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Morgan Stanley Global Consumer & Retail Conference
The Coca-Cola CompanySandy Douglas, President – Coca-Cola North America
November 15, 20161
Classified – CONFIDENTIAL
This presentation may contain statements, estimates or projections that constitute “forward-looking statements” as defined under U.S. federal securities laws. Generally, the words
“believe,” “expect,” “intend,” “estimate,” “anticipate,” “project,” “will” and similar expressions identify forward-looking statements, which generally are not historical in nature. Forward-
looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from The Coca-Cola Company’s historical experience and our present
expectations or projections. These risks include, but are not limited to, obesity concerns; water scarcity and poor quality; evolving consumer preferences; increased competition and
capabilities in the marketplace; product safety and quality concerns; perceived negative health consequences of certain ingredients, such as non-nutritive sweeteners and biotechnology-
derived substances, and of other substances present in our beverage products or packaging materials; an inability to be successful in our innovation activities; increased demand for food
products and decreased agricultural productivity; changes in the retail landscape or the loss of key retail or foodservice customers; an inability to expand operations in emerging and
developing markets; fluctuations in foreign currency exchange rates; interest rate increases; an inability to maintain good relationships with our bottling partners; a deterioration in our
bottling partners' financial condition; increases in income tax rates, changes in income tax laws or unfavorable resolution of tax matters; increased or new indirect taxes in the United
States or in one or more other major markets; increased cost, disruption of supply or shortage of energy or fuels; increased cost, disruption of supply or shortage of ingredients, other raw
materials or packaging materials; changes in laws and regulations relating to beverage containers and packaging; significant additional labeling or warning requirements or limitations on
the marketing or sale of our products; an inability to protect our information systems against service interruption, misappropriation of data or breaches of security; unfavorable general
economic conditions in the United States; unfavorable economic and political conditions in international markets; litigation or legal proceedings; failure to adequately protect, or disputes
relating to, trademarks, formulae and other intellectual property rights; adverse weather conditions; climate change; damage to our brand image and corporate reputation from negative
publicity, even if unwarranted, related to product safety or quality, human and workplace rights, obesity or other issues; changes in, or failure to comply with, the laws and regulations
applicable to our products or our business operations; changes in accounting standards; an inability to achieve our overall long-term growth objectives; deterioration of global credit
market conditions; default by or failure of one or more of our counterparty financial institutions; an inability to timely implement our previously announced actions to reinvigorate growth, or
to realize the economic benefits we anticipate from these actions; failure to realize a significant portion of the anticipated benefits of our strategic relationship with Monster Beverage
Corporation; an inability to renew collective bargaining agreements on satisfactory terms, or we or our bottling partners experience strikes, work stoppages or labor unrest; future
impairment charges; multi-employer plan withdrawal liabilities in the future; an inability to successfully integrate and manage our Company-owned or -controlled bottling operations; an
inability to successfully manage our refranchising activities; an inability to successfully manage the possible negative consequences of our productivity initiatives; an inability to attract or
retain a highly skilled workforce; global or regional catastrophic events; and other risks discussed in our Company’s filings with the Securities and Exchange Commission (SEC), including
our Annual Report on Form 10-K for the year ended December 31, 2015, and our subsequently filed Quarterly Reports on Form 10-Q, which filings are available from the SEC. You
should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The Coca-Cola Company undertakes no obligation to publicly update or
revise any forward-looking statements.
The following presentation may include certain "non-GAAP financial measures" as defined in Regulation G under the Securities Exchange Act of 1934. A schedule is posted on the
Company's website at www.coca-colacompany.com (in the “Investors” section) which reconciles our results as reported under Generally Accepted Accounting Principles and the non-
GAAP financial measures included in the following presentation.
Forward-Looking Statements
Reconciliation to U.S. GAAP Financial Information
2
Classified – CONFIDENTIAL
Coca-Cola North America Core Strategy
3
Key
Metrics
Brand
Clusters
Advantaged
Routes to
Market
World Class
Key Account
Management
Teams
Team,
Vision and
Strategy1
4
2
5
3
INCIDENCE REVENUE TRANSACTIONS
MARGIN GROWTH VALUE SHARE
SPARKLING PREMIUM STILLS FARM TO TABLE ENERGY(outsourced)
DSD CHILLED FOODSERVICE
NATIONAL RETAIL SALES FOODSERVICE & ON PREMISE
Classified – CONFIDENTIAL
+1pt
We Have Achieved Consistent Outperformance in a Strong
Industry
4
Coca-Cola North America (CCNA) Revenue
vs. U.S. Retail Value Growth
Key
Metrics5
Sources: KO reported data
Nielsen; total US CPG Retail Value includes all beverage and non-beverage categories
Nielsen Supers/Drug/CR/Kmart/Target; note: not structurally adjusted (includes Monster)
2 2 2
1
2%
3% 3%
2014 – 2015 CAGR
Consistent Market Share Gains
2006 2011 2016
YTD
Sparkling
Stills
Total25%
37%
24%
36%
22%
27%
38%
15%
17%
CCNA
Revenue
NARTD
Retail
Value2
1%
3%
2%
Sept YTD 2016
1
3
1
+2pts
+7pts
Value Share Growth Over 5 and 10-Year Periods
Total U.S.
