Matt Gregory

I'll be at 👉 (https://lnkd.in/geS8v3aq) the NielsenIQ C360 conference in Phoenix - May 13-16 as The CPG Guys. Will you be there as a senior leader to discuss today's important #cpgindustry topics? 1.) Total store optimization in a post pandemic world? 2.) What does today's truly #omnichannel shopper journey look like? Have #retailmedia networks changed full funnel #omnichannelmarketing? 3.) Of course, all about #artificalintelligence 4.) #innovation - most large brands temporarily slowed it down over the pandemic - now its back to the mayhem. Shelf space is not unlimited - who wins, who loses and who doesn't belong on the shelf in the first place. Watch Liz Buchanan (NA, president), Jamie Clarke (NA retail), Andrew Criezis (President, #ecommerce) and so much more.

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The US Beer industry landscape is changing fast. AB InBev's North America Normalized EBIT declined by over $1.3 B from 2022 to 2023. The volume market share decline (relative to Molson Coors Beverage Company and Constellation Brands) contributed to that EBIT decline by an amount of $400 Million. It has not helped that overall volumes between these three major players has declined by over 4%. It's a general sign of the headwinds facing the beer category as shopper and consumer preferences shift. For #ABInBev, that overall market decline cost them another $200M. A just less than 4% increase in Net Pricing contributed a +ve $560Million to the Normalized EBIT change, but was insufficient to mitigate the increased inflationary unit costs associated with Cost of Sales and the de-leveraging of other SG&A operating expenses. It will be interesting to track how these components of EBIT will change for 2024, given growth constraints associated with market share gains and price increase ceilings. Looks like some drastic OPEX cuts might be the only short-term remedy for now as AB InBev looks to rebuild brand equity and volume share. Send me a DM or write "send" in the comments section and I will forward you the document that also contains the related MVA operating breakdown for #MolsonCoors and #ConstellationBrands. It's interesting to see how and to what extent Molson Coors and Constellation Brands benefited from AB InBev's headwinds. You will also see why Constellation Brands might be the longer term winner here. #Beerindustry #beercategory #beerdistribution #Heineken #BeverageAlcohol #Asahi #Carlsberg #BostonBeer #beer #beverages #BudLight #MillerLite #CoorsLight #Corona #ModeloEspecial

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Politics aside, I think we can all agree that WAY too many direct CPG brands are reeling right now 😥 And it’s truly sad as the founders have put their🩸, sweat and tears into these businesses, which now have: 🏪 Strong retail distribution 🥫 Unique products with true-ish differentiation 😋 Great flavor profile and hedonics 🌀 Relevant and well designed branding 💲 Price points that align with target audience So why are they failing? Three major reasons that I’m seeing: 1) Lack of investor commitment:  Previous standbys in the Food/Bev VC space have not secured new funding or now have alligator-arms when reaching for more funding as they have been ‘burned’ by this category.  So financing has to be more creative and linked to specific milestones.  2) MVPs don’t work in food:  Those who come into the industry hoping to create and launch a ‘minimally viable product’, and then upgrade regularly in the future like they do in tech, are quickly realizing that is not possible.  The regulatory environment, manufacturing, and retail make that much more difficult in this category.  And if you launch a brand that doesn’t do well, consumers and retailers won’t take another look when you upgrade it! 3) Supply chain costs are crazy:  Ingredient costs are increasing weekly for certain raws (e.g. organic cacao), strength of third-party manufacturers (who have full production schedules) and their ability to flex pricing and schedule are impacting businesses, and transportation costs have increased to get products to the end consumer. I’m sure in the future we’ll look back at this period as one of creative survival, innovation, and collaboration, but right now it just sucks 👎 for so many brands and businesses out there and I feel for you. If you are one of these brands or know of one, feel free to reach out 📲 to see if the folks here at Palm Venture Studios would want to take a look.

