BrandSensitize | Strategic Brand Evaluation & Marketing Advisory

British American Tobacco: Promoting Innovation and Integrity for a Smokeless Future

British American Tobacco (BAT), led by CEO Tadeu Marroco, is integrating Strategy, discipline, and dedication to change the oldest consumer goods industry globally. The company’s top global marketing leader is Kingsley Wheaton, who serves as Chief Strategy & Growth Officer and oversees group marketing and brand strategy across BAT.

 

British American Tobacco’s Group-level technology lead role is held by Javed Iqbal, who serves as Director of Digital and Information (the company’s de facto global CIO function), overseeing cloud, data/AI, and enterprise technology strategy across BAT’s markets.

 

With a workforce of 48,000+ employees representing over 140 nationalities, BAT operates across three key regions — the U.S., Americas & Europe (AME), and Asia-Pacific, Middle East & Africa (APMEA) — serving adult consumers in over 180 markets.

 

In 2024, the Group reported total revenue of £25.9 billion, with Smokeless products accounting for 17.5% of sales. As part of its ambition to become a primarily Smokeless business by 2035, BAT continues to invest in science-led invention, sustainability, and digital innovation to build A Better Tomorrow™ — one where adult customers can switch to low-risk alternatives.

 

Innovative Transformation

For BAT, innovation isn’t just a product strategy — it’s the foundation of its shift. In addition to its core combustibles segment, the company’s multi-category product line includes Vapor, Heated, Modern Oral, and Traditional Oral products. 

 

Omni™, a science-supported platform that compiles more than 10 years of Tobacco Harm Reduction (THR) data, is central to this shift. It demonstrates the company’s dedication to open communication and transparency in creating a smokeless world. 

 

With scientific leadership, BAT’s corporate venture capital program, Btomorrow Ventures, is financing innovative businesses in the fields of sustainable technology, inspiration, and health. Innovation is a dynamic, ever-evolving aspect of BAT’s DNA, driven by this constant investment cycle, testing, and scale.

 

Marketing in Motion: Responsibility Meets Relevance

The brand’s guiding principles—accountability, data-driven decision-making, and global reach—are reflected in the company’s marketing efforts. The Responsible Marketing Code, a framework that ensures all interactions are adult-focused, upfront, and aligned with the company’s branding & marketing strategy, is at the heart of this principle.

 

BAT’s brand messaging strategy shifts from traditional tobacco marketing toward a digital-first ecosystem. With strategies combining technology, design, and emotion, the company’s leading brands — including Vuse, Velo, and glo — are being positioned as products and lifestyle statements.

 

These brands are all based on the idea of responsible innovation that resonates emotionally. The company can comprehend changing behaviors and predict trends because every product launch, creative campaign, and collaboration is supported by real-time customer insights and digital analytics. 

 

The Power of Meaningful Branding

BAT’s global brand transformation is not just about diversification but also about changing how the company communicates its purpose. Through its “Building a Smokeless World” narrative, the organization has created a category-defining message that blends science with empathy and corporate accountability with human relevance.

 

This shift is visible across its communication — from multi-channel retail experiences and digital platforms to sustainability messaging. The company’s strategy has evolved from product-centric to purpose and audience-centric, creating resonance across markets.

 

By positioning its brands as part of a societal development — not just a commercial change — BAT is reclaiming creative ownership in an industry that historically operated behind regulatory barriers. It now communicates progress rather than selling goods.

 

Technology as a Branding Core

The success of BAT’s branding and marketing is made possible by digital transformation. The digital hubs and innovation labs utilize AI, consumer insights, and forecasting to enhance creative production, identify customer demands, and personalize interactions.

 

Its direct-to-consumer and e-commerce platforms facilitate easy access and feedback processes, which allow the brand to adapt to the changing mood of its customers. Internally, integrated data ecosystems ensure that development, branding & marketing, and product development work together smoothly, increasing innovation and maintaining storytelling.

 

BAT’s transformation from a tobacco manufacturer to a consumer technology powerhouse where science, design, and purpose come together is made possible by this interconnected digital platform.

 

Brand Values and the Hope of A Better Tomorrow

BAT’s transformation is guided by six corporate values: Bold, Fast, Empowered, Diverse, Responsible, and Sustainable. The company’s aim of building a Smokeless World aligns with its sustainability priorities across five focus areas: Tobacco Harm Reduction, Climate, Nature, Circularity, and Communities.

