Internal and External Communications,
How to engage stakeholders in Brazil
1
WHO IS
DIAGEO?
Company leader in
producing and distribuiting
premium alcoholic
beverages.
Present in
180 countries.
More than 22.000
employees around
the world.
Mission
CELEBRATE LIFE
EVERYDAY,
EVERYWHERE, WITH
RESPONSIBILITY
MENU
VALUES
Passion for
our consumers
Proud of what
we do
Freedom to
succeed
Be the
best
Value each
other
1
ORGANIZATIONAL
ENVIRONMENT
GLOBAL
Elected by Great Place to Work Institute, ranking that
nominates the main multinational companies in the
world, as the 11th best place to work.
BRAZIL
The 27º position in the 100 best companies to work
ranking, according to the Great Place to Work Institute,
promoted by Época Magazine.
MENU
2
SUSTAINABILITY
6
 Partnership with Walmart to prevent underage
consumption ;
 Global platform DrinkIQ;
 Brands communication promoting Responsible
Drinking.
 12,000 students graduated in 10 years;
 Employment rate above 85%;
 Projects: Bartender, Retail, Hospitality and Artist.
Environment. Glass is Good
Community. Learning for Life
Responsible Drinking Promotion Campaigns.
PILLARS
 1,000 tons of glass recycled
 Engagement of all production chain with
On Trade clients;
YTD FY12: 176,000
lives impacted by our CSR
programs!
MENU
1
PRESENCE AND STRUCTURE
IN BRASIL
Office in Sao Paulo.
3 warehouses - Vinhedo (SP),
Jaboatão
dos Guararapes (PE)
and Rio de Janeiro.
Copackers in Jundiaí
and Leme (SP) and Recife (PE).
400 direct empolyees and 130
indirects.
MENU
2
BRANDS
IN BRAZIL
Whiskies
 Johnnie Walker;
 Buchanan’s;
 Dimple;
 J&B;
 Logan;
 Old Parr;
 White Horse;
 Black & White;
 Bell’s.
Vodkas
 Cîroc;
 Smirnoff Black;
 Smirnoff 21;
 Smirnoff Flavours;
 Smirnoff Caipiroskas;
 Smirnoff Ice;
 Ketel One.
Rum
 Zacapa;
 Captain Morgan.
Cachaça
 Nêga Fulô.
Wine
 Periquita.
Tequila
 Don Julio.
Beer
 Guinness.
Sake
 Jun Daiti.
Liquers
 Bailey’s.
Gins
 Tanqueray nº10;
 Gordon’s.
Ready to Drink
 Smirnoff Mix.
MENU
1
MENU
PRESENCE AND STRUCTURE
IN BRAZIL
SMIRNOFF
JUN DAITI
NEGA FULÔ
LOCAL PRODUCTION
60%
Of products sold in Brazil
are produced locally.
YPIÓCA
Company from group DIAGEO
since May 2012
 Innovative, has more than 165
years of history
 Leader in the Brazilian market
of cachaça premium

YPIÓCA
DIAGEO’S FIRST PRODUCTION
SITE IN BRAZIL





Based in Fortaleza
Bottling site in Fortaleza
Distillery in Paraiba
Warehouse in Guarulhos/ SP
More than 700 employees
1
BRAZILIAN MARKET
Brasil is the 1st market in the world for JOHNNIE WALKER® RED LABEL™
 3rd largest market for SMIRNOFF®
 SMIRNOFF ® has the largest community of alcoholic beverages in Facebook (with
more than 1,3 million fans)
 JOHNNIE WALKER ® figures as one of the top
10 most engaging brands on Facebook
 SMIRNOFF ICE is an absolut leader
in the Ready to Drink market
 Since 2009, Brasil is the second largest
market for CÎROC™

MENU
CORPORATE RELATIONS PUB
CSR
 Responsible
Drinking
 Community
 Environment
Public Policy
 Public
Policy
 Gov. Relations
Communications
 Corporate
Comms
 Employee
Engagement
THE CORPORATE PR DRIVERS
 Diageo is one of the most
important source of
information in the alcoholic
beverage industry and in topics
about recycling, Responsible
Drinking, Trends and HR and now
with industrial sites.
I Know Diageo
 Diageo is an important player in
its sector in Brazil, contributing
for generating taxes, jobs, and
has its own industrial plant.
