Alexandre Ricard: Pernod Harnessing Data To Drive Global GrowthJune 9, 2022
Pernod Ricard chairman and CEO Alexandre Ricard told investors at the company’s Capital Markets Day yesterday that an expanding focus on data and predictive digital tools will help drive mid single digit sales growth for the world’s second-largest spirits marketer in the coming years. Pernod is targeting 4%-7% annual sales growth over the medium term, setting its sights on the high end of that range.
To extend its growth trend moving forward, Ricard said Pernod will leverage enhanced precision in its pricing via a number of proprietary predictive digital tools, allowing the company to “offer the right product at the right price at the right time to the right consumer with the right experience for every occasion in every market. And this means precision at scale.”
Using a series of digital applications such as Matrix for marketing investments and D-Star for sales teams, Pernod intends to maximize its pricing power across the portfolio in the context of the inflationary conditions, with a focus on growth in the prestige segment. The group is also looking to bolster its new product development with regional innovation hubs, while tightening its connections with consumers through an omnichannel approach, including the direct-to-consumer channel, where it can provide new purchasing experiences and garner first-party consumer data.
As the company looks to enhanced data insights to help propel its future growth, Ricard added that Pernod’s sales are now registering well above pre-Covid levels in all operating regions, with the Americas region up 20% compared with before the pandemic, Europe up 14%, and Asia-Rest of World up 9%. “Between 75% and 80% of our spirits brands are delivering a record year,” he said, with Jameson (10 million cases globally), Ballantine’s (9m cases), Absolut (12m cases), Beefeater, The Glenlivet, and Malibu all reaching new volume milestones.—Daniel Marsteller
|Pernod Ricard—Key Brands in the U.S.
(thousands of 9-liter case depletions)
|The Glenlivet||Single Malt Scotch||468||527||12.5%|
|Absolut Cans||Pre-mixed Cocktail||147||297||102.9%|
|Chivas Regal||Blended Scotch||255||257||0.7%|
|Total Leading Spirits4||12,153||13,248||9.0%|
|Total Leading Wine||1,380||1,397||1.2%|
|1 Based on unrounded data.
2 Includes flavors; excludes pre-mixed cocktails
3 Includes still wine and Cava.
4 Addition of columns may not agree due to rounding
Source: IMPACT DATABANK © 2022