Russ Mould, investment director at AJ Bell, said: “The departure of Heineken CEO Dolf van den Brink after six years in charge comes at a difficult time for the alcohol industry thanks to pressure on household finances and greater moderation in drinking, particularly among younger cohorts.
“Even within this context, Heineken has underperformed counterparts like AB InBev and Carlsberg in share price terms.
“In that sense Van den Brink’s departure is not a shock.
“Part of any future strategy may involve seeking to diversify into new areas, selling underperforming brands and leaning more into zero and low alcohol products as well as the classic playbook of taking out costs.
“Many of these avenues would represent a continuation of Heineken’s existing ‘Evergreen’ strategy but it will be interesting to see if the brewer goes outside of the company for this appointment given Van den Brink was an internal promotion.
“An outsider might have more scope and a fresh enough perspective to push through more radical changes in an attempt to restore Heineken’s fortunes.”
Contact details are available to account holders.
Create a free account to get in touch with this expert.