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Did you ever think of shopping as a team sport? Our #pepviz Hispanic Shopper Insights reveal that 79% of Hispanics go shopping with someone else. This makes them twice as likely to shop with others than shoppers in general and also 77% more likely to like and engage with store displays. This is why it’s so important for us at PepsiCo to innovate products and create new campaigns to engage with all of our customers and consumers.   Learn more interesting Hispanic Shopper behaviors and findings here: https://bit.ly/pepviz-data   Kate Garner, Antonio Escalona, Esperanza Teasdale, Erin Ness Cathey, Shannon Amundson, Ryan Sexton, Aracely (Cely) Moreno-Mosier, Valeria Rivas, Monica Bauer Mengelberg

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As we close Alcohol Responsibility Month, I sat down with Stacey D. Stewart, MBA CEO of Mothers Against Drunk Driving (MADD), for a fireside chat with the Diageo community to discuss the importance of partnerships to address the harmful consumption of alcohol.   In February, we joined forces with MADD to support their mission to end impaired driving, which has helped save nearly 400,000 lives and served nearly 1 million victims in the last 43 years. We were also honored to become the inaugural member of the MADD Network.   As part of this partnership, MADD joined Diageo’s Multicultural Consortium for Responsible Drinking, a working group established with influential members of the Black, Latino and Native American communities to explore a new approach that helps reach distinct demographic groups in the U.S. with resources and education.   Reflecting on our shared mission, I’d like to share two key takeaways from my conversation with Stacey: It’s not just what you communicate, it’s how you communicate it. An important part of MADD’s work is ensuring its message and mission to end impaired driving is broadcasted widely and part of the public discourse, so partnerships like those with Diageo North America, National Football League (NFL) and other corporations help expand their reach. There is a role for everyone to play to help end impaired driving. We discussed the importance of more individuals and organizations joining us in the MADD Network to help end this public health crisis. Interested people can learn more at https://lnkd.in/ekk8CR7Y. It was a real honor to exchange ideas with Stacey on the opportunities ahead. With our combined expertise, networks and educational resources, we are stronger together to raise awareness and help save lives. Watch this clip from our conversation:

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Coke vs. Pepsi? Not so fast.   For the first time, Keurig Dr Pepper Inc. has now claimed the #2 soda spot in America, surpassing PepsiCo, who had held the position for over two decades. Their innovative marketing initiatives and unique blend of flavors have truly set them apart from the competition. I had the chance to discuss Dr. Pepper's remarkable rise with The Food Institute, emphasizing their strategy and how they have particularly resonated with the younger demographic, who crave diverse flavors beyond traditional cola.   In the article, I mentioned: "Dr. Pepper has distinguished itself through effective marketing campaigns that emphasize its unique flavor and individuality. This strategy resonates particularly well with younger demographics seeking alternatives to traditional cola drinks."   With Dr. Pepper's leap to the #2 position, do you think they have a shot at dethroning The Coca-Cola Company from the #1 spot? In which other categories do you think a shift like this is possible? Read the full article here: https://lnkd.in/g572y5jv   #MarketingStrategy #BeverageIndustry #Innovation #DrPepper

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#FMCG companies aim to divest their way to growth Divesture value has been exceeding acquisitions value for the world largest #CPG players since 2023, and it is likely to continue considering recent announcements (Unilever Ice Cream) & on-going rumors (Kraft Heinz & Oscar Mayer...) Few reasons for this: 1) Pressure is on to get back to mid-term guidance on top-line which is often hard in a post price increase context (>50% of the top 50 listed FMCG companies missed their topline guidance in Q4 2023) while recovering pre-COVID profitability (at end 2023 >70% failed to do so) 2) Divesture is often the fastest/ easiest way to improve organic growth & profitability footprint especially when companies have a large business with much lower growth, much lower profitability & that comes with limited di-synergies in case of carve-out 3) If leverage level for the top 50 FMCG companies is on average at an acceptable level (x2.7 at end 2023 vs. the generally accepted x3 level), some FMCG companies exceeds the threshold (AB InBev, Kraft Heinz, Nestlé, Mondelēz, General Mills, Danone, HEINEKEN, Asahi, CCEP...) 4) At a time top-line growth is becoming tougher, shares buy-backs are increasingly leveraged to drive EPS growth. So the proceeds of divesture can really help there especially for the companies with the most constrained B/S 5) Finally, high ROI M&A remain scarce because of the rarity of quality (mid-size, same categories than acquirer's, strong growth track record, complementary to acquirer's portfolio, scalable growth model that could benefit from GTM synergies) & well-priced assets PE funds & public markets (thru IPOs) will be most often the exit scenarios for those divestures. If large FMCG carve-out assets can sometimes deliver better results under (partial) private ownership (cf. Froneri), not all end up being a success. So caution prevails Exciting times ahead on divesture and M&A front in the FMCG industry in 2024 To read our full perspective: FMCG CEOs: M&A Q1 2024 In Review - A New Bottom & Four Reinforcing Trends 𝗟𝗶𝗻𝗸 𝘁𝗼 𝘁𝗵𝗲 𝗳𝘂𝗹𝗹 𝗽𝘂𝗯𝗹𝗶𝗰𝗮𝘁𝗶𝗼𝗻: https://lnkd.in/efD5RNWX 𝗧𝗼 𝗴𝗲𝘁 𝘁𝗵𝗲 𝗰𝗼𝗿𝗿𝗲𝘀𝗽𝗼𝗻𝗱𝗶𝗻𝗴 𝗱𝗲𝗰𝗸, 𝗽𝗹 𝗹𝗲𝗮𝘃𝗲 𝘆𝗼𝘂𝗿 𝗻𝗮𝗺𝗲 𝗶𝗻 𝗰𝗼𝗺𝗺𝗲𝗻𝘁 𝗧𝗼 𝗴𝗲𝘁 𝗮𝗹𝗹 𝗼𝘂𝗿 𝗶𝗻𝘀𝗶𝗴𝗵𝘁𝘀, 𝗳𝗼𝗹𝗹𝗼𝘄 𝘂𝘀/ 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲 𝘁𝗼 𝗼𝘂𝗿 𝗙𝗠𝗖𝗚 𝗖𝗘𝗢𝘀 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿: https://lnkd.in/ea4gy65y #strategy #mergersandacquisitions Frederic Fernandez & Associates

