Integrated Annual Report FY23

Europe and other markets

Europe and other markets

Real-life convivial moments

With our long-standing On Trade relationships and agile resource allocation, Pernod Ricard enjoyed strong growth from the rebound of “in real life” conviviality, with consumers catching up on the social occasions they had missed. In the UK, the On Trade bounced back faster than many expected, surpassing pre-Covid levels. We quickly gained share through sustained investment in On Trade activations and AI assisted field sales activity to reach the #2 position.

Effective local marketing strategies

Jameson’s “Widen the Circle” campaign supported the real-life socialising boom and was a key part of the brand surpassing four million nine-litre cases sold in the EMEA region. The brand’s partnership with Aisling Bea continues Jameson’s long history of challenging whiskey conventions and stereotypes. Our AI powered marketing effectiveness tool helped drive success by selecting highly efficient marketing touchpoints. In South Africa, a focused TV commercial investment helped deliver 20% top-line growth, and accelerated our market share growth in the whiskey segment.

Read more about the Widen the Circle campaign on page 30

On trend with daytime occasions

The longer-term trend towards lighter, fresher drinks consumed during daytime occasions continued in Europe. Lillet, our French aperitif with lighter alcohol at 17% ABV and served as a refreshing long drink, continued with very strong growth approaching one million nine-litre cases sold in Germany. In March the brand launched Lillet RTDs, the most successful innovation in the German drinks market(1).

The return of vodka

The popularity of vodka made its return, driven by the cocktail trend which really caught on as people experimented with making drinks at home. Absolut’s “Born to Mix” campaign, which spanned a range of markets from Brazil to the UK to South Africa, celebrated Absolut’s unrivalled flavour range and mixability resulting in double- digit top-line growth. In January, Absolut launched Smoky Piña in Mexico, a new brand innovation inspired by classic Mexican flavours, to connect with Gen Z consumers of legal drinking age, and Absolut Sensations in Germany with a lower ABV, extending the brand’s versatility even further.

Europe, the Middle East and Africa were powered by the broad- based growth of both markets and brands, manifesting Pernod Ricard’s depth of portfolio and reach in route to market. Sustained A&P investment combined with AI-powered marketing effectiveness delivered brand equity gains across almost all markets.”
Gilles Bogaert, EVP, Global Markets

(1) Nielsen IQ/Market: LEH+DM+C&C - Product Innovations - Measure: Value Sales in K€ - Period: MAT June 23