In a surprising turn of events, Russian soft drinks brand Dobry has surpassed Coca-Cola in sales on the domestic market from January to August 2023, according to a study conducted by NielsenIQ. The report reveals that Dobry Cola, a brand produced at factories previously owned by Coca-Cola HBC Russia, has climbed to second place in the ranking of the 50 most popular Fast Moving Consumer Goods (FMCG) brands in Russia.
As per the study’s findings, Dobry managed to capture a 1.2% share of total sales in the FMCG market during the first eight months of the year. In contrast, the original Coca-Cola failed to make it into the top 50 brands in Russia, despite being imported through parallel channels due to sanctions.
The unexpected success of Dobry comes in the wake of Coca-Cola’s decision to suspend its business operations in Russia in March. The move by the US company was part of a broader trend of Western brands retreating from the country due to Ukraine-related sanctions. Coca-Cola had been operating 10 factories in Russia, manufacturing popular soft drinks such as Fanta, Sprite, and Schweppes, alongside local brands.
Notably, the NielsenIQ study highlighted tobacco giant Winston as the top brand in the ranking, commanding a 2.2% share of total sales. This information underscores the diverse landscape of consumer preferences within the Russian market.
Moreover, the study also revealed that a significant number of new brands entered the Russian market in the first eight months of 2023. A total of 7,337 new brands were launched, surpassing the 6,942 seen during the same period in 2022. This influx of new brands reflects a trend that has continued for two consecutive years, surpassing previous average values.
It is pertinent to mention that despite its withdrawal from the country, Coca-Cola’s sales in Russia have remained robust, as evidenced by the brand’s sustained popularity. To learn more about the details surrounding Coca-Cola’s performance in Russia, follow the link provided.
As the Russian FMCG market continues to evolve and witness the emergence of new contenders, the future remains uncertain for both global and domestic brands. The shifting dynamics indicate the potential for unexpected developments and challenges in this highly competitive sector.
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