Discounts as a Strategy: How Cheese Is Sold in a Competitive Market
21 April 15:18
In the run-up to Easter, the Ukrainian cheese market showed selective growth.
This was reported by experts from the Infagro analytical platform, according to "Komersant Ukrainian".
According to Infagro, sales increased only for those producers who actively used promotional offers. Overall, the market remains under strong competitive pressure.
Promotions as the main driver
In fact, discounts have become the key sales tool:
- regular promotions help maintain demand;
- without promotional offers, product sales slow down;
- even even during the holiday season, growth was not widespread.
This indicates that consumers are highly price-sensitive.
A decline is expected after the holidays
Analysts predict:
- a traditional decline in demand after Easter;
- manufacturers will be cautious about ramping up production;
- the continued use of promotions as the primary tool for stimulating sales.
Despite this, prices remain high, which further complicates the situation.
The European Factor
One of the main challenges is imports:
- cheaper products from the European Union;
- falling cheese prices in Europe;
- rapid growth in shipments to Ukraine.
The greatest pressure is observed in the following segments:
- hard cheeses,
- semi-hard cheeses.
Although imports are growing, they are not yet considered critical for the industry—but the trend persists.
Exports: Mixed Trends
The situation in foreign markets is mixed:
Traditional cheeses:
- exports of semi-hard cheeses are declining;
- prices remain relatively stable.
Cheese products (processed, semi-hard):
- are showing better sales growth;
- prices have fluctuated, but there are signs of stabilization.
Sales geography
Main markets for Ukrainian cheese:
- Kazakhstan
- Moldova
Cheese products are actively exported to:
- the Caucasus region,
- new markets, particularly in Africa.
Risks for exports
Analysts warn of potential difficulties:
- the unstable situation in the Middle East;
- risks for exports of processed cheese products;
- dependence on foreign markets with increased volatility.
Increased competition
Recent months have shown:
- Ukrainian producers are losing market share;
- imports from the EU are actively entering the retail market;
- some suppliers (particularly Polish ones) are willing to dump their products to sell off surpluses.
