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★ Coca-Cola announces sell-off of bottling ops :– → That's an interesting development! Coca-Cola's decision to sell off its bottling operations has been in the works for a while now, and it's finally happening. Here's a quick breakdown :– ★ What's being sold? ▪ Coca-Cola is currently divesting its asset-heavy bottling operations in various regions, including India and North America. ▪ This includes selling off bottling plants and transferring business operations to existing bottlers. ★ Why is Coca-Cola doing this? ▪ The company wants to streamline its business and focus on its core strengths, which are marketing, branding, and developing new beverages. ▪ Owning and managing bottling operations is capital-intensive and requires a different set of skills than what Coca-Cola excels at. ▪ By selling off these assets, Coca-Cola can free up resources to invest in other areas, such as digital marketing and R&D. ★ What are the potential impacts? ▪ The sale could lead to job losses in the bottling sector, particularly in regions where Coca-Cola is selling off its own plants. ▪ It could also change the dynamics of the beverage industry, as smaller bottlers become more powerful. ▪ However, it could also lead to increased efficiency and innovation, as bottlers compete to win Coca-Cola's business.

I like the fact that we use actual data to discuss different approaches to marketing spend for better outcomes. #MaximizingROI #BusinessAdaptability #DataDrivenDecisions #Hashting

Coca-Cola’s long held top spot as the biggest U.S. beverage company by market value may soon be toppled by rival PepsiCo, according to Wall Street analysts. Coca-Cola has held the top position largely uninterrupted for the better part of two decades. Kaumil S Gajrawala at Jefferies, a Wall Street analyst who has initiated coverage of PepsiCo with a buy rating, projected that PepsiCo’s shares will rise more than 20% over the next year to $203, for a market value of about $279 billion. That would top the roughly $277 billion market capitalization implied by his $64 target for Coca-Cola, which he rated a hold. The Coca-Cola Company https://lnkd.in/dSJcYR8K

Did FMCG manufacturers increase prices too much ? Where does the limit of price elasticity lie? What now? Many (all?) FMCG brands have increased prices. Result: higher turnover & margins but lower volumes. A success story ??? Heineken example: Turnover +5% < > volume sales -5% < > operating profit -9% Did Heineken increase prices too much? Did they reach the limit of price elasticity? So what's next ? Will volumes & profit start to increase again? Or will brands get caught in a downwards spiral? Lower profit >> less marketing budget >> less support in media & promo >> lower sales volumes >> lower profit >> ... ?? What's the impact on marketing & sales investments in both scenarios? 1 thing is certain: brands will need to increase the effectivity and efficiency (ROI) of all marketing and sales investments https://lnkd.in/eTQgHnue

Compared to September 9, 2022, PepsiCo reported a 12% increase in net revenue for Frito-Lay North America's international operations (FLNA) in the third quarter of 2023. Ramon Laguarta, chairman and chief executive officer of the organisation, underscored the company's commitment to transformational decision-making through digitalization and automation in every facet of operations. Urbanisation and the growth of the middle class were emphasised as significant factors influencing the adoption of PepsiCo's product categories, including munchies and beverages. Additionally, Laguarta emphasised the organisation's portfolio transformation strategy, which encompasses the enhancement of snack preparation methods and the reduction of sodium, fat, sugar, and product portions. He is confident that the portfolio can be repositioned in the future in light of these structural trends and that the organisation's portfolio strategy provides adequate safeguarding against potential future developments. According to the transcript of the company's earnings call for the third quarter of 2023, the organisation continues to invest in automation and digitalization and promote transformation.

Exploring the Genius of Coca-Cola's Supply Chain #SupplyChain #CocaCola #BeverageIndustry The Coca-Cola Company is the world's largest beverage firm with 48% market share globally. Its supply chain is a marvel of innovation and efficiency. Notable features include: DOIP model for demand forecasting and inventory optimization Rigorous supplier selection and cost control Stringent quality monitoring across bottlers, distributors and retailers Streamlined logistics for warehousing, shipping and after-sales ABC analysis driving inventory and production planning Customized loading solutions meeting storage and transport needs Strategic bottling partnerships across 33 plants in China User-centric design aligning systems to customer needs Performance management framework focused on quality and costs The secret to Coca-Cola's success? Blending global scale, strategic partnerships and meticulous execution powered by consumer-centric thinking. https://lnkd.in/g8wUPNV

