DOMINICAN REPUBLIC
An open challenge in the heart of the caribbean











Interview with Jose Antonio Barcelo
President of Barcelo & Co. 
Read our exclusive interview





BARCELO & CO.

Calle Ulises Heureux No 20 Santo Domingo
Dominican Republic

Tel: (809) 592 22 23
Fax: (809) 596 36 62
Email:barcelo@bainsa.com
Website:www.barcelo.com.do



HISTORY



In 1929, Julian Barcelo, born in Mallorca Island (Spain) came down to the Dominican Republic and the next year founded Barcelo & Company.

Barcelo & Co. has been always concerned about the needs of the community around it, has created 5 different foundations that have surely changed the life of the Dominican people.

The Pro-Health Foundation, founded in 1989, serves as a channel for many significant aids to be delivered in hospitals, health-related institutes, such as, Instituto de Ayuda al Sordo 'Santa Rosa de Lima' (Assistance Center for the Deaf), Instituto de Oncologia 'Dr. Heriberto Peter' (Oncology Institute), Centro e Rehabilitacion de Invalidos (Rehabilitation Center for the Handicapped), Burn Unit of Luis E. Aybar Hospital, Instituto Pro-Familia (Pro-family Institute) and Henry Tumen Foundation.



In 1990, the Pro-Sports Foundation is created with the objective to sponsor softball, baseball, basketball and amateur boxing activities, among others. It has also developed an assistance program to support the Dominican Olympic Committee.

The Pro-Culture Foundation, created in 1990, sponsors symphonic music concerts and other music events by popular singers, as well as art expositions, publication of books, educational programs and literacy training campaigns. The Universidad Autonoma de Santo Domingo has also been supported through Barcelo & Co. and it has been named the Computer Department after Don Miguel Barcelo.

In 1983 is established the Pro-Foresta Foundation. This institution funds ecological studies and research, sponsors seminars and conferences, as well as ecological camps for students. Along with the Softball Federation, in February 1995 started a reforestation initiative of Juan Pablo Duarte Olympic Center, main sports facility of the region.

The Pro-Tourism Foundation (created in 1990) promotes important tourism-focused community projects and together with APEC University, it develops training programs of human resources.

Today, Barcelo & Co. is still a family-run enterprise where now the third generation plays an active role in the business of the company. Barcelo & Co. is not only a rum company, but also an industrial holding enterprise that carries out various activities in several sectors of the local economy.

THE RUN ELABORATION PROCCESS

The elaboration process of the rum has four stages.

a) Fermentation of Sugar Cane Molasses

The Caribbean climate is the most appropriated for the cultivation of sugar cane and the processing of the best quality rum.

For this reason, the liquor enterprises of the Caribbean are the authentic rum suppliers. In other countries, including Europe, so called rum is made with essence-based products. The absence of an officially originated trademark makes it easy for forged rum products to be marketed around.

b) Distillation of Alcohol with Manufacturer-Established Parameters.

Unlike Cuban or Venezuelan rum, the authentic Dominican rums is light due to the fact that after the distillation process a very low level of co-generic remains.
These elements (fusels: propanol, isopropanol, amylic and isoamylic alcohol) define the quality traits of the product and make the digestion of it much heavier, affecting thus our senses and causing the classic headache afterwards.



c) Aging process in barrels. Factor time and the characteristics of the barrel are both critical.

Laws in the Dominican Republic require a minimum aging time of one year in rum products. It's necessary to take into consideration that due to the particular temperature and humidity conditions of the Caribbean, a full year aging is equivalent to three years of aging in Scotland, where the annual evaporation levels are below 2%, meanwhile here these levels are over 8 to 10% year round.

The aging process in barrels causes a chemical reaction that provides the esters (acetaldehyde, methyl acetate, ethyl acetate and acetate) that give the rum its scent and fragrance. These elements can also be obtained using lab techniques; however, a chemical analysis evidently brings it out as we find high levels of methyl acetate present. The result is very intense fragrance but with a very deficient bouquet.

We can assert that given today's consumption of rum worldwide, stocks of barrels are not large enough for a natural aging process to take place within the minimum required periods.

Barcelo guarantees that the rum under its trademark has followed a natural aging process in American (Kentucky) oak barrels first used by Bourbon. The result of this process is a light rum (low in co-generics), scented with a unique bouquet.

d) Final Blending-Particular and Secret of Every Manufacturer.

Barcelo & Co. applies in this respect all the experience it has gained through years of labor, using its special formula to make it unique when compared to any other rum.

THE QUALITY OF BARCELO RUM



In pursue of a guaranteed qualification process of all its products, Barcelo & Co. has always moved beyond the norms established by the rum industry.

Our water treatment plant ensures the purity of it. Internal controls provide for the use of chromatographic analysis throughout every single stage of the production cycle. In fact, the chromatography is carried through the very advanced stages of aging as part of the final inspection process. Technicians also employ a very fine filter seeking to achieve a much more transparent product as tiniest particles and impurities are eliminated.

The whole aging demands and indeed takes the most careful consideration. In all our warehouses, it's compulsory to stick to the strictest standards in order to avoid unexpected alterations of the flavor. Each rum lot is carefully marked and ID numbers are never repeated so as to be able to have a precise production track record. Our rum undergoes an aging process even more strict than required. In Barcelo & Co. respect to tradition takes us beyond established norms.
We appreciate in its full value the importance of our tasters and their ability to define and distinguish the nobility of aged rums through the analysis of their senses. The human element is regarded as being of extreme importance, and thus, the taster has the final word before a production series is Okayed.



