Monday, May 16, 2016

Coca-Cola foresees to invest 3.2 bi R$

Despite the recessive scenario and a pullback from 6% in its sales in Brazil in the first quarter of this year, Coca Cola Company and its bottlers will invest 3.2 billion R$ in the country over 2017, an increase of 9.3% compared to the average of the last five years.
On the decrease of income and, consequently, consumption, the company has adopted a strategy of favouring returnable packaging (which allow the consumer to get discount from the second acquisition of the product) and smaller versions (and more affordable) of their drinks. "We are trying to keep prices that make sense for the consumer," said the President of the Latin America Group Value of The Coca-Cola Company, Brian Smith.
The strategy of the company by compensating for possible reductions in profit margins with productivity gains in brazilian operation-cost cuts and increased efficiency in processes. The effort includes improvement of routes of distribution and manufacturing process. The multinational is working to expand the availability of its products in containers of less than 250 ml. The goal is to have the calls minilatas and in 70% of its miniPETs points of sale in Brazil until the end of the Paralympics in September. Currently, this percentage is at 63%.
"Even though a difficult context, we continue investing to be in a favourable position when the economy recovers," said Smith. Coca-Cola also used around the world, from 2014, productivity gains to generate resources that were reinvested in its brands, including the century-old Coca-Cola and all its varieties. The company tries to cope with the demands of society related to health, such as reducing the consumption of sugar and smaller portions of food and drinks. So, released in Brazil this month, Coca-Cola sweetened with stevia (natural sweetener) and 50% less sugar in relation to the traditional version.
The R$ 3.2 billion to be invested in the next year will be directed to the development of new product lines, to the infrastructure of production and supply chain, among other purposes. For this year it is planned to R$ application 2.9 billion by multinational and its bottlers, ending a cycle of investments of r $ 14 billion between 2012 and 2016.
The removal of President Dilma Rousseff, approved last week by the Senate, did not change the company''s plans for the country, said Smith. He pointed out that parses the Brazil-its fourth largest market-within a long-term perspective. "Brazil is going through a very difficult time. We are seeing not only a drop in the GDP [gross domestic Product], but also of consumer disposable income, "said the Executive.
Fonte: Valor Econômico - 16/05/2016
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