wine already and being simply a niche they will not change the idea of
Moldova as poor country on the offset of Europe into a fertile developing country
with quality wines within the wider public. Similarly, Moldovan wine is rarely going
to be declared as Moldovan by common consumers unless there is an attention
gaining strategy present (Figure 6). In the bottom line, status quo option remains
very promising given the fact that it was launched only 1, 5 years ago.
STRENGHTS
WEAKNESSES
-An excellent web platform that gains
-Not visible to larger audiences;
attention and offers detailed information as -Excludes producers of less quality wine;
well as interesting facts and beautiful
-Relatively costly;
images;
-Very catchy visualisation of a brand that is
easily remembered by the observer;
-Clever association to a grape-shaped
country as a sub-brand to be promoted;
-Inclusion of quality-wines only so that the
products as exports have greater
competitiveness;
-Interesting descriptions of the country
through wine-production information;
-Planned schedule of participating in
international wine exhibitions publicized on
the Wine of Moldova website;
-Easily contacted and very responsive team
behind the brand;
- Long term goals for wine export growth;
OPPORTUNITIES
THREATS
-Preventing the consequences of Russian
-No threats.
embargo on wine imports from Moldova by
focusing on other markets such as EU and
USA;
-Expanding the brand to bigger marketing
campaigns and sponsorship of international
events;
Figure 6. SWOT analysis of the status quo;

 Is there a potential for improvement?

There are two options for further development of existing wine branding strategy.
The first is medium-term increase in visibility of Moldovan origin of the wine, while
the second is more long-term and includes promotion of wine through Moldovan
embassies to wider audiences and not only wine-exhibition visitors. Both strategies
have their advantages and weakness evident from following SWOT analyses, but the
first one is more cost-effective.

Inflation of Visibility
The quality of this option benefits nation branding of the country primarily in two
aspects. First, increased visibility means increased recognition and in this case,
change of perception of the country. Hence, the public diplomacys efforts are
eased and channelled into wine promotion because the grape-shaped country
has potential to become image of Moldova if well-advertised. Second, the visibility
of this product generates larger demand simultaneously contributing to the export
rate and investment climate of the country. The economic benefit is also the
indirect consequence of the existing status quo strategy upon which this option
builds on. Another advantage of increase in visibility is openness for creative
recommendations on how to achieve it. For example, a unique label Wine of
Moldova could be created and incorporated into the design of the present wine
labels, so that the attention of the common consumers is instantly drawn to the
country of origin. Another example of recommendation for implementation of this
option is specialized Wine of Moldova corners in the shops that would demand
agreement between producers and distributers with the promotional materials
provided by the Moldovan Ministry of Agriculture and producers jointly.
However, there is still a danger that the costs might demand certain investment
and that the targeted audiences turn to wine-consumers only (outcome good for
economy, but not as good for the change of country perception by wider
audiences). Ultimately, if visibility is established there is a possibility of including
lower quality Moldovan wines in branding strategy because they would become
more accessible, but demanded at the same time due previous success of quality
wines.

STRENGHTS
-Moldovan wine recognized by the common
consumers;
-Demand for exports increased;
-Image of Moldova reconsidered;
-Not time consuming;
-Open for creative recommendations;
-Medium-term solution that could have
long-term impact;
+All the strengths of status quo option
because it builds up on it;
OPPORTUNITIES
-Including lower quality wine producers in
the brand so that the cheaper Moldovan
wines are accessible after the very visibility
of the wine as Moldovan product has been
established;

WEAKNESSES
-Could be costly depending on the design
and quality of promotion materials;
-Could face the issue of being limited to
wine-consuming audiences only;

THREATS
-No threats.

Figure 7. SWOT analysis of the medium-term option;

Diplomatic Wine-Promotion Campaign

The wine-promotion campaign at the Moldovan embassies is not a new concept.
What is new about it, however, is the targeted audience which in this case would
be all-encompassing. The strength of this option is more image-related. The
promotion of wine through different diplomatic channels upon societies is a very
powerful mechanism because embassies are seen as embodiments of their
respective countries. If the embassy of some country, that people rarely hear of or
do not have a particular perception of, represents itself through Wine of
Moldova, this brand will inevitably be connected with Moldova the next time
people hear about the same country. It is a very positive move in terms of longterm strategy and goals of nation branding. Similarly, people may promote this
among themselves because the image is new and catchy. One of the
recommendations for the implementation could be sponsorship of the smaller
events by Moldovan embassies in their countries of residence, in return for
marketing of Moldovan wine by the event organizers. Another recommendation
would be organizing embassy visits and giving short lectures about the wine
production in Moldova as one of the countrys traditional crafts, but modern
quality, for nongovernmental sector, interested government services and civil

society. On the other hand, this option may be expensive, especially the
sponsorship part, and demands a lot of coordination between several actors
(Figure 8). Furthermore, if it fails, it would be a huge loss economically, but
politically as well since the earned image would drop instantly. In the end, the
possibility of investment attraction remains open with this option because
advertising Moldova as suitable for quality-wine production could bring
development of the other business sectors to the country. Ultimately, the mediumterm option would be safer to implement.
STRENGHTS
-Recognition of Moldovan wine as a country
brand by wider audiences (common
citizens).
-Long-term solution.
-Improves government to people approach
of countrys public diplomacy and fosters
people to people one;

WEAKNESSES
-Sponsorships could be expensive,
particularly if the embassy is smaller and
has budget cuts.
-Demands coordination from Ministry of
Foreign Affairs, producers, Ministry of
Agriculture and marketing sector.

OPPORTUNITIES
-Attract businessmen and businesswomen
to Moldova by promoting Moldovan exports
to other countries (in this case wine); This
would imply stability of the country and
quality products always mean new market
opportunities;

THREATS
-If strategy fails, it would be not only the
costs that are high but the corruption of the
country image;

Figure 8. SWOT analysis of the long-term option;

 Conclusion
The general nation-branding strategies of Moldovan government have not been
very successful in the past decade. The logo designs have more or less been similar to
the rest of the countrys attempts to be different and unique. The focus was and
remains export, investment and tourism. These three areas are the areas Moldova
should continue to strengthen its nation branding strategies in because as a
developing post-communist state searching for an identity, a lot of potential lies in
these areas. The expansion to other field should come only when a marked success
has been achieved with the existing strategies because the alternative would be too
costly. These are not the wrong fields to target, but they call for better methods.
Behind the whole process is naturally Moldovas desire to move along the path to the
European Union and this is surely the path it ought to stick with. The FDI and
economic growth are evident, international public opinion will slowly start to change
in regards to the image of Moldova and ultimately the nation branding approach
could expand to new areas. Until then, this is a promising road.
In terms of specific brands, Wine of Moldova and Grape-shaped Country are
excellently conceived ideas that would set Moldova apart from its neighbourhood at
start and then from the rest of countries in Europe. This uniqueness can then be used
to promote the wine to wider audiences. Although the status quo is encouraging given
the fact that the new brand has been launched relatively recently. Additional
improvements may be implemented upon existing basis in medium or long term.
These options focus upon increasing visibility and promoting wine to larger
audiences via diplomatic channels. Due to its cost-effectiveness, the first alternative
seems more feasible and could be used to generate more creative recommendations
for implementation. The underlying goal of the existing strategy should therefore be
expanded to address the issue of invisibility. Common people need to start
connecting quality Moldovan exports to the country itself. This is probably the future
goal of any nation branding efforts to come and Wine of Moldova surely has the
greatest potential among them.

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