International brands such as Prigat, Cappy, Pfanner, Nestea, Lipton, Santa and Tymbark have been joined on store shelves and in restaurants or bars by new Romanian brands like Ana Are, Sloop, Frupt, Profuctta, Theia and Mellow Drinks, besides older brands like Giusto.
“Romanians are moving from carbonated soft drinks to non-carbonated drinks, and especially to juices. The fresh juice and smoothie segment has gone up, the growth is very good. This is the segment where most products have been launched lately,” says Catalina Aldea, retail management consultant and former executive in local modern retail.
The highest-profile entrepreneurs that bet on non-carbonated drinks are Raul Ciurtin (Albalact), Daniel Guzu (who owns Duraziv and Natural companies), and Silviu Socol, who owns the controlling interests in Fares Orastie.
The latest entry on the juice market is Albalact, with its Frupt brand. Albalact is not the only dairy producer to expand into juice business. Olympus did, as well, but the juice it sells is not made in Romania. Daniel Guzu, one of the best-known Romanian entrepreneurs in the construction materials industry, bet on the juice and jam brand Ana Are. Tea and medicinal plant-based products company Fares Orastie launched the Theia ice tea brand.
One of the best-known brands on the smoothie segment, on the other hand, is Sloop.
Calin Clej, the Romanian in charge of PepsiCo’s beverage division marketing in Romania and the rest of the region, has recently said non-carbonated drinks will become dominant in Romania in no more than ten years. Carbonated drinks (including water) currently account for about 65% of the total non-alcoholic ready to drink beverage market.
“Romania is a market that loves bubbles, and we’re not talking here only soft drinks but also mineral water. Romania remains the country with the biggest mix of carbonated mineral beverages because it is rich in mineral water springs (…) The bet will definitely be on non-carbonated drinks,” said Calin Clej, marketing director PepsiCo Greater Balkans Beverages & South Eastern Europe Franchise.
PepsiCo’s non-carbonated beverages include Prigat, Gatorade and Lipton.
On the other hand, Daniel Guzu says non-carbonated drinks sales will go up, but does not see them beating carbonated drinks any time soon.
“Natural juice consumption will increase, but I cannot say non-carbonated drinks will beat carbonated drinks in the next ten years. Our sales are going up, though,” said Daniel Guzu, owner of the Ana Are brand.
The trendsetters on the Romanian market and on the international market, as well, are Coca-Cola and PepsiCo.
Coca-Cola has recently bought 30% in organic juice company Suja Life and in Romania it invested EUR22 million in a new line to bottle non-carbonated Cappy Pulpy drinks two years ago. Each report shows Cappy Pulpy has been doing well. PepsiCo too, launched three new Prigat products.
(English version by Loredana Fratila-Cristescu)