New chief for Schincariol
Gino Di Domenico, the new President of Schincariol, has his work cut out for him. Not only will he have to calm things down at Brazil’s third ranking brewer following the bumpy takeover by Japan’s Kirin last year. He will also have to implement a succinct strategy to fight back Petropolis’ advances on to Schincariol’s home turf in the northeast of Brazil.
As of 1 February 2012 Mr Domenico is the Kirin-appointed President of Schincariol. The fortysomething Di Domenico has been with Schincariol since 2008 as Chief Operating Officer, having previously worked at consumer goods company Unilever for eleven years.
In December 2011, the Brazilian watchdog CADE had approved of the sale of privately-held Schincariol to Kirin for a total of USD 3.9 billion, excluding debt.
The beer and beverage group Schincariol, with 13 production sites, used to hold the number two position in the Brazilian beer market. But in the second half of 2011 Schincariol was overtaken by Petropolis which now holds a 10. 2 percent market share according to Nielsen data, followed by Schincariol with 10.0 percent. This is the lowest market share Schincariol has dropped to in ten years.
Heineken/FEMSA has an 8.5 percent share of the market. The market is dominated by AmBev, part of AB-InBev, with 70 percent, whose brands Skol (32.4% market share), Brahma (17.6%) and Antarctica (11.8%) are the biggest sellers.
That Petropolis managed to overtake Schincariol can partly be blamed on the internal turmoil the brewer suffered when its family owners bickered over the sale to Kirin. However, has become a serious competitor for Schincariol especially when in November 2011 Petropolis announced they are planning to build a brewery in the Northeast in the next two years.