 The most important company
in premium drinks;
 Innovative company.
 Diageo is an important player
and a reference in premium
drinks and its CSR programs are
the most impactful in the
industry.
PRESS MAIN ACHIEVEMENTS
 In this report you will find some of the most relevant results achieved by Diageo in Brazilian media during July 2011 to June 2012.
During this period, the stories, focused both on Corporate or Brand subjects, highlighted the company’s commitment to local market
and positively impacted the company’s brand awareness and reputation;
 Besides the success on promoting the right institutional messages about Diageo, the work also reveals an impressive ad value result
 This is only a sample of the relationship that is being built with Brazilian media
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Leadership| Exame Magazine
Diageo leadership
Summary:
Exame Magazine is considered the most important business and economy
magazine in Brazil. The magazine focuses on topics such as business
strategy, marketing, management, consumer finances, human resources
and technology.
Results:
An interview with Otto von Sothen, Diageo PUB president, generated a
three-page article regarding brazilian market relevance to Diageo’s
global business. Brands growth featured: Johnnie Walker and Smirnoff;
“new” brands in Brazil as Ciroc and Zacapa.
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Leadership | Newspaper O Estado de S. Paulo
Diageo leadership
Summary:
O Estado de São Paulo is the oldest newspaper in SP and the second in
circulation. With approximately 235.000 copies daily, it is considered one
of the most important of the country, together with Folha de São Paulo
and O Globo.
Results:
An interview with Otto von Sothen, Diageo PUB president, generated a
significant visibility in the column “Primeira Pessoa”.
The story is positive and highlights the creation of the new category
Smirnoff Mix, especially for the Brazilian market, and the importance of
Brazil for Diageo globally.
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Leadership | Newspaper O Estado de S. Paulo
Diageo leadership
Summary:
O Estado de São Paulo is the oldest newspaper in SP and the second in
circulation. With approximately 235.000 copies daily, it is considered one
of the most important of the country, together with Folha de São Paulo
and O Globo.
Results:
The article brings important statements from the marketing director, Tânia
Cesar, linked to sales, investment and consumption trends of Whisky in
Brazil. It points out that the beverage, which was previously connected to
luxury and only consumed on special occasions, is now
more present and demystified.
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Best Place to Work | Exame Magazine and Você S/A Magazine
Best Place to Work
Summary:
Exame Magazine is considered the most important business and economy
magazine in Brazil. The magazine focuses on topics such as business
strategy, marketing, management, consumer finances, human resources
and technology.
Você S/A is considered the main magazine addressed to Human Resource.
Its content is regarding HR best practices and challenges.
Results:
Both of these magazines brought an interview with Beatriz
Heinemann, Diageo PUB HR director. The executive highlighted
that Diageo’s employees work in a flexible environment, with no
communication barriers, positioning the company at the forefront
of best practices to retain talents.
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Leadership | Newspaper Brasil Econômico
Diageo World Class
Summary:
Brasil Econômico has daily circulation of approximately 55,000 copies.
Created in October 2009, the newspaper is aimed to cover the important
issues in the economic scenario of Brazil and the world.
Results:
The newspaper brought the announcement of Rio de Janeiro as the
host city for the World Class competition in 2012, sponsored by Diageo.
The article highlights that the choice is part of the company's strategy
to boost sales in the country.
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Learning for Life | Gazeta do Espírito Santo
CSR Program – Learning for Life
Summary:
It is considered the main newspaper in the state of Espírito Santo, very
important and strategic market for Diageo. Information source for
opinion leaders and key stakeholders.
Results:
The article contributes for Diageo’s reputation as a company that believes
and gives opportunities to unprivileged young people.
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Learning for Life | Newspaper Jornal do Comércio
CSR Program – Learning for Life
Summary:
The newspaper Jornal do Comércio (Porto Alegre) is one of the most important
of the southern region with a circulation of approximately 150,000 copies.
Results:
As planned, the story about the Diageo’s Program Learning for Life was
published in the editorship of Social Responsibility and reinforces our goal
of creating a positive agenda around Diageo and its social responsibility
initiatives.
The text brought several key institutional messages, highlighted Diageo’s
efforts to promote dialogue about RD and also positioned Diageo as a
reference company regarding the training of young adults for their insertion
in the labor market.
