Unilever CEO Hein Schumacher looks to bolt-on acquisitions in pursuit of “premiumisation” agenda
Source: The DairyNews
Unilever's CEO, Hein Schumacher, is strategically leveraging bolt-on acquisitions as part of his premiumisation agenda within the comprehensive Growth Action Plan unveiled in October. In a recent 'fireside' chat event hosted by Barclays, Schumacher emphasized key differences in his approach, focusing on doing fewer impactful initiatives to drive top-line growth through market development and product superiority.
Addressing queries from Warren Ackermann, the head of consumer staples at Barclays, Schumacher highlighted his commitment to simplifying Unilever's portfolio by removing approximately 20% of Stock Keeping Units (SKUs) in Europe. Emphasizing premiumisation, impactful innovation, and cost savings, Schumacher aims to restore volumes and gross margins to pre-pandemic levels, approximately 44%.
Schumacher expressed his intent to eliminate complexity from the portfolio, emphasizing a strategic approach to fill gaps in the premium segment through targeted bolt-on acquisitions. The CEO's actions align with his vision of creating a more focused and impactful product portfolio.
In pursuit of these objectives, Schumacher has initiated a reorganization of the management structure using internal personnel, effective from January 1. The Growth Action Plan places significant emphasis on Unilever's "30 power brands," marking a key focus area as the company charts its course for renewed competitiveness in the market.
Schumacher expressed his intent to eliminate complexity from the portfolio, emphasizing a strategic approach to fill gaps in the premium segment through targeted bolt-on acquisitions. The CEO's actions align with his vision of creating a more focused and impactful product portfolio.
In pursuit of these objectives, Schumacher has initiated a reorganization of the management structure using internal personnel, effective from January 1. The Growth Action Plan places significant emphasis on Unilever's "30 power brands," marking a key focus area as the company charts its course for renewed competitiveness in the market.
