Diageo: Zero-based budgeting is ‘the new normal’

Diageo, which owns brands such as Johnnie Walker, Smirnoff and Guinness, is implementing zero-based budgeting (ZBB) for the first time this year as part of wider plans to be more “cost conscious”, which includes forming “deeper partnerships” with fewer marketing agencies.
The strategy was introduced in July for the start of Diageo’s new fiscal year. It means the company’s marketing teams will have to justify spending on all new brand activity rather than