Robert Foye, CEO of Accolade Wines, is in charge of one of the world’s largest drinks businesses, but focuses on managing his organisation like a startup. Here he explains what his company is doing differently
Who wouldn’t want to work in the wine business? A product that people all around the world love, grounded in generations of expertise that plays a vital role in environmental stewardship and sustaining communities.
I joined Accolade Wines, one of the largest wine companies in the world, after spending most of my career in fast moving consumer goods- specifically The Coca-Cola Company, in Europe, Asia and the US.
We talk about ‘fast moving consumer goods’ but nothing moves faster than the cycles of new product innovation in Asia, especially in Japan and China. Running country and commercial operations across the region, grounded in me the need for intense consumer centricity, speed and constant innovation.
That’s why at Accolade, we like to act like a small startup, despite our scale. We sell 35 million cases a year, the number one in the UK market and number two in Australia, with brands including Hardys, Echo Falls, Jam Shed, and Banrock Station.
Intense customer focus
So, what are we doing differently that is driving growth? First and foremost, we focus on our customers and our own people.
To grow the category, we must challenge the norms in our industry – and to do that successfully we need to understand our customers and have people who are passionate about delivering.
There is so much potential, we need everyone to be in the right mind, body and spirit to bring their A game, every day, to help our customers succeed
This is part culture, part operational.
We start every meeting, every strategy, with a focus on the customer. The more we listen to them the more we understand their strategies and match them, we win. That extends beyond new product development to how we look in store and how we deliver on supply and customer service.
That is why we measure supply chain excellence and customer service every day and why we developed the Accolade Wines Commercial Academy, to train all our sales and commercial teams to achieve best in class delivery and to drive business growth.
Simply put, it aims to drive to us to a place where we are the partner our customers want to engage with most.
Constant innovation
We have a shared interest in innovation to meet the constantly changing tastes and lifestyle of the shopper and consumer.
Wine hasn’t always been the quickest to adapt and innovate, but we regard it as our responsibility to lead innovation across the category. Sustainability is key to that – there are many ways we can delight the consumer and make a positive impact on the planet. It means taking some risk and breaking some norms – especially as we move into new categories, new formats, and new propositions.
Take zero and low alcohol. A category neither beer nor wine took seriously until recently. Wine offerings haven’t exactly done the category any favours. Meanwhile, Budweiser got around to launching Bud Zero 38 years after Coke introduced Diet Coke/Coke Zero.
We see a huge opportunity in low and no alcohol wine, as technology improves consumer preferences change and policymakers make sometimes erratic decisions about how they tax our product.
We are producing low and even zero alcohol wines that are great to drink. Hardys Zero, our first play in the zero-alcohol space uses new technology that we believe will make our wine the best tasting option in the category. We are also moving into the premium category with a winning offer.
This helps our customer when they face issues like in the UK where the Government’s proposed excise duty reforms would put £81 million in extra duty annually on Australian wine sold in the UK. (The burden falls on wines that are typically stronger due to growing conditions.)
This is unfortunate, because UK consumers (and wine growers Down Under) were looking forward to lower prices, more choice and growth because of the Free Trade Agreements (FTAs) between the UK, and Australia and New Zealand Governments.
We seek to work with Governments to establish systems that our simple and fair and allow people to enjoy a glass of their favourite wine in moderation but does not unduly punish the consumer or hamper investment.
Disruptive collaborations in fashion, tech, sport, and music are a mainstay, fuelling interest and loyalty, particularly among young adults. Not so much in the wine industry. So, you’ll see us shattering some more norms with disruptive collaborations with sport and cultural icons coming down the pipe.
Equally, provocative modern design isn’t something the wine sector is used to – our Grant Burge Inks have real swagger and are grabbing the attention of millennials and recruiting new consumers into the category.
The potential is limitless – but pointless if you don’t zero in on the consumer you’re seeking to win into the category and the having the right partners and motivated team to get you there.
People growth
We want people who know how to do their jobs, want to stretch and learn, and are ready for the next challenge. We avoid management layers and constantly seek to grow professionally and personally.
We seek to create a future everybody wants to be part of. And you do that by listening to what makes a difference.
The feedback from our people has helped us shape mental wellbeing programmes, introduce loyalty leave – an extra day off for every year at Accolade – and our establish our Go Beyond Day – an extra day off to volunteer with a charity of your choice. They also want us to drive harder with sustainability, the only way we can create that future we all want to be part of.
It is our responsibility to protect the future of our people, our industry and our planet. Not only is it the right thing to do, but it is also good for business. Consumers are demanding sustainable brands and products, Customers are seeking stronger partnerships with companies that can meet that need, and it is something all our people are passionate about.
Making every drop count
Our ‘Making Every Drop Count ’global sustainability strategy covers every aspect of our business and provides us with a single global vision for the future.
We achieved carbon neutrality in our Europe operations two years ago. Half the power provided to our bottling and innovation facility at The Park in Bristol – the largest in Europe – is powered by our own wind turbine.
We aim to move further in all areas of our business, not least in packaging. We are launching fully circular, recycled glass products and we are actively developing paper-based bottles. We are pioneering a revival of the ‘wine on tap’, otherwise known as bag in box format. Hugely popular in the 70s, fundamentally a good idea, but like many things, innovation halted, and it went out of fashion.
It’s great from a sustainability point of view – less packaging, the wine stays fresh much longer. Couple that with the impact of Covid-19 and home consumption – some great products and innovation – and the format is enjoying a great revival.
Of course, the past couple of years have been tough for everybody, with the impact of Covid-19 on our people, our markets and our supply chain.
First and foremost, we focused on our keeping our people safe and supported. We made the decision early not to furlough or lay off, held our nerve, and that meant we were able to do everything we could to support our customers who faced unprecedented upheaval.
We of course see positive improvements in many parts of the world as the COVID threat recedes, supply chains normalise and markets re-open. But 2022 brings with it unprecedented levels of uncertainty with the tragic events unfolding in Europe.
But even in these difficult times, we continue to focus on the things we could control, working with our customers do everything we can to support them. And together, constantly strive for that future we all want to be part of.
Robert Foye, CEO of Accolade Wines, has nearly 30 years’ experience, leading beverage businesses across Asia-Pacific, Europe and the Americas. Prior to joining Accolade Wines, Robert was Chief Operating Officer (COO) at Treasury Wine Estates and a senior executive at the Coca-Cola Company. He holds a BA in Political Science and MBA from Rice University in Houston, Texas.