packaging segment
In the current economic context in Brazil, many families are looking for new purchase channels that offer more attractive prices. A new survey by Euromonitor International indicated that a channel that has gained prominence in recent years has been cash and carry, which has ceased to be an exclusive channel for the lower population and has also gained preference from classes A and B.
Wholesale is mainly relevant in the sale of beverages. According to data from Euromonitor, this channel (which in the survey is identified as one of the main ones within Mixed Retailers) represented, in 2016, 13% of sales of cold beverages (such as soft drinks, water and juices), 11% of alcoholic beverages (such as beer, spirits and wines) and 8% of sales of hot beverages (such as coffee and tea) in the Brazil.
“Although wholesale is still a developing channel when it comes to beverage sales, its growth rate is well above the average for traditional retail. Take, for example, the hot drinks segment, whose wholesale sales grew by 10,5% between 2011 and 2016 while the retail average (excluding sales online) was 1,6%”, comments Angélica Salado, Senior Research Analyst at Euromonitor.
Resistance in packaging
Salado comments that the configuration of a wholesale, however, is quite different from that of a supermarket in terms of displaying products in stores and handling items. “It is very common to use forklifts in wholesale, as they facilitate access to the highest shelves. Consequently, this requires that the products have greater resistance in the packaging. In addition, wholesale shelves tend to be much larger and higher, carrying several brands side by side or stacked. This, in turn, makes it difficult to see the brands and, consequently, requires packaging that is visually attractive and easy to identify”, he comments.
Not coincidentally, several beer brands modified their packaging, changing their logo and visual identity, in order to better position themselves with consumers and also to meet the demands of this new highlighted channel. Euromonitor's research shows how Cases It is worth mentioning the success of Heineken, which increased the size of its iconic red star on the packaging, and Itaipava, which brought new colors to its packaging and also incorporated a crown as a symbol of the brand.
packaging innovations
Angélica claims that, although the development of new packaging requires a high investment, brands need to consider whether their products meet the new consumer demands in the wholesale market. “It is important to point out that this channel will certainly consolidate even more in the coming years, even if the consumer returns to a similar income of the pre-crisis years. For brands, this means that these packaging innovations must remain relevant for years to come,” she concludes.
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Source: Euromonitor Blog.
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