CocaCola HBC AG, the parent company of the Nigerian Bottling Company said its sales volume in Nigeria declined further in the third quarter.
The Switzerland-based bottler for The CocaCola Company said its volume continued to decline in the third quarter as a result of higher prices introduced in the face of higher inflation and depreciation of the Naira (NGN).
The story was different for Coca-Cola HBC AG as emerging markets segment volume increased by 3.5%, with strong growth in Romania, Serbia and Ukraine.
Commenting on the results, Michalis Imellos, Acting CEO and Group CFO, said: “We are very pleased with the strong revenue delivery in the quarter, well balanced between broad-based volume growth and substantial price/mix improvement. We go into the final quarter encouraged by our progress and confident in delivering on our expectations for the full year.”
Back in Nigeria, NBC, its local unit, has been involved in a pricing war with its arch-rival, Seven-Up Bottling Company through its Pepsi brand. The latter is undercutting CocaCola by pricing NGN50 below across its various pet bottle soft drinks.
While NBC/CocaCola spends more on advertising, the reality in the market has shown that consumers have further cut consumption of soft drinks as well as other substitutes to these brands.