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Instead of always thinking Optimum Nutrition needs to be the "clear winner" in every protein category format for Glanbia Performance Nutrition (GPN), maybe ISOPURE is the better RTD protein beverage offering to compete against the likes of market leaders…Premier Protein, Fairlife/Core Power, and Muscle Milk. But you might be wondering why hasn’t ISOPURE been successful to those massive levels yet after ~26 years in market? - packaging swap needed - marketplace timing patience needed - retail/distribution strategy shift needed - protein technology advancement needed These internal/external factors could be converging together quickly...but will Glanbia be aggressive enough to take full advantage of it? #strategy #trends #markets #fmcg #cpg #sportsnutrition #supplements #protein #beverages #innovation #nutrition #health #wellness #productdevelopment #marketing #retailing #retail #grocery #merchandising #business #businessintelligence #entrepreneurship #consultants

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PepsiCo today announced its Q2 2024 financial results. At a total company level it missed expectations for second-quarter revenue, as a series of price hikes and competition from private-label brands slowed sales of its snacks and sodas mainly in the United States, its largest market and consumers buying lower volumes. Analysts have said that product prices, which are starting to normalize after nearly two years of multiple hikes, are still higher than pre-pandemic levels, giving packaged-food companies such as PepsiCo little room to raise prices as volumes shrink, with price conscious consumers opting to either buy less or choose smaller pack sizes. PepsiCo raised average product prices by +5% for the quarter ended June 15, in line with the first quarter. However, overall organic volumes slipped -3% in the reported period, volumes subdued as consumers had become more value-conscious while spending. "Throughout we are seeing much more price sensitivity and consumers looking for more value across all income groups. Now that is something that we have to take into consideration," PepsiCo CEO Ramon Laguarta For the PepsiCo beverages portfolio, North America delivered +1 percent organic revenue growth in the second quarter of 2024, which compares to +10 percent organic revenue growth in the second quarter of 2023. Net revenue growth accelerated sequentially for Pepsi and Mountain Dew, as zero sugar variants and certain flavor extensions continued to perform well. Gatorade brand gain market share in the sports drinks category in the second quarter. Other brands such as Bubly and Propel delivered double-digit and mid-single-digit net revenue growth, respectively, in the second quarter. PepsiCo beverages business will continue to focus on driving profitable growth with focus on the following areas; • Scaling positive choice offerings such as the zero sugar variants that can now be found across the portfolio of key brands including Pepsi, Mountain Dew, Gatorade, Starry, Mug, Rockstar and most recently, Lipton Pure Leaf; • Extending sports nutrition and hydration solutions with Gatorade, Propel, Bubly and LifeWTR brands – which includes our continued initiatives to expand beyond the bottle at Gatorade and Propel with enhancers, tablets, and powders; • Advancing its presence within the highly profitable energy drink category through its existing brands and successful distribution partnership with Celsius. #pepsico #pepsi #beverages #energydrinks #zerosugar #sportsdrinks #soda #softdrinks #celsius Simon Redshaw Simon Bellchambers Richard Heapes Sheelagh Pentony Thomas Hahlin Ahlinder Erlon Pereira Carol Dunne Gwyneth Kelly Nicola Weldon Marc LEJEUNE Joshua Schall, MBA Jim Watson William Lynch Romel Doshi, MBA Sam Choucha Jean Noel Ortal David Deeley Brian Short Farrah Gilsenan

