Goodbye, Bonafont: why did Danone quit promoting water in Brazil?

Goodbye, Bonafont: why did Danone quit promoting water in Brazil?

Retrospective 2022: Manufacturer announced the end of the Bonafont brand in September this year. What’s behind the decision?

In September of this year, Danone informed that it would end production of the Bonafont brand in Brazil. With the departure of Bonafont, the Brazilian market no longer has a Danone brand dedicated to mineral water bottling.

Since informing the consuming public of the decision, the products have ceased to be manufactured and, as stocks ran out, they were no longer replaced.

Therefore, recommended the company, the consumer should check the date of manufacture indicated on the packaging to be sure that you are consuming the original water.

Why did Danone drop Bonafont in Brazil?

In a note sent to EXAME, the company stated that the decision is part of the Danone’s global strategy which decided to focus local business on the larger categories.

The plan, according to the company, is to focus on more profitable segments in the Brazilian market. “The decision to discontinue the water category in Brazil does not affect other markets where Bonafont is present, nor does Danone’s water category worldwide.”

Danone also said that the Bonafont brand has a minority stake in Danone Brasil’s portfolio and is marketed mainly in the state of São Paulo. “We will focus our activities on the categories of dairy products, plant-based products and specialized nutrition, which will allow us to allocate more resources in continuous innovation to meet the demands of our consumers”, he added.

Finally, the company stated that it would work to minimize the impact on employees, allocating them to other areas “and guaranteeing adequate conditions for dismissal, including a special package above legal requirements, a requalification program for the operational team and a specialized professional replacement service. .”

In 2020, the company had already closed two Bonafont factories in São Paulo and Rio de Janeiro, breaking the contract with at least 211 employees. In 2022, with the complete end of operations, the Jacutinga (MG) factory was officially closed.

market dominated

The decision is similar to that taken by the Swiss Nestlé. In 2018, the company sold its water business to the Brazilian Grupo Edson Queiroz, now owner of the Minalba and Indaiá brands. Now, without the two large multinationals in the running, water production in Brazil is now represented by a single major foreign competitor: the American Coca-Cola, manufacturer of the Crystal brand.

Source: Exam

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