Doing Business in Colombia, comparison between Bavaria S.A. and Quala S.A.

ENGLISH VI

ESSAY

HUGO ESCOBAR BERNAL

COD. 2013226053

ALEXANDRA OLANO

UNIVERSIDAD DEL MAGDALENA

SANTA MARTA

D.T.C.H

2016

Doing Business in Colombia, comparison between Bavaria S.A. and Quala S.A.

The Republic of Colombia is the fourth largest economy in Latin America, after Brazil, Mexico, and Argentina, and has the third largest population with approximately 47 million inhabitants. It is the only country in South America with two seacoasts (Pacific and Caribbean), which provides tactical shipping advantages in today’s global market.

In this essay, it will show different marketing strategies, the audience who handle and some factors that make successful to two major Colombian companies such as Bavaria S.A. and Quala S.A.

Bavaria S.A. It is the largest brewer in Colombia, one of the largest in America and the tenth in the world. It was founded on April 4, 1889 by German Leo Siegfried Kopp, within national beer brands of Bavaria are Aguila, Aguila Light, Aguila Zero, Club Colombia, Costeña, Costeñita, Pilsen, Poker and Redd's. Among imported beers, Peroni, Miller and Grolsch. Other drinks that are distributed but not correspond to the order of alcoholic drinks are Cola y Pola and Pony Malta.

Quala S.A. is a Colombian multinational dedicated to the production and marketing of products in the categories of beverages, culinary, personal care, and frozen treats. Its headquarters is located in Bogota (Colombia) and has a direct presence in Mexico, Dominican Republic, Ecuador, Peru and Guatemala. Its products in Colombia are: InstaCrem, BatiCrema, Batilado, Quipitos, Hogareña, La Sopera, Frutiño, Gelatina Frutiño, Gallina, FamiliaYá, BonIce, Activade, Del Fogón, LightYá, Ricostilla, Gelagurt, Savital, Yogoso, Popetas, PulpiFruta, Fortident, Gustiarroz, Sasóned, Frutive, Ego, Boka, SunTea, Vive 100, Aromatel, Don Gustico y BioExpert.

During the past year, Bavaria was dedicated to the renewal of the portfolio of brands, improve marketing systems outlets and supply chain, strengthening corporate reputation and organizational development. While Quala strategy has been to launch products very popular in market segments where there is a recognized leader who does not have a second competitor who tread the heels. Then topped with aggressive advertising and marketing that they design for their brand positioning campaigns.

One of the strengths of Quala has been handling advertising. The company does not hire large agencies. "They make calls. They call for several creative proposals submitted and choose the one that is close to what they want to convey," says Maria Cristina Henesing, advisor to the company.

Quala has not only been able to compete head on with the multinationals, but already reached to get into the group of large national companies. It is third in the ranking of Magazine "Dinero", in the segment of canned food, snacks and condiments. Only outgrow Nestle and Disa. Last year its sales increased to 147,787 million pesos, representing an increase of 43.9 percent over 2001.

In the other hand, Bavaria`s strategies are: Women scantily clad, messages focused on values ​​and campaigns to avoid drinking beverages underage.

All this is part of the new strategy that seeks to conquer the Bavaria brewery to its consumers in the country.

The change in the way we communicate and do your marketing began several years ago, but perhaps the clearest perception consumers have of the brand Aguila, who have witnessed the greatest circumspection of the famous 'Chicas Aguila'.

Since the merger with SABMiller, Bavaria has had "a number of positive changes" in the subject of marketing, which is now focused on corporate social responsibility, said Fernando Jaramillo, vice president of corporate affairs Bavaria. And not only has to do with the subject of 'Chicas Aguila'. In the search for better communication with consumers, to get directly to the elderly, the company decided to change the sponsorship of teams that integrate minors, such as the U-17 football team, with Greener Products. The Sub17 was sponsored by Aguila and now does Pony Malta.

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