🌟 From Supply Chain to Sales: A Career Evolution 📦➡️💼 My career journey began in supply chain, where I gained invaluable insights into the effort it takes to move products from production lines to retail shelves. 🚢🛒 But an unexpected turn led me to sales. This transition, while surprising, has proven invaluable. Understanding supply chain metrics has allowed me to provide solutions to meet customer expectations. 📊🔍 Speaking of supply chain advancements, I'm excited about Kraft Heinz's $400 million investment in an automated CPG distribution center. This innovation will enhance our operational efficiency, providing us with a competitive edge in the market. 🏭🚚 #hereatkraftheinz #kraftheinz

Food CPG makers are hungry for M&A, but taking ‘disciplined’ approach to acquisitions E-commerce trailblazers, listen up! In the world of big-league M&A, food CPG giants are playing a strategic game. No longer diving into mega-deals, they're meticulously selecting acquisitions to amplify their presence in thriving sectors. Think Hershey expanding into salty snacks with Dot’s and Coca-Cola boosting its stake in better-for-you sports drinks through BodyArmor. Now, imagine Mondelēz International, the mastermind behind Oreo and Cadbury, making waves by gobbling up Clif Bar, enhancing its foothold in the high-growth bar business. This isn't a one-time affair; Mondelēz has been on a spree, snatching up Give & Go, Hu, and Tate’s Bake Shop, building an even mightier snacking portfolio. But it's not just Mondelēz in the game. General Mills, with Cheerios and Nature Valley in its arsenal, is eyeing acquisitions to enhance its growth profile. J.M. Smucker is strategically divesting pet food brands to fuel potential acquisitions, showcasing the art of financial juggling. In the realm of M&A, caution is key. Executives emphasize a disciplined approach, with Hostess Brands CEO, Andy Callahan, highlighting the need for acquisitions to seamlessly integrate into their business and capitalize on expertise. Meanwhile, Conagra Brands, led by Sean Connolly, takes a measured stance, prioritizing debt reduction and balance sheet cleanup post a massive $10.9 billion takeover. As the curtain falls on last year's 254 deals in the food and beverages sector (a slight dip from 2021), a shift is palpable. Companies are eyeing smaller, nimble acquisitions, aligning with consumer trends and portfolio synergies. Brace yourselves, e-commerce maestros; the M&A landscape is evolving, and strategic moves are the name of the game! https://lnkd.in/eV5ECvW7

PepsiCo Clears Path for Carlsberg's Potential Britvic Acquisition Carlsberg Group's pursuit of Britvic plc has gained new momentum as PepsiCo has agreed to waive a crucial change-of-control clause. This development removes a significant barrier to the Danish brewer's potential takeover of the British soft drinks company. Carlsberg's acquisition of Britvic, known for bottling and distributing PepsiCo brands in the UK and Ireland, could be back on track. Britvic recently rejected two takeover bids from Carlsberg, the latest valuing the company at £3.2 billion, or 1,250 pence per share—a 7.6% premium on Britvic's share price as of 21st June. Despite these rejections, Carlsberg has not abandoned its acquisition ambitions. In a statement issued on 24th June, Carlsberg confirmed that PepsiCo had agreed to waive the change-of-control clause in its bottling contracts with Britvic. This clause previously allowed PepsiCo to terminate its bottling agreement with Britvic if the company were acquired, making Britvic a less attractive acquisition target. “This waiver will come into effect should an acquisition of Britvic by Carlsberg, which has the recommendation of Britvic’s board, proceed to completion”, a Carlsberg spokesman said. Britvic, which bottles PepsiCo drinks under license in the UK, also owns popular brands such as Robinsons, R. White’s, and J2O. Carlsberg's spokesman also noted that "Carlsberg is considering its position. There can be no certainty that any offer will be made. A further announcement will be made as appropriate." Britvic's board remains confident in the company's future prospects, affirming that any new proposals will be assessed on their merits. PepsiCo's agreement to waive the change-of-control clause potentially smooths the path for Carlsberg, which has until 19th July to make a formal offer or walk away. Analysts suggest that this takeover could unlock significant synergies for Carlsberg, particularly in the UK market, where it remains subscale. Additionally, it would help diversify Carlsberg's portfolio beyond beer into other beverage categories like cider, hard seltzers, and ready-to-drink cocktails. Despite Britvic’s initial rejections, Carlsberg is reportedly considering a third bid. The ongoing speculation and takeover attempts have positively impacted Britvic's stock, which has surged by around 40% since the start of the year. Carlsberg's interest in Britvic aligns with its strategy to expand beyond traditional beer offerings, responding to shifting consumer preferences towards spirits and non-alcoholic beverages. With PepsiCo's bottling clause waived, Carlsberg's potential acquisition of Britvic could significantly shift the beverage industry landscape.