Our unique and dynamic brand portfolio
To meet local market needs
With our unique portfolio of international premium brands encompassing every major category of wines and spirits, Pernod Ricard has one of the most comprehensive portfolios in the market. To allocate our resources in the best possible way, we implemented a Group-wide modular planning tool, the House of Brands. This tool enables our affiliates to prioritise their investments according to the growth potential of each brand in their local market.
Allocating resources in a way that is adapted to the needs of our brands means we can best leverage the impact of our investments, thereby fostering the Group’s growth. The House of Brands allows us to tailor our investment priorities and organise our portfolio of premium brands according to the local context and consumption habits, as well as the growth potential of each brand in each market.
This dynamic brand management tool allows each market to invest in line with the Group’s priorities (whether in Strategic International Brands, Luxury, Innovation, Strategic Wines or Strategic Local Brands) as well as its local context (such as the local moments of consumption, or specific conviviality experiences).
After identifying the potential of each brand in each segment, the market determines its local strategy based on three types of investment priorities: Stars, Growth Relays and Bastions.
For the brands that are categorised as Stars, the Group invests significantly in them since they actively contribute to current growth. Our Growth Relay brands, that are promising from a future performance perspective, also benefit from increased resources to continue promoting dynamic growth in the medium and long term. Meanwhile, the goal of our investments in our mature brands or those brands that are in a very competitive sales category, the Bastions, is to ensure that we protect their sales and profits.
This segmentation not only permits greater agility, taking full advantage of local market knowledge while serving the Group’s overall performance, but also contributes to maintaining a consistent and coherent dialogue between Pernod Ricard Headquarters and affiliates when resources are allocated. The House of Brands helps markets find the right balance between short, medium and long-term benefits and between growth, preservation and defensive strategies.
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