“Pernod Ricard aspires to offer tailor-made consumer experiences”
French distiller Pernod Ricard, known for its popular brand of alcoholic beverages such as Chivas Regal, Glenvit and Absolut Vodka, has made significant expansion plans for India, which is one of its fastest growing markets. fast to the world. In an interview with mint Thibault Cuny, Managing Director and CEO of Pernod Ricard India shared the company’s roadmap as it seeks to further consolidate its market share. Edited excerpts
Pernod Ricard India recorded strong growth in net sales of 27% in the first quarter despite a global pandemic. What were the factors that contributed to this growth?
Pernod Ricard’s sustained investment strategy, combined with the on-trade dynamic, enabled us to achieve double-digit revenue growth as well as very good growth in net income in Q1FY’22. Contributing factors include robust demand, heavy shipments ahead of the holiday season, and a strong premiumization trend in India despite the pandemic.
What are your main priorities for increasing your long term growth strategy for India?
As a leader in the premium brand sector, Pernod Ricard aspires to offer personalized or differentiated consumer experiences and product offers. We are committed to building The Conviviality Platform Company – to unleash the magic of human connection. Our strategy is an unwavering focus on premiumisation, innovative data-driven consumer experiences, digitization and new formats to meet the preferences and ever-changing segments of consumers; and paving the way for disruptive consumer trends. The acquisition of Seagram’s by Pernod Ricard India in 2003 paved the way for the country’s premiumization. We continue to focus on growing our upscale and luxury portfolio – which is truly representative of our DNA / heritage, widening the leadership gap in our operating segments, strengthening organizational capacity in the business chain. supply, data and amp; analysis, digitization and automation of installations. As a user-friendly company, we remain committed to investing in our people, fostering a culture of agility, innovation and focus; collaboration, nurture entrepreneurship in the ecosystem and transform communities.
With the opening of the travel and hospitality sectors, do you see any positive outlook for the alcobev industry in the coming quarters? What are the emerging trends in the sector?
Emerging consumer trends will define how the industry moves in tandem. Contrary to conventional expectations, the industry has witnessed an acceleration in consumer demand for premiumization, even in the midst of the pandemic. Consumers today are prepared to invest more if the product offers quality and contributes to their safety. Long-term positive demographic and socio-economic trends driven by a growing young population, a growing middle and affluent class, growing purchasing power and rapid urbanization, trend premiumization is generating greater momentum. We will potentially see an upsurge in revenge tourism as people seek to break free from the mundane routine caused by the ânew normalâ. We believe we are well positioned in the industry with our range of premium and luxury product offerings and initiatives in India.
What are your plans for the premium / luxury category?
Premiumisation is in our DNA – and we are committed to continuing that heritage. Our premium category is designed to deliver better quality, which translates into a superior consumer experience. Over the next few years, Pernod Ricard India will focus on maintaining leadership in revenue growth, introducing a range of premium brands from our stable including – KiNoBi and Malfy Gins – our Japanese gins and premium Italians, Ballantine’s 7YO Bourbon Finish Scotch Whiskey, Lillet, Havana Club 7 years and in addition, expanding our wine portfolio by focusing on Spanish and New Zealand wines. In line with our renewed focus on the customer experience, at physical and digital touchpoints, we will respond to consumer preferences tailored, delivering a luxury experience within a global and scalable inter-market system.
Pernod Ricard has followed the path of acquisitions to accelerate its growth and its portfolio on a global scale. Are there similar projects for India?
India remains a strategic market for Pernod Ricard. We are committed to nurturing and growing the ecosystem aligned with our ethics of conviviality without excess. Conviviality Ventures, the Group’s investment arm, invests and supervises small businesses, startups and adjacent businesses and entrepreneurs. We intend to invest up to 100 million euros (880 crores INR) in various markets including India.
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