A FIRM FAVOURITE BUSINESS OVERVIEW
Clover is a leading and competitive branded consumer goods and products group operating in South Africa and selected African countries, reaching a wide range of geographically dispersed customers and consumers with a range of quality value-added dairy and non-dairy products, delivered through one of the largest ambient and chilled distribution networks in South Africa.
Clover has been operating, in one form or another, since 1898 and has enjoyed a long and successful history as part of the development of South Africa's dairy and FMCG industry. Clover was converted froma co-operative society into a public company in 2003. Subsequent to the conversion, Clover has evolved into a dynamic demand driven branded consumer goods business with strong market position and attractive growth prospects.
Clover is a branded consumer goods and products group with core competencies in:
The production of dairy and non-dairy consumer products;
The distribution of chilled and ambient consumer products; and
The sales andmerchandising of consumer goods.
Clover produces and distributes (for itself and other FMCG companies) a diverse range of dairy and non-dairy consumer products to consumers and customers through one of the largest and most extensive distribution networks in South Africa. The business platform, created and sustained by the dairy business, provides the perfect platformfor the Group to reach an extensive cross section of South African customers and consumers. Clover's business platform spans the breadth of the value chain from production to sales and integrates key value-added support services suchas logistics, supply chain management, sales and merchandising. Clover's market penetration (Clover delivers to approximately 14,000 delivery points across South Africa) coupled with its value added services offering, positions Clover to exploit attractive opportunities for organic and acquisitive growth.
A CENTURY OF PASSION, COMMITMENT AND SPEED
Clover's values of passion, commitment and speed are evident in its extensive product range.
Clover has substantial interests in Clover Manhattan (Pty) Ltd which produces its Ice Tea range, Clover Botswana (Pty) Ltd which produces fruit juices and milk, and Clover Fonterra Ingredients (CFI) which distributes dairy commodities to Africa.
Clover's vast product range includes:
Beverages: Tropika, Aquartz, Super M, Clover Life, Clover Krush, Clover Nectar, Manhattan Ice Tea, Capri Sun and Danao
Butter and Butter Spreads: Clover Butro, Clover Mooi River, Clover Springbok, Clover Ghee, Clover Farmstyle and Clover Butter 8g
Cheese: Clover, Elite, Berg and Sacca
Condensed Milk: Clover Full Cream Condensed Milk
Milk and Cream: Clover Fresh Milk, Clover UHT Milk, Ultra Mel UHT Milk, Creamline, Clover Cream, Clover Mmmilk, Clover Great Taste No Fat Milk, Clover The One Milk and Clover Seal Fresh Milk
Powdered Products: Elite
PRODUCTION
All Clover factories are ISO9002-compliant and HACCP accredited, with one new factory also ISO22000 certified. The UHT slimline with screw cap application has been installed at Clayville, PE and Queensburgh - these plants also feature the new SealFresh technology.
SALES AND DISTRIBUTION
Clover operates arguably one of the largest distribution networks in chilled and ambient FMCG products in South Africa. The distribution network is a key asset and core competency for Clover and forms an integral part of Clover's competitive advantage.
Clover's national distribution network is able to access a cross section of the South African retail and wholesale trade withdeep penetration (approximately 14,000 delivery points, including agency delivery points) and high frequency of delivery. The reach and scale of the distribution network is an enabling platform for Clover and is expected to facilitate the growth of the business.
Bottle labelling process at Clover
The distribution network has two legs, primary distribution and secondary distribution. Primary distribution relates to distribution from production facility to Clover's distribution centres. Secondary distribution relates to distribution from Clover's distribution centres to the retail and wholesale trade and other customers. The distribution network currently utilises 17 distribution centres in key locations across South Africa, four satellite distribution centres and
seven agencies.
The secondary distribution network comprises more than 600 trucks with each truck delivering to an average of eight customers per day. Within the current distribution network, approximately 95% of Clover's total demand is located within 300km of the closest distribution branch.
UKWAKHA ISIZWE
Ukwakha Isizwe means 'building and nurturing our nation'. Clover has long adopted a conscious commitment to actively involve itself in the lives of the poor, by playing a supportive role in self-help projects to improve the standard of living in these communities. Clover Mama Afrika was born as a result - giving true meaning to ubuntu. Together with Area Managers, Clover management has selected projects that are sustainable and viable; and assists these projects andmeets their needs for resources and education in a realistic way.
