Why Maltonic Changed Its Name to Malta Gold

Changes to both market and brand names sometimes suggest that brand owners are adopting a different marketing approach to their products. Changing the existing name of a product that might have been entrenched on consumers’ minds could equally be likened to moving from a comfort to a discomfort zone. The transition of Maltonic to Malta Gold has attracted a buzz of marketing and branding voices across the divide. Ralph Tathagata reports the grounds on which the brand transformed and the debate it has generated so far.

In an attempt to distance itself from the past and, Maltonic made what it considered a smart move by dropping its appellation for a new one under the brand name, Malta Gold.
Competition
While more and more malt drinks are competing frantically in the Nigerian market for shares, Malta Gold appears to be promising consumers more value than its parentage (Maltonic). Meanwhile, some market watchers see the move as wrong complaining that consumers might be a little upset at having Maltonic’s name equity violated by the pairing of words, “Malta” and “Gold.” They further argue that a change in a product’s equity name simply means starting afresh.
Given the intimidating presence of some dominant players like Malta Guinness, (from Guinness Nigeria), Maltina and Amstel Malt (from Nigerian Breweries), among others in the market, experts are also breathlessly questioning the marketing rationale behind the creation of Malta Gold as Maltonic could not be said to be one of the major leaders even in the lower category that consist of Hi-Malt, Vitamalt, Maltex, Nasmalt, Crystal Malt and Malt Royal among others and which is reportedly led by Hi Malt.
However, the brand owners are telling consumers to be rest assured that Maltonic’s name change to Malta Gold does not change the foundation and heritage on which the brand depends.
“We are continuing to build on our legacy with enhanced performance and consumer satisfaction with the new Malta Gold,” said Clement Agboma, Malta Gold Group Brand Manager.
“In obedience to the basic marketing rules, we have also rolled out some necessary marketing communications materials to support the new entrant. For an example, TV, radio, press insertions, outdoors (especially in the north) among others,” he added.
Distribution
An important market factor is buyer’s behaviour in terms of how they want to purchase a given product. On the distribution intensity of Malta Gold, the brand owners disclosed that the northern market has been witnessing some good presence of Malta Gold. But M2 Investigation reveals that the south, take Lagos State for example, has not witnessed an impressive distribution based on the product’s scanty shelf presence. It was also gathered that the eastern market is far from attaining saturation. Agboma however, assured that plans are underway to push the product into all the necessary nooks and crannies of the Lagos market. He also uncovered that Sona Group acquired Champion Breweries in Akwa Ibom for the purpose of catering for the eastern market and its environs, so that Kaduna Breweries can take care of the north, while Ota, Ogun State Breweries provides for the west.
Performance
The market performance of Malta Gold still remains unclear to watchers after the metamorphosis in terms of shares probably because the new entrant is barely two months in the market. But Prashant Patwardan, Group Marketing Manager, Sona Breweries said, “The Nigerian malt market resonates with possibilities. And we are ready to take advantage of every marketing possibility at our disposal. Marketing activities on Malta Gold have been magnified more than what you used to have on Maltonic.”
“I can tell you that Malta Gold creatively has more buzz than Maltonic. And I want to assure our customers that we are not going to rest on our laurels until the new entrant gets its pride of place,” he added.
Patwardan also revealed to M2 that Malta Gold and some of Sona’s beer brands like Williams Dark Ale have easier penetration in the northern market than the south as the company’s unique selling proposition remains quality brands at affordable prices.
Possibilities
Whether these possibilities will be harnessed in some major southern markets like Lagos remains unseen.
Experts are also of the position that as Malta Gold is making this market shift, the larger part of its consumers, at least 75 per cent should be aware of where the product is headed so that they could support, encourage and remain loyal to help the brand transmutation. And the sure fire means of achieving this is for the owners to accord Malta Gold the entire requisite marketing communications support it deserves.
That is to say that if Malta Gold whould succeed on this road less travelled, it must brace up to the uncertainties that characterize the terrain and make all the required marketing sacrifices.