47153 AG Barr Annual Report 2025 AW4 SQ WEB - Flipbook - Page 64
A.G. BARR p.l.c. Annual Report and Accounts 2025
R I S K M A N AG E M E NT CO N TI N U ED
Strategic priorities:
Connecting with consumers
Movement:
Building brands
No change
Driving efficiency
Increased
Risk
Impact
Gross risk movement during the year
Controls and mitigating actions
Failure to maintain
customer
relationships or take
account of changing
market dynamics
Failure to maintain appropriate customer
relationships or a reduction in the customer
base could have an adverse impact on the
Group’s sales and operating profits.
No change
The Group offers a broad range of brands that
it manufactures and distributes through a variety
of trade channels and customers. Performance
is monitored closely by the Board and Executive
Committee by trade channel and customer as
appropriate. This includes monitoring of metrics
which review brand equity strength, financial
and operational performance.
Net risk
rating
Moderate
The Group focuses on delivering high quality
products and invests heavily in building brand
equity. We work closely in partnership with our
customers on an ongoing basis. Members of
the senior management team meet with key
customers throughout the year.
Consumer rejection of
enhanced sweeteners
in reformulated
products
62
Consumers may decide to purchase and
consume alternative brands or spend less
on soft drinks.
No change
We completed an extensive innovation
Moderate
and reformulation programme prior to the
introduction of the Soft Drinks Industry Levy in
April 2018. 97% of our current Barr Soft Drinks
portfolio produced by volume contains less than
5g of total sugars per 100ml. 97% of our current
Barr Soft Drinks portfolio is exempt from the
regulations applicable to HFSS products. We
recognise that the risk of consumer rejection
of the enhanced sweeteners used in our
reformulated products remains. We continue
to closely monitor consumer acceptance levels
and brand performance across our total portfolio
and take appropriate mitigating actions.
Building trust
Decreased
New
Net risk movement
during the year