CLOVER'S EXPORTS
Although the primary objective of the Export Division is to market value added branded consumer products, the division also trades in such commodities as bulk-packed milk powder and butter, which are used mainly in the ingredients markets.
Due to Clover's geographical position, its most important markets are Mozambique, Zimbabwe, Botswana, Namibia, Swaziland, Angola and Zambia, where long-life products, butter and flavoured milk are particularly popular. Recent developments in the Southern African Development Community (SADC) bode well for its export drive into Africa.
A LIVING BRAND
People are Clover's most valuable resource. Clover pays special attention to select and promote the right people in the right positions. Through a talent management process individual development programmes are compiled which help prepare employees for appointment in critical positions within the organisation. Clover also continuously focuses on improving management and technical skills. Clover is registered with the Food and Beverage Sector Education and Training Authority (SETA), which opens awhole range of new learnership opportunities.
SOUND BUSINESS
Clover supports the code of corporate practices and conduct as recommended by the King III Report on Corporate Governance for South Africa. Its management board has adopted a Code of Conduct that certifies all directors are fully committed to ensuring the business is managed with due regard for the social and political environment within which Clover operates.
Despite operating in a highly competitive environment, Clover has set itself a medium-term goal of achieving an operating margin of 6% on turnover and increasing profitability by growing its top line and improving inefficiencies. Stakeholders have the assurance that their interests are judged as very important in all cases.
Full Name of Company: Clover S.A. (Pty) Ltd Nature of Business: Manufacturing, sales and distribution Services / Products: Dairy and other beverage products Subsidiaries and Joint Ventures: Clover Botswana (Pty) Ltd, Clover Swaziland (Pty) Ltd, Clover Dairy (Namibia) (Pty) Ltd, Clover Fonterra Ingredients (Pty) Ltd, Clover Mahattan (Pty) Ltd, Lactolab (Pty) Ltd, Clover West Africa (Pty) Ltd Date Established: 1898 Annual Turnover: R6 billion Auditors: Ernst &Young
VISION
To be a leading and competitive company in South Africa and selected African countries, reaching every consumer on a daily basis with its most admired branded and trusted products, delivering sustainable shareholder value by being a responsible corporate citizen and preferred employer.
MISSION
Clover is a branded goods and beverages group with strong emphasis on value-added products. Clover's South African dairy business is the perfect enabler to reach the Group's widely dispersed customers and consumers. Extraordinary care is taken to develop brands which will occupy the number one or two position in its chosen segment. It believes in the superior procurement, production, marketing, sales and distribution of these branded consumer goods to its loyal customers.
STRATEGY
Clover's corporate strategy is to build onto existing competencies within the Group and to establish a culture of exceptional performance with a view to set a platform for future market expansion. Different companies within the Group have different strategies, all receiving company specific support to maximize their potential. Key to all its activities is the expansion of capacities to share in the strong growth in consumption in the segments which it dominates.
KEY PERSONNEL Chief Executive: Johann Vorster Directors: J.H. Vorster,H.B. Roode, Dr. C.P. Lerm, L.J. Botha, H Lubbe, Dr JHF Botes Chairman: JH Vorster
29 September 2011 - Clover Mama Afrika has been awarded the Proudly South African (Proudly SA) Homegrown Award 2011 in the CSI of the Year Corporate category. This prestigious award is also greatly at... continue reading ›
SA youth vote Clover brands tops
Four Clover dairy drinks make the 'coolest' Top 10
It is clear that Clover dairy drinks have the X-factor when it comes to the youth of South Africa. In a survey recently publ... continue reading ›
Favourite beverage brands get stylish new looks
New looks, same great tastes!
Don't forget to look out for our beverages with stylish new looks.
The three brands featuring exciting new packaging are Capri-Sun ... continue reading ›
Clover's CEO talks about migrating away from commodity to branded products. (PODCAST)
Alec Hogg|
20 September 2011 07:41
- DOWNLOAD THIS INTERVIEW
ALEC HOGG: It's Monday September 19 2011 and in this Boardroom Talk special podcast, Johann Vorster, w... continue reading ›
Favourite beverage brands get stylish new looks
New looks, same great tastes!
Don't forget to look out for our beverages with stylish new looks.
The three brands featuring exciting new packaging are Capri-Sun ... continue reading ›
SA youth vote Clover brands tops
Four Clover dairy drinks make the 'coolest' Top 10
It is clear that Clover dairy drinks have the X-factor when it comes to the youth of South Africa. In a survey recently publ... continue reading ›
