The Spanish stonefruit, melon and watermelon campaigns are bringing excellent results in the Scandinavian markets. "This spring has been warmer in northern Europe than in Spain, with temperatures between 25 and 30 degrees, which has helped significantly to increase the consumption of summer fruits," points out Jussi Alitalo, CEO of STC Ibérica.
With an annual turnover of around EUR 350 million Euro and formed by 13 companies in Sweden and Finland, the Scandinavian group STC Greenfood has its own subsidiary in Spain, STC Ibérica, for the shipment of Spanish horticultural products to Sweden, Finland, Denmark, Norway, Poland and the Baltic countries.
The logistics and commitment to its brand for premium products, EDEN, are the basis for the company's market differentiation. "Any firm wishing to export to countries like Finland should be well organised in terms of logistics," states Alitalo.
Nowadays, the STC Greenfood group is the largest producer of processed products in Scandinavia and creator of the sales channel SalladsBaren, a buffet format at supermarkets where customers can prepare their own salads. "The processed sector is growing largely in Scandinavia, with a high demand for bags of ready-made salads," affirms Jussi Alitalo.
"Gastronomy is popular and there is awareness about good food and healthy lifestyles, which is why berry sales have gone through the roof, especially in Sweden, with a 40 % increase over the previous year. In this same line of awareness about health, there is a growing market for organic products; in fact, right now we have thirty Bio products during the summer, a lot more than in previous years."
STC Ibérica has also found an interesting niche market for speciality tomatoes, which it supplies throughout the entire year, such as Cherry Tomato, Cherry on the vine, Chocomato, mini Chocomato, Cocktail, etc. "It is one of the fastest growing categories, along with berries," continues Alitalo.
Changes in consumer trends and sales channels in Sweden
Although value-added products are trendy, Alitalo believes that quality is no longer the top concern when purchasing. "Sweden's consumer trends are changing in recent years, with customers giving more weight to prices over quality. In addition to the fact that the European financial crisis has also affected Scandinavia, increasing competition between wholesalers and supermarket chains is resulting in a price war. In the past, there was a large number of wholesalers in Sweden, but which has grown smaller, with practically only two large wholesale businesses competing. Other wholesalers are much smaller."
Moreover, over the past four years supermarket chains have become the largest sales channel, with discounters experiencing the biggest growth. "On weekdays, consumers tend to buy at lower prices, but when the weekend comes, they seek more exclusive gourmet products, with superior quality and price," says Jussi Alitalo.
For more information:
Jussi Alitalo
STC Ibérica
C/ Pere Coll Rigau, 2.
Pals, Girona. Spain
T: +34-972 667 216
[email protected]
www.stciberica.es