Vetoquinol - Universal Registration Document - 2021

1 Vetoquinol Universal Registration Document 2020 Financial report 11 PRESENTATION OF THE GROUP Vetoquinol’s strategy Proven expertise in company acquisition Since 1977, the date its first subsidiary in the Nether- lands was created, the Group’s development strategy has been largely based on external growth. The Group’s management team has always implemented a targeted acquisition policy, focusing on commercial and industrial synergies to support organic sales growth. Sales and distribution The Group operates in three territories: Europe, USA and Rest of World. The RoW division covers Asia Pacific, Latin America, Canada and the worldwide distributor network. In each country, subsidiaries report to the Regional Director to which they are attached; they have their own sales force, marketing department, regulatory depart- ment and support functions. Each Regional Director is in charge of operations within their territory, both in terms of partnership management and relations with local distributors, in line with the Group’s strategy and policies. Regional Directors are members of the Group’s Management Committee. At December 31 st , 2019, the Group had over 750 veterinary delegates at its subsi- diaries. The Group has a qualified sales force, regularly trained by veterinary experts in technical aspects and by a network of in-house trainers in sales and communica- tion techniques (Sales Excellence Program). The Company has a long-term sales policy and focuses on the quality of the relationship between its veterinary delegates and veterinary partner customers, listening and responding to their needs. For this purpose, Veto- quinol has developed a customer-centric approach where listening to customers and solutions designed on the basis of their needs are identified and marketed. Vetoquinol is characterized by its determination to provide long-term support to its vet partners. The Group also makes considerable investments in the scientific training of vets. 1.3 Vetoquinol’s strategy 1.3.1 A focusing strategy: Essentials products targeted at four species Vetoquinol develops, manufactures and sells drugs, non-medicinal products and services exclusively dedi- cated to animal health. The veterinary market is undergoing sweeping changes and continues to grow: product innovation and, above all, digital technology, the establishment of clinic chains and more rapid diagnos- tics enable businesses to respond differently and better to the expectations of breeders, pet owners and vets. Vetoquinol strives to offer its customers comprehen- sive solutions that respond to their needs and include all the required ingredients for a result that meets their expectations. 1.3.2 Strategy focused on four species Cattle and pigs Dogs and cats Source: Vetoquinol 2020 estimates. Food-producing animals (cattle, sheep, pigs, poultry) 60% of the animal health world market Dogs – Cats 40% of the animal health world market