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Dörnyei, K.R. (2020), "Limited edition packaging: objectives, implementations and related marketing mix decisions
of a scarcity product tactic", Journal of Consumer Marketing 37(6):617-627. https://doi.org/10.1108/JCM-03-2019-
3105
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Limited edition packaging: objectives, implementations and
related marketing mix decisions of a scarcity product tactic
Krisztina Rita Dörnyei
Department of Marketing and Tourism, International Business School, Budapest, Hungary
Abstract
Purpose – Marketing practitioners consider packaging as a promising
marketing tool, but current academic research covers mostly regular packages.
Filling this gap, this paper aims to analyze why and how companies use limited
edition packaging (LEP), which is defined as a scarcity product tactic, using
the package exclusively to create a limited offer.
Design/methodology/approach – This study adopted a grounded theory
methodology and used a qualitative collective case study design by analyzing
175 LEP launches in the beverage sector between 2000 and 2019.
Findings – The empirical-based conceptualization of LEP tactics provided
here describes the crucial marketing dimensions in which strategic decisions
are made regarding objective of release, implementation and related marketing
mix decisions. Results show that LEP tactics serve parallel brands, sales and
product strategy-related goals; LEPs are characterized by intensity, theme
(occasion) and design characteristics, such as typicality, and marketers use
various marketing mix combinations (i.e., pricing, distribution and advertising)
in relation to the LEP offer.
Originality/value – To the best of author’s knowledge, it is the first
conceptualization of this special type of scarcity tactic. This study also assists
academics by providing an agenda for future research in this domain.
Keywords
Package, Limited edition, Limited edition packaging, Scarcity, Collective case
study, FMCG
Paper type
Research paper
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1. Introduction
Scarcity appeals maintain a long tradition in high-involvement categories (e.g., fashion
goods) and have been investigated in the fast-moving consumer goods (FMCG) context
(Esch & Winter, 2010). A limited offer in the FMCG sector usually characterizes a
special form of line extension or denotes an unusual product variant featuring atypical
product attributes, such as ‘Christmas-flavored’ tea. The unusual characteristic is
indicated on the package, i.e., the package modification is the consequence of the
limited offer. However, a new type of limited edition (LE) product recently appeared in
the FMCG sector, where the basis of the scarcity strategy was not an unusual product
attribute but an unusual package, while the product remained the same (Gallopel-
Morvan et al., 2012). Limited edition packaging (LEP) is defined as a scarcity product
tactic using exclusively the package to create a limited offer (with labels such as
‘limited edition’ and ‘special edition’ to support a clear distinction). For example,
Coca-Cola entered the holiday spirit in 2015 with packaging labels that, when peeled,
tied into a festive bow.
In today’s crowded market-place, opportunities for a temporary package are growing
relative to more traditional marketing communication vehicles at the point-of-sale
(Krishna, Cian, & Aydınoğlu, 2017). Despite the wide use of LE tactics in practice,
there is very limited scientific discussion about LEs and even less about LEPs
(Gallopel-Morvan et al., 2012); therefore, this study aims to shape the initial
understanding of this special form of scarcity tactic. Moreover, previous studies have
focused merely on permanent packaging, and less attention has been paid to temporary
packaging, such as LEPs; therefore, a better understanding of temporary packaging
would be helpful for both researchers and practitioners in the area of packaging and
brand management. Therefore, this study addresses the following research questions:
RQ1. What are the strategic objectives of a LEP release?
RQ2. How are LEPs implemented, that is, what are the most important
characteristics of such packages?
RQ3. How does the marketing mix support a LEP release, that is, what are the
marketing mix decisions related to this tactic?
The theoretical contribution of this research is threefold. First, the study contributes to
the scarcity and packaging literature by identifying this industry widely used but
academically undiscovered scarcity tactic type. It provides a comprehensive definition
of LEP and explains how it differs from other scarcity appeals by using the scarcity-
product taxonomy aid. Second, the current research provides an empirical-based
conceptualization of LEP tactics by describing the crucial marketing dimensions in
which strategic decisions are made. It describes why an LEP is released (objective of
release), how it is designed (implementation), and the supporting activities of the
release (related marketing mix decisions). Third, the study assists academics by
providing an agenda for future research in this domain.
2. The scarcity-product taxonomy
Scarcity tactics that curtail a consumer’s freedom to purchase a market offering have
played an important role in marketing and have been extensively researched by
scholars. Literature usually distinguishes among three types of scarcity tactics: purchase
precondition, limited-quantity and limited-time offer (Gierl & Huettl, 2010). First,
purchase precondition is a restriction forcing the buyer to satisfy a specific requirement
to obtain the offer. There are three subcategories of precondition offers: territorial (‘only
available online’), action driven (‘available after registration’), and bundle (‘only
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available with purchase of another product’). Second, limited-quantity scarcity can take
the form of a purchase quantity limit (‘a consumer can buy only one’), a supply limit
(‘only 888 items are available’), or a demand limit (‘nearly sold out’). Third, limited-
time scarcity is valid only for a certain time period (‘this offer expires tomorrow’).
Although the different types of scarcity strategies have received a great deal of
attention from researchers, the product involved in the offer has not been systematically
examined (Esch & Winter, 2010; Jang, Ko, Morris, & Chang, 2015). Therefore, we
propose to introduce a taxonomy aid to better describe scarcity offers, which we call the
scarcity-product taxonomy. According to the taxonomy, scarcity offers have two major
dimensions—the scarcity strategy and the product strategy dimension. The scarcity
dimension distinguishes between precondition, quantity and time limitations, as
described in prior research, and the product strategy dimension describes the product
that buyers receive as part of the offer. Investigating the product dimension is useful
because consumers make decisions not only based on the type of scarcity message but
also based on the product’s unique and rare features (Shin et al., 2017). Regarding
product strategy, we suggest distinguishing between regular products, LE products and
LEPs.
