Ursus Breweries, the brewer of Timisoreana and Ursus beers, hasgained 10% of the market in the past three years, reaching a shareof above 30% in 2009, according to the information it provided,from a level of 20-22% that remained constant during the 2002-2006period.
Andrei Haret, sales and distribution vice-president of UrsusBreweries, says the main steps SABMiller's domestic subsidiary tookto rein in costs were a 40% reduction in distributor stocks at thestart of fourth quarter and the renegotiation of transportcontracts.
However, the brewer has not changed or given up any of its 40distributors this year, despite Ursus Breweries having had its owndistribution company, ANDIP Distribution for more than ayear.
"Five-six years ago we undertook a partnership with distributorsand a joint business and development plan. This is why we did notabandon them when times were harder for them and we helped themovercome the crisis period," maintains the sales and distributionvice-president of Ursus Breweries, a company that last yeargenerated turnover worth more than 325m euros.
He says ANDIP was set up only to ensure distribution in areas wherethe company cannot sell its products through a local distributor."ANDIP operates only in six counties at present, with thepercentage in overall distribution standing at a very low level,"Haret explained.
He believes, though, that Ursus Breweries' progression this yearhas also been supported by the actions the company took before theeconomic downturn was felt. "Resignation and hope for better timesare not part of Ursus Breweries' organisational culture. For us,the crisis means opportunity and action (...)," Haret says.
Thus, although in 2006 the company's sales were significantlydirected to the on-premise segment, the share held on the retailsegment has doubled in the past three years. "Since 2006, UrsusBreweries' policy has been to boost the company's presence on theoff premise segment and maintain the position held on the onpremise one. Therefore, we've rethought our sales force on the twochannels and shifted the focus to off premise," Haret explains.Moreover, the brewer has raised its forward stock.
Also, the company's sales team has expanded by several percentagepoints in the past three years, after a new position was introducedbetween the position of regional manager and that of areamanager.
All these decisions helped Ursus Breweries keep the 2008 salesgrowth pace in the first part of this year, too.
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