DISTELL
DISTELL
The Toast of Africa PRODUCTION: William Denstone
Proudly and immovably rooted in South Africa, Distell is a global concern whose main business is the production, marketing and distribution of a diverse portfolio of award-winning alcoholic brands. Strong performance, award-winning service and astute external appointments are adding up to exciting times for this major market player. www.enterprise-africa.net / 3
INDUSTRY FOCUS: MANUFACTURING
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The Distell Group is South Africa and Africa’s leading producer and marketer of wines, spirits, ciders and other readyto-drink (RTD) beverages. Its portfolio numbers some of the most loved and appreciated brands not only in South Africa, but the world over. Having on its books such names as Amarula, Savanna, Hunter’s Dry, Durbanville Hills and Nederburg gives Distell a brand list which is just as diverse as the people who work on the products themselves. Distell’s products combine rich provenance and authenticity, and are carefully priced across the whole continuum from more everyday to the luxury end, in order to cater for the broadest spectrum of consumers. Employing approximately 5500 people, Distell secures an annual turnover of R21.5 billion. “We craft distinctive alcoholic beverage brands,
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// WE ARE A PROUD AFRICAN ALCOHOLIC BEVERAGES COMPANY WITH HERITAGE, GLOBAL REACH, WORLD-CLASS PEOPLE AND THE ABILITY TO DO EXTRAORDINARY THINGS // enhance memorable moments and inspire responsible enjoyment,” says Distell of its central aims. “The value we create enriches the lives of our people, shareholders and the communities within which we live and work.” DISTILLER OF THE YEAR “We are a proud African alcoholic beverages company with heritage, global reach, world-class people and the ability to do extraordinary things. We exist to provide unique moments of social enjoyment through the responsible marketing of well-crafted ciders, wines and spirits,” continues
Distell of the driving forces behind its boundless growth. The Icons of Whisky Awards, widely accepted to be one of the real barometers of success in the industry, were created to recognise exactly the extraordinary things Distell succeeds in delivering. Alongside its partner event the World Whisky Awards, the two never fail to be attended by some of the industry’s most respected figures. Distell was, perhaps predictably by now, the undisputed champion on the night in March this year, crowned ‘Overall Distiller of the Year’ at the ceremony. The group’s winning streak
DISTELL
continued at the World Whisky Awards later the same evening, with three additional awards recognising the company’s international single malt and grain brands. The gongs collected included prizes for Best Scotch, with Distell’s Islay Single Malt scooping the award for the second year in a row, and Best South African Grain for its Bain’s Cape Mountain Whisky. Distell itself was named Distiller of the Year. Being collected in Glasgow, meanwhile, was a trio of awards at the 12th annual Òran Mór Whisky Awards, including Ledaig PX as Best Newcomer and Bains as Best Overseas Whisky. This brought the overall total of global accolades to 17, an embarrassment of riches for Distell on a night of unprecedented glory. Derek Scott, Brand Director for Malts at Distell International, said: “We
are passionate about our malts portfolio and are continually working to provide exceptional whisky for new and loyal audiences alike. “These awards are amongst the most respected and influential spirits competitions in the world and to have received so many accolades across our brands is huge testament to the talented teams across the distilleries.” ASTUTE APPOINTMENT While long recognised globally for its own service excellence, Distell is also acutely aware of the importance of strong partnerships, and its appointment of French multinational advertising and public relations company Publicis to manage some of its prestigious brands is among its most astute to date. Publicis Groupe is the oldest and one of the largest marketing and
communications companies in the world, by revenue, headquartered in Paris. Founded in 1926, the world’s third largest communications group is famed for world-renowned creativity, best in class technology and digital and consulting expertise. Under its management will be Bernini, Extreme, Count Pushkin, Gordon’s Gin, J.C Le Roux, Klipdrift, Olof Bergh, Richelieu and Three Ships, among others. The appointment of Publicis concludes the second phase of Distell’s efforts to consolidate its agency portfolio, which the company views as a key part of its strategy going forward as it seeks to deliver on its global aspirations. Throughout its history Distell has responded to the need to evolve and innovate as a business, in order to remain the leader in a very competitive sector. The world of communication
