In today’s competitive environment, Brand Ambassadors have become critical to building premium beverage brands for both large and small companies alike. Brand Ambassadors add value for the suppliers, the distributors and the on and off-premise operators. This session will provide a detailed overview of the importance and role of an effective Brand Ambassador program.
U.S. Drinks Conference 2011
Session Overview
The Need For Brand Ambassadors
The Role Of Brand Ambassadors
Effective Brand Ambassador Programs
Brand Ambassador Program Case Studies
Summary
Questions And Answer Session
Contents
U.S. Drinks Conference 2011
The Need For Brand Ambassadors
All beverage alcohol products are required to flow from suppliers to distributors to retailers to and then to consumers.
The U.S. Three-Tiered Distribution System
U.S. Drinks Conference 2011
Consolidation has resulted in the top 10 suppliers and distributors controlling over 60% of beverage industry volume.
Suppliers need distributors to get their brands to on and off-premise retailers and ultimately to their target consumers.
Historically, suppliers focus their sales resources building their brands in the most important on and off-premise retailers.
However, today’s distributors have grown so large that suppliers now focus their sales resources on managing distributors.
Suppliers have turned to specialized Brand Ambassadors to for retail account management and consumer activation.
Today’s Market Realities
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Yesterday’s Distributor World Today’s Distributor Reality 5-8 distributors in all states
Local active ownership
Very few multi-state distributors
Distributors fight for brands, including small / new brands Distributors make promises to suppliers on volume and distribution
Suppliers monitor distributor results with threat of moving to another distributor
Distributor Changes And Implications
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Only 2 major distributors per state
No local distributor ownership
Large distributors control > 30 states
Suppliers struggle just to get presentation opportunities
Distributors focused on big suppliers leaving no time to for small brands
Suppliers must show how they will help sell and promote their brands with very limited assistance
Distributor Criteria For Brands Quality Of Liquid Unique, Attractive Package
Product Point Of Difference
Distributor Salesperson incentives
Merchandising – POS Support
Consumer Sampling (Product & People)
Dedicated Local Manpower
U.S. Drinks Conference 2011
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Brand Ambassador Account Management Directly managing the most influential on and off-premise accounts in
key markets allows brands to control their own Brand Building Destiny
“Influence The Few To Impact The Many”
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The Role Of Brand Ambassadors
Why Suppliers Have Brand Ambassadors Help identify and target key accounts at the grass roots level.
Provide a local, expert source of brand information.
Take the time required to hand-sell the brands at the account level.
Program brands on the feature drink menus.
Conduct staff trainings in key accounts to drive recommendations.
Sample the consumers to build brand awareness and trial.
To influence and inspire the local distributor sales reps.
To manage special, local community events.
To provide real time feedback on what does / doesn’t work. U.S. Drinks Conference 2011
Brand Ambassador Profile Permanent extensions of thebrand placed strategically in keymarkets to focus on brand buildingand volume driving activities thatenhance the efforts of field salesand the distributor teams.
Brand Ambassador Profile Prior industry experience Strong local market knowledge Existing account relationships Professional and passionate Articulate, outgoing and engaging 25-33 Years Old Cool and sophisticated U.S. Drinks Conference 2011
Next Level Ambassador Profiles
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Each Brand Ambassador is specifically recruited to reflect the personality and image of their assigned brand and market.
STEP 1
The most effective Brand Ambassadors focus on far more than promotions through a six-step brand building
process.
Secure product distribution on the most influential accounts.
Make sure the brand is featured on the account through POS placement, drink menus, features ads and displays.
Convert the account staffs into consumer brand advocates.
Bring the brand to life by sampling consumers and creating memorable brand experiences.
The Brand Ambassador Role
STEP 5STEP 4STEP 3STEP 2 STEP 6
BRAND VISABILITY
TRAINING & EDUCATION
PRODUCTDISTRIBUTION
ACCOUNTRELATIONSHIPS PROMOTIONS
TRACK & MEASURE
Directly manage an assigned list of 100 key on and off-premise accounts.