CPG
Retail
Value2
Total U.S.
CPG
Retail
Value2
NARTD
Retail
Value2
CCNA
Revenue1
1
2
3
Classified – CONFIDENTIAL
We Are Executing a Refreshment Oriented Price / Package
Architecture Across Our Sparkling Portfolio
5
Nielsen All Measured Channels | Total Sparkling
Sept YTD 2016
$ /
Oc
cas
ion
$0.20
$1.57
$0.41
$0.83
$1.18
$0.51 $0.46$0.17
$0.32
7.5 oz8.5 oz1.25L 6 pk
500 mL
12 oz12 oz 8 pk
12 oz
2L8 oz
10% 12% 15%
2011 2013 2016 YTD-3%-3%
9%
2015
-3%
11%
2016 YTD2014
9%
2013
-3%
12%
Value Growth (Two-Year Stacked Rate) % of Value
Transaction
All OtherTransaction
Core
Transaction Core
4Brand
Clusters
Classified – CONFIDENTIAL
Two Key Brands Driving Significant Growth in Sparkling
6Source: Nielsen AMC Retail Value; 2015 Full Year; 2016 through Q3 w/e 10/1/16; Trademark data
Two of the Top Three SSD Contributors to Retail $ Value Growth
+3%
+$36MM
2016 YTD
+18%
+$57MM
2016 YTD
+5%
+$79MM
2015
+12%
+$44MM
2015
4Brand
Clusters
Classified – CONFIDENTIAL
Valuable Brands Supported by Strong Marketing
7
4Brand
Clusters
Classified – CONFIDENTIAL
● Contributed >2/3 of our Retail Value creation1
● Accounts for >40% of our Retail Value2
● Shift of 3% of portfolio Retail Value since 2013
Our Still Brands Represent a Growing Share of Our Retail
Portfolio
8
$0.7B
$0.3BSparkling
Stills
Stills PortfolioKO U.S. Retail Value Creation
2013 – 2016 YTD
Sources: Nielsen AMC Retail Value; 2013 - 2016 YTD through Q3-16 (excludes Monster)
Nielsen AMC Retail Value; 2016 YTD through Q3-16 (excludes Monster)
$1B
Retail Value
Growth
4Brand
Clusters
1
2
Classified – CONFIDENTIAL
Portfolio Expansion Fueled by Our Venturing & Emerging
Brands Group
9
4Brand
Clusters
Classified – CONFIDENTIAL
We Have Transitioned or Signed Agreements for Territories
Representing ~65% of U.S. Bottle/Can Volume
10
Status and Performance Update
● On track to complete refranchising by 2017
● Successfully implemented evolved Customer Governance, IT and National Product Supply structures
● Majority of transitioned territories have improved volume growth post-transition
For Discussion Purposes Only & Subject to Change.
Territory Boundaries are Approximate/Illustrative.
All Transactions subject to both parties reaching Definitive Agreement.
Total U.S. Bottler Delivered Business (BDB) for Coca-Cola brands, Bottle/Can distribution only (Excludes Food Service). Volume in Eq Cases.
3
Advantaged
Routes to
Market
Coca-Cola Refreshments Territories
Independent Bottlers (Legacy Territories)
CCR Transitioned Territories
CCR Territories under DA/LOI
U.S. bottle/can volume
Classified – CONFIDENTIAL
U.S. ADVANTAGECore Channel Composite Rank
KANTAR Power RankingComposite Rank
Our Customer Service Rankings Are the Highest in Years
11
Retailer Survey Rankings
7 7 7 86
4 2
2010 2011 2012 2013 2014 2015 2016
11
5 4 25
2 1
2010 2011 2012 2013 2014 2015 2016
● Ranked No. 1 by U.S. Advantage for the
1st time
● Consistent year over year improvement
within the Kantar Power Rankings
2
World Class
Key Account
Management
Teams
Sources: KANTAR Retail Power Ranking Study
U.S. ADVANTAGE Report
Classified – CONFIDENTIAL
Coca-Cola North America Strategy
CREATE
CustomerValue
BUILD
StrongValuableBrands
DRIVE
CapabilityTO SUSTAIN
AND REPEAT
1
Team,
Vision and
Strategy
12
Q&A
13
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