Push Into The US
Cristina Scocchia said the company's goal is to make the US a "second domestic market." She added, "The US is currently worth 20% of our revenues," and "We want to take this contribution to 30%."
Illycaffe has been putting money to work in the US for several years alongside China and Europe. Those bets include marketing and communication spending. In a Bloomberg TV interview, Scocchia said the approach has been effective as demand has strengthened.
Results And Market Picture
The company reported higher volumes across its main regions, citing Italy and North America in particular. By country, the US already ranks second after Italy.
Scocchia noted coffee prices have climbed over the past five years and said Illycaffe absorbed part of those costs while continuing to invest. While consumption is growing in China, she said "the potential of the moment is not as big as the potential we see in Western Europe, and even more so in the US."
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Strategy, Ownership And Next Steps
Scocchia joined Illycaffe in 2022, after stints as CEO at L'Oréal Italy and at the makeup company Kiko. She has floated the idea of taking the company public for years, calling an IPO a "strategic opportunity," but said the current backdrop is not suitable. "We will keep on focusing all of our efforts on growing the business," she said. "When market conditions really improve, we will evaluate the options, including the IPO."
The company traces its origins to 1933 in Trieste, when Francesco Illy established Illycaffe. In 1935 he developed the "Illetta," regarded as the forerunner of modern espresso machines. The business remains privately controlled by the Illy family, while Rhône Capital has been a minority holder with roughly a 20% ownership since late 2020.
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