The simplest way marketing practice uses scarcity tactics is when the product
remains unchanged. Advertisers and retailers often promote their products with scarcity
messages, and when a restriction is placed on a promotional offer, the (regular) product
becomes a scarce resource (Aggarwal, Jun, & Huh, 2011). Generally, exclusive
distribution or price promotion can be seen as a scarcity tactic since the offer is
available only at limited places or for a limited time (Inman et al., 1997). For example,
the success of the Hermes Birkin bag can mostly be explained by the high price and
consistently applied restriction strategy (purchase and quantity limit).
The second option is when manufacturers decide to launch a (slightly) different
version of the regular product, called a LE product. LEs have a long tradition in high-
involvement categories as part of their premiumization strategy (Balachander & Stock,
2009), are usually more expensive than the brand's regular offers, are equipped with
unique and rare features and have a high status within the product line due to
exceptional craftsmanship (Shin et al., 2017). For example, in 2017, BMW celebrated
40 years of the 7 series by introducing a special edition model with special color and
design features, which was only sold at the BMW Dingolfing plant (territorial
limitation).
In recent years, LE strategies have been increasingly used in the FMCG categories
(Esch & Winter, 2010) and offered only perceived uniqueness and luxury in comparison
to luxury LEs. FMCG-LEs are characterized by atypical variations in product attributes,
such as seasonal flavors; therefore, they are more affordable and less exclusive than
regular products. For example, Magnum created an ice cream variant (called Alexander
Wang’s Designer Magnum) especially for the Cannes Film Festival (time and territorial
limitation).
FMCG-LE products still require reasonable investment from the manufacturer, and
product development also takes a considerable amount of time, which hinders the
chance of survival in tense market competition. If companies do not want to sacrifice
the benefits of LEs but would use a more affordable restriction tactic, an LEP launch is
the third solution. An LEP is not equivalent to a new package design release because it
is only available for a limited time and/or in quantities. Neither is it a simple restriction-
based promotion because it usually offers consumers the perception of exclusivity, style
and aesthetic benefits. For example, in 2006, Absolut launched the end-of-the-year
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Bling-Bling limited bottle (time limit), while the Absolut London bottle was launched in
518,000 copies to celebrate the UK capital (quantity and territorial limit).
In summary, the taxonomy effectively demonstrates how a luxury-originated
restriction tactic has been applied to the FMCG sector and how it was modified to better
suit the needs of mass production and competitive environment. A further benefit of the
taxonomy is the introduction of the product strategy dimension and the LEP tactic as an
independent scarcity tactic, which has not been previously examined in the literature.
Moreover, the taxonomy better describes market practice, highlights the flexible nature
of scarcity offers and offers an explanation for the practice in which LEs and LEPs are
offered for both a predefined time and quantity at the same time (Arden, 2016; Jang et
al., 2015).
3. Methodology
The main purpose of this study was to increase the understanding of LEP tactics;
therefore, the study adopted a grounded theory methodology (Glaser & Strauss, 2017)
and employed a collective (multiple) case study design, which is particularly suited to
conceptualize a complex, market-driven yet academically unknown phenomenon (Yin,
2017). The study used news articles, press releases and pictures of LEPs as primary
data, where a ‘case’ was a single LEP release. The beverage category has been chosen
because, in this sector, the package is an established driver of purchase behavior, and
scarcity appeal is a frequently used marketing tool. The analysis was limited to products
that only differed from the regular ones by their package. The methodology gave cost-
effective access to strategy insights of several brands, therefore allowing a broad
generalization of results.
Research began with an extensive online search using the Google search engine,
picture-sharing websites and news sites [beverage, packaging, public relations (PR),
design]. Cases were chosen based on theoretical sampling (Glaser & Strauss, 2017), and
searches continued until theoretical saturation was reached. After identifying a case, a
direct search was applied to find more information on a specific case. Data collection
took place in November 2017, but the database was updated in March 2018 and July
2019 to include newer examples.
The primary stream of data input consisted of 175 individual cases, including one
picture per case and 2.23 (SD=.71) source articles per case, on average
a
. The cases were
dated between 2000 and 2019, included both alcoholic (53.7%) and non-alcoholic
product categories, and represented 74 different brands worldwide. Figure 1 shows
descriptive statistics and the LEP pictures collected for the study.
--- Figure 1 about here ---
The study employed a two-stage analytical process. In the first stage, pictures and
articles were qualitatively examined and coded on a line-by-line basis before being
grouped into categories (Moghaddam, 2006) using the QSR NVivo 10 software
package. A final list of codes was developed after comparing the theory and data. In the
second stage, a coding scheme sheet was also developed for data entry purposes and to
quantitatively analyze the cases. The database was analyzed using the IBM SPSS
Statistics 20 software package.
a
The primary stream of data input (390 source articles) is available upon request from the
author. A sample article is available here: https://www.bevindustry.com/articles/88205-korbel-
releaseslimited-edition-valentines-day-bottle
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The analysis showed that LEP can be described by three strategic areas: objective of
release, implementation and related marketing mix decisions. In the following sections,
the three strategic areas are discussed. Figure 2 presents an example of a coding
scheme; Figure 3 presents the proposed framework for the LEP tactic and serves as a
summary of codes.
--- Figure 2 and 3 about here ---
4. Strategic objectives of LEP release
Despite the numerous objectives of LE offers reported in the literature (Stock &
Balachander, 2005; Balachander & Stock, 2009; Aggarwal et al., 2011; Jang et al.,
2015), there is scarce empirical evidence of its managerial use. Therefore, the driving
forces of LEP were identified and classified into brand-, sales- and product-related
objectives (RQ1).
4.1. Brand-related objectives (87.4%)
Companies use LEP tactic as an important tool for reaching branding goals because it
can actively support brand performance, strengthen the long-term connection with the
customer by bringing excitement to an old brand, convey brand meanings, reinvigorate
interest in the brand, and keep up with trends (Esch & Winter, 2010). The current
analysis identified ten different brand-related LEP objectives, which are listed by
frequency.
