Philippa Lockwood’s Post

AB InBev delivered top-and bottom-line growth in the third quarter of 2023. With a revenue increase of 5.0% and an EBITDA increase of 4.1%, our global momentum continued with revenue growth in approximately 80% of our markets. The beer category is large and growing and we remain focused on generating value for our stakeholders, while delivering on our purpose to create a future with more cheers. We continue to drive premiumization across Europe. Our performance this quarter was driven by our premium and super premium brands which grew revenues by mid-single digits, led by Leffe and Stella Artois. Our digital transformation in Europe is progressing, with BEES now live in the UK, Germany, and the Canary Islands. In Europe in 3Q23, Revenue grew by low-single digits with mid-teens revenue per hl growth, driven by pricing actions and the continued momentum of our premium and super premium brands. Volumes declined by high-single digits, outperforming a soft industry in more than 80% of our key markets according to our estimates. EBITDA grew by low-single digits.

As you start your next year, remember where AbInBev started there’s before disaster struck: Full of strength and arrogance. Bud Light never fully recovered from what happened last April with influencer Dylan Mulvaney. Even recently, sales are still down, declining 28% for the 4 weeks that ended December 9th. After a big marketing push this summer, I thought the tide would turn for them. But I was wrong. The damage was bigger than that. And it didn’t start in April when the backlash began. It started in June 2022. That was when AbInBev announced to the world they were relinquishing their Super Bowl exclusivity. Cocky and on top of the category, they took a leadership position and squandered it, opening up the door for competitors to advertise in the Super Bowl for the first time in 33 years. You could say that creating an opening for others in the category to snatch market share is the kind of swagger a true category leader has. But what it did was open the door for Molson, Coors, Corona, Modelo, and more to grab the spotlight in the biggest advertising night of the year for beer drinkers (which they did, given some of the newly allowed beer ads were among the most highly rated in the game). Now, there may be underrated cause and effect here. Beer drinking has been declining in the US, and perhaps AbInBev was forced to drop the exclusivity not by choice, but by lack of demand that accelerated after the Mulvaney partnership. But even still - it was a big decision that paved the way for future losses. Because while dropping their Super Bowl exclusivity didn’t cause what happened next, it got their competitors in the mindset to start 2023 with a different mindset, and perhaps, budget. The mindset that Bud Light was as weak as ever to be dropped off their perch, and to plan accordingly. So as you start your next year, look up at your category leaders. Are they solid and stable, or cocky and arrogant? And if the mood is right for extra conquesting, how are you going to generate and steal demand creatively when this new opportunity strikes? https://lnkd.in/ejKieNw4

🌍✨ Discover the Coca-Cola Company's Business Model! 🌟 From its humble beginnings in 1886 to becoming a global beverage leader, Coca-Cola's journey is legendary. 🚀 🥤 Core Offerings: From Coca-Cola to Fanta, Sprite to Minute Maid, they offer a diverse range of beverages to quench every thirst. 🍹 📈 Strategy: Strong branding, market expansion, healthier choices, and strategic partnerships drive their success. 🌟 🏭 Supply Chain: Efficient production, sustainable practices, and a vast network of bottling partners ensure global reach. ♻️ 🛒 Distribution: Available everywhere from supermarkets to your doorstep. 🏬🚚 🎯 Marketing: Iconic ads, major sponsorships, and digital strategies keep Coca-Cola top of mind. 📢 💰 Financials: Strong revenue streams and consistent growth. 📊 🏅 Competition: Leading the market with innovative strategies and a strong brand. 🥇 ⚠️ Challenges: Addressing health concerns, environmental impact, and economic risks. 🌱 🌟 Future Goals: Embracing technology, sustainability, and global growth. 🌍💡 The Coca-Cola Company , Coca-Cola HBC , Coca-Cola FEMSA LinkedIn LinkedIn for Marketing #CocaCola #BusinessModel #GlobalLeader #BeverageIndustry #Innovation #Sustainability #MarketingStrategy #FinancialGrowth #HealthyChoices #SupplyChain #DistributionNetwork #BrandBuilding #FutureGoals #ViralContent #BusinessInsights #MarketingMagic #EcoFriendly #GlobalExpansion #IconicBrand #TechInnovation #CorporateStrategy #IndustryLeader #Trending #BusinessSuccess

Specialization Isn't Dead. Here's Why: PepsiCo has acquired 30 companies ranging from beverages to sportswear. Its rival The Coca-Cola Company is still exclusively a beverage brand. Coca-Cola has the privilege of focusing on one type of product, Pepsi has spent its time learning to sell in 5 different markets. You can imagine how much this has hurt their productivity. But to give you some context… In 2023, Coca-Cola made $45.030B in rev, and Pepsi made $91.617B. Yet, they had almost the same net profit for the year. At the end of the day, Pepsi is doing just fine. They’re the 2nd largest drink company and the 2nd largest snack company (Nestlé is #1). Is blind specialization outdated in today's dynamic market? That’s it in this post. See ya next time, Saurav Kumar ✌️ #SpecializationVsDiversification #FutureOfWork #CareerStrategy #BusinessGrowth #PepsiCoVsCoke

Why I enjoy catching up with Mondelēz International chairman and CEO Dirk Van de Put -- he keeps it real on what he is seeing in the business. If it's good and going to get better, he tells you. If it's not to great, he tells you that as well. He called out an important trend in our latest chat on Yahoo Finance today: "The inflationary environment is not easing at all." That from the maker of those delicious Oreos you are having for a snack tonight. Full watch below, and more deets here: https://lnkd.in/evNeGBsM

