We speak to the paint brand to find out about their strategy and plans for MosBuild 2020
Last year, revenue in Russia for global paint brand Tikkurila grew 6.9% y-o-y, amounting to €143.6m, pushing Russia’s share of the company’s global revenue up from 24% to 25.5%.
Russia’s a key market for Tikkurila and their recent growth in this market is due to the growth in Tikkurila’s premium sector, particularly for sustainable paints.
Ahead of their first time exhibiting at MosBuild, we spoke to Anton Peshkov, Director of Tikkurila in Russia and Central Asia.
Anton, what makes Tikkurila stand out as a paint brand?
Tikkurila is a leading Nordic paint company with 160 years of expertise. With our premium products and services, we provide our customers with quality that stands the test of time and weather. The sustainability and safety of our materials are an absolute priority and we’re constantly working on developing, launching and adapting innovative solutions. Tikkurila is unique as we offer solutions in all price categories, we have profound expertise in colours and provide technical support from the initial selection to the final stage of painting.
Why are you participating in MosBuild and what are your main goals?
Exhibitions and industry events are part of a dialogue between the producer and professional community. As a leading company, we choose to take part in the most significant industry exhibitions and events, and MosBuild is no doubt one of them.
What new products are you planning on presenting at MosBuild 2020?
We’ll have a company stand and will also participate in the DIY Forum and at content platforms such as the Innovation in Construction Area, Design Arena and the Space 2.0 project.
We’ll announce our highly-anticipated innovations including the exclusive Endangered Colors collection representing endangered animals. We’ll also present special materials such as Metallista, a paint created for rusty surfaces, and Façade Acrylate, a solution for interior and façade application.
We’ll also hold masterclasses showcasing the materials and test-driving them with our experts.
We already presented our Colour of the Year 2020 (H300 Lemonade) to over 350 designers at MosBuild’s regional programme in Novosibirsk and Krasnodar in November and January.
How long have you been operating on the Russian market?
Tikkurila was founded in 1862 in Vantaa, Finland. We began operating on the Russian market in the ‘70s when the Soviet Union was preparing for the 1980 Olympics. 42,000 tonnes of Tikkurila Miranol white paint was needed to paint the sports facilities. The volumes were so impressive that our all production units worked at full capacity. Since then, Miranol paint has remained popular in Russia.
In 1988, Tikkurila opened an office in Moscow and a physical shop two years later. Having significantly strengthened our market position after the Olympics, Tikkurila then acquired several paint and varnish firms.
Today, we have three production sites in St. Petersburg, producing products across the price spectrum. Since 2009, we’ve been a leader in the paint and varnish market, and we’ve been awarded the People's Brand 2019, and Best Brands 2019 awards.
Do you analyse demand or focus on global trends?
We follow global trends and are the first to implement and adapt sustainable solutions. We work in many countries and estimate our global market capacity to be around €145bn. The main trend in Europe and Asia is the rise in environmental standards and reducing environmental impact, in particular the transition to water-borne paints.
In 2014, water-borne paints accounted for around 40% of the global market for paints and varnishes, now they occupy around half the market, and 75% of façade paints.
Today, consumers are increasingly thinking about the quality and safety of the materials used, general awareness of volatile organic compounds (VOCs) is growing. More and more consumers know the difference between organo-soluble and water-borne materials and their intended use. All market players are also concerned about plastic recycling issues.
Tikkurila understands the importance of sustainable development and continues to invest in developing innovative products. 77% of our range of paints are water-borne. Among our current solutions are the first biological paints (paints containing natural, renewable raw materials), the modernised Euro Smart 2 paint with a minimum VOC content and new for 2020 - the Endangered Colors collection in containers made from recycled plastic. Tikkurila will continue its development in Russia, offering safe and innovative solutions with undeniably high quality.
We also use PIR (post-industrial-recycled plastic) containers for several of our products: the Endangered Colors collection in Russia, Alcro A1 paint in Sweden, and Vivacolor paint in the Baltics.
Along with sustainability, Tikkurila focuses on certain functional benefits, for example the Tikkurila Liitu paint designed for blackboards.
What new products are you working on releasing?
We’re constantly improving both technological processes and material formulas. We approach this issue comprehensively, considering the complete product lifecycle from the raw materials to disposal. Considering sustainable development in all aspects of our business helps us create sustainable and high-quality products. We control all processes: procurement, production, research and development of new solutions.
We’re striving to reduce volatile organic compounds (VOCs) in paints. We introduced Euro Smart 2 in Russia, an interior paint for walls and ceilings with an improved eco-formula. VOCs are reduced to 1 g/l, 30 times lower than required by the EU Directive 2004/42/EC (2010 norm - 30 g/l).
We try to help consumers make the right choice, pay high attention to the technical advantages of our products, and constantly improve the technical specifications on the packaging. That’s why in 2020 we rebranded Tikkurila's flagship water-borne products Joker, Harmony and Remontti-Assa.
Discover Tikkurila’s products on show at their stand K4035 as well as MosBuild’s content platforms at MosBuild 2020.