Communicate heritage and history (18.3%). Brands have heritage dimensions that
involve the employment of historical references, narratives and images to achieve a
marketing advantage. Companies are required to keep up with trends, but a LEP can
remind consumers that the company has a long-standing history on which to build. For
example, the Pilsner Urquell Retro Can was launched in 2014 with the following
description:
To celebrate this diversity, and inspired by all of these old labels, we’ve created a range of
limited edition cans. The designs of these are ‘mash-ups’ of different elements that we’ve used
in our past – like a bright new collage of old artwork. Each design is different and tells a range
of different stories, though the beer inside remains the same as it always has since we started
brewing in 1842. —Pilsner Urquell website
Communicate brand identity, values and associations (16%). A brand’s value
proposition is a statement of the functional, emotional, and self-expressive benefits
delivered by the brand. LEP can leverage core brand values and make the emotional
connection easier for consumers by representing complex brand constructs in a visually
attractive way. Brand associations serve as the basis of brand identity in terms of how
they create points of parity and points of difference, and LEP can also provide an
opportunity to link the brand to other entities and affect brand equity through an image
transfer without damaging the permanent package. For example, when the Liberty Can
was launched in 2017, Rowan Chidgey, marketing manager at Budweiser UK said:
‘Budweiser is synonymous with Americana, freedom and ambition, and the new limited
edition packaging provides the perfect opportunity to visually represent our brand
persona; Lady Liberty was the obvious choice.’
Premiumize the brand (10.9%). Premiumization is a bridging of luxury and mass
market consumption by making superior quality and exclusivity more accessible. A
uniquely designed LEP shows the premium nature of a brand and creates a sense of
exclusivity and prestige for a limited time period. For example, when the Sapphire Gift
Box was launched in 2017, Jon Sampson, country brand manager at Bombay Sapphire
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said: ‘[…] the limited edition gift pack highlights the premium nature and positioning of
our gins.’
Glocalize the brand (9.1%). Consumers no longer seem to feel a connection with the
standardized products of global corporations, which are catered to them in mass
marketing communication programs. As a response, glocalization makes companies
‘think global, act local’ by localizing certain brand elements. LEP is used for
glocalization because of its close connection to consumers. For example, when the
Philippine Cities Bottle was launched in 2016, Vanee Gosiengfiao, the general manager
at Diageo Philippines said: ‘Our Cities Limited Edition bottles reflect the brand’s
legacy of celebrating personal progress and, ultimately, represent the resilient Filipino
spirit that keeps us walking.’
Reach a specific segment and engage (loyal) consumers (9.1%). LEP also works well
when targeting demographics, such as younger or style-conscious consumers. The
limited access, combined with a thematic design, allows managers to address a niche
market and achieve branding goals among a specific segment. For example, when the
Last Jedi Bottle was launched, Tom Hickton, brand lead at Volvic UK and Ireland said:
‘We are always looking for ways to make hydration more appealing and fun to
youngsters. The fact that our new mascot bottles glow in the dark is an innovative
feature that delivers a real stand-out unique selling point to help us achieve this.’
Communicate country-of-origin (7.4%). The effect of country of origin on
consumers' perceptions and purchasing intentions is well established in marketing
because consumers associate the representation, reputation or stereotype of a specific
country with products. LEP can reinforce country-of-origin by visually linking the
package to regions, countries or places. For example, when the Palace Bottle was
launched in 2007, Jeff Caswell, vice president of marketing at Evian North America,
said: ‘The bottle itself is really a representation of the French Alps, and the way it's
shaped is a tall, mountain-esque bottle, with mountains actually cut into the sides of the
bottle. […] That's really what we wanted to bring to life -- to present the Evian brand in
a luxury way that links back to the source in the French Alps where it came from.’
Reinforce positioning (5.7%). Marketers traditionally use advertising to reinforce
brand positioning in customers’ minds, while the package serves merely functional
purposes. LEP can fill this gap and treat packaging as an important positioning tool at
the point-of-purchase and highlight brand positioning. For example, the Pepsi China
Can was launched in 2016 with the following description:
The Pepsi China Limited Edition Can aimed to celebrate the collaboration between the Fashion
world and the Pepsi ‘Live for Now’ spirit, creating an aspirational brand experience that
connects decorative elements with the iconic and youthful Pepsi Blue. —Pepsi website
Create consumer-brand connection: empowerment, engagement, experience,
inspiration (4%). Consumers are now empowered to interact with brands and to create
their own content, leading to a more participative approach to branding. LEPs are
usually designed to be different, and the flexible nature of limited offers are able to
attract, engage, empower and inspire consumers even more. For example, when the
Holiday Red Cup was launched in 2016, Dena Blevins, Creative Director at Starbucks
Global Creative Studio said: ‘We were surprised and inspired by the amount of
incredible art submitted by our customers. The designs were beautiful, expressive and
engaging. […] We quickly realized there was potential to use the customer-created art
for our holiday cups.’
Increase brand presence and consumer awareness (4%). Due to increased
competition in the FMCG, sector brands need to be present in their daily lives and take
every opportunity to increase awareness. Aesthetic and unique LEPs can create brand
presence and increase brand awareness. For example, when the Trabant Expedition Can
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was released in 2016, Petra Dlhouhá, marketing director at Al Namura said: ‘We needed
a standout design to engage with both Big Shock and sports fans helping us drive
awareness.’
Achieve competitive advantage (2.9%). A LEP helps to maintain the status of a brand
or to gain competitive advantage. In categories in which scarcity is not frequently used,
a LEP especially helps companies to achieve a competitive advantage over its rivals.
For example, when the Share a Kiss Can was launched in 2015, Agnese Filippi, brand
activation manager at Coca-Cola HBC Italia said: ‘Rexam's Editions™ technology is
perfect for bringing to life the 'Share a Kiss' campaign, giving consumers a reason to
engage with our brand over beverage competitors.’
4.2. Sales-related objectives (48%)
The package physically appears at the point-of-purchase, and it is an integral part of the
store atmosphere. It is an increasingly important tool for trade marketing and shopper
marketing decisions, particularly where the proliferation of brands makes for fierce
competition. Moreover, packaging draws attention, provides information, communicates
benefits to consumers and even acts as a ‘five-second commercial’ at the point of
purchase. Accordingly, the analysis revealed five different sales objectives of LEPs.