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Glass is Good| Magazine Época Negócios
Diageo’s Glass Recycling Program
Summary:
Época Negócios is among the most important magazines of economics and
business in the country. A publication of the Globo publishing house, has
monthly circulation of 100,000 copies. Launched in 2007, the magazine is
a "thermometer" of the business world.
Results:
Glass is Good featured half a page of the article. Diageo was highlighted
as a pioneer company in glass recycling. The piece brought very positive
key messages about Diageo and the program’s next steps.
INTERNAL COMMS - PREVIOUS BACKGROUND
 Excellent communication on LAC regional level, but no local communications channels to
attend specific demands in PUB;
 Areas were responsible for their own communications, what caused an excessive quantity of
emails and lack of a uniqueness in communications, both for visual and language terms.
OUR STRATEGY
Internal
Communications
Survey
Implementation of
a Communications
Committee
Internal
Communications
Identity
Channels
Matrix
Annual
Calendar for
Campaigns
INTERNAL COMMUNICATIONS IDENTITY AND
CHANNELS
It’s the signature/identity of internal
comms. Make Buzz helps to promote the
message of an energetic conversation.
It’s connected to the act of communicating,
transmitting youth, joy and dynamism. Reflects
and fits well to Diageo’s internal audience.
Our Main Channels
1. DIAGEO CONNECTION
Dynamic presentation sent by e-mail
with a podcast recorded by the president
Diageo Connection
was evaluated as
“great” by 85% our
employees.
Monthly publication presenting our
financial results in the region
Emotional connection: president highlights great initiatives
from our team and talks about vision for the business
Connection with the sales team: we present our
executions on the field and also sales volume results
2. CORPORATE BLOG
DIAGEO
CONNECTION
3. ELETRONIC NEWSLETTER
In its first two
months, 90% of
engagement
reached between
our employees.
“LAB” – people lab; interactive; dynamic
Integration with other channels
and information sources
Reaches 100% of our team
Interactive
E-Newsletter with the latest headlines
published in our internal blog
Biweekly communication
Advantages:
Delivers information quickly (on-line)
50% of the team said it
was their favorite channel
High acceptance among the Y Generation
because of its format and identity
Information gathered at one place
4. WALL NEWSPAPER
Implemented at all
our offices in Brazil
and also in UY.
CHANNEL MIX
\
Channel
Frequency
Format
DIAGEO LAB NEWS
Goals
OUR PASSION
DIAGEO CONNECTION
DIAGEO LAB
WEEK DIAGEO
Monthly
Monthly
Constant
Biweekly
Weekly
On Demand
Online news
PPT with podcast
Corporate blog
Online newsletters
Wall Journal
E-mail MKT
Keep our team
informed and
engaged them
about news and
strategies from
the LAC region
Presentation from
local GM regarding our
financial results in the
region and also about
great execution on the
field and main initiatives
Main channel that
brings the latest
news about our
products and
initiatives
Highlights about
the latest news
from our blog
More personal news
Urgent news and
information
RESULTS
Plan implemented in 8 months, including UY & PY
Clear communication process
Local team recognizes the Make Buzz as an official identity for internal comms
Diageo Lab achieved 90% of engagement on its first two months of existence and managed to achieve a
constant rate of more than 75% of readership
 Local campaigns implemented with high rate of engagement by our team




E-MAILS
YPIÓCA’S ACQUISITION
Our challenges on Internal and External Communications according to each phase, considering our main stakeholders:





Employees
Business Partners
Press
Government
Community
SIGNING
 Presenting Diageo and signing of
Ypióca’s acquisition as great
achievement for both
companies and teams
 Overcome any negative
perception (loss of national
company and jobs)
 Avoid any negative perception
from business partners
(ex. copackers) of
possible disruption
TAKEOVER
 Engaging all publics with Diageo’s
plans about the business and
way of working
 Understand and align
expectations about integration
(benefits, culture)
 Keep high vibration of the team
NEXT STEPS
 Implement dynamic
communications systems and
make them part of Y. culture
employees must feel
represented by it
 Local stakeholders engagement
plan as well as PR and CSR
plans implemented
SIGNING
Employee Engagement
On May, 25th, annoucement for Ypióca’s employees took place at the
three units: Messejana, Paraipaba and Guarulhos. Diageo’s employees were
also at the same time (São Paulo, Uy/Py and Warehouses).
