The company who last month received a B Corp certification has unveiled a new strategic plan called Renew Danone, enabling the food manufacturer to reconnect with a sustainable profitable growth model, which will more closely align its purpose and performance.
Its CEO Antoine de Saint-Affrique, who was appointed last October, conducted a review of Danone with the objective to restore growth and drive value creation. He said, “Renew Danone is all about creating the conditions for sustainable and competitive growth, and then delivering consistently in a way that creates sustainable value for all.”
The plan is built on four strategic pillars: restoration of Danone’s competitiveness in core categories and geographies; selective expansion of Danone’s presence, in terms of segments, channel and geographies; active seeding of future growth avenues; and active portfolio rotation. With these new targets in place, it is highly likely that Danone will call an agency review for a new creative direction and media planning strategy to reach consumers.
The delivery of Renew Danone will be facilitated by putting the consumer and customer at the heart of everything Danone does. The company will restore passion for execution, a stronger discipline on budget allocation, and a greater sense of urgency in seizing opportunities and tackling issues. Based on this, Danone announced a new set of targets for the 2022-2024 period. 2022 will be a foundational year with price-led like-for-like sales growth between 3 and 5%. For 2023-2024, the ambition of profitable growth means like-for-like sales growth between 3 and 5% with recurring operating income growing faster than like-for-like net sales.