Support a promotion/campaign (16%). LEPs are often used to support ongoing
promotional activity. For example, the Spectre Bottle was launched in 2015 with the
following description:
By featuring Daniel Craig in our TVC and activating Spyfie once again, we are giving fans
access to the world of James Bond. In addition, Heineken® is also giving consumers access to
exclusive Spectre content, through an estimated half a billion Spectre bottles on sale around the
world. —Heineken website
Offer a gift idea (9.7%). Gift exchange is a universal form of interpersonal
communication, and gifting rituals still play a central role in cultures around the world.
LEP with an aesthetic appeal may serve as great gift ideas. For example, when the 3rd
Limited Series was launched in 2017, Lee Applebaum, global chief marketing officer at
Patrón Spirits said: ‘Patrón is always one of the most-gifted spirits during the holidays
and our limited edition large-size bottle has become something that people look forward
to every year, both as a gift for someone special, and for holiday entertaining.’
Create collectible items (8%). Many consumers have a collector characteristic
somewhere inside them; therefore, collection-based marketing programs and collectible
product series retain customers and stimulate product usage. The secondary market for
LEPs and their high prices illustrates that those packages are likely to spark a craze and
make them start a collection. For example, when the Vintage Bottle was launched in
2018, Chris Barnes, media relations representative at Dr. Pepper Snapple Group said:
‘We are encouraging fans to collect all the bottles while they’re in the market.’
Increase (impulsive) buying, encourage repeat purchase (7.4%). LEPs are driving
sales not only for the manufacturing company but also for retailers; therefore, LEPs are
reportedly used to increase sales at the point-of-purchase. For example, when the
Holiday Bow Bottle was launched in 2015, Caroline Cater, director of operational
marketing at Coca-Cola said: ‘Christmas is the most popular calendar moment of the
year, and as soft drinks are the most frequently bought category during the festive
season, it is vital that we help retailers make the most of the opportunity and offer
exciting national campaigns to boost sales.’
Increase point-of-sale awareness, create shelf impact (6.9%). Marketeers need to
understand and influence consumer decision-making at shelf level. Compared to
traditional advertising, LEP is a cost-efficient tool for raising point-of-purchase
awareness because the unique package design stands out on the shelf, creating great
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shelf impact. For example, when the Spirit of London Bottle was launched in 2014,
Katy Buchan, product design manager at Beefeater said: ‘This special design really
creates a stir on shelf and helps to capture the attention and imagination of gin lovers
around the world.’
4.3. Product-related objectives (10.9%)
The package is an integral part of the physical product, and the package's overall
features can underline the uniqueness and originality of the product. The analysis
revealed three product-related objectives of a LEP release.
Reinforce old and create new usage situations (5.7%). Products are used in many
ways, and companies may advertise a common usage or provide novel ones, and LEPs
are used to meet both objectives. For example, when the Scratch Bottle was launched in
2015, a BBDO representative said: ‘It’s a party phenomenon: people like to scratch
shapes into the characteristic aluminum neck of BECK’S bottles. Based on this insight
we developed an interactive and playful packaging that turned the whole bottle into an
aluminum canvas.’
Highlight product attributes and features (3.4%). Products differ from one another in
having distinctive features and benefits, though these differences may not always be
obvious to potential customers. Today, the number of features for certain products has
increased to such an extent that consumers are almost unable to consider all features
when making a purchase decision. LEP may emphasize features, thereby making the
decision easier for consumers. For example, when the Summer Can was launched in
2015, Craig Clarkson, category and trade marketing director at Heineken said: ‘We want
to remind consumers that Kronenbourg 1664 delivers a superior taste thanks to the
hops from Alsace, so we have paid tribute to these with this new limited edition
packaging. The design conveys the brand’s provenance and authenticity in a modern
way which will increase visibility on shelves, driving sales and reinforcing
Kronenbourg 1664’s superior taste.’
Personalize the product (1.7%). Tailoring of a product to the individual customer is
the essence of one-to-one marketing. LEPs can perfectly create individuality for
consumers because they are unique and available only for a certain time. For example,
when the Summer Can was launched in 2012, Jonas Tåhlin, vice president of global
marketing at Absolut, said: ‘Anyone can do one or two unique products but we're
making close to four million. Our customers are all unique, so we wanted to give each
of them a ‘one of a kind' bottle to reflect their individuality.’
5. Implementation of LEPs
The effective implementation of planned marketing strategy is a key driver of
performance. To better understand LEP tactics, our second aim was to identify how
LEPs are implemented. Within the data, three main topics were detected: intensity,
theme and design characteristics of LEP launches (RQ2).
5.1. Intensity
Intensity describes the frequency of use of a certain marketing tool by a company. Two
different approaches were identified in relation to the intensity of the LEP tactic: ad hoc
and series release.
Ad hoc (61.7%). Most companies start with an ad hoc LEP. For example, when the
350 Years Can was launched in 2014, Craig Clarkson, category and trade marketing
director at Heineken said: ‘For the first time in the brand’s history, a limited edition
packaging has been designed to reflect the history and provenance behind the beer.’
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Series (38.3%). In the case of a successful launch, LEPs may be introduced at regular
intervals to build anticipation with consumers and give them something to look forward
to each year. These LEPs are usually backed up by company strategy serving a long-
term brand objective. For example, when the Legends Bottle was launched in 2017,
John Alvarado, vice president at Corona Extra, said: ‘Corona is proud to continue to
support our consumers and their love of boxing for the fifth year in a row with the
launch of these collectible bottles.’
5.2. Theme (occasion)
There are various occasions to release a LEP, which usually defines the theme of the
LEP. The literature distinguishes between seasonal, event and cooperation-based limited
offers (Arden, 2016), but the analysis revealed commemorative and cause-related LEP
offers.
Cooperation/Partnership (46.3%). Companies often cooperate with a partner (e.g.,
designer, movie and production studio, sport team and athlete, singer and music band,
consumer) to launch a LEP. The collaboration increases the perceived value of both the
brand and the offer by transferring the associations of the partner. For example,
Heineken has a long-standing partnership with museums (e.g., the Van Gogh Museum
and the Rijksmuseum) and the James Bond film franchise, resulting in different LEPs
over the years.
