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VODKA HAS ALWAYS given us plenty to look at, with various brands providing abundant style and innovative design. Now it’s more a case of ‘audio-visual presentations’, as hearing a brand’s story has become an integral factor. And fundamental to this is country of origin, adding nuance as well as substance to the narrative.

Poland, for example, is one of the original sources of vodka – if not the actual origin – and the world’s key producer of rye expressions. Poland is also one of the top four vodka markets (after Russia, the US and Ukraine). Consequently, what happens domestically is a big deal.

The Polish Vodka Association was formed in 2006 to promote Polish vodka generically, both domestically and in export markets. President Andrzej Szumowski says: “In the past few years the vodka market in Poland declined gradually due to an increase in excise duties and consumers exploring other categories such as whisky, which is growing very fast.

“However, if there are no surprises in terms of legislation and excise duties, vodka production overall is expected to stabilise shortly on the Polish market at around 98.2m litres (100% of pure alcohol).”

However, as the national spirit, vodka continues its dominant position.

Joanna Gemza, U’Luvka brand manager at MV Poland, points out: “Vodka sales account for just under 60% of total spirit sales in Poland. This is mainly local vodka brands, with some premium and super-premium brands, but very few imported brands.”

Moreover, Gemza sees a significant trend emerging. “Consumers want to differentiate themselves and are prepared to pay more for premium and super-premium brands, which are aspirational but also more unusual and less well-known. This includes vodka but also other categories, such as scotch whisky,” she says. “Poles travel a lot and when they return home they’re looking for brands they tried abroad. Polish distributors are now actively looking for brands from around the world which have potential on the Polish market.”

However, there are practical challenges for brands to negotiate.

Jan-Roman Potocki, founder of Potocki vodka, says: “There’s a lot of movement in the artisanal vodka sector, but it’s difficult to get meaningful distribution, which is still more geared to mainstream brands than boutique products. This is gradually changing though, with a vibrant restaurant and bar scene.”

SPECIALIST RETAILERS

Meanwhile, discovering and purchasing a broader range of brands has become easier for consumers.

“Retail accounts for around 95% of vodka sales and in the past five years many specialist retailers have opened throughout Poland, in larger cities and smaller towns,” says Gemza. “Some retailers even accept orders from customers for brands which aren’t currently available in Poland.”

She highlights the fact that developments in retail are accompanied by an evolving bar culture. “On-trade sales are dominated by restaurants and standard bars, with only about 20% accounted for by specialist cocktail bars. However, these are very important venues for consumers to discover new brands, particularly as these bars have very well trained staff with good product knowledge, which they pass on to customers.”

A prime example in Warsaw is the stylish Dom Wodki (House of Vodka), which opened in 2015. Comprising the Elixir restaurant, Vodka Atelier (a bar/tasting area) and a cocktail bar, this multi-venue offers a choice of hundreds of brands served by knowledgeable staff.

As the on-trade evolves it is also, of course, becoming more competitive. As Gemza says: “Bar owners want to differentiate their bars in order to attract and retain customers, and one of the first things they now ask brands is whether they can provide staff training and access to a brand ambassador.”

While opportunities to brand-build in specialist retail stores and bars are growing, marketing opportunities are limited, with TV and billboard advertising, for example, prohibited.

“You can’t sponsor events but you can be an event partner, for film premiers for example, where you can run a bar serving vodka neat, on the rocks or in cocktails, and during events you can get direct feedback on your brand from consumers,” explains Gemza. “This is a very effective way of reaching your target audience, and a lot of event companies are now actively looking for brands to be event partners.”

Meanwhile, the Polish Vodka Association is actively promoting something very important – knowledge.

“We’ve organised a Polish vodka tour this year visiting larger cities across Poland, including Krakow, Wroclaw, Gdansk, Lublin and Warsaw, providing seminars for bartenders and retailers, as well as consumer tastings,” says Szumowski. He adds: “The first vodka festival was held in Warsaw this May, and next spring a Polish Vodka Museum is opening in Warsaw. This will be a very strong tool to distinguish Polish vodka from other countries.”

CURRENT FOCUS

The association also plays a key role abroad, “working with the Polish government, advising and lobbying on the role of Polish vodka in export markets”, adds Szumowski.

A current focus is promoting Polish vodka with a Geographical Indication. Polish regulations ratified in 2013 state that Polish vodka with a GI can only be distilled from traditional ingredients, such as rye, wheat, barley or potatoes cultivated in Poland, with the production process conducted in Poland.

So, what impact is the GI having in export markets? “We’ve had very positive reactions, though we’re still in the initial stages,” says Szumowski. “We’re attending seminars and events on GI, and cooperate with Polish state agencies, supporting events organised across the world by the Agricultural Development Agency, Polish Tourist Agency, the Polish Foreign Ministry and the Polish Cultural Institute. The EU is also actively promoting EU spirits with a GI around the world.”

GI is all about provenance, which ties into a significant change of perspective, according to Belvedere vodka president Charles Gibb. “Country of origin had been irrelevant but has recently become fundamental to the question of what is your point of difference as a brand,” he says.

“There’s now real interest in the raw ingredient and where it is from. At Belvedere we know the seven farmers cultivating our rye, and the more premium your brand the more you have to tell the story of the farmer, the region, the process and the country of origin. Bartenders are interrogating brands more than ever.”

Another vital factor is consumer perception of Poland, which Jan-Roman Potocki says has improved. “Poland is better known in markets such as the UK, where Polish products and cuisine have become more mainstream. Similarly, the French know the Poles drink vodka so there’s no need to explain anything,” he says. “In the US Polish vodka is better known than it was 10 years ago, but vodka is still primarily associated with Russia rather than Poland.”

Country of origin plays a key role in bars, where compiling a vodka menu entails an essential dilemma – there are numerous brands to choose from, but limited space.

On this subject, Julian de Feral, drinks director at Gorgeous Group, says: “When I’m developing menus for venues around the world, I put together a vodka list with a spread of brands spanning different ingredients and countries of origin, including Poland, to present a snapshot of the category.”

Cocktail bars are a ‘natural habitat’ for vodka, which has benefited more from cocktail culture than any other spirit. But for every trend there’s always a counter-trend. “The more people go up the vodka pyramid the more you see vodka on the rocks, particularly in top-end venues,” says Charles Gibb. “In the US, for example, vodka on the rocks now accounts for around 20%-30% of total consumption, whereas it used to be a tiny amount. And on-the-rocks enables consumers to really taste the vodka.”

On the rocks is also an emerging trend in the UK, France and Germany, which highlights a significant development. “More consumers value the flavour of vodka, and can differentiate between brands while recognising each ingredient gives a different flavour profile,” says U’Luvka global brand manager, Robert Zajaczkowski. “This stems from bartenders differentiating between the flavour of brands and making recommendations to customers. And this in turn reflects the tastings and masterclasses provided by brands.”

It looks as though ‘taste’ is finally joining the audio and visual parts of vodka’s sensory story.