Tracking and measuring results vs. assigned goals on a systematic basis.
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Build brand relationships with key decision makers from an assigned list of on and off-premise key accounts.
1. Account Relationships
Off-PremiseOn-Premise U.S. Drinks Conference 2011
Secure brand distribution and shelf visibility in the assigned list of on and off-premise key accounts.
2. Product Distribution
Off-PremiseOn-Premise U.S. Drinks Conference 2011
Drive consumer pull-through with Drink menu feature in the on-premise and feature ads and displays in the off-premise accounts.
3. Product Features & Displays
Off-PremiseOn-Premise U.S. Drinks Conference 2011
4. Staff Training & Education
Off-PremiseOn-Premise
Training and educating the key account staffs drives word of mouth recommendation and brand endorsement.
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Consumer sampling to drive product awareness and trial while securing increased account support.
5. Consumer Promotion & Events
Off-PremiseOn-Premise U.S. Drinks Conference 2011
6. Tracking & Measurement
All Market Manager activities are conducted against measureable goals that are tracked and measured weekly.
Weekly Quantitative KPI Tracker Monthly Qualitative Report
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Effective Brand Ambassador
Programs
Effective Brand Ambassador Programs
Step 1: Brand Ambassador Support PlanStep 2: Set Program BudgetStep 3: Set Brand Ambassador Goals Step 4: Determine Brand Ambassador PlacementStep 5: Define Role & Recruitment Specs Step 6: Brand Ambassador Hiring Process Step 7 Brand Ambassador Training Program Step 8 Set Brand Ambassador Account List Step 9: Quantitative Results Reporting Step 10: Qualitative Results Reporting
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Effective Brand Ambassador Programs require a structured approach to planning, implementation and tracking.
1. Brand Ambassador Program Support Plan
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The industry best practice is to utilize outside agency partners to manage and support Brand Ambassador Programs.
Funds headcount through marketing budgets instead of overhead.
Lower program costs due to benefit, recruitment and overhead savings.
Frees the supplier from back office administrative burden.
More efficient hiring and exiting.
Comprehensive results reporting.
Shield supplier from activity liability and potential legal claims.
Outside Agency Benefits Brand Ambassador Support Needs Team recruitment, screening interviews and job offer negotiation.
Administer team payroll, benefits, insurance, credit cards, equipment.
Develop program policies, processes and ways of working.
Provide on-boarding training, brand training and continuous training.
Set clear budgets and goals.
Monthly results and budget reports.
2. Set Program Budget Brand Ambassador Program budgets must be planned to include all costs including salary, taxes & benefits, T&E, equipment and activity
3. Set Brand Ambassador Goals Brand Ambassadors are assigned weekly, monthly and annual goals
that are tied to their assigned Account Activity budgets.
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4. Determine Brand Ambassador Placement The Brand Ambassador Program markets are determined by each
client to place dedicated manpower in the focus markets.
MIAMI
DALLAS
CHICAGO
NEW YORK
BOSTON
LOS ANGELES
SAN FRANCISCO
HOUSTON
ATLANTA
LAS VEGAS
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5. Define Role And Recruitment Specs
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The role of each Brand Ambassador must be defined in terms of expected time allocation in order to develop a comprehensive job
description with the desired recruitment specs.
Job Description Role Definition
6. Brand Ambassador Hiring Process
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The hiring process starts with candidate screening, phone interviews, final interviews with the suppliers, background and reference checks,
and ends with the negotiation of the job offer acceptances.
Interview Schedule Job Offer
7. Brand Ambassador Training Program Brand Ambassadors must receive comprehensive job training and brand immersion training as part of their on-barding process and
then be provided with continuous training and development.
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8. Set Brand Ambassador Account List
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Brand Ambassadors work to defined list of 75-100 key accounts thatare assigned to them by their client sales team leader.
