ROMANIA: One third of Vascar’s sales come from its own chain of stores | Progresiv

One-third of Vascar's sales, one of the main meat products manufacturers in Romania, is sustained by its own chain of stores that currently count 18 units. The strategy aims to continue expanding on this area and focusing on a specialization of these units, said Vlad Ciuburciu, General Director of the company, for Progresiv. ROMANIA: One third of Vascar’s sales come from its own chain of stores

Currently Vascar's own chain of stores reached 18 units after the company decided to close the flagship store in Bacau for further relocation. In the coming period, the company plans to open a new specialized unit.

"We will open in Piatra Neamt. Our focus is to have all the stores profitable and that's why we decided to give up last month the flagship store in Bacau. We've decided to give up those units that do not generate profits and that after we’ve been waiting to see how it's been evolving for months. If we cannot bring them on a positive trend, obviously we are considering the closure", Vlad Ciuburciu explained.

He also said the strategy is aimed at guiding the stores to a specialized format. At this time, up to 30% of Vascar’s sales come from its own stores. "We will continue to expand the chain next year, but depending on what opportunities will come", added Vlad Ciuburciu.

In the first nine months of this year, the company's turnover reported an increase of 3% amid a rise in direct distribution through sales force and volume in modern retail.

"The market is down on cans and cold cuts. In this context, the next challenge for producers is: how to develop in a market where consumers are looking for healthier products. Vascar came to meet these trends and launched canned food containing no additives, mini-pates with 45% liver, the range of browned cold cuts or mangalita meat requested by a retailer", said Vlad Ciuburciu.

At this year’s level, the company estimates a 13-14% increase in business from a value point of view, with an 8% increase in volume.

With over 30 years of experience, Vascar is one of the main meat and canned meat producers in Romania, the products being marketed under Vascar and Moldova in Bucate brands. The company owns a processing plant in Vaslui. In 2016, the company registered a turnover of approximately 68 million lei.

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