At a time when investment seems frozen, what spending hacks can beverage brands utilize to improve their margins without sacrificing topline revenue growth?
In a featured presentation from BevNET Live Summer 2024 earlier this month, Icelandic Glacial CEO Reza Mirza discussed how he has spent the past decade using a lean model to build the company into one of the country’s imported luxury water brands.
One of the most important practices for growing brands is renegotiating contracts every one to two years as it heavily impacts the cost of goods, said Mirza, and every cent you save has a massive impact on the bottom line as you grow.
“We have been around for 15 years and we are growing double digits every year, there’s a reason why,” said Mirza. “Be maniacal about the cost of goods but don’t sign long-term contracts. As you grow, your co-packer or supplier will get the scale but those long-term contracts are hard to get out of.”
Watch the full video above, and explore more content from BevNET Live Summer 2024 here.