Editor’s note: This article was first published in August 2010, about that summer’s Chispazo campaign in Spain. Coca-Cola “in fifth place” among the most valuable brands is a 2010 figure that depends on the ranking used; Interbrand put it first at the time.
Martini, the vermouth marketed as an aperitif, and Coca-Cola, the best-selling soft drink in the world, have formed an advertising alliance that has been widely talked about. We will never know the reason, or how they will split the costs and profits of this new strategy of bringing “a new drink” to market: the Chispazo.
Going by logic, Martini‘s sales dropped years ago, since it is an aperitif consumers rarely ask for, while Coca-Cola, still locked in its war with Pepsi, remains in fifth place among the most valuable brands in the world.
They may have decided to follow the same strategy that, some time ago, gave rise to the rebujito, a drink made with 7 Up and manzanilla (a dry sherry-style wine). The rebujito was a huge success in Andalusia for many years.
What is clear is that the Coca-Cola and Martini Chispazo will lift Martini’s sales by a bigger percentage than Coca-Cola’s. It is one more example of a large company that leads its market supporting a smaller one that is not going through its best moment.
The advertising campaign is probably being paid for in equal shares, and it is quite likely that, with the figures in hand, Martini will hand over a percentage of the extra profits from this “advertising merger”. All of it, of course, backed by proper accounting records.
It is all speculation, since so far nobody has interviewed the marketing managers of these two companies, let alone their executives or owners. But in big business, nobody puts their marketing department to work without getting an extra return.
Nor can we rule out that the person in charge at Coca-Cola knew the person in charge at Martini, that they became friends, and that Coca-Cola is running this campaign to support Martini without seeking any extra profit.
In short, I have tried the Chispazo, and I can say it tastes pretty good. Drink responsibly.
Further reading
Featured image: Zarateman, CC0 1.0, via Wikimedia Commons.
