Slide 1: Returning to growth in the USA
Returning to growth in the USA Steve Presley, Chairman & CEO, Nestlé in the USA 1 | February 22, 2019 | CAGNY
Slide 2: Disclaimer
Disclaimer This presentation contains forward looking statements which reflect Management’s current views and estimates. The forward looking statements involve certain risks and uncertainties that could cause actual results to differ materially from those contained in the forward looking statements.
Slide 3: Revived growth in the USA
Revived growth in the USA Organic Underlying Trading Growth Operating Profit 2.6% 0.2% 2017 2018 $28 bn Total USA sales 30% of Global sales 3 | February 22, 2019 | CAGNY
Slide 4: Broad-based growth across strategic categories
Broad-based growth across strategic categories Repositioning Accelerating growth platforms for growth Coffee Frozen Meals Waters Health Science 4 | February 22, 2019 | CAGNY
Slide 5: Fundamental shifts in consumer behavior
Fundamental shifts in consumer behavior Fluid and exploratory How we eat Omnichannel Traditional savvy and CPG model is quickly informed How we shop evolving Personalized, digital 1st engagement How we engage 5 | February 22, 2019 | CAGNY
Slide 6: Three priorities to win
Three priorities to win Growth Capabilities People & Culture 6 | February 22, 2019 | CAGNY
Slide 7: Fueling our hybrid growth model
Fueling our hybrid growth model Reimagine the 1 base business Transform our 2 portfolio Pursue new 3 innovation models 7 | February 22, 2019 | CAGNY
Slide 8: Fundamentals as a growth driver
Fundamentals as a growth driver CONSUMER RELEVANCE both iconic and emerging brands must be on trend EXECUTE enhance Marketing & Sales fundamentals INVEST opportunity-based resourcing to maximize ROI INNOVATE faster, agile, and more effective 8 | February 22, 2019 | CAGNY
Slide 9: Naturalization and science-based innovation
Naturalization and science-based innovation Making natural accessible to all Elevating life-changing nutrition 9 | February 22, 2019 | CAGNY
Slide 10: Empowering extraordinary health
#1 in health food channel in e-commerce supplements Gaining mainstream channel distribution Empowering extraordinary health 10 | February 22, 2019 | CAGNY
Slide 11: Premiumizing to win in high growth segments
Expanding Well- premium in positioned sparkling in premium still water Delighting consumers through taste Premiumizing to win in high growth segments 11 | February 22, 2019 | CAGNY
Slide 12: Relentlessly renovating legacy brands
Right Price Right Product Right Communication Relentlessly renovating legacy brands 12 | February 22, 2019 | CAGNY
Slide 13: Reinventing a beloved icon
Contemporizing with natural, organic, and fresh offerings Reinventing a Spokesbaby that beloved icon reflects our values 13 | February 22, 2019 | CAGNY
Slide 14: Elevated consumer experiences
Elevated consumer experiences 14 | February 22, 2019 | CAGNY
Slide 15: E-commerce
TRADITIONAL EMERGING DIRECT Pure Play, Click & Collect, TO Bricks-to-Clicks Concierge, Same Day Delivery CONSUMER Win the Win omni Personalize and digital shelf shopping early drive loyalty E-commerce eContent Reviews Setting the direction eSearch Assortment 15 | February 22, 2019 | CAGNY 9% of tota
Slide 16: Personalization
Build new business models Personalization Provide services Tailoring to individual Anticipate consumer needs consumer Communication customized to machine needs and purchasing behavior 16 | February 22, 2019 | CAGNY
Slide 17: Fueling our hybrid growth model
Fueling our hybrid growth model Reimagine the 11 base business 2 Transform our 2 portfolio Pursue new 3 innovation models 17 | February 22, 2019 | CAGNY
Slide 18: Transform our portfolio
Transform our portfolio Divesting Acquiring 6% businesses with 12% leverageable low ability to win growth platforms Acquired brands growing double-digit1 (1)Aggregated full calendar year sales growth versus 2017 18 | February 22, 2019 | CAGNY
Slide 19: Starbucks Alliance creates a powerhouse
Starbucks Alliance creates a powerhouse US Coffee #1 company 19 | February 22, 2019 | CAGNY
Slide 20: Starbucks Alliance unlocks significant opportunities
Starbucks Alliance unlocks significant opportunities Consumer brand continuum Channel development Portfolio growth Retail: Signature Aisle Omnichannel Out of Home: Premium On- The-Go Experience 20 | February 22, 2019 | CAGNY
Slide 21: Fueling our hybrid growth model
Fueling our hybrid growth model Reimagine the 1 base business Transform our 2 portfolio Pursue new 3 innovation models 21 | February 22, 2019 | CAGNY
Slide 22: Pursue new innovation models
Pursue new innovation models INTERNAL OPEN CROWD- INCUBATOR INNOVATION SOURCING Use lean development model to Support and coach startups with Harness the collective intelligence of launch on-point products innovative ideas our employees Leveraging incubation to Assessing & engaging 5 new products en
Slide 23: Three priorities to win
Three priorities to win Growth Capabilities People & Culture 23 | February 22, 2019 | CAGNY
Slide 24: Continuously driving the Virtuous Circle
Organizational redesign Portfolio management Continuously driving the Lean supply chain Virtuous Circle Revenue management > $600 m savings Shared service 2016-2020 optimization 24 | February 22, 2019 | CAGNY
Slide 25: Driving growth above industry average
DRIVING GROWTH ABOVE INDUSTRY AVERAGE Revived US Driving the Powerful Talent & Mindset of growth, hybrid growth Capabilities Perform & contributing to growth platforms to as growth Transform & 2020 targets model leverage drivers Experiment Consumer obsessed and customer focused 25 | February 22, 201