Tuesday, May 02, 2017

Products focus on traditional brands to face a difficult year

São Paulo, with the domestic demand still retracted, the food manufacturers have decided to strengthen their bets in more traditional brands for sales growth in 2017.
According to executives heard by the DCI, although last year the expectation was of gradual improvement in demand, orders not yet register effective recovery. With retailers avoiding the formation of stocks, the supply of traditional brands, combined with products with new presentations, has been the solution.
"The first quarter performed very similar to 2016. We had a setback in sales volumes in January and some recovery in sales in February and March, but April has returned to show hard, "says the commercial and marketing director of CRS Brands, Lourenço Filho.
He believes that Brazilians will continue with the list of restricted shopping and retail, therefore, maintain lean orders.
"We believe this will be more a conservative and difficult year. And we are concentrating investment in our main brands, which are traditional in the market ", said the Director of CRS, owner of Don Bosco and wine brands of cider Ceres. His expectation is to grow 10 percent in volume this year.
The Cookies great view, century-old food market, also chose to invest in increased production of known brands, in addition to small portions.
"I think that 2017 is becoming more challenging than last year. Because we keep thinking that the economy in the second half will be more addressed, allowing for greater growth, but it hasn''t shown up in sales, "says the ceo of Bela Vista Biscuits, Jorge Conti.
In addition to the concern about demand, retailers are still avoiding the formation of stocks by the cost of credit, which remains high, he notes. "Nobody wants to be in debt or pay the high cost of interest for a stock that does not turn so fast."
Conti plans to expand by up to 8% this year, with a high of up to 4% on sales volume. "The biscuits market shrank last year, but we are managing to keep us as a point outside of the curve. But this [Economic] scenario limits the growth, "he says.
Novelty
Already the Peccin, Rio Grande do Sul and candy maker, is betting on impulse buying and in small packages to boost sales this year.
"Our focus is to purchase on impulse and chocolate offering a disbursement to the Brazilian", believes the company''s marketing manager, Carlos Speltri.
In his review, before the demand was strong in chocolate bars in larger formats, now the trend is migration to the product on a smaller format and price. "We are confident with the improvement of the market this year and we hope to grow 20% in turnover, which is pretty aggressive," says the Executive.
The Superbom is also concentrated in the new consumer trends, such as in packaging in smaller portions and healthier foods to ensure sales.
"We''re always releasing new products and we have seen that the average ticket of healthy products is greater than the regulars," said marketing manager of Superbom, David.
DCI 02/05/2017
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