Magazine: Frequent promotions and developing brands characterise the olive oil market

Olive oils’ main season is the summer; still they also managed to produce a 5-pecent sales growth in a 12-month perspective. Petra Kovács, trade marketing manager with Bunge Zrt. (Floriol’s distributor) informed Trade magazin that according to Nielsen, from the olive oil market (which constitutes 2 percent of the total cooking oil market) extra virgin oils’ share was 61 percent, classic olive oils represented 19.7 percent and sansa was at 19.2 percent in the June 2010-May 2011 period.

Hypermarket is the number one retail channel when it comes to olive oil sales: in value sales it has a 44-percent share and it realises 39 percent of volume sales. Discount stores come next with a 24-percent (value sales) and a 29-percent (volume sales) share. Well-know brands and extra virgin varieties sell better in hypermarkets. In discount stores private label olive oils have a 55-percent share. Andrea Király, the brand manager of Maresi Foodbroker Kft. (Bertolli’s distributor) says: – As a result of economic recession consumer demand grew for first-price and private label olive oils. Branded products improved sales in promotion. Zsófia Somlai, product manager of ASIX Kft. (Borges’ distributor) sheds light on the fact that in recent month olive oil prices were going down on the world market, consequently they could offer lower promotional prices to shoppers. Bunge uses the Floriol umbrella brand to promote their olive oil product line. They organised three SMS-based prize games in the last twelve months with their most important partners, which also featured Floriol extra virgin and classic olive oils. Bunge also used in-store POS material and instant presents at buying occasions. Experts say Floriol reacts really well to trade marketing programmes, resulting in significant volume sale growth. Bertolli olive oils hold on to their market leading position. Three types of Bertolli can be found on store shelves: Extra Vergine Originale olive oil, Gentile extra virgin olive oil and Bertolli Classico olive oil. In its marketing communication Maresi Foodbroker Kft. educates consumers about the different types and their usage, e.g. on neck labels. They prepared for the grill season with tasting sessions and a prize game. In August there will be an outdoor campaign in Budapest and Siófok. In Borges’ portfolio we even find extra virgin olive oil from special olives, extra light and flavoured olive oils. Hojiblanca is perfect for salads and marinades, while Arbequina is extra virgin oil pressed from the world’s smallest olives – a real specialty on the Hungarian market. Borges also sells vinegars, green and black olives, and olives stuffed with pepper and cheese. Olives are now sold in new, resealable aluminium boxes made with special technology.