UK: Pernod Ricard CEO bemoans tough H1 for Havana Club

By | 21 February 2012

Havana Clubs sales were flat in the six months to the end of December

Havana Club's sales were flat in the six months to the end of December

The CEO of Pernod Ricard has voiced his disappointment with the performance of Havana Club in the first half of the company's fiscal year.

The Cuban rum brand, produced through a joint-venture between Pernod and state-owned Cuba Ron, saw sales flatline in the six months to the end of December. The performance comes on the back of consistently healthy performances for Havana Club in recent years: Sales in the 12 months to the end of June last year reached an all-time record high. In Pernod's first quarter, however, sales for the brand were down by 2% with volumes rising by 1%.

Speaking to media at a briefing in London this morning (21 February), CEO Pierre Pringuet said he felt a return to sales growth for Havana Club is imminent. “I would agree, it's disappointing,” said Pringuet. “We started the JV in 1993. Since then, we've had year-on-year double-digit growth on the brand. So, zero is disappointing.”

Pringuet highlighted tough economic conditions in two of Havana Clubs main markets, Italy and Spain, for the flat performance. “Also,” he added, “we had a change of distributor in the fast-growing market of Chile: That always creates de-stocking.

“The past six months were not the most satisfactory,” he continued, “but I have no doubt that Havana Club will return to positive growth and possibly to a double-digit rate.

Pringuet also said that the company is lining up the launch of a new Havana Club variant in Spain. 'Ritual by Havana Club' will be released this month, targeting both male and female consumers in the country. “Even in a market like Spain,” he said, “we are making investments, with the idea of boosting the performance of Havana Club.”

When asked for a time frame for a return to growth, Pringuet said: “I don't know. But, the sooner the better.”

Expert analysis

Pernod Ricard SA (RI) - Financial and Strategic SWOT Analysis Review

This comprehensive SWOT profile of Pernod Ricard SA provides you an in-depth strategic SWOT analysis of the company’s businesses and operations. The profile has been compiled by GlobalData to bring to you a clear and an unbiased view of the company’s key strengths and weaknesses and the potential opportunities and threats. The profile helps you formulate strategies that augment your business by enabling you to understand your partners, customers and competitors better.

Sectors: Company results, Spirits

Companies: Pernod, Havana Club, Ricard

There are currently no comments on this article

Be the first to comment on this article

Related research


This report analyzes the worldwide markets for Wine in Million Litres. It includes all wine categories, still, (red, white and rose), sparkling, fortified, vermouth, non-grape wine, wine coolers and ice wine. The report provides separate comprehensiv...

Related articles

Comment - Spirits - What makes a brand 'global'?

How do you define a truly international brand? And does it matter. Can it be decided purely on volumes? Patience Gould digs out her atlas as she ponders the issue

Product Launch - AUS/NZ: Pernod Ricard's Jameson Perfectly Crisp Cloudy Apple and Jameson Natural Ground Raw Cola

Pernod Ricard's Jameson Perfectly Crisp Cloudy Apple and Jameson Natural Ground Raw Cola

TRAVEL RETAIL: Pernod Ricard unveils limited edition Jameson bottle

Pernod Ricard has launched a limited-edition bottle for its Irish whiskey brand Jameson in the travel retail market.

just-drinks tagline

Not a member? Join here

Decrease font sizeDecrease font sizeDecrease font size Increase font sizeIncrease font sizeIncrease font size Comment on this article Email this to a friend Print this page