9. Quantitative Results Reporting Brand Ambassador results are tracked weekly with 24/7 client access
to measure results vs. goals and to measure volume impact.
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10. Qualitative Results Reporting Brand Ambassador results are tracked monthly on a qualitative basis
to provide key lessons learned and share best practice feedback.
Brand Ambassador Program Case Studies
The Situation: When The Patron Spirits Company acquired Ultimat VodkaVodka it had little on-premise development or brand call.
The Challenge:Building long-term, on-premise brand call would requiretime consuming hand-selling and distract the Patron salesteam from selling Patron Tequila.
The Solution:Developed a permanent team of 11 dedicated Ultimat Ambassadors to drive on-premise brand building:• 15,000+ account calls per year• 1,200+ new distribution placements per year• 1,000+ drink menu features per year• 100,000+ consumers sampled• Driving 60-80% of brand volume in their markets.
Ultimat Vodka Ambassador Case Study
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Ultimat Ambassador Case Study
The Situation: Mount Gay had a strong consumer following in the seasonalsailing community with little development beyond this base.
The Challenge:Strengthen consumer and trade endorsement in basemarkets while expanding reach to new accounts and markets.
The Solution:Developed a permanent team of 5 dedicated MountGay Ambassadors to drive year-round brand building:• 10,000+ account calls per year• 600+ new distribution placements per year• 1,000+ drink menu features per year• 6,000+ bar staff trained• 60,000+ consumers sampled
Mount Gay Ambassador Case Study
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Mount Gay Ambassador Case Study
The Situation: Skyy Spirits portfolio of ultra-premium, agency brandsrequired on-premise hand-selling in a lean sales structure.
The Challenge:Skyy had limited experience with the Brand Ambassadors but was facing pressure from their suppliers to deploySeparate Brand Ambassador teams.
The Solution:Created a permanent team of 7 Luxury Brand AmbassadorsTo focus on brand building for the Skyy luxury portfolio. • 6,500 account calls per year• 1,925 new distribution placements per year• 1,175 drink menu features per year• 10,000 bar staff trained• 150,000+ consumers sampled
Skyy Luxury Brand Specialist Team
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Skyy Luxury Brand Specialist Team
Midori Brand Ambassador TeamThe Situation: Midori is a relatively small agency brands competing forsales time against Skyy’s larger company owned brands.
The Challenge:To create on-premise buzz and excitement, strengthenbartender support and increase consumer call for Midori.
The Solution:A team of 7 dedicated Midori Brand Champions focused on increasing brand visibility:• Developed Midori branded cars for team• 9,000+ account calls per year• 1,000+ new distribution placements per year• 600+ drink menu features per year• 200,000+ consumers sampled
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Midori Brand Ambassador Team
Remy Louis XIII Brand Ambassador TeamThe Situation: Rémy Louis XIII Cognac is the epitome of luxury with a retailprice of $1,500 and up to $200 per glass on-premise.
The Challenge:Selling Louis LXIII requires a great deal of sophistication thatcan only come from a dedicated Ambassador.
The Solution:Created a three person team of experienced, passionate,highly trained Louis LXIII experts to manage the mostPrestigious accounts throughout the country: • 3,000+ account calls per year• 5,000+ waitstaff trained per year• 15,000+ LXIII Consumer Experiences created
U.S. Drinks Conference 2011
Remy Louis XIII Brand Ambassador Team
Summary
Summary Today’s distributors can place products at retail but they can’t make them sell or succeed without supplier support.
Suppliers must control their own destiny with local manpower focused on key account management and consumer engagement.
Brand Ambassadors are the most effective and long-term way to build brands in the most important accounts and with the influencer consumers to impact the entire market.
Brand Ambassadors Programs must follow a disciplined approach with clearly defined goals, budgets and results reporting.
The most successful Brand Ambassador Programs are fully integrated into both the supplier sales teams and the distributor sales teams. U.S. Drinks Conference 2011
U.S. Drinks Conference 2011
Thank You!
Question And Answer Session