The Best of GRReporter
flag_bg flag_gr flag_gb

Balance after the jump in the market of packaged bakery products

13 March 2012 / 22:03:04  GRReporter
4429 reads

In recent years, the market for packaged bread has undergone tremendous changes. New, particularly innovative bakery products have been launched, which in turn, have created new types of bread. Among them are functional bread and bread suitable for healthy eating. The new products are manufactured by major bakery companies, which have created a new reality in the Greek market.

Undoubtedly, the period between 2000 and 2010 was the "strongest" for the manufacturers of bakery products, as almost all of them launched new products. Companies like Elbisco, Karamolegos and Katselis already known as Nutriart have played a leading role and have changed the market situation by launching seven new products.

Karamolegos, which introduced the first toasting bread with yeast set the trend in 2001. The advertising campaign was based precisely on the uniqueness of the product. In 2003, Katselis launched its product - sliced wheat bread with added corn and corn flakes. It was something completely new and original in the toasting bread category and it has actually created a market segment that the competition has enriched.

2003 was an important year in which the main event was the launch of "Psihatost" (psiha – the soft part of bread) by Karamolegos. This was a European achievement for the company because the majority of young people, who had never consumed toasting bread because of the bread crust, preferred the product.

In 2005, Elbisco entered the battle by launching the "Chris-Chris slices" - "slices of life." They were the product that created a market segment for packaged bread of high nutritional value. There were no new products in the following four years but in 2009, Elbisco presented the bread "Chris- Chris Tostimo" – a product with significant advantages and features such as softness and specific taste.

In the same year, Katselis / Nutriart launched the bread "Katselis taste & life." The series included four types of bread: wholemeal, brown, wheat and bread with seven vitamins. Theirs is the series of chocolate bread Delight and Delight bread with raisins.

Total consumption of industrial bread in the period 1995 - 2010 increased gradually, the average growth in consumption being 5 per cent annually. The Greeks’ desire to consume traditional products led to an increase in the demand for breadsticks. According to a recent survey of the sector, there is strong competition in the Greek market between large companies that cover much of the demand. "In order to increase or even keep their market share, bakery industries are trying to change their products, expand their distribution network, invest and renew their machinery, while spending large sums to advertise their products," said Stamatina Panteleou, manager of economic and sector studies in the ICAP Group.

In 2010, toasting bread covered 68.8 per cent of total consumption, packaged bread or baguette shaped loaf - 20.4 per cent, round buns for hamburgers and sandwiches - 6.9 per cent and German type bread - 3.9 per cent.

The volume of domestic consumption of packaged rusks was variable with an average annual rate of change of 1.2 per cent and consumption of Swedish type rusks showed a steady decline.

At the other extreme, there was an increase in the consumption of traditional rusks by an average of 10.1 per cent per year between 2005 and 2010, and of breadsticks - with an average annual growth rate of around 13 per cent in the period 2007-2010.

The economic crisis has affected industries in this sector too. The ICAP study shows that the total sales of 13 companies fell by 6.5 per cent in 2008-2009. The total gross profits of the companies, however, increased by 2.2 per cent. In recent months, which are determined by the deepening crisis, the market registered a decline. It is expected that results will be positive in the sales of toasting bread, traditional rusks and breadsticks.

In an industry where innovation is well supported, communication could not be left behind. Elbisco and Karamolegos are the most active among the llarge companies. In early 2011, the advertising agency Gnomi + DraftFCB created the campaign for the launch of a new aromatic and fluffy toasting bread Kefato with two flavours: Karamolegos’ wholemeal and brown bread.

The advertising agency focused not only on promoting the bread but also on the design of the new product. The campaign consists of one main spot and a part, which presents the practical closing of the package.

Elbisco, in turn, launched a new advertising campaign for the bread "Chris-Chris Tostimo" which has two new flavours: "Chris - Chris Tostimo Mediterranean" and "Chris - Chris Tostimo" Easter cake flavoured. What makes an impression in the advertising campaign of the BBDO Athens agency is the participation of the renowned chef Vassilis Kalidis. He takes part not only in the TV commercial, but also in live performances in major supermarket chains.

The third major company, Nutriart has not promoted any of its brands Katselis, Psihatost and "Taste and life" in recent months. A study shows that in January 2012, the company Elbisco invested the largest amount for advertising its bread, "Chris - Chris Tostimo" - 244,879 euro. The next is the baking giant Karamolegos with 232,213 euro for the bread Kefato.

Tags: CompaniesBread industryFunctional foodPackaged breadRusksBread for toast
GRReporter’s content is brought to you for free 7 days a week by a team of highly professional journalists, translators, photographers, operators, software developers, designers. If you like and follow our work, consider whether you could support us financially with an amount at your choice.
You can support us only once as well.
blog comments powered by Disqus