Distributor of illy coffee expects 10-20% coffee sales rise

Pro Brands Distribution, the distributor of Italian coffee illy on the Romanian market, estimates a 10-20% increase in coffee sales this year against 2008, which would bring the company’s business to over 4 million euros. The estimated rate is lower than the rate achieved last year, when illy’s local sales went up by around 35% against 2007, to over 3.5 million euros, according to company data. Pro Brands representatives blame this slowdown on market conditions. “Consumers will probably go out less. There will be new openings, but not at the rate seen over the last few years: there are coffee shop chains which have adapted their development plans to meet the new market conditions,” said Mirela Ionescu, marketing manager of Pro Brands Distribution. She expects illy coffee to make its way into 120-240 new on-premise locations, bringing the number of locations where illy is present in Romania to over 1,300-1,400. Pro Brands Distribution, which distributes the illy, Dammann (tea) and Monbana (powder chocolate) on the Romanian market, broke off in 2004 from Cristalex, one of the leading spirits importers on the Romanian market, and reported an 8 million-RON (2.4 million-euro) turnover in 2007 and a 1.7 million-RON (0.5 million-euro) net profit, according to Finance Ministry data.