Pernod Ricard SWOT analysis – SWOT analysis of Pernod Ricard: Pernod Ricard is a winemaker and is one of the largest names in the spirit and wine industry. The company was established in the year 1975 and has operations in more than 180 countries around the world. An expert in liqueurs wine, pasta, and pasta, Pernod Ricard also has the top-selling products in other categories, such as whiskey, vodka as well as gin, and Rum. The company had an annual income of 7.64 billion euros, with 19,000 employees spread across 85 countries.
With a fervent emphasis on the development of new products, Pernod Ricard has always sought to balance the needs of its customer’s requirements with innovative products which are backed by research. The company is also mindful to maintain an excellent relationship with all its stakeholders and make sure that it is in compliance with every marketplace it is operating in.
The top-selling brands of alcohol that are produced under the name of the company include Absolut Vodka, Beefeater Gin, Chivas Regal Whiskey, Club Havana Rum, and Ballantinos Scotch Whiskey. A majority of the brands listed have achieved enormous popularity with consumers across the world, making Marketing91 the second-largest player in the spirits and wine industry.
Pernod Ricard fun facts: In 2016, Pernod Ricard purchased a majority stake in premium German gin brand, Monkey 47.
About Pernod Ricard – SWOT analysis of Pernod Ricard
Company: Pernod Ricard S.A.
CEO: Alexandre Ricard
Founder: Ricard | Paul Ricard | Pernod
Year founded: 1975
Headquarters: Paris, France
Annual Revenue: Euro€8.987 billion
Profit | Net income: Euro€1.577 billion
Number of employees: 18,915
Products & Services: Wines, Spirits, and Non-alcoholic beverages
Pernod Ricard Competitors
Competitors: William Grant & Sons | Diageo | Distell Group | Sazerac | Bacardi Limited | Beam Suntory | Constellation Brands | Brown–Forman
SWOT analysis of Pernod Ricard – Pernod Ricard SWOT analysis
SWOT Analysis Of Pernod Ricard is brand-based. SWOT Analysis of Pernod Ricard evaluates the brand’s strengths, weaknesses, opportunities, and threats. Advantages and disadvantages can be attributed to internal factors while opportunities and threats can be attributed to external factors. We will be discussing Pernod Ricard’s SWOT Analysis. Below is the detailed SWOT Analysis of Pernod Ricard.
Let’s talk about Pernod Ricard’s SWOT assessment.
Strengths of Pernod Ricard – Pernod Ricard SWOT analysis
- Products Portfolio: The biggest strength of the company is the list of products across all categories of alcohol-based beverages, the majority of which are popular sales in those categories. A few of their most popular brand names comprise Absolut Vodka, Beefeater Gin, Chivas Regal Whiskey, Club Havana Rum, Glenlivet, Malibu, Ricard, Jameson, Martell, and Ballantinos Scotch Whiskey
- Customer Connect: The majority the Pernod Ricard’s advertising strategies are designed to connect with customers with a method that is different from that of the competitors. The company has more than 34 million people following them on social media, and more than 35 percent of its advertising is through digital media. One such campaign that has been successful is that customers who interact via social media are offered the chance to chat with the chief executive officer of the business.
- Diversity of employees: The company has operations across the globe. To maintain a connection with stakeholders the company has made sure they ensure diversity at all their workplaces. They employ around 19,000 people who are from different countries around the globe. They are located in over 85 places around the world.
- Cultural: The company tries to create a culture that is based on individual successes in all employee who is expected to do whatever they can to succeed. The company’s culture also encourages asking questions as well as promoting change and constant renewal.
Weaknesses of Pernod Ricard – SWOT Analysis Of Pernod Ricard
- The slowdown in growth within India: Pernod Ricard has been focusing its attention on India as it is the third-largest market for its brand following the USA in addition to France. Due to the demonetization process as well as various economic changes, the company was hit by a sharp drop in sales of its top-selling brands within regions like Chivas Regal Whiskey and Absolut Vodka.
- The focus is on premium spirits: In growing markets such as India as well as China and China along with the US, the company is insisting on its top liquors to bring it the opportunity to earn profits. But, margins for these brands, and the company will have to increase its production to reach the needed profit.
- Unable to reach the mass market: Pernod Ricard is a supplier of high-end brands of alcohol. In countries such as India which has an expanding market, the majority of the volume comes from the sale of cheap brands of alcohol. The majority of people aren’t willing to invest in top brands. This can affect the long-term performance of the business.
- Insane expectations for sales expectation: Pernod Ricard is focused on rapid growth in sales across its various markets. In the USA the sales of its most well-known brand Vodka Absolut are on an upward trend and in China, the downturn has caused consumers conscious of their spending habits and they’re reluctant to invest in premium brands of alcohol. This means that the sales growth plan unattainable to Pernod Ricard.
Opportunities of Pernod Ricard – Pernod Ricard SWOT analysis
- Consumer consumption: The consumer who would frequent bars or pubs earlier in emerging economies such as India as well as China is now comfortable drinking in their homes. This shift in the culture in which women too have begun drinking alcohol in public places will lead to a rise in the retail sale of spirits and wines in these areas.
- A growing awareness: Comparatively to the past, the amount of exposure to global brands is increasing and people are aware of the advantages that premium brands can provide over an alcohol brand that is less expensive.
Threats of Pernod Ricard – SWOT analysis of Pernod Ricard
- Competition: Some of the most important competitors to Pernod Ricard are Diageo, Ab In Bev, Sab Miller, United Breweries, and many more.
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