With a total turnover of €186 million in 2013, La Linea Verde – is an Italian group and agro-food company, specialized in producing and selling fresh-cut products, and fresh ready meals; it works as a co-packer as well as with own brand DimmidiSì– and is looking at yet another positive year despite the economic crisis. Massimo Bragotto, Sales and Marketing manager for La Linea Verde, told FreshPlaza that “despite a slight decrease in the domestic market, our turnover is growing, and a further 5% increase is expected in 2014. The international policy pursued by the Group has made a difference. We started from scratch six years ago, and now our sales abroad represent 27% of the total.”
La Linea Verde has five production sites (4 in Italy and 1 in Spain). ). After a few important investments abroad – in Spain in 2008 and in Austria in 2012 – the company, led by brothers Giuseppe and Domenico Battagliola, reached Russia in December 2012 thanks to a partnership with Vegetoria.
Left to right: "La Linea Verde" chairman Giuseppe Battagliola, Sales and Marketing manager Massimo Bragotto and deputy chairman Domenico Battagliola.
Bragotto recalls that they have “approached the Russian market very carefully after having studied their consumption habits and potential for fresh-cut products. Afterwards, we have looked for a partner to distribute the products. We chose Vegetoria for a number of reasons: first of all, our companies are very similar, with strong roots in production (they specialise in potatoes and onions) and a vision projected towards industrial business.”
Nowadays, La Linea Verde operates on the Russian market thanks to 13 people, 3 in Italy and 10 in Russia. “Even though we have not established a new business, we can say that our tasks are so well-defined and integrated that it almost seems as if we are a single company.” The third part of the partnership is represented by a cooperation with Italbambino, an Italo-Russian broker/importer that enabled the company to deal with customs.
La Linea Verde is also slowly introducing new products on the Russian market. “While they already appreciated rocket, they were not familiar with lamb’s lettuce, so we organised various tastings in different stores. During our first year of activity, we have also added soups and smoothies. They are an innovation for that kind of market as well as for retailers themselves (in fact, they often do not know where exactly to display these products), so we are doing things gradually.
Despite having to translate the names of the products, the packaging on the Russian market is the same as in Italy for the sake of recognition, "At the moment, we are working mainly in Moscow and St. Petersburg, but we are hoping to expand in the Urals and Siberia as well."
From a business and commercial relations point of view, Russia seems Italy-friendly. "Italian entrepreneurs are appreciated and respected. Our companies are positively valued and considered very capable. In other countries it is far more difficult to make them understand the value of Italian entrepreneurship."
The products destined to the Russian market are processed in the Manerbio plant (Lombardy), as recent technological and procedural improvements enable to produce salads with a 7 day shelf-life, and therefore able to maintain their high quality during transport and distribution.
"We are at least one year ahead our main competitors in Russia, and we also have technologies that give us an advantage as regards freshness and health. High quality is exactly what enabled us to enter (and, most importantly, to remain!) in markets like Belgium and Poland, and especially the Eastern market. It is more difficult to conquer Great Britain, as they prefer local produce, and Germany, where the success of discount stores prevents from giving products the right value."
In Spain and Austria, La Linea Verde has to compete with other well-known brands like Florette and Eisberg. Despite this, the Spanish market represents the first source of foreign income for the Italian group, with €20 million sales for 2013 (12 million on the Austrian market).
Massimo Bragotto concludes that "we will continue with our promotional initiatives also in 2014, as we will take part to Fruit Logistica, WFM, Fruit Attraction, Macfrut and Marca. In addition to the usual stand, we will also organise initiatives and events to involve our clients. What is more, there will also be in-store initiatives and online communication."
Further info: www.lalineaverde.it – www.dimmidisi.it
