Home brands of retail chains took over the Russian snack market


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    by Oleg Nikishenkov, Fruit World Russia

    What used to be just a curious trend for many well established and time ago quite well doing Russian companies can turn into a big issue: home brands of the major national retail chains seem to have taken over the market. At least this is what the latest survey of Nielsen, a consumer behavior and market research global consultancy, stated with a bit of confidence.

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     The report, made available to the public and mass media in summer this year, clearly indicated that the local nut business has gone up sharply, almost by thirteen percent in Russia (spring 2016-spring 2017 annual consumer season), compared the same period of 2015- 2016. But it increased not for everybody, in fact this “recovery” took place despite general economic deep downtrend, gradual month-to-month inflation of national currency and a drastic decrease of shopping activity of the population. As one of canvassed by the Clipper correspondent in Russia experts, Evgenia Kadymova, deputy director of the Russian-Iranian company Safavi, mentioned, “the nut and dried fruit industry faces two major challenges: almost double reduction in consumption because of population’s income drop and a very weak and unstable rouble”.

    Such a surprisingly positive trend in chains’ nut and dried fruit home brands business amid obvious market nosedive analysts tend to explain mainly by two key underlying factors….

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