AgenciesHina Nagarajan, Diageo India’s new managing director who took charge early this month, has been tasked to get the company back on the growth path, driving revenues and profits in the premium and prestige segment of the Indian alcohol market, top officials close to the development said.
The first woman to head the biggest liquor business in India, Nagarajan will also be rated on advocacy, convincing state governments to reduce taxation and promise higher revenues, officials said. Hina has built her reputation as a performance driver and built strong teams in her earlier stint within the Diageo system. The volumes of the maker of Bagpiper and McDowells has been stagnating and the company is keen the growth of its Indian portfolio should be led by premium brands. Diageo India seeks to gradually exit the popular segment.
Her predecessor, Anand Kripalu, largely cleaned up the organisation after Mallya’s exit, changed the organisational culture from a promoter-driven to a professionally-led entity. He has been credited with demonstrating the ability to run an alcohol business without corruption and willingness to vacate markets and lose sales rather than compromise on ethics.
“The legacy issues of Diageo India have been sorted and now Nagarajan has the wings to take it off to chase revenues and margins,” an official close to the development said.
P&A reported a volume CAGR of 3.7% over FY18-20, underperforming the market average of 8.5%. This has primarily been on the back of poor brand recall for mid and upper prestige brands, said analysts.
The first woman to head the biggest liquor business in India, Nagarajan will also be rated on advocacy, convincing state governments to reduce taxation and promise higher revenues, officials said. Hina has built her reputation as a performance driver and built strong teams in her earlier stint within the Diageo system. The volumes of the maker of Bagpiper and McDowells has been stagnating and the company is keen the growth of its Indian portfolio should be led by premium brands. Diageo India seeks to gradually exit the popular segment.
Her predecessor, Anand Kripalu, largely cleaned up the organisation after Mallya’s exit, changed the organisational culture from a promoter-driven to a professionally-led entity. He has been credited with demonstrating the ability to run an alcohol business without corruption and willingness to vacate markets and lose sales rather than compromise on ethics.
“The legacy issues of Diageo India have been sorted and now Nagarajan has the wings to take it off to chase revenues and margins,” an official close to the development said.
P&A reported a volume CAGR of 3.7% over FY18-20, underperforming the market average of 8.5%. This has primarily been on the back of poor brand recall for mid and upper prestige brands, said analysts.
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