Business Strategy

Our Businesses Strategy

“Avon’s strategy has delivered strong earnings growth and cash generation. Our business has proved to be resilient in difficult market conditions and we exit the year a more robust business with a range of good opportunities for growth." 

David Evans, Chairman

Protection & Defence strategy

We have a world-leading range of military respirators, developed over many years and funded partially by our customers, where we own the intellectual property.

Our strategy is to build a strong position in the US military market and use this position to sell to other governments and first responder markets globally.

We initially demonstrated this through our long-term sole-source mask systems contract to supply the US military. Our status as a prime contractor to the DOD, which regards us as experts in our field, has brought us a number of other opportunities to replicate this with our recently developed respiratory protection products.

Our product range and manufacturing capability is increasing. Developing through-life revenues with greater consumable sales and service revenue, such as filters, is also a key objective.

We believe that our expanding product range and customer base, together with our credibility and development expertise, will put us in a market-leading position to supply into all accessible global markets.

Dairy strategy

Our strategy for long-term sustainable profit growth is to be the complete milking point solutions provider, improving every farm we touch. Our Dairy business comprises liners and tubing, precision and control components and our service offering.

Our liners and tubing are already established as market-leading products in developed markets. Our growth strategy in developed markets is to continue to convert customers to more technical own brand products. In emerging markets, as the automation of the milking process continues, our investment in in-country distribution centres leaves us well positioned to grow our market share.

The acquisition of InterPuls gives us a market leading position in Europe and Asia in precision and control systems, including pulsators, which will allow us to leverage our position in liners and tubing, combine our global distribution networks and maximise our sales of precision and control systems by launching these products into the US.

The success of our innovative Cluster Exchange service has demonstrated the benefits to the farmer of such a service offering. We plan to expand the concept further by piloting exchange schemes for pulsators, neck tags and leg tags in 2017.

Innovative new product and service offerings and continued world class low cost manufacturing excellence should allow our enhanced Dairy business to sustain growth, profitability and cash generation.

Read more here in our 2016 Annual Report