PRICE

Price

Twenty One Vodka

"The company’s marketing strategy outlines which customers the company will serve and how it will create value for these customers. Next, the marketer develops an integrated marketing program that will actually deliver the intended value to target customers. The marketing program builds customer relationships by transforming the marketing strategy into action. It consists of the firm’s marketing mix, the set of marketing tools the firm uses to implement its marketing strategy." (Page 12, Armstrong & Kotler, Marketing: An Introduction)

Setting a price for Twenty One Vodka might be a little bit difficult due to the fact there are already a ton of vodka brands out and about in the market already. But after a bit of searching I have come to the conclusion that very low end vodkas (bottle shelf, plastic bottles) go for $8-15 each. The most common types of vodkas go for about $20 each. Higher end vodkas (that also mean larger bottles) go for about $40-60. The highest end bottles are over $100 and are supposedly made through better processes. So where does Twenty One Vodka stand in this pricing situation?

Considering that it is going to be marketed towards the younger "21 age group" making a ridiculously high priced vodka doesn't seem to make sense. We want the crowd of college kids and new drinkers. This means that most of our consumers aren't going to be making a ton of money at that age. In this way it forces us to enter into an over saturated market of the "middle-affordable" vodkas. 

This only poses a problem because we are new, but as previously covered we plan on doing intensive promoting so it should help in sales.