Blog: Pernod Ricard drinks from Asia's well
Chris Mercer | 21 October 2010
Pernod Ricard's first quarter net sales have rebounded to levels higher than those of the care-free, pre-crisis days, but the figures are another sign that the firm's regional power base is shifting.
Pernod's CEO, Pierre Pringuet, might allow himself to relax with a little Ricard this evening - and not only to boost the brand's volume sales.
Pernod's EUR1.88bn (US$1.67bn) in net sales for the three months to the end of September are 14% ahead of the same period last year and, more importantly, are up on the EUR1.76bn in the pre-crisis, first quarter of 2008-09.
True, there was a boost from exchange rates, but the pace of like-for-like sales growth in the quarter was double that of the firm's great rival, Diageo.
Analysts were upbeat on the news. Pernod beat their sales estimates by 4% and has offered profits guidance that is both stronger and earlier than usual.
However, it cannot be said that the situation in much of Western and Southern Europe, as well as the US, has returned to normal following the global economic downturn.
Rather, Pernod's first quarter is yet more evidence of the group's shifting weight in the direction of Asia. Just look at the figures: Asia saw sales rise by 25%, compared to flat sales in the US and a 2% rise in Europe that was predominantly led by Russia.
Pernod's rapid recovery owes a lot to China's thirst for Martell, as well as Asia's demand for Scotch whisky.
For those people looking to the Red Planet as shining utopia away from all things earth, look away now....
Bacardi's 42 Below vodka brand has found a novel way to use the lemons left over from cocktail-making: Turn them into liquid soap....
Philadelphia’s soda tax came into force on Sunday, and is reportedly causing a stir in the city's check-out aisles....
Earlier this month, I was most-kindly invited by Accolade Wines to visit the Royal Albert Hall in London. The reason? They wanted to see a tennis great in action, and then give them a guided tour thro...
- Most Valuable Spirits Brands in 2017 - The facts
- Most Valuable Beer Brands in 2017 - The facts
- Diageo Africa president O'Keeffe on beer & spirits
- Travel Retail needs a disruptor - Comment
- What the future looks like for Australian wine
- Diageo ready to lock horns with AB InBev in Africa
- Heineken sees Tesco pull SKUs in UK
- Coca-Cola Co announces senior executive shake-up
- Fever-Tree eyes bumper NPD, pack formats for 2017
- Heineken mulls M&A with $1.75bn notes issue
- Central and East Europe Report Package
- Battle of the Generations - The fight for iGen, Millennial, Gen X and Baby Boomer consumers
- Global vodka insights - market forecasts, product innovation and consumer trends
- Global Scotch insights - market forecasts, product innovation and consumer trends
- Global liqueurs insights - market forecasts, product innovation and consumer trends research