Seasonal LEP (25.7%). LEPs are often released in relation to a season or special day
(e.g., winter, Halloween). For example, commenting on the Ghoulish Can in 2017,
Valencia Mitchell, brand director at Fanta said: ‘Fanta stands for fun and variety, and
our carefree, spontaneous brand personality makes Halloween the perfect time to
connect with consumers and help them add a spark to this already fun holiday.’ The
analysis also revealed that the most favorite time for a beverage LEP is May-June
(26.3%), which is followed by October-November (21.7%). The seasonality slightly
differs among product categories, for example, for beer, early summer is the most
important period due to late summer demand peak, while for spirits, the end-of-year
season is popular due to winter celebrations.
Event-based (17.7%). Another frequent driver of a LEP is an important event (e.g.,
movie release, festival). For example, commenting on the Barclays Premier League Can
in 2014, Rasmus Bendtsen, brand manager at Carlsberg Pilsner Denmark said: ‘We are
proud to be the official beer of the Barclays Premier League and wanted a can design
to communicate this.’
Anniversary/Commemorative (14.3%). Brands celebrate both brand or nonbrand
anniversaries and release commemorative LEPs. An example for a nonbrand
anniversary is the Narragansett Jaws Can, which was rereleased in 2014 for the
anniversary of the iconic film’s debut (the can in 1975 was famously crushed by
Captain Sam Quint in the film), while in 2013, Warsteiner celebrated their 260th brand
anniversary with the Art Collection.
Cause-related (6.3%). As consumers are demanding greater accountability and
responsibility from corporations, LEPs are supporting a cause or idea. For example, the
lesbian, gay, bisexual, and transgender (LGBTQ) and Pride movements are synonymous
with vodka, and spirit producers have been launching LGBTQ-themed LEPs for years.
Absolut has a year round Pride Bottle (limited in volume, but not in time since 2018),
Smirnoff launched Love Wins Bottles highlighting LGBTQ couples and Stolichnaya
released a bottle featuring Harvey Milk.
5.3. Design characteristics
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The analysis of design characteristics revealed that LEPs can be described by the
number of design variations per launch, design theme and typicality of design.
Design variations per launch. Flexible manufacturing capabilities allow
manufacturers to introduce multiple LEP versions simultaneously, sequentially or
regionally. A total of 41.7% of the cases had more than one design variation (M=3.07
SD=3.91 Min=1 Max=28 Med=1). Moreover, in four cases, the packages were either
custom-made or mass personalized; for example, in 2012, Absolut offered 4 million
‘absolutely unique’ bottles.
Design theme. The qualitative analysis of press releases revealed that the intention of
the release was to offer something special to the consumers because the LEP designs
were described as beautiful (stylish, clever), unique (special, exceptional, original,
iconic), exclusive (premium, luxurious), eye-catching (attractive, tempting, engaging,
expressive, striking, bold) and cutting-edge (fresh, modern, youthful).
Typicality of design. Since LEPs differ to varying degrees from the regular package,
prototypicality was analyzed, which is defined as the degree to which an object
represents a category (Landwehr, Wentzel, & Herrmann, 2013). Forty percent of the
LEPs differed from the regular package only in the label design; the remaining LEPs
had unique shapes (14.9%), applied a different packaging material (9.7%), used a (full)
sleeve or modified surface (25.1%), had extra outer packaging (9.1%, e.g., gift boxes),
introduced an innovation (13.1%, e.g., cold-activated design), were available only in
multipacks (10.9%), or used a combination of the aforementioned elements. After
categorizing the packages into atypical and typical design variations, the data showed
that the majority of the LEPs were typical design variations (82,9%), differing only
slightly from the regular product.
6. Marketing mix decisions related to an LEP release
The marketing mix is a concept that provides a standard vocabulary for the marketing
community. The number of possible marketing mixes is very large, and the selection of
an effective mix is challenging, therefore, the third aim of the study was to explore the
relationships between LEPs and supporting marketing mix decisions (RQ3).
6.1. Promotion
Three different promotional approaches were identified in relation to LEP release: solo,
lead and support.
Solo (10.9%). There were a few LEP releases when the package was a solo activity
without any supporting activity. For example, there is no evidence that the Staropramen
How Legends are Born Can in 2016 was supported by any marketing activity.
Lead (52.6%). The majority of the LEPs were lead activities with support from other
activities, such as events, billboards, ambient promotions, social media activities and
thematic webpages, to promote LEP release. For example, in 2017, Orangina
commenced a £2.4 m marketing campaign featuring outdoor, experiential and sampling
activities to support the Bikini and Trunk Bottle release.
Support (29.7%). The remaining LEPs were reportedly supporting (an integrated)
marketing campaign. For example, the Heineken Spectre campaign was the brand’s
largest global marketing platform of 2015, and in addition, the company was also giving
consumers access to exclusive content through an estimated half a billion Spectre
Bottles.
6.3. Price
11
Three different pricing strategies were identified: line, premium and bundle pricing,
while a few LEPs were not available for sale.
Line pricing. People usually associate scarcity with higher prices (Lynn, 1989), but
in the FMCG sector, the majority of the LEPs were sold for the same price as the
regular product, avoiding price competition between brands while facilitating sales with
the unique design. For example, in 2018, visitors to the PyeongChang Olympics were
able to purchase a Coca-Cola LEP series at local food marts and convenience stores for
the same price of the regular Coca-Cola beverage.
Premium pricing. Some LEPs were higher priced to communicate brand equity,
prestige and higher quality. For example, in 2015, the Diane von Furstenberg Bottle was
available for $7.99, which was significantly higher than the regular price of a bottle of
Evian.
Bundled pricing. In some cases, bundled pricing was used to increase sales
quantities. For example, in 2014, the Barclays Premier League replaced the regular
package and was only available in multipacks in Danish retail and convenience stores.
