The smaller producers on the chocolate market are being more careful with their brand image, which has brought them both awareness and soaring sales.
After the massive advertising investments made in the past two years by Primola, a player operating on the market since 1995, now it is the turn of Heidi Chocolats SA to launch a promotion campaign estimated at about half a million dollars.
Starting next month, the campaign will be run on TV, radio and at the points of sale in various stores, for ten weeks.
"The campaign will consist in two spots (image and commercial), advertising Heidi's chocolate tablets. The commercials will be produced by Leo Burnett," the company's marketing manager Massimo Palumbo said.
Primola, whose gross advertising investments were worth $3.8 million (rate card) last year, according to market research agency Alfacont MediaWatch, saw its market share increase from 3% throughout April-May 2002 to 12.4% in the same time this year, company officials say.
Another company that has become more visible in terms of promotion over the last twelve months is Kandia (Timisoara), bought by one of the main players on the market, Excelent Bucharest early this year.
The results of the campaigns run by the smaller companies also impacted on the major producers. For instance, whereas Kraft Foods Romania had accounted for 62% of the chocolate market two years ago, its market share halved in the first half of this year.
A factor to have deeply impacted on Kraft's sales was the drop in the consumers' purchasing power, as explained by the company representatives.
The Romanian chocolate market, which is estimated at some $100 million, fell 6.4% last year, according to a survey by market research company GfK Romania.
Heidi Chocolats Suisse SA saw sales go up 12% in the first half, reaching $3.2 million.
"We had this growth due to the increasing customer awareness. It is true, we've had a very slow start of the summer, because heat came sooner, but things are pretty much back on track now. However, we must not forget this reporting period also includes January, February and March, when sales are higher," Palumbo said.
The company logged $4.8 million sales last year, down 4% from 2001.
Also in the first half, Heidi relaunched one of its praline brands, Pralinetti in a new package, so that the product is now sold in 200g packs instead of the previous 600 grams.
"The old packs were too large, not to mention the price was higher, too," Palumbo said, adding the pralines sell best around Christmas and Easter.
Heidi will launch a new praline brand, Minoretti, this month. The company has one more praline brand in its portfolio, Piccoletti, as well as the Heidi tablets and bars.
The company holds a chocolate factory in Pantelimon, Ilfov County, which makes approximately 1,000 tonnes of chocolate a year. claudia.covaci@zf.ro
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