Nadezhda Melnik
The main exhibition of the country, Fabricat în Moldova, is not only a territory for the presentation of achievements and novelties, but also a platform for discussions about the business environment, rules of the game and prospects for domestic producers.
Usually up to 400 companies take part in these expositions, more than half of which are from the regions. Among them are 30-50 newcomers who have recently launched their business.
At the Fabricat în Moldova exhibition held from February 11 to 15, we talked to several companies from the regions, discussing the question – how do they reach their customers?
Internet as the main tool of trade
The Orhei-based company Atelierul Nicov has been producing leather goods for six years: women’s and men’s bags, belts, purses and wallets, clutches, backpacks, watch straps, key holders, etc., even with personalization. Even with personalization of products.
In general – works in the segment in which Vitalie Burlacu is known in Moldova, with only one difference: the popular brand is engaged in production in the capital, while Profir Nicov – 40 kilometers away from it.
Accordingly, the district brand has its own sales channels – its own outlet in Orhei and an online store. Delivery of goods to customers in other localities – through a courier service. And that’s it.
Elena Kistruga has been sewing home textiles in Oknita for about two years: bed linen, bathrobes, towels, bedspreads, curtains and so on.
The main sales channel is through Instagram. And delivery?
“I travel to Chisinau every week, so I deliver orders there myself,” said Elena. – In Balti, of course, also, it’s not far away. And to remote settlements I send them through a courier service”.
Nadezhda Melnyk from Onitskan village, Criuleni district, produces a wide range of Home Decor products: wall key holders (simple, with clocks, photos, plant stands) and other similar items. Although the key holders alone could generate a good income from sales in stores like Jusk or Meli Melo, this is potentially an exportable product that could be produced in tens of thousands of units.
The manufacturer has its own website and social media pages. Delivery is either by themselves or through couriers.
With a fairly small price for the listed products, courier services increase their cost for buyers by several tens of percent. Of course, this does not help to develop the business.
“With what leg the manager will stand up”
At Fabricat în Moldova exhibitions there are always present producers of food products, both individual entrepreneurs and those issued by manufacturers registered in the format of LLC and JSC. Most of these products have been certified, packaged and ready for sale in stores.
However, only a small part of them manage to get to the shelves of supermarkets. And even there they are not welcomed with open arms.
“Relations with the chains are unpredictable and often depend on which leg the manager got up on this morning,” said Olga Stratan, co-founder of Headway Trio.
The company produces products unique for Moldova – liqueurs made of red and white cornel from its own raw materials according to a family recipe. And it managed to make its way into one of the largest supermarket chains. However, the relationship is very uneven, which hinders the planning and development of production.
What are the possible ways out?
Naturally, all of the above companies and many others want to be permanently present on the Chisinau market, as the main market in the country. However, not many of them can afford renting boutiques in shopping centers, opening their own outlets, and not all goods are suitable for trading in markets.
UNIC department store used to support local producers. There was a unified trade team, thematic departments, and, most importantly, the store accepted for sale mainly industrial products of local manufacturers.
Then it was privatized and turned into an ordinary shopping center, of which there are dozens in Chisinau.
The authorities do not understand the urgent appeals of local producers to provide them with joint trading platforms. With great difficulty and with the help of USAID, it was possible to open a store selling several brands of clothing under the joint brand DinInima. A furniture hypermarket near Chisinau could not be realized. That is all the “achievements” so far.
In the field of online commerce, the Organization for the Development of Entrepreneurship (ODA, then ODIMM) was going to develop a marketplace where locally produced goods would be presented. So far, nothing has been heard about the initiative.
There was also a very interesting private initiative, the portal madein.md, where tens of thousands of cards with Moldovan goods were collected. However, without state support, this project was suspended – the finances required were much higher than planned.
Thus, young people can be encouraged not to leave the country, but to open their own businesses here. Or invite representatives of the diaspora to return to the homeland with assurances that their investments are welcome here.
You can write programs for business development in the regions – paper can erase everything. And open incubators and business centers there with European money.
However, without a well-functioning sales system for small businesses, offline and online, under the patronage of the state, all such endeavors will remain a “hobby for social networks” – without serious turnover and without the prospect of export.
