Dive Brief:
- Maggie Timoney has been named chief executive officer of Heineken USA. She takes over on Sept. 1 for Ronald den Elzen, who heads to the Netherlands for a global role within Heineken.
- Timoney brings 25 years of experience in the beer and cider business to her new role, having served as CEO of Heineken Ireland for the past five years, the company said in a statement. She also held a series of sales, strategic planning and other roles for both Heineken USA and Canada since joining the company in 1998.
- “She understands the challenges and opportunities that exist within the U.S. market and she has the right mix of strategic vision, people leadership and grit to ignite future growth," said Marc Busain, regional president for Heineken.
Dive Insight:
Timoney joins the thin ranks of women at the helm of major food and beverage companies, including Indra Nooyi of PepsiCo, Michele Buck of Hershey and Ilene Gordon of Ingredion (who is retiring next month.) That representation reflects an overall lack of women in corner offices — although numbers are growing. Women CEOs on the Fortune 500 list went up more than 50% in 2017, from 21 to 32 year over year. Those women still represent just 6.4% of the overall list of top executives. That figure likely does not reflect the departure of Denise Morrison of Campbell Soup and Irene Rosenfeld of Mondelez International.
Regardless of her gender, Timoney returns to the U.S. at a challenging time for the U.S. beer industry that saw total shipments decline 1.3% in 2017. Although overall global beer sales are on the rise, many millennial drinkers are turning away from beer to premium spirits and wine. Heineken’s organic beer volume rose 4.3% in the first quarter of 2018, due to strength in Asia, Africa and the Americas, while beer shipments in Europe were down 1.7%. In the U.S., Heineken saw a high single-digit decline as key brands lost market share, while globally the brand grew by 8.1% year over year.
As head of Heineken USA, Timoney will face the same challenges as her male counterparts in the beer industry. The major beer producers are facing threats on several fronts as Americans move away from domestic lagers in favor of Mexican imports, craft beers and wine and spirits. A growing number of consumers are also turning to low-calorie and no- or low-alcohol brews as part of a broader health and wellness trend sweeping the food and beverage industry. Timoney will have to confront these challenges immediately, as well as compete with the likes of AB InBev and MillerCoors who dominate the space but have struggled to keep up with changing consumer tastes and trends.
The timing for Timoney's stateside return seems right. Not only does she have experience at the top spot in a number of other company divisions, but she brings decades of experience within the U.S. beverage market, including stints with Heineken USA and as an Anheuser-Busch Wholesaler. That mix could serve Heineken well as it works its way through the changing beer and beverage market.