Are these true innovations or just gimmicks? It seems like many brands are struggling to find real innovation, so they mash up products with other brands, spend oodles of money on development and marketing, and call it "innovation." Here’s the difference. You be the judge: 🌍 Real Innovation: 💡 Solves Real Problems: Addresses genuine needs, improving lives and efficiency. 💡 Long-Term Impact: Creates lasting value, setting new standards or driving industry shifts. 💡 Scalable: Can grow and evolve, fitting into broader applications. 💡 User-Centric: Based on user insights, ensuring practical and enhanced experiences. 💡 Sustainable: Continues to provide value as markets and technologies evolve. 💡 Economic Value: Generates cost savings, efficiency, and new revenue streams. 🦄,Gimmicks: 🎩 Surface-Level Appeal: Focuses on aesthetics or novelty without solving real problems. 🎩 Short-Lived: Quickly loses appeal as novelty fades. 🎩 Lacks Depth: Designed to attract attention rather than offer practical solutions. 🎩 Marketing-Driven: Created for buzz or quick sales, not user needs. 🎩 Limited Usefulness: Offers little long-term value or scalability. Plant-Based Meat Alternatives, Sustainable Packaging, Waterless Personal Care Products, Eco-Friendly Cleaning Products are all recent examples of Real Innovation. #innovation #shoppercentric #improvinglives #sustainability #realneed #helpsconsumers #nogimmicks

Warmest high fives to Ellie Goulding, Ryan Ginsberg and Dean Ginsberg as SERVED® lists in the UK's mega-retailer, Tesco. Served is the first from our creative capital fund to begin an investment journey with Heineken, and this move has been over 18 months in the making. Founders of new food and drinks brands are struggling right now. Retail distribution is the favoured path to growth but is proving a tricky master. Supermarkets, who are by and large doing well in a cost-of-living crisis, are betting on the big, safe brands, including their own label offer. A battle of 'known' and 'own'. Traditional players have invested heavily in their master brands to keep us buying what we've always bought. With the allure of direct-to-consumer in the rearview mirror, new and better ideas need a break or a wedge in. Like all markets, only the really distinctive brands will get a shot at creating fresh (often value-added) energy in the basket. Wishing the very best as Served consolidates this important stage of growth. Stay gold. 🙏🏼 #tesco #readytodrink #brand #marketing #design

Last week, Carlsberg (🍺) agreed to buy Britvic (🧃) for £3.3 billion. But a single line in a contract with PepsiCo (🥤) nearly tanked the whole deal. Let me explain. People didn’t understand why Carlsberg (known for, well… beer) wanted to buy Britvic (known for Fruit Shoot). Young people *are* drinking less alcohol nowadays — so maybe Carlsberg wants to diversify. But diversify into Robinsons orange squash? Maybe... I'm not sure. Some people think the real reason Carlsberg wanted to buy Britvic was this: Britvic holds the exclusive license to make PepsiCo products in the UK and Ireland. If you're in the UK and you buy Pepsi, 7up, Mountain Dew or Lipton Ice Tea, Britvic made it. Now, that’s a *super* valuable contract for Britvic. But here's the issue — the agreement between Britvic and PepsiCo contains a "change of control” clause. This is how the clause works: if Britvic is bought by another company and undergoes a significant change in ownership (or “change of control”) then PepsiCo can terminate the contract. Why does this clause exist? It’s to protect PepsiCo — if a company it doesn’t trust takes over Britvic, PepsiCo might not have confidence in the new owner maintaining the quality it expects. So, if Britvic were to get bought, the clause gives PepsiCo the option to leave the agreement and find a new UK partner. So, technically, if Carlsberg buys the company, PepsiCo can leave. And that’s why PepsiCo was key to this deal — unless they agreed to keep the contract going with Carlsberg as the new owner, Carlsberg was *never* going to do the deal. So what ended up happening? Carlsberg convinced PepsiCo to waive their right to terminate the agreement! 🎉 PepsiCo agreed not to leave, Carlsberg made a £3.3 billion offer, and Britvic accepted it. In any acquisition, the buyer’s lawyers spend ages checking the target company’s big contracts for “change of control” provisions. Now you know why they’re so important. Found this post interesting? 💌 Sign up for LittleLaw (it's free): https://lnkd.in/e_PbNmmm

Mondelēz International posted a rise in fourth-quarter sales and profit margin, but price hikes are starting to soften demand as cash-strapped consumers cut back spending. Mondelez’s Global Senior Vice-President for Consumer Experience and Digital Commerce, Jonathan Halvorson, MBA recently shared the success formula of the #food giant In an exclusive podcast interview for WARC’s Marketer’s Toolkit. Jonathan explained the success of Mondelez in 2023 with the strength of the food manufacturers brands, the growing snacking category, a strong footprint in emerging markets, and a strong position with #retailers inside developed markets He also pointed out that increased #marketing investments into their brands enabled the Cadbury UK parent to execute higher prices during the last years of inflation Mondelēz Consumer Experience Lead for Europe & Global Brands, Qaiser Bachani recently also pointed out that big #advertising ideas and creativity played a majore role in the snacking giants success. For 2024, Mondelēz International projects organic net revenue growth of 3% to 5% and a high single-digit rise in profit. #fmcg #retail

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