Fri, 26th Jul 2019
Unilever says that it plans to sell off brands that it feels are not sustainable, or are bad for society. Among the brands that it lists as ‘at risk’ are Magnum and Marmite.
The company says that it aims to dispose of brands which are not making a positive contribution to society, and that it sees Magnum and Marmite as being among the major names that do not currently match with the sustainable business agenda. The company’s chief executive, Alan Jope, noted that it was not enough to just sell products that do a job, but that the modern consumer wants brands to have a purpose as well.
Unilever has asked marketers to come up with sustainable business plans for 400 of its brands, but Pot Noodle, Magnum and Marmite are some of the companies that would need to find a ‘purpose’ if they want to remain a part of Unilever’s group in the long term.
Jope wants to see those brands figure out a way to make society better for the long term. There is not a set timescale for the brands to operate to, but the company said that it is possible that a product or a brand may not be able to find its purpose. He also said that the Unilever company may end up selling off some profitable companies, but that principles only count as principles if they cost something.
Some of the company’s most successful sustainable brands include Dove and Hellmann’s, which are both highly profitable but also have a positive impact on UK communities.