Benoit de Lavarene, marketing manager with Danone Romania, says the French group's target is to turn Romania into a regional hub.
"The Romanian market is witnessing the fastest growth pace in the region, which is also propping up the regional expansion of the Balkan market. I believe the growth pace of the Romanian market of fresh dairy products will be 50% higher than the one registered by Bulgaria," he says.
Lavarene explained that the idea of a regional business was not specific to the French group, but specified that such a form of organisation was based on the possibility of transfers between the plants the group owns in these countries. In his opinion, the elimination of customs duties in the wake of EU accession will lend support to this regional construction, having its centre in Romania.
"EU integration will generate lots of export opportunities and will also open the Romanian borders to strong competitors," he believes. The elimination of custom duties will certainly boost exports. In the region, Danone has plants only in Romania and Bulgaria.
"Everything depends on demand coming from the markets we could export to. We have to develop the domestic market and take into consideration any opportunity that may arise on neighbouring markets," he says. Lavarene specified Romania was playing a crucial role in the Balkan region owing, on the one hand, to the growth potential of its market and to the rising number of consumers, on the other.
"In Romania we must make sure we are not missing any opportunity of speeding up our business," he adds.
Benoit de Lavarene has been with the Danone group for almost 20 years, having filled various positions in marketing departments, especially in France. Before coming to Romania, he worked as a marketing manager in Morocco for three years. Lavarene has been marketing manager with Danone Romania for almost one year, working at the same time as marketing manager for the Balkans.
"I'm spending most of my time in Romania because I have both operational tasks here, as well as the task of integrating marketing teams," Lavarene said. His duties in Romania include boosting turnover and profitability and the building of a top position for the brands in the group's Romanian portfolio. Since he came to Romania, Danone has entered a new segment of the dairy market, of fresh milk.
This year, Danone Romania has increased its marketing budget by 25% from 2005. For the company to successfully cope with market movements, brands need to be constantly renewed, according to Lavarene. At present, over 95% of Danone products displayed on the shelves of Romanian stores are manufactured in the plant of Bucharest. According to company officials, the 13 brands Danone produces in Romania are present in 80% of the stores selling fresh dairy products.
Danone Romania
Part of Danone French food group, one of the world's biggest food industry players, present in 120 countries
Last year registered turnover worth 70 million euros, 45 percent higher compared with 2004
Has entered a new segment, of fresh milk
Over 95% of Danone-branded products present on the shelves of Romanian stores are manufactured at the plant of Bucharest
The 13 brands Danone produces in Romania are present in 80% of the stores selling fresh dairy products.
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