Diageo is hosting an investor conference this week that focuses on the companies operations in Africa. Here, just-drinks reviews the company's African footprint.

  • The continent is incorporated into Diageo's Africa, Eastern Europe and Turkey division, which is headed up by Nick Blazquez (president, Africa, Turkey, Russia, Central & Eastern Europe, global sales). Andy Fennell, formerly chief marketing officer for Diageo, is the president & chief operating officer for Africa.
  • The continent comprises 53 countries; Diageo has a presence in 40 of them.
  • Africa accounts for around 70% of the division's volumes and net sales. It also accounts for virtually all of the unit's beer sales, but only 40% of its spirits sales. Diageo's sales in the continent are split 55% beer, 35% spirits and 10% non-alcoholic, carbonated malt-based drinks.
  • The Guinness brand accounts for 45% of Diageo's beer volumes in Africa. The biggest markets for the brand are Nigeria, Kenya, Ghana and Cameroon.
  • Future economic growth across Africa is described by Diageo as “compelling”. According to the IMF, the GDP of Nigeria, for example, in 2012 stood at around US$53bn. By 2050, the country's GDP is estimated to reach around $5,960bn. While Angola is set to rise from a GDP of $122bn last year to $1,040bn in 2050, Ethiopia is expected to jump from $38bn last year to $1,500bn in 2050. Indeed, six of the world's ten country's with the fastest growing GDP are in Africa.
  • The firm uses the same adjective to describe the continent's long-term demographic changes. The populations of Angola, Kenya, Nigeria and Ghana are all forecast to double between 2012 and 2050. Uganda's population, meanwhile, is expected to more than double in the period.
  • With these rises in population, the number of legal drinking age consumers will also jump markedly. Citing the African Development Bank, Diageo believes that there will be around 65m more LDA consumers in Africa in the next decade. Uganda, Tanzania, Angola and Kenya will see the largest increases in ten years time.
  • The continent is relatively data poor. A so-called 'shadow economy' operates in most markets; this is defined as an economy that is not captured by formal data. The main countries that have this white space is Tanzania, Nigeria, Zambia, Senegal and Uganda.
  • Diageo has boasted a compound annual growth rate (CAGR) in Africa of 13% from fiscal 2007 to fiscal 2013. In fiscal 2007, the continent accounted for 9% of the company's annual net sales value: In fiscal 2013, that share had risen to 13%.