Not for sale. In very few cases, the LEPs were not for sale but only available to win
or earn. For example, in 2019, Mountain Dew released the special Game of Thrones
Can; the company challenged social media users ‘what they would do #ForTheThrone’,
and 800 consumers earned the chance to win the color-changing can.
6.3. Distribution
The distribution strategy, including the distribution area, selectivity and sales quantities,
was also analyzed.
Distribution area. In addition to quantity scarcity, the limited products were also
restricted by region. Most of the LEPs were launched in a single country or region of
that country (63.4%), others were sold in multiple countries (18.9%), and only a few of
them were sold worldwide (16%).
Selectivity of distribution. Most of the companies used selective distribution (46.9%),
and LEPs were sold at specialty distributors, such as e-commerce platforms,
participating stores, vending channels and leading supermarkets. Some LEPs were
exclusively distributed (21.7%) to events, prestigious night clubs or airports. The
remaining LEPs used an intensive distribution and were available wherever the regular
product was sold (26.9%).
Sales quantities. The available quantities differed among cases, but most of them
were applying the limited quantities condition. LEPs using intensive distribution were
usually launched in larger quantities; for example, Pepsi put Michael Jackson on more
than one billion Pepsi cans in 2012 to celebrate the 25th anniversary of the 'Bad' album.
Other LEPs were available in more limited quantities; for example, only 888 bottles
were available from the Johnnie Walker Blue Label Philippine Cities Edition.
7. Theoretical implications and propositions
Having introduced LEP tactics and established an empirical-based framework for it, the
remaining questions are as follows: How can marketing scholars use this framework
and what can be gained from it? This section advances research propositions aimed at
addressing the key emergent issues in relation to packaging and brand management, to
stimulate greater attention to this new type of scarcity tactics and to expand the scope of
discussion on the role of temporary packages.
7.1. Objectives
12
Prior research has identified several objectives for releasing a scarcity offer, but the
current analysis discovered additional objectives, such as glocalization, creating
consumer-brand relationships and reinforcing old and creating new usage situations.
Moreover, to our knowledge, this is the first study to list packaging-related marketing
objectives using empirical data. The seventeen different LEP objectives collected in this
study lead to two conclusions: novelty and flexibility of the LEP tactic. On the one
hand, it is possible that marketing managers are not in agreement about what LEP
comprises or why and how it should be used (which is also supported by the lack of
research on LEPs), or perhaps they are still experimenting with it due to its novelty. On
the other hand, LEP tactics seem to be a flexible tool that is launched to achieve both
long-term, strategic (e.g., communicate identity) and short-term, tactical (e.g., increase
brand presence) goals. In contrast, regular packages serve mostly long-term goals, such
as communicating positioning and signaling brand identity, as package modification is
difficult and risky. We can say that with the use of LEPs the package has become a
short-term operational tool for the first time in marketing history. Thus, we propose the
following:
P1. LEP is more suitable for achieving short-term, tactical objectives compared
to the regular package, which has mostly strategic importance and serves
long-term goals.
The results also showed that LEPs are often used to attract attention and create shelf
impact. We assume that an attractive and eye-catching LEP is more than that; it not only
attracts increased attention at the store but also stimulates engagement in other channels,
such as social media
b
. Moreover, LEP is a new tactic and does not seem like traditional
advertising; therefore, it might gain additional importance among certain groups of
buyers, especially advertisement avoiders (Fransen, Verlegh, Kirmani, & Smit, 2015).
Thus, we propose the following:
P2. Awareness and engagement of LEPs is higher than with regular packages,
which is especially true for consumers who tend to avoid traditional
advertising.
However, sales data of LEPs cannot be obtained, the high proportion of sales-related
objectives shows that LEPs are often used as a sales tool. However, from a consumer
point of view, LEPs might not always be desirable product innovations in the FMCG
sector because frequent changes in package design can confuse loyal and committed
consumers for whom it is troublesome to find or become accustomed to temporary
package designs. Our assumption is that LEPs, due to their functional inefficiency,
would only increase sales within consumer groups, for whom new and prestige features
are important but who are low on brand loyalty and involvement. Thus, we propose the
following:
P3. LEP will lead to lower purchase intention within groups low on need for
uniqueness and novelty-seeking but high on brand loyalty and commitment.
We encourage researchers to further explore the effectiveness of objectives and the role
of temporary packaging in marketing strategy and how marketing managers use them
compared to regular packages. Exploring and understanding such questions about
temporary packages will then enhance the firms' ability to better use LEPs and packages
in general.
7.2. Implementation
b
Example of a LEP, which has been reported by several major media outlets:
https://www.thesun.co.uk/news/9677185/mcdonalds-x-rated-plastic-cups-inappropriate-japan/
13
Implementation diversity reinforces the justification of the product-scarcity taxonomy;
findings indicate that an LEP is not a simple quantity or time-limiting tactic, but rather a
unique offer that can be customized in terms of scarcity intensity, theme and design. An
LEP can be customized with any type of scarcity strategy, or even with multiple
restrictions at the same time, because the essence of the offer is the product, which is
different from the regular product. Moreover, the analysis revealed new themes, such as
commemorative and cause-related LEP offers (Arden, 2016), which shows the future
implementation potential of this scarcity tool.
Analysis also showed that scarcity appeals are product-category specific (Shin et al.,
2017), and in the FMCG sector, where the margins are smaller and competition is
tougher, it is not always viable to start an expensive product development process and to
offer truly unique products. LEP is a reasonable compromise for the brand in offering
something new (perceived uniqueness) in a relatively cheap way. Thus, we propose the
following:
P4. LEPs are more affordable (cost-efficient) alternatives compared to
traditional LE products; therefore, their managerial usage and intensity of
usage are expected to grow in the FMCG sector.
Results show that the LEP tactic is mostly used by strong brands, but it is unclear
whether only strong brands can effectively use this tactic. We suggest that for strong
companies, an LEP costs less than a LE, but it still requires package development and a
minimum sales quantity to pay off, which is only affordable to capital-intensive brands.
Furthermore, the novelty of an LEP can be best interpreted in the context of a well-
known regular package; this is also a trait of strong brands, while small brands with low
package awareness would not benefit much from an LEP launch. Thus, we propose the
following:
P5. Launching an LEP is more profitable for powerful (strong; well-known)
brands than for brands with lesser known regular packages.
