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Biscuits in Croatia

Croatia Packaged Food Market: New market research released

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2014-04-10 16:21:03 - Biscuits in Croatia - a new market research report on

Economic hardships turned Croatian households into frugal consumers. Purchases of non-essential products were cut, or trading down to economy brands was seen, or in this case, to simpler alternatives. Biscuits has a strong social component: Croatians invite their friends and neighbours over for a cup of coffee and a chat more often than the average European. Biscuits are often on the table in these situations. To make savings, hosts increasingly bought plain biscuits, as they are 20% cheaper than chocolate coated biscuits and 50% cheaper than cookies.

Domestic company Kraš is expected to maintain its lead in biscuits in 2013, with a 37% value share. Second ranked Koestlin is also locally owned – it is part of Mepas Group, which also



includes a home care and personal care specialist, Saponia, drinks manufacturer, Maraska, and a non-grocery retailer, Brodomerkur. The owner of the group aimed to obtain some synergies by combining all these companies. It does not seem to have worked, for Koestlin in particular, as it is expected to lose share, as is the leader Kraš. However, the company offset this by stronger growth in exports.

The period of threatened sales is now behind biscuits, with only positive growth ahead for all categories. The story for the future probably involves some mergers and acquisitions. There has been no significant penetration of well-known multinationals until now, and there is the possibility that one of the two top players – Kraš or Koestlin – may end up as part of a bigger company, probably keeping their brands because of consumer loyalty.

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