{"id":78318,"date":"2026-06-05T17:14:13","date_gmt":"2026-06-05T17:14:13","guid":{"rendered":"https:\/\/www.europesays.com\/ch\/78318\/"},"modified":"2026-06-05T17:14:13","modified_gmt":"2026-06-05T17:14:13","slug":"how-sustainability-is-underpinning-premium-growth-at-froneri","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ch\/78318\/","title":{"rendered":"How sustainability is underpinning premium growth at Froneri"},"content":{"rendered":"<p class=\"c-paragraph b-article-body-skinny\">The ice cream business is exposed to seasonality, sensitive to supply chain disruptions, and susceptible to fickle consumer preferences. <\/p>\n<p class=\"c-paragraph b-article-body-skinny\">That is why the world\u2019s biggest brands have become concentrated into two major pure-play companies in recent years: Nestl\u00e9 co-owned Froneri, and Unilever spin-off The Magnum Ice Cream Company.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Of the two, Froneri was formed first, about a decade ago, and today is responsible for distributing brands such as Haagen Dazs, Nuii, Oreo and Cadbury. It took several years for the company\u2019s financial performance to gather momentum, but in recent years, there\u2019s clear evidence why this operating model can be successful.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Froneri\u2019s revenue has grown steadily year over year, rising from \u20ac5,292m in FY2023 to \u20ac5,531m in FY2024 (+4.5%), driven by both volume increases (+3%) and favourable price\/mix. This course was maintained in 2025, with consistent expansion across most markets driven by Froneri\u2019s flagship brands.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Those brands are growing faster than the rest of the portfolio.<\/p>\n<p>In FY2024, flagship brand sales improved 7.9% year\u2011on\u2011year (like\u2011for\u2011like FX), outpacing total revenue growth of 4.5% and reaching almost 70% of total group sales.In FY2025: sales moderated to +2.4% YoY and remained the dominant share of group sales.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">What underpins this performance is Froneri\u2019s investment in premiumisation and snacking \u2013 two macro trends that have exploded in recent years as consumers have opted for higher quality products and portion-controlled indulgence. <\/p>\n<p class=\"c-paragraph b-article-body-skinny\">But maintaining course is not just down to innovation, increased distribution, and marketing might. Sustainability is also embedded in sourcing, label claims, and brand equity \u2013 making it a foundational driver of the very trends that are bringing commercial success at Froneri. <\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Regulatory and market pressures have made sustainability a key pillar of corporate strategy, yet the topic remains a source of tension for senior leaders \u2013 and it\u2019s easy to see why.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Having to commit to sustainable targets or initiatives \u2013 whether voluntarily or due to external factors \u2013 may look less than compelling in today\u2019s soft consumer market, even when it\u2019s clear that incremental efficiency improvements and supply chain stability are at stake.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">But that\u2019s not the only available logic. Sustainability can be a commercial success lever \u2013 and one of the world\u2019s biggest ice cream companies is showing how it\u2019s done.<\/p>\n<p>Froneri: key financial &amp; sustainability metrics<\/p>\n<p>Revenue: \u20ac5,558m (FY2025) vs \u20ac5,531m (FY2024)<br \/>EBITDAE: \u20ac1,202m vs \u20ac1,187m<br \/>Profit: \u20ac203m vs \u20ac345m<br \/>A\u2011brand growth (FY2025): +2.4% YoY<br \/>A\u2011brand share of group sales: c. ~70%<br \/>Packaging: &gt;100 tonnes of fossil\u2011based material removed in 2024<br \/>Material shift: &gt;3\u00d7 that volume converted to more sustainable alternatives<br \/>Certified packaging: &gt;70% of paper\/wood from certified or recycled sources<br \/>Target: 100% recyclable\/compostable\/reusable packaging by 2025 (yet to be met)<br \/>Energy: ~10.5% reduction in energy use YoY<br \/>Logistics: reduced truck journeys via improved palletisation<br \/>Nutrition: ~90% of branded portions &lt;250 kcal<br \/>Kids\u2019 standards: &lt;110 kcal per portion<br \/>Sourcing: 100% sustainably sourced palm oil achieved<br \/>Cocoa: on track for 100% sustainable sourcing for A\u2011brands by 2025 (yet to be met)<\/p>\n<p>Sustainability as a commercial lever<img decoding=\"async\" data-chromatic=\"ignore\" alt=\"Nuii and Jason Momoa\" src=\"https:\/\/www.europesays.com\/ch\/wp-content\/uploads\/2026\/06\/DAOGGQJNOJP6HFIFWDEI74AZPU.jpg\" loading=\"lazy\"\/>Nuii and Jason Momoa<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">At Froneri, sustainability is an embedded reality across innovation, branding, marketing, and operational resilience. Premium products call for premium ingredients \u2013 and these are often backed by certification schemes and alliances. <\/p>\n<p class=\"c-paragraph b-article-body-skinny\">For exmaple, Froneri sources sustainable cocoa and palm oil for its flagship brands, which in turn supports premium positioning and builds trust. While palm oil sourcing is already fully sustainable, the company is working towards 100% sustainable cocoa for its A\u2011brands.