Diageo targets packaging fixes for Crown Royal, Smirnoff, Captain Morgan

New North America CEO identifies specific barriers to brand recovery

John O’Keeffe, who recently took the helm as CEO and president of Diageo North America, presented the packaging findings to investors at the company’s Capital Markets Day. Diageo disclosed at the same event a restructuring plan aimed at saving $1 billion, including supply-chain changes and job reductions.

O’Keeffe singled out Crown Royal, Smirnoff, and Captain Morgan for attention, calling them “three brands in long-term decline that require some fundamental fixes.”

For Crown Royal, O’Keeffe said the brand’s premium glass bottle — long central to its identity — has been undercut by a plastic closure. “On the one hand, I like the premium glass, iconic bottle that we have,” he told investors. “On the other hand, we’ve cheapened it by adding a plastic cap to it. We will be rectifying that.”

He also pointed to inconsistent use of the brand’s signature purple across the Crown Royal lineup. Diageo has introduced a range of Crown Royal flavors packaged in different colors, which O’Keeffe said reduces the brand’s collective shelf presence. “We need to implement a more cohesive brand identity, dialing up the iconic deluxe purple,” he said.

Smirnoff’s turnaround involves restoring a basic physical feature: the handle on its largest bottle. O’Keeffe also said the plastic version of Smirnoff needs “a complete visual refresh,” while the brand will continue to be sold in both glass and plastic to target different consumers and occasions.

Captain Morgan, meanwhile, has lost visual coherence. O’Keeffe said the brand’s labels have lost “the color and vibrancy and vitality of this brand,” while line extensions such as canned Slice Coladas have diluted the master-brand identity rather than reinforcing it.

Not all of Diageo’s packaging has fallen short. O’Keeffe pointed to Don Julio 1942 tequila’s FIFA and Lunar New Year bottles as examples of packaging done right.

The packaging fixes are part of a broader strategic reset at Diageo. O’Keeffe said high-funnel marketing strategies for the three brands are also being reworked, but argued that brand turnarounds require shelf-level changes as well. The $1 billion restructuring plan outlined at Capital Markets Day will combine supply-chain improvements with headcount reductions across the company.