LEP design typicality seems to be a key implementation factor in the FMCG category.
Notably, the analysis shows that most LEPs are merely design variations of the regular
product. If the product already enjoys a favorable image, then it is wise to avoid a
design that pushes the product outside the acceptability regions because incongruity
between the regular and the new has to be minimized to facilitate a transfer of positive
effects (Schoormans & Robben, 1997). However, if shelf impact is the issue, an LEP
design should deviate and stand out from the shelves. Therefore, we propose the
following:
P6. In the FMCG sector, moderate LEP design deviations (typical LEPs) are
launched more often because they give the best trade-off regarding
attention, sales and costs.
In sum, extending research explaining the consumer- and brand-related outcomes of
different LEP implementation practices may further enhance the understanding of the
performance of both temporary and permanent packages. For practitioners, choosing an
effective implementation can be a complex task; thus, future empirical research would
help assist them in how it affects other variables of interest to marketers, such as sales
and brand equity. Future studies pursuing consumer visual processing and
comprehension of LEPs would further enhance the understanding of this new scarcity
tactic.
7.3. Marketing mix decisions
14
The analysis identified several marketing mix combinations in relation to LEP releases.
The different mixes once again show that LEP is a very flexible tool that is tailored to
the marketing strategy.
It became clear that LEP releases in the FMCG sector are of a slightly different kind
compared to luxury LEs. In agreement with Shin et al. (2017), we suggest that
commodity theory is not appropriate for FMCG LEPs because many of these products
are widely available and supported with intensive distribution, line pricing or huge sales
quantities. Since consumers want more specific and unique products, even in the FMCG
category (Gabler & Reynolds, 2013), manufacturers need to adapt and find an
affordable solution to fulfill the desire for stimulation but without diluting the brand
with an unsuccessful brand extension. Therefore, we suggest that for LEPs, signaling
theory and ‘scarce=attractive & novel’-heuristics are more relevant in explaining the
impact of scarcity. Thus, we propose the following:
P7. LEPs are not truly exclusive (or limited) offers, as are luxury LE products,
but can bring novelty and variety to the FMCG market; therefore, focusing
on the latter two selling points would result in more successful LEP
launches.
The lack of true limitation also raises an important notion: the truthfulness of the claim
of being ‘limited’. Devlin et al. (2007) showed that limit restrictions would increase
perceptions of scarcity only if consumers treat it as a genuine offer as opposed to a mere
marketing ploy. If LEPs are simply viewed as revenue raisers and expected to drive
volumes, then would the charm of a LE be lost? Unfortunately, the literature does not
provide much explanation of the relationship between the intensity of scarcity tactic use
and consumer behavior outcomes; however, some studies call attention to the dangers of
over-advertising (Rotfeld, 2006). We assume that the overuse of the LEP tactic can lead
to counterintuitive results and would degrade the effectiveness of this scarcity tactic in
the long term. Thus, we propose the following:
P8. The more often a company offers an LEP (e.g.: LEP series or large sales
quantities), the less effective (attention grabbing, appealing) it would be in
the long-term.
The benefits of harnessing synergy across multiple media have been extensively
examined in marketing research, but the package has rarely been included. Since the
majority of LEPs are launched in parallel with a promotional activity, the question
arises regarding how much promotion, if any, is required to increase the success of an
LEP launch. We assume that an LEP is capable of encouraging product touch at the
point-of-purchase, which easily increases impulse purchasing (Peck & Childers, 2006);
therefore, there is little need to support an LEP launch with expensive promotional
activities. Thus, we propose the following:
P9. Additional promotional activity supporting an LEP release (compared to
solo LEP releases) only marginally increases purchase intention at the point-
of-purchase.
We again encourage researchers to investigate ideal marketing mix combinations related
to LEP tactics, allowing companies to meet company objectives. Future research could
help identify when limited offers are no longer regarded as limited or premium offers
but as promotional activities. It would also be interesting to know how intensive
distribution, line pricing and huge sales quantities of LEPs affect consumer behavior
and brand equity in comparison to a ‘truly limited offer’.
9. Managerial implications
15
However, the present study discusses current market practices and builds on press
releases from trade sources, which might offer some advice for practitioners. With
respect to practical implications, the results are promising, in so far as they provide a
summary of the LEP tactics and offer practical guidelines and ideas for brand managers
to create the ‘right’ LEP offer. While past research suggests that luxury brands can
utilize scarcity offers to strengthen the brand's status and to increase profits (Shin et al.,
2017), current findings proved that these benefits have been successfully applied to low
involvement brands as well. For FMCG brand managers interested in creating
excitement or giving the brand something new and previously unseen, this type of
scarcity appeal has been proven as a flexible and cost-effective tactic (Aggarwal et al.,
2011).
9. Limitations
Finally, this study is not without limitations. It must be restrictively considered that
exclusively online available cases were analyzed, and an even larger sample would have
provided a richer understanding of themes that partially emerged from the press
releases. Repeating the study in different product categories (e.g., durables) may predict
additional factors. Moreover, we assume, that powerful brands more often release press
releases describing an LEP launch; therefore, small brands with limited PR budgets are
underrepresented in this study. Furthermore, only those topics that marketers voluntarily
mentioned in press releases were included in the framework. However, there is no
methodology that reveals ‘the whole truth’ on corporate tactics related to LEP releases,
and a mixed-research methodology (combination of quantitative and qualitative
methods) could provide a broader perspective and enhance the reliability of results.
16
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18
Figures
Figure 1 – LEPs collected for the study.
PRODUCT CATEGORY (Freq.)