 

Insights of BAT

British American Tobacco’s journey is no longer about cigarettes — it’s about change, science, and societal impact. BAT is creating a future where adult customers have more options and the company operates with integrity and purpose through data-driven innovation, responsible marketing, and systematic operations.

 

The question now is not whether BAT can make the shift, but rather how well it can reshape the world of nicotine while staying true to its goal of providing a Better Tomorrow for all.

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Keith Nicks is EVP and Chief Digital & Commercial Officer for Ahold Delhaize USA, overseeing
omnichannel marketing, retail media, and e-commerce for U.S. brands. Tim Bork is the Chief Commercial
Officer for Ahold Delhaize Europe & Indonesia, focusing on local brands and responsible for growth,
including marketing and customer experience.
With nearly €96 billion in projected 2025 revenue, Ahold Delhaize ranks among the top 10 global
retailers, operating over 6,700 stores across multiple formats, including Albert Heijn, Delhaize, Food Lion,
Giant, Hannaford, and Stop & Shop.
6,700 stores powered by one procurement platform – a scale that makes others jealous.
For customers, Ahold isn’t just a grocery retailer; it’s a trusted lifestyle partner that combines the
intimacy of local shopping with the innovation and value of global retail leadership.
Ahold’s brands, such as Albert Heijn, Stop & Shop, and Giant, represent 37 years of average customer
relationships—customers don’t just shop there; they grow up with these brands, creating emotional
connections that transcend transactions.
After gaining thirty million loyalty members, Ahold demonstrated that personalization consistently
outperforms promotion.
BrandSensitize™ research shows that Ahold Delhaize operates with a decentralized marketing and brand
building approach, where marketing functions are embedded within:

  • Brand-specific leadership (each local brand has its own marketing teams.
  • Regional commercial officers who oversee marketing alongside broader commercial
    responsibilities.
  • Digital and omnichannel specialists who handle modern marketing channels.
    Ahold Delhaize’s Brand Building Initiatives:
    Sustainability campaign: €50M investment reached 10M consumers, delivering a 20% boost in
    sustainable product sales and generating €400M in revenue.
    Digital Marketing: €150M digital budget achieved 25% higher engagement, 2.6% click-through rates (vs
    1.9% industry standard), and built 500K+ social media following.
    Loyalty Program: 30M members across brands with 85% customer penetration, driving 75% of total sales
    and contributing €1B annually—10% better retention than competitors.

Strategic Brand Partnerships: 100+ collaborative campaigns with CPG brands, including Coca-Cola,
generated €600M in additional revenue through joint promotions.
Omnichannel Investment: A $1 billion price investment initiative, combined with AI-powered
personalization, aims to achieve an 80% loyalty sales penetration by 2028.
Strategic marketing drives measurable business results—from sustainability messaging to digital-first
loyalty programs, Ahold Delhaize demonstrates that well-executed brand-building campaigns deliver
both customer engagement and bottom-line growth on a global scale.
Ahold Delhaize’s Strategic Technology Partnerships:

  • W23 Global VC Fund: $125M investment with Tesco, Woolworths & others backing AI startups
    like Harmonya & Protex AI
  • Zycus Partnership: Source-to-Pay suite powering procurement across 6,700+ stores globally
  • Hanshow Technology: Electronic shelf labels + innovation labs across all European locations.
  • Inmar Intelligence: $141M in customer savings delivered through personalized digital coupons.
  • DoorDash Collaboration: Tripled order volumes through enhanced last-mile delivery integration.
  • Internal AI Innovation: MaxiGPT, LionGPT & Albot assistants deployed across the Serbian,
    Belgian, and Czech markets.
  • New Tech Studio: AD/01 in Bucharest targeting 250+ tech talents for digital acceleration.
    Zycus has licensed its comprehensive Source-to-Pay suite to Ahold Delhaize, including eSourcing,
    Contract Lifecycle Management (CLM), and Supplier Management platforms.
    TCS’s relationship with Ahold Delhaize marks a mature, strategic partnership focused on digital
    transformation and supply chain technology.
    Wipro partnered with Capgemini as one of the most significant retail transformation initiatives in the
    world at Ahold USA.
    Capgemini powers Ahold Delhaize’s end-to-end transformation, developing blockchain technology use
    cases for Ahold Delhaize’s supply chain and leveraging its expertise in business transformation, as well as
    its understanding of Ahold’s industry and operations.
    Traditional retailers, equipped with AI and Robotics, will surpass pure digital players by 2030.
    The key is to position Ahold not as just another retail success story, but as the company that has
    rewritten the rules of digital transformation for every traditional business watching.

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