Biscuits doing well in spite of their price

Demand for biscuits has not dropped in spite of rising average price. Latest products fit well into healthy diets and biscuits have become a strategic product for discount stores. According to Nielsen data, the biscuit market continues to produce solid growth. In fact, expansion in terms of quantity has accelerated recently – says Gabriella Pogács, head of trade marketing from Győri Keksz Kft. The proportion of health-conscious consumers is growing, who buy biscuits because they are rich in grains. Another reason for the expansion according to Olga Pavlova, managing director of Detki Keksz Kft.is that two hard discounts have appeared recently which offer a wide range of biscuits at favourable prices. Modern distribution channels continue to increase their market share, with private labels accounting for 39-40 per cent of all sales. Having developed a stable consumer base, the PL offensive seems to be slowing down. Many consumers continue to prefer brand products. The increase in production costs has also contributed to slowing down the PL offensive, as these are more sensitive to cost increases than brand products. – As market leaders, we believe it is our duty to play a pioneering role in satisfying new consumer needs – emphasises Gabriella Pogács. Modern and unique innovations are not easily copied by private labels. Consumers prefer true innovation, rather than just new flavour variants or sizes. According to Nielsen classification, 9 segments are distinguished in the biscuit category, with sweet and dry biscuits being the two largest segments. Increasing health consciousness is having a marked influence on the market of biscuits. –The products ranges which play a major role in terms of a healthy diet (Győri Édes and Győri Jó Reggelt!) are continuously expanded – says Gabriella Pogács. Győri Keksz has also been conducting an educational campaign about balanced diets and the healthy breakfast for a year. Győri Édes Zabfalatok is a new product with wheat flakes, developed for 2008. Győri Jó Reggelt! has also become very popular. Health-focused products of Detki Keksz are also producing dynamic growth. Acording to Olga Pavlova, functional products have the greatest potential. Detki Keksz is to launch such a medically tested product soon. They are also working on the development of bio-biscuits. Convenience products also have great potential, but their introduction requires substantial investment in marketing.