LGG® • 20.05.2010
A decade of Valio Gefilus® in the Baltics
Estonia has become Valio’s key nearby market for Gefilus® products
Valio Gefilus® Baltic adventure started in Estonia in summer 1999 with Gefilus® kefir which is still the most popular Gefilus® product and the country’s top selling kefir. Gefilus® capsules were launched in the same year (and in Lithuania in 2000) and are recommended by local doctors for consumption to alleviate side effects during a course of antibiotics.
Optimising the assortment in the face of fierce competition
The product mix continued to grow over the next decade but is now focused on cultured buttermilk with and without fruit, yoghurts, and a recent highly successful addition in the form of Gefilus® shot drinks in Strawberry, Vanilla and Wildberry flavours.
Heidi Mallene, Brand Manager at Valio Estonia points out that some formerly available product groups proved not to be ideal vehicles for a probiotic in Estonia, as the message on health effects wasn’t striking a chord with local consumers. So we optimised the range to concentrate on the categories offering the greatest scope for success.
Understanding health benefits
Valio Gefilus® has nevertheless achieved very high brand awareness and is seen largely as healthy and good for the stomach. While the message on building immunity still lags, the optimised assortment is helping push it to the fore. Local consumers demonstrate a continuing and despite the recession still growing enthusiasm for value added products offering health benefits and there is clear potential to increase Valio Gefilus® sales. A strong range of Valio Gefilus® products is now available throughout the Baltics.
Going native
Estonian consumers explicitly value local foods so the country’s fresh Gefilus® products are made at Valio’s Laeva Dairy in Tartu from the best Southern Estonian raw milk. It’s the only Valio plant outside Finland with the necessary expertise to do so.
In fact, every aspect of the Estonian Gefilus® operation has been brought as close to the consumer as possible, in line with Valio’s strategy that has built all its Baltic operations around local milk and production.
Marketing is also handled locally with packaging design and advertising adapted to local conditions, keeping a close eye on price and communications initiatives launched for competing products, comments Ms Mallene.
Identifying Valio with innovation
A high profile brand such as Gefilus® tends to support and interlink with the Valio house brand and in Estonia both are identified in terms of pioneering R&D, top quality products, focused on well-being. Spontaneous brand awareness for Valio as a dairy producer has strengthened.
Marketing communications channels
TV advertising supported by e.g. in-store and outdoor display materials target consumers while we are looking to ramp up awareness with medical professionals for instance via a satellite symposium to be held at a conference for doctors in Tallinn in May.
Shared values
The typical Valio Gefilus® user has a good work-life balance, family and social life, and leisure pursuits ranging from the arts to sport.
We believe that Gefilus® yoghurts are ideal for families with small children and recently tailored one of Valio’s Finnish advertising clips for the local market targeting this significant consumer group, Heidi explains.