The Chandon do Brasil winery reached the end of the year festivities in 2021 with a growth of around 15% compared to 2019, a year that pointed to a resumption after the previous biennium of falling sales.
The trajectory was interrupted in 2020, when Covid-19 arrived. In addition to obstructing an important part of the sales channels for beverages in bars and restaurants, the pandemic caught Chandon at an important moment: preparations for changing its brand identity, with new bottles and labels.
Catherine Petit, general director of Moët Hennessy do Brasil, says that it was necessary to adapt the process, with the suspension of the team’s travels for training on the new machines in Italy and the reduction of launch events.
But the project was providential, because prior planning helped the company to avoid the break in the supply chain, which affected materials such as bottles and corks. In the 2022 horizon, inflation is predicted as the new challenge.
How did they get through 2021, still under the pandemic? It was a historic year for Chandon, as we launched our new brand identity worldwide and in Brazil, with a new label. So, we had challenges. To make this new label, it starts with the production chain, changing machines. We had to do all of this in the middle of the pandemic.
The teams had to organize themselves to receive the machines from Italy, to install. The plan was for everyone to go there to be trained. We had to rethink everything, do it alone in the South, communicating with the teams in Italy. It worked, we had dedication from everyone.
The second challenge was to plan the launch of the exchange of the bottle. In the market, we wanted to get it right so we wouldn’t have too much stock, so we wouldn’t live with old and new bottles. But the sales forecast was difficult to get right in the pandemic. I think we were lucky.
We chose to postpone it a little to April or May and managed to make a good substitution. Gradually the bottles started appearing on the shelves between June and July, which was about when people started to come out again. Then we were able to display the bottles in restaurants and bars.
Even in the difficulties of the pandemic, the sector faced problems with the break in the supply chain. The industry lacked cork stoppers and glass to supply beverage manufacturers. Did it hinder them? As we had this exchange, this had all been planned for two years. As we came with all the material we had asked for before, we were able to launch it without any disruption. For the launch we had no problems.
And now? I think 2022 is going to be another story because we are already breaking up. It was difficult to close the year. But that’s more due to the success we’ve had. But the launch was successful from that point of view because everything was already planned.
How was this year-end, after vaccination, compared to 2020? When we held our event in October, we opted to host small groups. We already imagined that it would not be so simple. It is not because people are vaccinated that they are at ease or are 100% protected. So, we were careful not to scare anyone.
Looking at our customers, I think they were also cautious. It has events. We had sales. Everyone wants to celebrate, but I think more cautiously. I think there are groups with a limited number of people, small celebrations at home.
What are the 2021 growth numbers? Compared to 2019, we are almost 15% higher in terms of sales. It’s a very good sign because it means we recovered and overcame.
Considering that we are living in a sensitive economic moment and inflation, what is this excess in relation to 2019 attributed to? In the case of Chandon, it was in a process of recovery because when it had the crisis and the economic and political problems in Brazil in 2017 and 2018, Chandon’s revenue dropped a lot. In 2019, it was in the process of retaking.
Today, I think there is a problem and inflation, but Brazilian consumers, especially in the pandemic, chose to buy less, however, choosing a quality product that inspires them. And I think the brand suits the Brazilian, who says: we deserve it, we want to celebrate well, pamper ourselves a little. After these difficult times, I think we are benefiting from it.
How does the brand’s operation in Brazil suffer from exchange rate pressure? The production is local. We have some dry products that are imported, but few. So for now, we’re not sorry. The problem is that inflation is not exchange rate. Next year will be another story.
There is a growing conversation in the sector, which is sustainability. What’s new in this? This is something we’ve been doing for many years. Precisely for this reason, with this new brand identity, we wanted to bring these concepts a lot. There is a part that takes care of our soil and people. These are initiatives to cut the use of herbicides, restore biodiversity, reduce water consumption, and have sustainable certification.
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Born in Toulouse, France, Catherine Petit graduated in business administration from the Ecole Supérieure de Commerce in Paris. He has been working since 2007 at Moët Hennessy, the beverage branch of the LVMH group. In 2020, he assumed the general direction of Moët Hennessy do Brasil and the direction of the Chandon Brasil winery
with Ana Paula Branco
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I have over 8 years of experience in the news industry. I have worked for various news websites and have also written for a few news agencies. I mostly cover healthcare news, but I am also interested in other topics such as politics, business, and entertainment. In my free time, I enjoy writing fiction and spending time with my family and friends.