Monday, 24 August 2020 09:09

Latvia: Existing customers mitigate pandemic consequences

Endele2018According to Marketing Director Jānis Endele, Karavela will continue its development plans despite Covid-19, LETA reports. The company will move some of its production to separate premises making room for a new production line in the existing factory.
The company is also working on a new product, which is currently in a test phase, but he refrained from disclosing further details. In addition to the new production line, Karavela will continue its plans to modernise the existing factory in Vecmīlgrāvis. Around eight million euros worth of modernisation and expansion of production is planned. Commenting on the trends in the fishing industry in the context of Covid-19, Mr Endele said that in the current conditions, working and surviving is easier for large companies which have already established themselves in the market and can rely on a regular customer base. Previously, the industry attracted new customers at international exhibitions, but these are no longer taking place due to the pandemic. Companies that are stable with a strong list of customers now have an advantage over those that are still looking for partners. And this situation is unlikely to change this year, he predicts.
Another advantage Karavela has is the sales skills it has developed over the years. Its experience with developing and marketing new products gives the company an edge in launching successful products in the future, Mr Endele adds, noting that customers are different and have specific wishes. The ability to tailor the product to the client’s requirements must be learned. The company also draws on its team of employees and their ability to rapidly reorganize production, and to train people operatively. According to Mr Endele, among the future development plans of Karavela this year include investments in marketing—in the second half of this year, the company plans to launch an advertising campaign. Karavela was established in 2001 and is one of the largest fish processing companies in Europe. In 2019, it had a turnover of EUR 52m with a EUR 5m profit. The owners of Karavela are Andris Bite (24%), Jānis Endele (20%) and Jānis Bite (56%).