Blog: Katy AskewPolman confident on Unilever brands

Katy Askew | 13 June 2011

Paul Polman, chief executive of consumer goods giant Unilever, has insisted that the company can achieve double-digit sales growth excluding M&A, meaning that the group would have to generate organic growth of an industry-beating 7-8%.

In an interview with The Financial Times this weekend, Polman said that the company was currently generating 95% of its growth through its own brands. And, Poleman said, the company will rely on these to drive future expansion and meet sales targets. Fighting talk indeed.

Admittedly, Unilever does own some mighty brands - ranging from Magnum, Hellmann's and Knorr in the food sector to Dove and Lynx personal care products. And Poleman's plans to capitalise on "white space" - moving brands into markets that they are not currently represented in - sound all well and good.

"Market development is probably one of the biggest drivers that we see, in these emerging markets especially. These markets are often one tenth of the markets that we see here in Europe and the US, and they're rapidly catching up," he told the FT.

However, in setting the group such high targets - ones that the company's peers such as Nestle and Danone have been unable to deliver - at a time when global consumer confidence is far from high, does seem rather bullish. And while Unilever's aim to extend the reach of its brands is certainly sound, does this emerging markets strategy really bring anything new to the table? Only time will tell.

 


BLOG

Danone closes WhiteWave, who will acquire Stonyfield?

Danone completed its US$12.5bn acquisition of WhiteWave Foods this week. The move will roughly double Danone's presence in North America, where WhiteWave is a top four dairy player. ...

BLOG

Premier Foods pension news offers cheer but challenges remain

Premier Foods plc revealed today (28 March) it has secured a deal with its pension scheme trustees that will see the UK food maker reduce its pension burden....

BLOG

Another reshuffling of pack at Hain Celestial

Hain Celestial, under the scrutiny of the investment community in recent months and facing some challenges in its domestic market, has announced another shuffling of its management pack....

BLOG

FrieslandCampina looking to sell final non-dairy asset

FrieslandCampina, which today served up higher profits but lower sales for 2016, is ready to offload the last non-dairy business owned by the Dutch cooperative giant....

just-food homepage



Forgot your password?