Bottling at Messejana.
 Key messages: Union, Growth, Trust, Business as usual; Proud of a
traditional and genuine national brand.
Destilery at Paraipaba.
The communication’s theme of the event was:
“Diageo and Ypióca: together and stronger”
 Ypióca had no internal communication channels – Wall
Newspapers were developed and installed at the 3 units
 Printed message signed by both Ypióca’s and Diageo’s presidents was
sent to all employees;
 Personal meeting with Y. managers team took place at the same day to
drive key messages and solve doubts
 At Diageo, the team was invited for a presentation with the EXEC to
announce the signing
 All communication channels with full information: DiageoLab,
WallNewspaper and Our Passion
 Video about Ypióca presented
TAKEOVER
Employee Engagement
Ypióca’s employees were received on Day 1 with a welcome kit and a breakfast celebration. Otto, Gonzalo, Edu Bendzius and Everardo Telles
announced the acquisition conclusion at Paraipaba and Messejana. At Guarulhos, it was made by Eduardo Villas (Supply). The mood was of union
and inclusion, for the first time all employees (production & administrative) were together in an event.
Manager’s Guideline
Key Messages,
Priorities and Roles
In São Paulo office, Diageo’s team was welcomed with
a big panel announcing “Our Family has Grown”.
Besides, Wallnewspapers and a special edition of
Diageo Lab with detailed information were all over
the office.
Welcome Kit:
T-Shirt, Folder about
Diageo, Ypióca News
and a Special Bag
HIGHLIGHTS
Acquisition of Ypióca
Brasil Econômico
 The newspaper notes the
operation will help the
distribution of Diageo's
products in Brazil.
Correio Braziliense (DF)
O Globo
Diário do Nordeste (CE)
 The publication notes that Diageo
announced the purchase of Ypióca
for R$ 900 millions and with this
operation the company intends to
export the brazilian product for all
over the world.
 The newspaper notes the
relevance of Ypióca in Brazil
and emphasizes that Diageo
will grow 20% in the country,
having their first own
production facility in Brazil,
more than 250.000 outlets and
1100 employees.
 The local newspaper notes that
Northeast of Brazil will be
responsible for 1/3 of the
revenues in the country. The text
highlights that Diageo will keep
the products, the sales team and
that Everardo will stay at the
Directors Board during 2 years.
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Acquisition of Ypióca
Summary:
During the month of May Diageo has reached an agreement with Ypióca to get their premium brand of cachaça, as well as
part of their production assets and distribution. The acquisition was extensively covered by the most relevant publications in Brazil.
Results:
During one month we had a total of 377 stories in newspapers, magazines, websites, all the biggest
brazilian news portal, radio and TV, that generated a huge relevant ad value
Valor Econômico
 The most important business newspaper
notes that the acquisition puts Diageo in a
popular market, as Ypióca can be found
for US$ 7. Also mentions the intention of
the president of the company to claim a
reduction of import duty in the U.S.
Folha de S. Paulo
 The biggest Brazilian newspaper in
circulation notes that Diageo wants to
reduce its exposition to the movements of
mature markets and strengths its operation
in emerging markets.
O Estado de S.Paulo
 The second Brazilian newspaper in
circulation notes that over competitors
pressure, Diageo assumed the acquisition
of Ypióca after one and a half year of
negotiations. The price of the transaction
was considered high by the market,
although it also presents the opinion of an
analyst who estimates that the purchase
“worth it”.
HIGHLIGHTS IN THE BRAZILIAN MEDIA
Acquisition of Ypióca | Magazine VIP
Summary:
Magazine VIP is a monthly publication focused on lifestyle for the male audience. The magazine is different from the others of the segment by having
more journalistic content.
Results:
The publication brought a positive article, with our key institutional messages and devoted four pages to talk about the acquisition of Ypióca by
Diageo, a transaction that, as the reporter says, will open the gates to cachaça conquer the world. The article reserve considerable space to Diageo,
telling the story of the company since 1997 until the acquisition of Ypióca. The story also highlights the importance of the cachaça market, specially
Ypióca brand in Brazil, and brought up the plans of Diageo that, at first, will make Diageo even more Brazilian and will further expand
its others brands in the Northeast.
THANKS !!!
GRAZIELLE PARENTI
grazielle.parenti@diageo.com