Mabe invests in the premium market with brand new appliances

Following the renewal of the strategy portfolio, the Mexican group Mabe has just launched another brand for the Brazilian market, Continental One. With investments of $ 5 million, the new brand comes to serve the public of high purchasing power which seeks to invest in gourmet cuisine, according to Marcelo Vienna, Vice President of Mabe for Brazil. "We have studied the feasibility of launching premium products for more than a year.
This market has so much potential that generated a new business unit within the group, "he says.
The company does not reveal how much expects to grow in sales with the new brand, but Vienna ensures that "the expectation is very positive, although it is still early to talk of numbers", since the line composed of 19 products began to hit the market in March.
In retail, the Continental One challenge will be great, since the part to the fray for a lucrative slice of the market in which the Brastemp, manufactured by Whirlpool and Electrolux already maintain Premium lines from 2011. Until then, Mabe answered this thread with some GE products. "We arrived with a brand new, but that carries in its DNA all the tradition and quality that Continental keeps", says Vienna.
Most of the products are produced out of Brazil and, in addition to the higher price has finished in stainless steel and mirrored glass, as well as its own products for setting into planned kitchens. "The kitchen has become an important part of the House, meeting place and develop modern and timeless design products, which meet this new demand", says the Executive.
According to him, as the performance of the new brand, the company is studying the feasibility of future produce the products One in Brazil. "This investment is justified with the growth in demand on a large scale," he says.
An eye on potential sales, and bet on traditional channels such as physical stores and e-commerce, Mabe has also plans to open a showroom for the One in São Paulo, in order to bring the concept of the consumer. "It will be the first of the group in Brazil and the forecast is for it to be opened in the second half of the year," according to Vienna.
At the other end, Mabe continues investing in intermediate products, for medium and low consumer purchasing power, by means of trademark Dako, present in the Brazilian market for 75 years. "We invest in redesigning the logo and design of products, making them more modern and practical," says Vienna.
The investment group invested r $ 4 million and launched the line rhythms, composed of 6 stoves, whose prices range from $ 359 to $ 1,099. With the launch of the products to hit the market this month, there are three lines that the Dako keeps in the market. The brand accounts for 20% of sales of Mabe in Brazil, while Continental holds 60% and GE the other 20%.
Although last year the sales of Mabe in Brazil have grown above the market, Vienna States that, this year, it is expected a reduction in the rhythm. "Last year was of great expansion in sales, it remains to be seen whether was an anticipation of purchases on behalf of IPI's access to credit and low," he says. Regardless, Mabe prepares to bring more new products to the market in the second half, which includes the segment of washers.
Accordingly, the company completes the restructuring project of marks started in 2011, when, after the weak sales of the brands Mabe and Bosch in Brazil, the Group decided to withdraw them from the market and focus its investments in Dako, Continental and GE. "At that time we started the renewal of 75% of the portfolio and now we're doing the 25%", says Vienna.