Capped with Service Superior service is about refinement, perfection, innovation, ability to adapt and style. Most importantly, it is about meeting these high standards with no fuss. As South Africa's largest metal and plastic closures manufacturer, Nampak Closures has well established and proven track record of delivering professional service. We are supported by Nampak R&D, widely regarded as one of the most advanced packaging science and technology facilities in the southern hemisphere and have access to cross divisional packaging technology, expertise, market trends and knowledge. Our range of proudly South African screw caps, backed up by our superior personal service, are designed to give your wine perfect sense of style that appeals to even the most sophisticated connoisseur. For more information, contact us on +27 21 507 8411 or e-mail: madene.koen@nampak.com barry.erasmus@nampak.com
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INDUSTRY FOCUS: MANUFACTURING
HIGH-TECH PROCESSING (PTY) LTD
PROJECT MANAGEMENT, ENGINEERING AND PROJECT INTEGRATION TO THE BREWING, BEVERAGE AND FOOD INDUSTRY
High-Tech Processing (Pty) Ltd is a Breweries, Beverages, Alcoholic and Soft drink plants solutions provider, executing projects both in South Africa and internationally. We provide Project Management, Engineering, Procurement and Project Integration services for multi-disciplinary projects.
Tel: +27 (0) 11 805-5737 processing@processing.co.za www.processing.co.za
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// WE ARE PASSIONATE ABOUT OUR MALTS PORTFOLIO AND ARE CONTINUALLY WORKING TO PROVIDE EXCEPTIONAL WHISKY FOR NEW AND LOYAL AUDIENCES ALIKE // agencies is facing its own challenges, too, and together the pair will look to adapt and continue to beat a path for others to follow. “The dramatic changes in the global marketing communications landscape necessitated a complete re-look of our agency model as well as our internal response to this change,” explained Andre Beyers, Distell Marketing Director, Africa and lead for this project. “Having got to know the Publicis team and offering through the first phase of the process, we are delighted to have them on board to look after this second batch of brands and look forward to a fruitful relationship,” added Donovan Hegland, Global Marketing Director for Distell. DOMINANT PERFORMANCE Amid tough trading conditions and ever-growing competition, Distell was able to harness its expertise to emerge with strong revenue and margin improvement as its Africa growth strategy steadily gains momentum. Reported revenue increased by 7.3%, with growth seen in 12 of its 15 largest brands and Distell also grew its comparable domestic market revenue by 7.8%, with comparable group revenue up by 9.1% to R14.4 billion on constant volumes There was solid domestic revenue growth in all three drink categories, while an exceptional Africa performance was led by Kenya, Mozambique and Zambia.
DISTELL
// AFRICA REMAINS A PRIORITY REGION FOR US GIVEN THE CONTINENT’S GROWTH PROSPECTS AND OUR AMBITION TO BE AN AFRICAN CHAMPION // These African markets delivered exceptional comparable revenue growth of 21.1% on sales volumes, an improvement of 12.7%. Again, outside the Southern African Customs Union (SACU), Distell’s focus markets on the continent too delivered excellent
results, seeing revenue and volume growth of 43% and 34.1% respectively, and lending yet further impetus to the company’s African growth ambitions. “We are pleased with the momentum and continued resilience of our business,” said Distell’s Group CEO, Richard Rushton, of the performance. “Our results reflect the efficiency initiatives aimed at driving consistent market place execution and enhancing margins. “I’m particularly encouraged with the stellar performance of our Africa operations at a time when we are increasing investments in route-tomarket capability and local production.” This is particularly important, as since embarking on its new strategic journey Distell has introduced a number of important steps across its business to
ensure it is responsive to market needs and geared to respond effectively to the ever-changing global landscape. “Looking ahead, we expect the current tough domestic environment to persist and economic growth to remain lacklustre,” Rushton continued. “We are, however, confident that our consumercentric approach and diversified portfolio of brands will enable us to capture growth opportunities. “Africa remains a priority region for us given the continent’s growth prospects and our ambition to be an African champion.”
WWW.DISTELL.CO.ZA
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ENTERPRISE AFRICA
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