Diving overview:
- Coca-Cola COO Henrique Braun will succeed James Quincey as CEO, effective March 31, the company announced Wednesday. Both Brown and Quincey joined Coca-Cola in 1996.
- Quincey, who has served as CEO for nine years, will assume the role of chairman. During his tenure, he prioritized liquidating underperforming or non-core assets and transforming the beverage giant to focus on healthier products. Coca-Cola added more than $10 billion in brands during his time at the helm, including BodyArmor, Topo Chico and Fairlife.
- The leadership change comes as shoppers increasingly consume more water, sports drinks and energy drinks while avoiding sugary drinks such as soda, putting pressure on Brown to grow in new niche markets while maintaining growth in its core soft drinks segment.
Dive Insights:
When Quincey took the helm of Coca-Cola in May 2017, he pledged to transform the business into a “comprehensive beverage company” and go further than its namesake soda.
During his tenure, Quincey increased the company’s exposure to healthy teas, water, sports drinks and coffee, while also expanding the offerings of its core soda business. Management also focused on low-sugar and no-sugar products, increasing the presence of small cans and pushing Coca-Cola into the alcohol category through partnerships with: molson coors and Brown-Foreman.
Quincey also scaled back Coca-Cola’s beverage portfolio. honest car and tag and sold Zico — Prioritizing fewer, larger brands with the greatest growth opportunities in scale and profitability.
“James Quincey is a transformational leader,” David Weinberg, Coca-Cola’s senior independent director, said in a statement. “We are confident that Henrique Braun will build on the company’s existing strengths to unlock further growth opportunities and enhance the power of the incredible Coca-Cola system.”
Coca-Cola said Brown will focus on identifying growth opportunities globally, better meeting consumer needs and leveraging technology to improve the business and drive growth.
Brown appears to be familiar with Coca-Cola’s global reach and ever-evolving beverage platform. He has held roles with the company in North America, Europe, Latin America and Asia, where he was responsible for Coca-Cola’s supply chain, marketing, innovation and bottling operations.
“I am honored to take on this new role,” said Brown. “I will be focused on continuing the momentum we have built through our system. “I’m excited about the future of our business and see tremendous opportunities in a rapidly changing global marketplace.”
