London: In a bold strategic shift aimed at reviving growth and restoring investor confidence, Diageo the British multinational known for its world-famous brands such as Guinness, Johnnie Walker, and Smirnoff has appointed Dave Lewis as its next Chief Executive Officer, effective early 2026. The announcement sent Diageo’s shares soaring by nearly seven percent, marking their biggest single-day rise since 2020, as markets welcomed the arrival of a seasoned turnaround specialist at the helm of the global drinks leader.
Lewis’s appointment comes at a time when Diageo is grappling with sluggish consumer demand, rising operational costs, and regulatory headwinds in key markets like the United States. The company’s interim CEO, Nik Jhangiani, who stepped in after the sudden departure of the previous chief, will resume his role as Chief Financial Officer following the transition. The leadership change underscores Diageo’s intent to bring in an outsider with a fresh perspective to reset its strategic direction and reinvigorate growth across its vast portfolio.
Dave Lewis, 60, is best known for his tenure as CEO of Tesco, where he orchestrated one of the most remarkable corporate turnarounds in UK retail history. Joining the supermarket giant in 2014 amid scandal and financial turmoil, Lewis led an ambitious restructuring cutting costs, refocusing operations, and rebuilding consumer trust. Before Tesco, he spent over three decades at Unilever, earning the nickname “Drastic Dave” for his uncompromising approach to efficiency and brand reform.
His extensive background in consumer goods and global supply chains is expected to serve Diageo well as it navigates complex international markets and evolving consumer preferences. Analysts believe Lewis’s outsider status will allow him to make the kind of bold decisions often resisted within long-established corporate cultures.
Diageo’s performance has come under pressure in recent years. Demand for traditional spirits has weakened in some markets, while tariffs and currency fluctuations have eroded profitability. Additionally, the growing popularity of low- and non-alcoholic alternatives has disrupted traditional sales models, forcing the company to rethink its approach to innovation and branding.
Lewis’s immediate challenge will be to rejuvenate Diageo’s flagship labels while exploring emerging markets and modernizing its supply chain. His reputation for discipline and operational clarity suggests that a sweeping cost-efficiency program could be on the horizon, potentially freeing up capital for marketing and new product development.
The decision to appoint an external candidate marks a departure from Diageo’s usual practice of promoting internally. The board’s confidence in Lewis reflects a belief that a transformative leader is required to adapt the company to a shifting global landscape. Investors responded positively to the announcement, viewing it as a signal of renewed ambition and a pragmatic response to recent stagnation.
Industry experts note that the company’s turnaround will hinge on Lewis’s ability to balance fiscal prudence with innovation. “Diageo needs both financial discipline and creative energy,” one analyst observed. “Lewis’s track record shows he can deliver both.”
As Lewis prepares to assume leadership in 2026, his priorities will likely include revitalizing brand performance, reducing debt levels, and optimizing Diageo’s geographic portfolio. Strengthening the company’s U.S. and Asia-Pacific presence, addressing sustainability commitments, and adapting to evolving alcohol regulations will also feature prominently on his agenda.
In an industry facing transformation, Diageo’s choice of a retail veteran signals a deliberate attempt to redefine its identity not merely as a spirits producer, but as a dynamic, consumer-oriented global enterprise.
With this appointment, Diageo is betting on change an acknowledgment that legacy and brand heritage alone can no longer guarantee growth in a rapidly diversifying marketplace. For Dave Lewis, the task ahead mirrors his past achievements: restoring momentum, reinforcing trust, and reshaping a corporate titan for the modern age.
If successful, his tenure could mark the beginning of a new era for Diageo one where strategic reinvention and disciplined leadership blend as seamlessly as the world-class spirits the company is known for.