BackUnited Spirits' strategic review of select mass liquor brands on track
The popular portfolio comprises several entry-level brands, with an average consumer price of less than Rs400 for a 750ml bottle. Some of the popular brands include Bagpiper, Old Tavern, and White Mischief
PremiumNEW DELHI: Liquor major United Spirits Ltd (USL) has said that the strategic review of some of its popular and mass segment brands is “on track" and is likely to conclude as per scheduled timeline.
In February this year, the Diageo-owned company had said it was initiating a strategic review of select popular brands in the country as it chases more profitable growth by premiumisation of its portfolio of brands while sharpening focus on core brands and pricey global spirits here.
USL’s popular portfolio comprises around 30 brands and the strategic review was set to look at approximately half of it by volumes. The company did not reveal the names of brands that are likely to be part of the review but said it will not include McDowell’s and Director’s Special trademarks and their variants.
In an earnings call on Monday, to discuss the company’s June quarter results, the company’s chief executive officer Hina Nagarajan said the review is on track.
“We’ve proactively started the strategic review of our popular portfolio and that is on track, right. And we are looking to conclude it as per the stated timeline. We are working through with our advisors and looking to drive it to a tangible decision," she said.
The company is not increasing the scope of the current review, Nagarajan said in response to analyst query.
The portfolio consists of several entry-level brands, with an average consumer price of less than Rs400 for a 750ml bottle. These straddle whisky, rum, brandy, vodka, and gin. Some of the popular brands include Bagpiper, Old Tavern, and White Mischief.
Nagarajan also said that going forward, as markets evolve, more such reviews cannot be ruled out.
“As the market evolves—we conduct regular portfolio reviews and that is business as usual. So, we'll continue to do that as we evolve," she said.
USL had earlier said that it expects the strategic review to be complete by December 2021.
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