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We're breaking down the $214 billion snack market! 🍽️ Our latest research emphasizes the crucial role of on-shelf availability, which has improved in 84% of categories. Key takeaways include: 🥘 Flavor preferences shape consumer choices - 83% of consumers opt for familiar tastes despite economic pressures. 🍿 Social media and screen time influence snack choices - 34% of consumers discover snacks online, 20%+ snack while watching TV. 👥 There is growing opportunity for snack brands to engage more deeply through cultural events and integrated marketing strategies. 🤝 Optimizing product offerings, streamlining supply chains, and utilizing loyalty programs are strategic moves to build stronger customer relationships and drive growth. 🥗 Trend toward balancing indulgence with health-conscious options reflects consumers' focus on nutrition and diet. Read more on how brands can navigate these #SnackingTrends here: https://lnkd.in/dqK465hN #FoodIndustry #SweetsAndSnacks

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Despite a decline in sales growth, dietary supplements sales remain higher than they were before the pandemic. 25% of consumers also report that their trust in the industry had increased following COVID-19, with a further 72% reporting no difference. A trade war with China could seriously damage this. As the world's biggest supplier of Vitamin C, China plays an important role in supporting the supplements industry. Disruption to the supply chain could erode trust and cause recent adopters to stop purchasing supplements. Relationships matter now more than ever. At Prinova, we're committed to fostering strong connections with our Chinese suppliers to minimize disruption and ensure consumers stick around for the long haul. #WeArePrinova #Supplements #PrinovaGlobal #SupplementsSupplyChain

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🍿 Amid pandemic-driven shifts towards grocery shopping and home dining, coupled with rising inflation, the salty snack category has faced challenges. Our mission: uncover trends and opportunities for clients. 🔍 Insights revealed a growing focus on health-focused ingredients, flavor innovations, and the profound impact of social media on consumer behavior. 📊 Over 4 weeks, our team analyzed over 2.5 million data points from company sites, social media, news, and brand platforms to guide a leading snack company. 🌐 Discover how CREWASIS is reshaping market strategies with advanced data analytics. Book a demo today: https://crewasis.ai/ #SnackIndustry #MarketTrends #ConsumerInsights #CREWASIS #AI #DataAnalytics #BusinessGrowth #MarketingStrategy

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Feeling the pinch of Private Label brands? This article has some great insight from our practitioners on multi-functional approaches you should consider.

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Why is this the smartest thing Walmart has ever done in Private Label? During the pandemic, Walmart experienced unparalleled growth across demographic profiles, but as inflationary pressures entered the equation the past couple of years, Walmart has experienced nearly all or in some cases their entire growth (depending on the category and dept) from High income shoppers. And, it wasn’t from just shoppers already in the box—it was from channel shifting coming from the broader retail landscape. What makes that shopper unique is their participation in Private Brands at their former retailer of choice, more upscale Private Brands at Target, Kroger, HEB, Publix etc. With that shopper now in the Walmart stores, and the fact that these inflationary pressures won’t last forever, how do you keep them? How do you elevate the Private Brand experience for that shopper group and over-deliver on what an elevate private brand can be? And, as we continue to gain knowledge on how food can be the driver of our health, how do you also provide more access to healthy, life-giving foods to all income groups and demographics? How do we address the fact that many people experience lactose intolerance and have a dietary need for non-dairy products in their everyday lives? Or, that many children and adults suffer from dairy, egg and other food allergies that require them to access foods without these ingredients? Have a family member that are lactose intolerant or a milk allergy—why should they not have access at the best possible prices to incredible, delicious, non-dairy products that address those needs? Enter Bettergoods. It addresses so many of these questions and is just getting started. This is one more reason why Walmart is for every shopper, every income group, and every demographic profile. This launch demonstrates Walmarts strategic thought leadership, being aware of what is happening with the shopper in their box, and being willing to meet the needs of these shoppers. I can’t wait to see how far this brand goes and how many people are positively impacted by it. Kudos to Denise Wright for being the visionary leader and to her team for bringing this opportunity to life for Walmart. Well done. #Walmart #PrivateLabel #BetterGoods #NonDairy #Culinary #ChannelShifting

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