Wednesday, January 09, 2013

In crisis outside, energy drinks reap good results in Brazil

Those who see the difficulties that the energy drinks market faces in some important consumer centres of the world, as the United States, which attempts to change the rules on the production of this type of product, you can imagine that this industry is condemned to an uncertain future. To view the picture in Brazil, where the niche grows above all segments of the beverage industry, however, it is possible to conclude that there is hope for the sector. "Many multinational companies in the industry are keeping a watchful eye on the Brazilian market," says Adalberto Viviani, a consultant on the beverage market the Concept.
No wonder that occurs this interest. Data from the Brazilian Association of industries of soft drinks and non-alcoholic beverages (Abir) point out that energy sales in Brazil had a 152% growth between 2008 and 2011. "The energy segment performance is due to the Brazilian consumer acceptance, which is increasingly incorporating the product in your shopping basket. In recent years, more people have had the opportunity to meet the product approved, "says Douglas Costa, Director of the Grupo Petrópolis, holder of the TNT brand.
The launch of larger versions, in PET bottles of up to 2 liters, contributed to the arrival of a consumer profile that wasn't used to the product. "This most popular placement is different from what we usually see in other countries," said Viviani. "But we have to be careful, because companies get into a price war could pose a risk to the category as a whole."
According to the consultant, if the marketing is well worked, the niche still has growth potential in all classes of consumers. "The per capita consumption is still very low." Abir data indicate that Brazilian energy consumption is 0.45 liters per year per inhabitant. In the Northeast, the annual consumption of each person is even lower, from 0.27 liters.
The good perspectives are reflected in the face of the market, today disputed by competitors of companies, like Coca-Cola, which owns mark Burn, and Ambev, which launched in Brazil the Fusion energy. Red Bull, largest manufacturer of this type of product in the world, recently announced plans to build a factory in Brazil. The project, which has received encouragement from the Zona Franca de Manaus, must be the first plant of the company outside Europe. "The big challenge for whoever comes to Brazil's distribution capacity. No use having a very strong brand abroad if you do not have coverage around here, "says Daly.
Alcohol and sports
Another challenge to be faced by companies in the industry is to reduce the relationship between the consumption of products and alcoholic beverages, very strong in the country. "To be sold as a product for mixture, diminishes the potential for added value," says the consultant.
To avoid this relationship, many brands invest heavily in connecting their names to sports. The classic case is that of Red Bull, an industry pioneer, which keeps teams own in various modalities and the patronage to a number of sports leagues. Another that invests in this type of strategy is the TNT. Despite having focused on Brazil, the brand of Grupo Petrópolis invests in sponsorship the team Ferrari Formula 1.
The company also sponsors athletes such as Fernando Alonso and Felipe Massa riders — both from Ferrari — and the Gypsy Júnior MMA fighter. "Are actions that help build the product image and brings consumers to the brand," says Costa, of Petrópolis. "Our goal is to promote the product as a healthy alternative to overcome limits.
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