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TURIN

‘We aim to bring Italian excellence to the world’

With a difficult business climate at home, some Italian companies are focusing on foreign markets. The Local heads to Turin to find out how gourmet food company Eataly succeeded in going global.

'We aim to bring Italian excellence to the world'
Eataly's Turin store was opened in 2007. Photo: Eataly

Less than eight years after his father turned an old factory into a food store in Turin, Francesco Farinetti, the company's head of distribution, is waxing lyrical about Eataly’s global expansion.

“We’re growing in Italy but abroad we have the chance to grow even more,” he tells The Local over coffee at the company’s flagship store.

Likening Eataly’s format to that of Harrods in London, where customers can both dine and take produce home, Farinetti says the international market has been a key part of the business strategy.

“Perhaps it’s easier to open a store in Italy, but then afterwards it’s more difficulty because we’re in an economic crisis,” he says.

Italy’s economy is forecast to shrink by 0.3 percent in 2014 and return to growth next year. Eataly's foreign expansion, meanwhile, is set to see turnover reach €280 million this year.

Eataly opened its Turin store ahead of the downturn in 2007, with founder Oscar Farinetti making the unusual decision to launch in Tokyo the following year. He knew the market thanks to his time running the electronics company, UniEuro, and quickly set about opening 13 stores across Japan.

“It’s the New York of Asia,” says Francesco Farinetti. “If we can do it in Tokyo we can do it in other markets.”

Eataly

Eataly now has over 3,600 employees and a presence in the US, Turkey and the UAE, with plans to open in Brazil and Russia next year. The latter could be subject to delays, however, as Russia earlier this year hit EU countries with a food embargo.

The company’s expansion can be put down to a mixture of courage and madness, plus a knowledge of numbers and the right contacts, Farinetti says.

“It’s fundamental to find the right people. You can have the best format in the world, but if you choose the wrong people you won’t be successful,” he says.

Eataly teamed up with restaurateurs Batali & Bastianich and Italophiles Adam and Alex Saper in New York, opening the first store in 2010 with a second planned for the city next year.

But despite rapid expansion, Eataly faces challenges in selling Italian food around the world.

“There are laws that act as obstacles to exporting certain foods, which come from a sort of protectionism,” Farinetti explains. “Italy has to lobby; this is an important cause for our country.”

While he highlights the Italian Trade Agency (Ice) as one way the government is helping companies move abroad, Farinetti says more needs to be done to support businesses internationally.

“[Italian] embassies should be transformed into offices of representation, to give a hand on the commercial side,” he says, helping businesses navigate new markets.

Eataly is also pushing the government to incentivize companies to go global, creating a “Made in Italy” trademark to ensure their products are quality-stamped.

“We can compete on quality; we can never compete on cost,” Farinetti says, lamenting the misleading Italy branding on cheap products made elsewhere.

The company’s future success depends on customers seeing food as an investment.

“The aim is to bring Italian excellence to the world,” he says.

Eataly

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FOOD AND DRINK

Six of the most Italian non-alcoholic aperitivo drinks

As well as its most famous cocktails, Italy has a long tradition of making refreshing aperitivo drinks without the alcohol.

Six of the most Italian non-alcoholic aperitivo drinks

Italy’s favourite aperitivo-hour cocktails are known far beyond the country’s borders, so their names will probably be familiar to you whether you drink them or not.

But if you’re in Italy and not drinking alcohol, you might find yourself stumped when it comes time to order your aperitivo at the bar.

The first time I found myself in this situation, there was no menu. The waiter instead rattled off a long list of all the soft drinks available, most of which I’d never heard of, and I just picked something I thought sounded nice.

Luckily it turns out that Italy has some great options for an aperitivo analcolico. As well as ‘virgin’ versions of well-known cocktails, there are bitters, sodas and other Italian-made soft drinks that you’re unlikely to find anywhere else.

They might not be quite as iconic as the Aperol Spritz, but they’re as thoroughly Italian – plus, effortlessly ordering one of these will make you look like a true local.

SanBittèr

San Pellegrino’s SanBittèr is one of the most famous non-alcoholic Italian drinks of all, with its highly-recognisable red packaging, often enjoyed in place of Campari cocktails because of its similar dark, ruby-red color.

This drink is carbonated with a slightly sweet, citrus flavor. The recipe is more complex than that of an orange or lemon soda, with notes of spice and herbs, making it ideal to pair with your aperitivo-hour snacks.

Crodino

Crodino looks a lot like an Aperol Spritz with its bright orange hue, and that’s not an accident: it’s said to have been created as a non-alcoholic alternative, and the zesty, slightly herbal taste is similar. It’s typically served the same way. in a round goblet glass over ice with a slice of orange: a Crodino Spritz.

The name comes from the town of Crodo in Piedmont, where it is still bottled today by the Campari group.

Chinotto

Citrusy Chinotto is an acquired taste for many, but it’s worth trying: it’s one of the classic Italian bitters and is said to have a long history, dating back to a recipe shared by Chinese sailors arriving on the Ligurian coast in the 1500s.

It may look a little like Coca Cola, but don’t let the appearance fool you.

(Photo by Eugene Gologursky /Getty Images via AFP)

Aranciata/Limonata

Aranciata is Italy’s version of an orange soda, but not as sugary, and it tastes like oranges. Its base is sparkling water with the addition of orange juice and sugar. There are various brands, but San Pellegrino’s is the most popular. It also sells a ‘bitter’ aranciata amaro, with even less sugar, more citrus tang and herbal notes, which might be more aperitivo-hour appropriate.

Limonata is, as you might guess, the Italian answer to lemonade. Again there are many versions out there but the fizzy San Pellegrino limonata is beloved for its strong, sweet-sour flavour and there’s nothing more refreshing on a hot summer’s day.

Cedrata

Cedrata is one of Italy’s oldest and best-known non-alcoholic drinks. It’s a refreshing, carbonated drink made from a large citrus fruit called a cedro, grown in southern Italy. It’s far less bitter than a Chinotto, but not as sweet as limonata.

The main producer of Cedrata today is Tassoni, and this is what you’re likely to get if you order it at a bar.

Gingerino

This is harder to find than the other aperitivi on the list and is seen as decidedly retro, but it’s worth trying if you can track it down.

It’s another orange-coloured, sparkling drink which became popular in Italy in the 1970s and is still sold today, though you’re more likely to find it in the north-east, close to Venice, where it’s produced.

You may be expecting it to taste a lot like ginger beer, and there are similarities, but it has stronger citrus notes and more bitterness.

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