Friday, August 21, 2015

Amid the crisis, powdered juice is on the rise

The largest manufacturers of powdered juice segment-Mondelez International, Ajinomoto and General Brands-reported double-digit growth in sales of its brands in the first months of the year, thanks to a combination of price per litre lower than other beverages and the extension of the offer of flavors.
Ms. Tang marks, Clight and Fresh, the Mondelez reported that Tang sales grew 34.2% in volume until July. "Despite the difficult macroeconomic scenario, the drink powder offers a low cost, less than $ 1 per litre, with quality and taste. The segment suffers less than other lines of drinks, "said Fabio Melo, marketing manager of the Tang.
The brand offers 17 flavors of juices and, since July, put on the market new lines enriched with vitamins. Melo does not disclose sales projection for the year, but said he expected close 2015 with growth over the past year. According to the consulting firm Euromonitor International, the Mondelez leads the market for powdered juice, with 40.4% share in sales. The Tang is the leading brand. Clight and Fresh, also of Mondelez, occupy the third and fourth places.
The Ajinomoto trademark owner MID, is the second in the market, with 12.1% stake. Isabela Ambrifi, Manager of MID and brands FIT Ajinomoto, also reported 13% growth in sales of MID mark. Evaluation of Executive, sales were stimulated by price and by newlines, inspired by famous drinks. The growing interest of consumers for healthier and no sugar drinks also stimulate the business.
"The lines inspired by drinks were launched in November last year and already represent 7% of our sales," said the Executive. The Ajinomoto also launched in April this year a line of cashews, which has become the seventh best-selling brand flavor mid. Isabela added that mixes powders with milk also boosted sales.
Isael Pinto, Chairman of General Brands, cited competitive prices and innovations such as sales support factors this year. Owner of the mark Camp, General Brands is the third company in the segment, with 4.5% interest. The company is under reorganization since last year, due to financial problems faced after the unsuccessful merger with fruit pulp industry Nutrimarcas.
"The economic crisis brings problems for all the consumer goods industries. But, compared to other lines of drinks, fruit punch is an option that fits in the pocket of any consumer, "said the Executive. General Brands launched in August economic juices Camp packages, with powder to 5 litres. The price per litre is of 25% to 30% below the price of the package for the preparation of 1 litre. "The rebound in retail has been very good so far," said the Executive. General Brands reported that sales rose 25% in the first half of the year. The forecast for the second half is a 33% increase in sales volume.
According to the consulting firm Kantar Worldpanel: consumer, sales of powdered juices in retail grew 8.8% in nominal value accumulated from January to July. Deducted the IPCA inflation of 6.41 percent in the same period, the sector still registers real gain. In 2014, the segment generated sales of 4.3 billion liters and grossed $ 2.9 billion. Already the market for ready-to-drink juices amounted to 422 million pounds in sales and revenues of $ 1.7 billion. Until July, sales of juices ready grew 11.3%.
Valor Economico
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