A. How do marketers use consumption habits for global products such as Scotch whisky for branding? 

 B. What strategies should Diago, and other Western spirits brands pursue in China to develop a Marketing mix? 

 Scotch Whiskey sales in China 

 China is becoming a key market for premium whiskey sellers. Wealthy consumers do not hesitate to pay premium prices for top global brands such as Chivas Regal and Johnnie Walker. The  taste for high-end whiskey is taking off thanks to the fast growth of its young high net worth individuals (HNWI) population, a group of people with $30 million or more in liquid financial assets who are below the age of 30. Whiskey sales in China leapt up in 2017 by 19.5 percent. The average purchase price of scotch whiskey is now $83 per bottle in China. About 30 percent of buyers are willing to spend more than $159 on a purchase. To prosper in China, whiskey sellers have to educate consumers about the uniqueness of their product, rather than try to compete on price. If anything, higher prices speak to the prestige of the product and the material success of the consumer. Marketers focus less on a hard sell than on public education, appreciation, and connoisseurship.

Establishing a foothold through the younger, upper-middle class, and building boutique brands in China are the most viable strategies for foreign sellers. Devoted whiskey bars are another way that the drink is being sold and promoted in China. In 2017 alone, more than 300 new whiskey bars opened their doors in China. Beyond selling drinks, such bars typically provide opportunities for customers to learn about aroma, flavor, ingredients and blends, often through sit-down tastings. Diageo has opened its own whiskey boutiques in major booming cities.

The younger Chinese consumer is more active on digital and e-commerce platforms than their counterparts in other countries. Consequently, Suntory is now partnering with Alibaba to sell on Tmall, the leading online retail portal. Other leading sellers, including Diageo and Pernod Ricard have also joined Tmall.

The main target for Whisky labels is the large, tier 1, cosmopolitan centers on the east coast of China. The populations are huge, Shanghai boasts 25 million, Beijing 18 million and Guangzhou 15 million. When it comes to Whisky you are targeting the top 15% of the wealth in China as premium prices are now expected and even preferred.

Promotional Strategy
Visibility and reputation on Baidu.
First, you need to be seen, Baidu is the largest search engine in China presiding over 70% of the market. The Chinese value 'status drinking' highly and will research online before deciding purchases

Social Media
Social media is mainly used for branding purposes and is vital. WeChat, the largest platform boasts 750 million registered accounts. Creating an official account, sharing quality content and having a 'mini site' hosted within WeChat is necessary. The platform is often referred to as the 'WeChat Times' with many Chinese get their information from articles, content and official pages.