The maritime industry is traditionally a small but strong
market segment. Sherwin-Williams last year introduced its
SeaVoyage and SeaGuard lines of marine coatings in Brazil,
Mexico and Chile. AkzoNobel noted that its sales in Brazil,
where it operates a maritime coatings operation, had slowed.
EcoPaint On the Rise
Low and zero-VOC paints are becoming very popular in
Latin America, especially in Brazil, where the increasingly
threatened Amazon rainforest is a constant reminder of the
need for ecological living. Many brands carry “Eco” versions
with low or zero-VOCs, and marketing campaigns frequently
feature these niche products.
Beyond Eco brands, the larger manufacturers also have
embraced sustainability and conduct in-depth programs to
improve their ecological performance. BASF, for example,
hired Demarchi+Ecoeficiente to perform an ecological assessment and awareness campaign at its São Bernardo do Campo,
state of Sao Paulo complex. The study was performed in conjunction with the Fundação Espaço ECO (FEE). Thus far
some 65 suppliers to the company have been briefed on the
program goals.
Company Stores Spread
The evolution of company owned or franchised stores in Latin
America has accelerated as both paint manufacturers and Do-It-
Yourself home centers roll out their brands. Sherwin-Williams
is continuing to expand its presence throughout the region at a
tepid pace. “We currently have 276 company-operated stores
with a total of 3,535 employees in Argentina, Brazil, Chile,
Colombia, Ecuador, Mexico, Peru and Uruguay,” the S-W 2014
annual report indicates. “We also operate 10 manufacturing
sites across the region and have subsidiaries in nine countries
and licensees with operations in seven countries. During the
year, we continued to expand our Dedicated Dealer program,
adding 47 new stores in Mexico, 13 in Argentina, 11 in Brazil
and one in Uruguay, and we now total 646 dealer stores in the
region,” the report summarized.
Comex, which was ultimately purchased by PPG for $2.3
billion last year, “manufactures coatings and related products
in Mexico and sells them in Mexico Central America, and the
Caribbean. “Comex products are sold through a network of
approximately 3,800 stores that are independently owned and
operated by more than 700 concessionaires. We believe that the
network of stores can continue to grow further and potentially
reach upwards of 6,000 locations,” says Silvey.
Masco’s Behr brand is sold in Latin America primar-
ily through Home Depot stores. In October, Home Depot an-
nounced an agreement to sell its five stores in Chile to its joint
venture partner, Falabella, and its four Argentina stores to
Hipermercados Jumbo, the owner of Easy Homecenter.
At the time, Bob Nardelli, Home Depot’s CEO, said,
“The potential to expand our international presence, which
today includes Canada, Mexico and the Caribbean, re-
mains a key strategic focus and supplements Home Depot’s
leading domestic operations. Home Depot’s 2014 annual
report notes that the company has 111 stores in Mexico,
along with stores in Puerto Rico, the U.S. Virgin Islands
and Guam.
Sodimac, the Chilean home supply chain, has 296 stores in
Chile, Colombia, Peru, Argentina and Brazil. This year it plans
to move aggressively with 20 new stores in Argentina, Uruguay
and Colombia, said Enrique Gundermann, the company general manager, in February. The eight Argentine stores alone will
involve a $300 million investment, Uruguay will involve a $40
million investment and Colombia will have five stores. Among
paint brands Sodimac sells are Kolor, Marson, Rust-Oleum,
Sherwin-Williams, Sipia and Tricolor. CW
BASF’s Demarchi, State of Sao Paulo Paint and Varnish Plant.
