Her gradual “getting rid of addiction” from fresh milkcategory with low profitability and loss of sales in favor of private label productshis control starts DELTA FOODS. A key vehicle for this evolution will be the company’s entry into new food categories with higher profit margins and the elimination of underperforming codes. The shift towards an integrated food company, where milk will of course remain a key element, is also confirmed by the change in the DELTA logo, as 71 years after the company was founded, Aristidis Daskalopoulos, a female figure, was holding a carafe of milk.

” “shopping basket” led to a decrease in the market share of DELTA in the market (in value terms) of fresh milk in the amount of 3-4 units, which was set at 15% in 2022,” said Christos Tsolkas, Managing Director of DELTA FOODS, at a press conference yesterday. This is because the “basket” mainly included private label products, causing the share of private label fresh milk to jump to 25% last year from 11% in 2021. What is the weight of fresh milk in the company’s results? It represents 70% of sales value and 55% of sales volume, and this percentage is expected to decline as the company expands into new food categories.

The surge in milk prices led to a significant increase in the price of refrigerators and a jump in the share of fresh milk under own brands to 25%.

Despite significant market share losses, the company appears to be unwilling to cut list prices and is limited to offerings. “We have not made a decision to lower the list prices. Since February, we have begun to offer where necessary, as much as we need,” Mr. Tsolkas answered a question about this.

In 2022, DELTA FOODS, as Mr. Tsolkas announced yesterday, continued to increase prices ranging from 10% to 28%. In fact, a 28% price increase was imposed on fresh milk, and the CEO of DELTA justified this decision by saying that 50% of the production costs of fresh milk are raw materials, in this case milk. The producer price for cow’s milk reached 0.60 EUR/kg in 2022, compared to 0.38 EUR/kg in 2021. He added that “it is very important to maintain the sustainability and profitability of the company in 2022”, a company that, like the entire Vivartia group, was in the process of restructuring after its acquisition by the CVC fund.

While Mr. Tsolkas has refrained from revealing the new product category DELTA will enter in 2023, this will most likely be for refrigerators as the company wants to leverage the large fleet of refrigerated trucks and the strong distribution network it has in supermarkets and small stores. retail (mini-markets, kiosks) with products reaching 27,000 points of sale. However, the company, which has significantly curtailed its cheese products business in previous years, is expected to strengthen it again after acquiring Kourellas SA and Daniel Gatenios and Sons SA last year, and synergies with the Dodoni dairy industry are expected to develop by the end of the year. , the main shareholder of which is also the CVC fund. A category that should not be excluded, a category in which DELTA has a strong and longstanding presence, is ice cream, an activity the company sold to Nestle in 2006. funds for the further development of DELTA.