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Panorama Internazionale

26 FEBBRAIO 2019

16:03 - Argentina

ARGENTINA: "LOW PRICE"​ BRANDS GROW UP TO 50% AND LEAD CONSUMPTION

(ICE) - ROMA, 26 FEB -

While the sales of leading brands are down, new products from low-price firms in soft drinks, cleaning and dairy products are gaining more and more market share according to a study by the consultancy Kantar Worldpanel. The second brands of basic goods grew up to 50% in 2018, and thus Argentine households seek strategies to avoid cutting their consumption, as a result of the fall in purchasing power. The most emblematic brands are the Manaos and Secco soft drinks, the Tregar dairy products, the Nevares foods, the Ecovita cleaning products and the own brand of the Día% supermarket.

Manaus for example, today competes on an equal footing with Coca-Cola and Pepsi, but it is also gaining market more and more. Coca-Cola earns in sales per container, but if it is by number of liters, Manaus is number one by far. According to an analysis by the Focus Market consultancy, the two-quart and quart bottle is obtained in supermarkets for less than 1.1 dollars, while the same Coca-Cola exceeds 2.5 dollars. Manaus has a factory with the most modern technology in the world, with 15 production lines capable of filling 40 thousand bottles per hour. It has 450 employees and a plant of 13,000 square meters.

One in every three Argentine homes are of low economic level that cut 12% of the consumption of first brands, went on to the second brands, which already represent 40% of the cost of self-service stores and save up to 36%.

The dairy Tregar, which was born in Santa Fe in the 30s and currently has 500 employees, has a plant that processes 800 thousand liters of milk per day. Consolidated there, in recent years they gained strength in the Buenos Aires downtown area and that's why in 2018 they grew by 24.8%. The company is maintained with a family structure. They export 20% of what they produce, but they have their focus on the domestic market, which they bet on with a catalog of cheeses, yogurts and even rice with milk. Prices? A liter yogurt is below us$ 1.1, while the equivalent of a first brand as La Serenissima is at us$ 1.6.

Another success story is that of Ecovita, a brand of cleaning products that was born in the Conurbano 15 years ago and in 2018 grew 50% and billed almost 8 million dollars.

And in the Día supermarkets, they make an optimistic balance. One in two pesos destined to buy own brands in the supermarkets correspond to Día.

(ICE BUENOS AIRES)