Campari Group sees sales success in 2021
Aperol owner Campari Group is celebrating ‘strong’ double-digit growth for its 2021 financial year, compared with both its 2020 and 2019 performances.
Net sales reached €2.17 billion (US$2.47bn) in 2021 – a 25.6% increase in organic terms compared with full-year 2020 sales. This represented organic growth of 20.5% versus the full-year 2019 results.
During the company’s fourth quarter, sales rose by 20.9% compared with 2020, despite the impact of the omicron wave of Covid-19. Sales during this period were up by 12% compared with 2019.
Bob Kunze-Concewitz, chief executive officer of Campari Group, said: “2021 was a very successful year as we delivered strong business performance across key financial indicators.
“The solid results were achieved thanks to very healthy brand momentum benefiting from overall increased consumption and penetration versus pre-pandemic levels. Such positive trends continued in the fourth quarter despite the fourth-wave disruption at year-end.”
The company’s sales in the Americas grew by 23% last year compared with 2020, and were up by 19.9% versus 2019. The US delivered double-digit growth of 18.9% on 2020 results.
In Southern Europe, Middle East and Africa, sales rose by 36.7% versus 2020, representing 15.5% growth compared with 2019. Sales in France rose by 22.1% last year, driven by Aperol.
North, Central and Eastern Europe grew by 18.6% (25.8% compared with 2019). Aperol was a big driver of growth in various markets, including the UK (39.1% growth), Russia (25% growth) and Germany (10.7% growth).
In Asia Pacific, sales soared by 22.9% (and 27.9% versus the 2019 results). However, Australia was ‘flat’ in 2021 compared with 2020, but up by 20.1% when compared with 2019.
Other markets in the Asia Pacific region, however, showed a ‘very positive result’, more than doubling sales (109.4%), with particularly strong performances in China and South Korea.
Aperol grew by 32.8%, aided by consumer interest in the on-trade and continued home consumption.
Campari saw sales grow by 30.1%, attributed to solid sales in all markets. The brand benefited from ongoing at-home cocktails and on-trade momentum, driven by interest in cocktails such as the Negroni, Boulevardier and Americano.
Bourbon brand Wild Turkey delivered 10.9% growth last year, boosted by international markets – particularly in South Africa. Its core US market, however, declined slightly.
Grand Marnier registered a 43.2% increase last year, with ‘strong growth’ in its core US market where the brand benefited from ongoing home cocktail consumption.
Campari Group’s Jamaican rum portfolio rose by 22.7%, driven by premiumisation trends in the US, Canada, Jamaica and the UK.
The company’s ‘regional priorities’ grew collectively by 29.8%, with Espolón Tequila up by 37.5%. Other brands, including Bulldog, The Glen Grant, Cinzano and Forty Creek enjoyed ‘solid growth’.
Kunze-Concewitz added: “Looking at 2022, we remain highly confident about the continued strong business momentum with accelerated consumer recruitment across our key brands, fully leveraging new consumption habits across both on-premise and off-premise channels.
“Regarding profitability, whilst we continue to leverage price increase opportunities to mitigate cost headwinds, the temporary input costs pressure is expected to further intensify during the current year.
“As a long-term focused organisation, we remain committed to maintaining a sustained level of investments behind our brands and capabilities, in order to be best positioned to fully benefit from the gradual phase out of the pandemic induced challenges.”