- Diageo India, owned by UK-based Diageo, has transformed its business since acquiring United Spirits in 2014, focusing on premiumisation and innovation.
- The company exited 32 popular brands to concentrate on premium brands, resulting in doubled historical growth and becoming debt-free in 2022.
- Diageo India’s strategy includes launching new variants, such as Royal Challenge American Pride and McDowell’s X series, catering to changing consumer preferences.
Diageo India, the maker of Johnnie Walker, McDowell’s, and Smirnoff, has successfully turned around its business since acquiring United Spirits in 2014. Under the leadership of MD & CEO Hina Nagarajan, the company has focused on premiumisation and innovation to drive growth.
Nagarajan stated that resolving legacy issues took priority until 2021. However, since then, Diageo India has delivered double-digit growth, leveraging the growing demand for premium spirits. The company exited 32 popular brands, including Old Tavern and Romanov, to concentrate on premium brands. This strategic move led to doubled historical growth and enabled Diageo India to become debt-free in 2022.
The company has also introduced new variants, such as Royal Challenge American Pride and McDowell’s X series, catering to changing consumer preferences. With McDowell’s No. 1 whisky now exported to over 20 countries, Diageo’s global headquarters is optimistic about the India story. As the Indian spirits market continues to grow, Diageo India is well-positioned to capitalize on emerging trends.
With its revamped strategy, Diageo India has witnessed significant growth, with its market capitalization increasing from Rs 46,000 crore to over Rs 1.15 lakh crore. The company’s focus on premiumisation and innovation is expected to drive continued growth and profitability in the Indian spirits market.