COLLECTED BRANDS (Nr. of LEPs)
BEER (25.1%)
Baltika#3 (1); Beck's (3); Bitang (2); Borsodi (1); Bud Light (1); Budweiser (2); Carlsberg (2); Coors (1);
Corona Extra (2); Grolsch (2); Guinness (2); Heineken (6); Kozel (2); Kronenbourg (2); Mahou (1);
Miller High (1); Narrangset (1); Pabst Blue (1); Pilsner Urquell (1); Sagres (1); Staopramen (3); Stella
Artois (3); Tuborg (2); Warsteiner (1)
SPIRIT (25.1%)
1800 Tequila (1); Absolut (5); Ballantine’s (1); Beefeater (6); Belvedere (1); Bombay Sapphire (2);
Cuervo (1); Disaronno (1); Hennessy (1); J&B (1); Jagermeister (2); Jameson (1); Johnnie Walker (9);
Kraken (1); Malibu (1); Patrón (2); Smirnoff (3); Stoli (1); Sveda (3); Tsarskaya (1)
WINE/CHAMPAGNE (3.4%)
Chandon (1); Don Perignon (1); House Wine (1); Korbel (1); Martini Asti (1); Moët (1)
COFFEE (1.1%)
Starbucks (2)
ENERGY DRINK (4%)
Big Shock (1); Burn (1); Red Bull (6)
MILK (1.1%)
Vilkyskiu Pienine (1); Cravendale (1)
SOFT DRINK (26.9%)
7UP (1); Arizona (1); Dr Pepper (5); Fanta (1); Mountain Dew (3); Orangina (1); Sprite (2); Vernor's
(2); Coca-Cola (18); Pepsi (13)
MINERAL WATER (13.1%)
Evian (11); Font Vella (2); Nongfu Spring (1); Perrier (2); San Pellegrino (3); Soda Stream (1); Volvic
(2); Yili (1)
19
Figure 2 – Example code sheet.
[KORBEL] ROMANCE (2015)
Case number
106
Brand name
Korbel
LEP name
Romance
No. of collected articles
2
Year of launch
2015
Month of launch
1 (January)
Product category 1
alcoholic beverage (wine)
Objective of LEP release
gift (brand-related); usage (product-related)
Intensity
ad hoc
Theme
Valentine's day (season)
Design description (by brand owner)
chic, whimsical, stylish
No. of design variations per release
1
Design theme
figurative (kiss)
Design typicality
typical
Difference from regular package
sleeve
Package type
glass bottle
Sales quantity
13500
Distribution country
USA (single)
Distribution type
selected retailers (selected)
Promotion support
none reported /limited (solo)
Price
$13.99
Price level
same (as regular)
Dörnyei, K.R. (2020), "Limited edition packaging: objectives, implementations and related marketing mix decisions of a scarcity product tactic", Journal of Consumer Marketing 37(6):617-627.
https://doi.org/10.1108/JCM-03-2019-3105
20
Figure 3 – Proposed framework for the LEP tactic.
FRAMEWORK FOR LIMITED EDITION PACKAGING TACTIC
STRATEGIC OBJECTIVES
IMPLEMENTATION
RELATED MARKETING MIX DECISIONS
BRAND-RELATED OBJECTIVES (87.4%)
Communicate heritage and history (18.3%)
Communicate brand identity, values and associations (16%)
Premiumize the brand (10.9%)
Glocalize the brand (9.1%)
Reach a specific segment and engage (loyal) consumers (9.1%)
Communicate country-of-origin (7.4%)
Reinforce positioning (5.7%)
Create consumer-brand connection (empowerment, engagement,
experience, inspiration) (4%)
Increase brand presence and consumer awareness (4%)
Achieve competitive advantage (maintain status, trendsetting) (2.9%)
SALES-RELATED OBJECTIVES (48%)
Support promotion/ campaign (IMC, sweepstakes, sponsorship, etc.)
(16%)
Offer a gift idea (9.7%)
Create collectible items (8%)
Increase (impulsive) buying, encourage repeat purchase (7.4%)
Increase point-of-sale awareness, create shelf impact (6.9%)
PRODUCT-RELATED OBJECTIVES (10.9%)
Reinforce old and create new usage situations (5.7%)
Highlight specific product attributes and features (3.4%)
Personalize the product (1.7%)
INTENSITY
Ad hoc (onefold/first) launch (61.7%)
Series (tradition) launch (38.3%)
THEME (OCCASION)
Cooperation/ Partnership (46.3%): Designer (12%), Movie/ Production studio
(7.4%), Sport team/ Athlete (4.6%), Singer/ Music band (4.6%), Consumer (2.9%),
Other: NGO, foundation, museum, school, governmental (8.6%)
Seasonal (25.7%): Winter/ Christmas (9.1%), (Chinese) New Year (6.1%), Summer
(5.1%), International Women's Day; Independence Day, Spring/ Cherry blossom
(1.1%), Other: Halloween, Valentine's Day, Saint Patrick's Day, Women’s Day,
Independence Day (4%)
Event-based (17.7%): Movie release (6.9%), Championship (5.7%), Fashion event
(2.3%), Olympic Games (1.7%), Music festival 1.1%)
Anniversary/Commemorative (14.3%): Brand (8%), Non-brand (6.3%)
Cause/idea-related (6.3%): Anti-prejudice, Health-related, Environmental, LMBT
DESIGN CHARACTERISTICS
Description of design
Design variants per launch: 1 variant (58.3%), 2-5 variants (20%), 6-10 variants
(15.4%), 10-4 mio variants (6.3%)
Design theme: Figural-based (60%), Nonfigurative (18.9%), Text (10.3%), Color
(2.9%), Artwork (1.7%)
Typicality of design: Typical (82.9%), Atypical (17.1%)
PROMOTION
Solo activity (10.9%)
Lead activity but supported by one or more
activities (52.6%)
Supporting an ad campaign (29.7%)
PRICE
Line pricing (n=25)
Premium pricing (n=8)
Bundled pricing (n=8)
Not for sale (n=3)
DISTRIBUTION
Sales quantity (between 888 and 1 bn)
Distribution area: Single country/Region (63.4%),
Multiple countries (18.9%), Worldwide (16.%)
Selectivity of distribution: Exclusive (21.7%),
Selective (46.9%), Intensive (26.9%)
Note: Numbers in parentheses denote percentages of total cases (n = 175); NGO = non-governmental organization; IMC = integrated marketing communications
