In the final quarter of 2023, BRF’s pet food sector experienced a noteworthy 1.8% increase compared to the same period in 2022. This growth was predominantly driven by the rising popularity of superpremium pet food offerings and marked BRF’s entry into new markets, including Ecuador and the United Arab Emirates.
Surge in Superpremium Brands’ Market Share
The superpremium pet food segment, represented by brands such as Biofresh and Guabi Natural, witnessed a significant expansion in market share throughout 2023, outpacing industry growth rates. Particularly, BRF noted robust growth in its cat food category, recording double-digit volume growth.
Strategic Marketing Initiatives Drive Growth
BRF’s strategic marketing endeavors played a pivotal role in stimulating sales growth. GranPlus, the Special Premium brand, launched an extensive advertising campaign on broadcast television, aiming to enhance brand visibility and consumer engagement. Meanwhile, Biofresh initiated a groundbreaking campaign in collaboration with a new advertising agency, emphasizing its premium quality and natural ingredients.
BRF’s Entry into the Pet Food Industry
With an annual revenue of US$240 million in 2022, BRF emerged as a formidable player in the pet food industry. The company ventured into the Brazilian pet food market in 2021 through the acquisition of renowned manufacturers Hecosul and Mogiana Alimentos. The acquisitions, valued at R$1.35 billion (US$234 million), granted BRF a significant 10% share of the Brazilian pet food market.
Profile of BRF’s Acquisitions
Hercosul, one of BRF’s acquisitions, specializes in the production and distribution of dry and wet dog and cat foods, boasting a diverse portfolio including Biofresh, Three Dogs, Three Cats, Primocão, Primogato, Apolo, and Átila. With manufacturing facilities strategically located in Brazil and Paraguay, Hercosul caters to both domestic and international markets.
Mogiana Alimentos, another key acquisition, enriches BRF’s product portfolio with superpremium brands like Guabi Natural and Gran Plus, catering to various market segments from premium to standard. With robust operations in the southeast region of Brazil and a robust export network extending to the Caribbean, Europe, and South America, Mogiana Alimentos solidifies BRF’s position as a global pet food powerhouse.
Conclusion
BRF’s steady growth trajectory in the pet food sector underscores its strategic acumen and commitment to delivering premium-quality offerings to discerning pet owners. With a diverse portfolio encompassing superpremium brands and a strong foothold in both domestic and international markets, BRF is poised for continued success and innovation in the burgeoning pet food industry.
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Source: Petfood Industry