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Sustainability principles are also embedded in product innovation. The company operates a product development traffic light system, where each product is assessed against sustainability and nutrition criteria and then given a rating: red if it doesn\u2019t meet standards; amber if it needs refinement; or green if it meets requirements and can move forward. The system flags issues such as ingredient sourcing, packaging sustainability, nutrition profile and alignment with the company\u2019s ESG commitments. Importantly, each assessment requires senior-manager-level sign-off, embedding sustainability in portfolio decision-making.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">The company also leverages ESG in brand-building. Nuii is positioned as both a premium and purpose-driven brand, aligned with nature, adventure and exploration, and backed by real star power through global ambassador Jason Momoa (Dune, Game of Thrones). The brand\u2019s marketing is tied to initiatives such as wildlife conservation partnerships, giving consumers a cause to support.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Portion-controlled indulgence is also closely tied to ESG values. Froneri promotes moderation without over-emphasising the point. <\/p>\n<p class=\"c-paragraph b-article-body-skinny\">For example, around 90% of the company\u2019s branded ice cream portions are under 250 calories, with even stricter standards for children. This provides lower-calorie and reduced-sugar options without forcing the message on consumers. <\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Snacking formats are inherently designed as defined portions with predictable calorie levels, and consumption is organised around occasions rather than volume. This aligns the brands with health-conscious consumers, including younger Gen Z shoppers who are most likely to respond to sustainability cues.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Operationally, sustainability is framed as a key efficiency driver. Froneri\u2019s \u2018Buy Better, Take Costs Out\u2019 initiative is linked to cost discipline across packaging, energy use, and logistics. <\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Its presence in the premium segment reinforces this \u2013 flagship brands are being transitioned to recyclable or circular packaging, while the company is also reducing overall material use and shifting away from fossil fuel-derived inputs. <\/p>\n<p class=\"c-paragraph b-article-body-skinny\">In 2024 alone, the company reduced more than 100 tonnes of fossil-based packaging and converted more than three times that volume into more sustainable alternatives. The ultimate target is for all flagship brands to move to sustainably sourced or circular packaging.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">Overall, Froneri\u2019s leadership views sustainability as central for long-term value creation. The company\u2019s next move is to transform intent into format targets. The ambition is to set emissions reduction targets in line with the SBTi, having submitted near- and long-term targets for approval, alongside developing decarbonisation strategy and net\u2011zero roadmap.<\/p>\n<p class=\"c-paragraph b-article-body-skinny\">But even today, it is clear that sustainability is delivering tangible benefits for the ice cream major \u2013 from responsibly sourced ingredients that reinforce premium positioning to brand equity that elevates the concept of ethical indulgence.<\/p>\n","protected":false},"excerpt":{"rendered":"The ice cream business is exposed to seasonality, sensitive to supply chain disruptions, and susceptible to fickle consumer&hellip;\n","protected":false},"author":2,"featured_media":78319,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[126],"tags":[8516,10179,10180,5722,10181,10182,10183,10184,10185,10186,457,8526,35,10187,10188,5736,5737,10189,3824,10178,10190,10191,8535,10192,2118,199,8536,3049,10193,486,10194,8542,10195,10196,10197,10198,789,10199,10200,10201,704,10202],"class_list":["post-78318","post","type-post","status-publish","format-standard","has-post-thumbnail","category-nestle","tag-agriculture","tag-animal","tag-animals-and-pets","tag-blue","tag-blue-sky","tag-bull","tag-cattle","tag-concepts-and-ideas","tag-cow","tag-dairy-farm","tag-environment","tag-farm","tag-food","tag-grass","tag-grazing","tag-healthy-eating","tag-healthy-lifestyle","tag-holstein-cattle","tag-industry","tag-livestock","tag-mammal","tag-mammals","tag-meadow","tag-meat","tag-nature","tag-nestle","tag-non-urban-scene","tag-outdoors","tag-pasture","tag-power","tag-ranch","tag-rural-scene","tag-save-energy","tag-standing","tag-steak","tag-sustainable-resources","tag-technology","tag-tower","tag-turbine","tag-warming-up","tag-wind-power","tag-wind-turbine"],"share_on_mastodon":{"url":"","error":"Validation failed: Text character limit of 500 exceeded"},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/78318","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/comments?post=78318"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/78318\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media\/78319"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media?parent=78318"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/categories?post=78318"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/tags?post=78318"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}