More seasonal and more promotion-dependent wet condiments

Nielsen data about the first half of 2011 indicate that so far there has not been a decline in demand for wet condiments. Kinga Vichor, Unilever Hungary’s dressings deployment assistant manager: – Based on research data we can declare that the wet condiment market is stable and it even managed to expand a bit. The proportion of branded products has decreased and private labels’ share has grown. This change is mainly the result of the price increase in base materials, which has a bigger effect on branded product manufacturers. István Bacskai, commercial executive of Koch’s Torma Kft. is of the opinion that wet condiments are becoming more seasonal. Weak sales characterised the beginning of the year, then the Easter period livened sales up but in June another weak period commenced. Value sales only increased because of the price increase and not because of selling more products. However, there are firms like Heinz who managed to decrease prices. József Schalbert, Heinz’s regional commercial director told our magazine that switching to a new distributor resulted in a more cost effective operation, which was able to offset the increase in base material prices. Heinz’s sales are growing month by month, in both the core ketchup segment and among other sauce varieties. The company’s experience is that promotional activity vastly increased on the market, leading to better volume sales but also being a burden on marketing and promotional budgets. István Bacskai, commercial manager with Koch’s Torma Kft. informed us that as regards packaging, the market is orienting towards larger, more economical solutions – this process already started in 2009. What about flavours? Currently the market is rather conservative but in the long run new flavours are expected to appear, so distributors are already trying to set their feet in this segment, e.g. Unilever’s Globus ketchup is already available in Naples, Bavarian and Hot versions. Rita Bazsó, Univer Product Zrt.’s product category manager: – Univer also manufactures flavoured products (herb, garlic-mayonnaise, etc.) which sell rather well but the bulk of sales is still generated by standard wet condiments. The company’s most exciting novelty this year is in packaging: from the upright bag even the last drops of ketchup or mayonnaise can be gained. Their other innovation is Karikás Pista – pepper slices in bottle – which they hope will turn into a strong product such as Piros Arany and Erős Pista. Heinz will put new mayonnaise types on the Hungarian market at the end of the year, with strong marketing support. Koch’s Torma introduced their Gourmet range before Easter in apple, cream and extra strong flavours, together with a Junior range – mustard, mayonnaise and ketchup for children. Around Christmas the company sells more horseradish and before New Year’s Eve mustard goes better. Maresi Foodbroker has several wet condiment brands on the market: Maille Dijon mustard is a premium category product in 200ml and 800ml versions. Rita Takács, the company’s brand manager also spoke about their premium ketchup Felix, which is available at a competitive price and is seasonally available in special flavours. Maresi’s TABASCO ® sauces are made from Tabasco peppers, salt and vinegar and aged for 3 years. Brand manager Krisztina Kuti: – TABASCO sauces are top quality products that can be consumed for 5 years. One bottle of TABASCO lasts 3-4 times longer than other, lower quality hot sauces – its price/value ratio is excellent. Product samples are widely distributed, in order to familiarise consumers with the different usage opportunities.