The Danish Carlsberg Group has today revealed an evolution of its strategic corporate planning SAIL’27, which was developed back in the years 2021/2022 under the leadership of former CEO Cees 't Hart. The old plan did not yet account for the war in Ukraine, the withdrawal from the Russian market, and subsequent high inflation. As Carlsberg reports, "With the impact from these major disruptions decreasing, it is now time to sharpen the longer-term focus on, and ensure sufficient investments in, our future growth."
Following a review of SAIL'27 priorities in late 2023 and early 2024, the Executive Committee and extended leadership team introduced the refreshed Accelerate SAIL strategy.
The main components of Accelerate SAIL are outlined below:
1. Boosting Premium Growth: Carlsberg aims to accelerate growth in the premium category, which currently constitutes 20% of its total volumes, by intensifying marketing efforts and enhancing brand building.
2. Expanding Beyond Beer: The company plans to capitalize on opportunities in the Beyond Beer category, primarily through brands like Somersby and Garage, by increasing investments in brand building, innovation, and footprint expansion.
3. Driving Growth in Asia: Carlsberg remains committed to growth in key Asian markets like China and Vietnam, focusing on strengthening market presence and share through strategic investments and execution.
4. Promoting Profitable Growth in Stronghold Markets: Carlsberg will continue to prioritize driving profitable growth in its stronghold markets such as the Nordics and France.
5. Embracing Digital Transformation: The company will invest in digital capabilities to drive revenue growth and enhance productivity across value management, sales execution, and supply chain management.
6. Cultivating a Growth Culture: Carlsberg aims to foster a more growth-oriented corporate culture by encouraging calculated risk-taking and talent development.
7. Sustainability Commitment: Carlsberg reaffirms its commitment to sustainability through its ESG program, "Together Towards ZERO and Beyond," with ambitious targets across various environmental and social metrics.
In light of Accelerate SAIL, Carlsberg raises its long-term growth ambitions, expecting organic revenue growth of 4-6% CAGR and organic operating profit growth ahead of revenue growth.
Carslberg’s new CEO Jacob Aarup-Andersen expresses enthusiasm for the new strategic direction, stating, "With Accelerate SAIL, we've identified our key strategic growth levers, are increasing our growth ambitions, and building an even stronger company."