Charcuterie producers increase spending on TV advertising

The entry of multinational companies onto the local charcuterie market, as well as increased rivalry among Romanian brands has moved the “battle” from the store shelves onto the television screens. Three or four years ago, the cold cuts industry used less than 10 million euros (a rate card sum) for promotion. In 2005, sums began to exceed 30 million euros, while in 2006, charcuterie producers allocated 60 million euros (rate card sum) for promotion of their products on TV and radio, according to information provided by the Alfa Cont monitoring agency. Producers have understood that no matter how strong the brand remains, without marketing budgets and without winning the battle in the minds of consumers, sales can ultimately suffer. Acquisitions are also helping to boost the promotion market in this sector. After acquiring Ardealul, which produces branded tinned food by the same name, Orkla Foods has begun a large-scale promotional campaign, with the Norwegian group allocating around 1.6 million euros in the first quarter of 2007 for the promotion of tinned food.