In conclusion, Barcelo rum is one of exceptional and unique quality because:

· It's the fruit of Caribbean sugar cane alcohol

· Its lightness is the result of a dedicate distillation process that makes it more easily digestible to the consumer.

· It's naturally aged in American oak barrels (first used by Bourbon) for a much longer period that that required

· Barcelo, thanks to its experience since 1930, gives its product a final touch that makes it unique.
BAINSA. POSITIONING

The drink of rum has become a worldwide fashion in our days as seen in the great boom of these last years' demand.

Barcelo & Co., aware of this reality, has created Barcelo International, S. A. (BAINSA) targeting markets abroad and thus export Barcelo rum to countries all over the world. BAINSA's headquarters are located in Santo Domingo city, Dominican Republic, from where run its operations.

BAINSA offers a wide range of products that provide for the various segments of the market. (See documentation attached).

BAINSA, besides the quality of the products referred to above, offers sales and marketing advice based on its experience for the promotion of the trademark in every country.

The whole positioning process of Barcelo rum is based on what we call the TYPHOON concept, which stands for:

T Trendy. In agreement with the world's fashion of Latin American products within music and movie fields.

Y Young. The consumer of Barcelo Rum is young, dynamic and trendsetter.

P Passion. Barcelo is both passionate, passion ting product.

H High Quality. All the categories of Barcelo Rum have a high quality standard compared to other rums in his segment.

O Origin Dominican. For the consumer, the authentic quality Rum, comes from the Caribbean.

O On-trade. The Barcelo Rum image development starts though various channels of hotel services.

N Necessity. Ron Barcelo is developed to satisfy an authentic necessity in the market.

The TYPHOON positioning process places Barcelo rum within a premium segment-price of rums. It must be distributed mainly in discothèques, pubs and clubs of high-class image. Promotions must focus primarily on the consumer, using articles and ideas previously provided or approved by BAINSA.

This concept has been successfully developed in various markets, for instance, Spain, where, within the last five years, the company has placed over 90,000 boxes.

THE CONSUMER OF BARCELO RUM

For us, doing research among our consumers is essential to spot their needs and thus know how they like our products and publicity.

Creativity in advertising campaigns of Barcelo Rum are subject to a through testing process before the product is launched, seeking to ensure the achievement of desire communication objectives and is indeed ready to face competition. No campaign of Barcelo Rum is Okayed before these outdo our competitors'.

As a result of this research, we can boast about having received the following answers from our consumers:

What does Barcelo Rum offer?



Barcelo Rum offers something real attractive, of high class, something to be enjoyed with sensuality and warmth, as well as a little bit of morbo for that which is forbidden.

How is Barcelo Rum defined?



Barcelo Rum is defined as the best rum of the Caribbean, select, of high quality, stylish, for people who are different and define tendencies.

How does the person who drinks Barcelo rum feel?



Barcelo Rum makes people feel good, part of a distinguished class, passionate, different and sensual. In brief, it makes them feel comfortable.

How is the person who drinks Barcelo rum defined?

Drinking Barcelo Rum, I see myself as a person with taste, with money, decided, demanding, ambitious and sensual, someone who pays attention to details and likes to enjoy the good things of life.

We continue, and always will, doing research aiming to give our consumers much more than what we're presently giving them, a product of top quality that makes them feel truly special.

LOGOTYPE AND INDICATIONS

Respect for identity and the colors of the logotype are very critical in order to built the image of Barcelo as Caribbean rum of top quality.

There are two kinds of logotype.

Label

This logotype has two parts:

· The trademark Barcelo Rum, color=25% cyan, 100% magenta, 80% yellow.

· Anagram of the shield.

Used Indications

This logotype is used preferably in very formal documents, for instance, those presented to the press, invoices, letters, etc.

Whenever space allows for it, or simply when the characteristics of the document are fitting, then the whole label can be printed out.

Palm Tree

This logotype has three parts:

· The trademark Barcelo Rum (pantone brown 174c.)

· The anagram of the palm tree (pantone brown 174c) and the sun (process yellow)

· The slogan 'Authentic Dominican Flavor'

Use Indications

This logotype is used for promotion materials, preferably on the orange-colored background, pantone 145c.

Due to space limitations, in some promotional articles the logotype can not be placed wholly, for which reason, we opt to leave out the slogan and in some other cases, only the trademark is placed. In this case the brand can be in pantone brown color 174c, or in the red color of the pantone 187c label.

When the promotional article is very narrow, for instance: pens, lighters, etc, t

He logotype Barcelo Rum can be placed on one single line.

THE ADVERTISING

Advertising is an essential element of the Barcelo's communication strategies.

Barcelo's TV campaigns in the Dominican Republic have always been the most memorable of any other advertising campaigns due to its joy, music and emotional impact.

The advertising for Barcelo Rums should always express its quality and the product's Dominican origin. Surrounded by a youthful, charm and contagious environment. It must be the kind of advertising that provokes an unbearable desire of tasting it.

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© World INvestment NEws, 2002.
This is the electronic edition of the special country report on Dominican Republic published in Forbes Global .
April 15th, 2002 Issue.
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