Xclusiverse: going beyond the traditional ways of doing business

By Anda Sebesi

With over 20 years of experience in entrepreneurship, business, and marketing, Florina Onetiu is also the creator and leader of a unique and innovative product, a business of the future, based in the United Arab Emirates: Xclusiverse. With the goal of becoming the world's largest metaverse for premium products and services, the Xclusiverse platform provides users across the globe with a complete virtual business experience.

What is the Xclusiverse platform, when did you launch it, and what was the reason behind this innovative initiative?

Xclusiverse is a game changer, the first step into the future or, better said, the present future. That’s mainly because it offers a complete virtual business experience for users, addressing global markets, in a reality that is becoming a part of our daily and digitalized life. Xclusiverse is a complex product with multiple uses and varied domains; it is the only metaverse that connects entrepreneurs and helps them take their business to the next level. We are aiming to become the world’s leading cross-platform with our 5X™ process: Xtended Reality platform, Xtraordinary people, Xclusive physical and virtual products, Xquisite experiences, and Xciting interactions.

The idea of creating these business connections in a new world, which is different from anything I knew before, was born in my mind 12 years ago—back when Second Life was gaining popularity. At that time, of course, I didn't know anything about the concept of the metaverse. But the idea stuck with me in the years that followed and I knew that someday I would start a business that would enhance the world of business through virtual interactions. Cristian, my business partner also had a dream of developing a business in which real estate properties could be fractionalised and sold to investors this way. Our ideas brought us together again as business partners.

We therefore decided to build a holding of companies with several focus areas: an investment fund for real estate, a software company that could fractionalise assets, and a virtual reality platform to bring these assets and other luxury products and services together, in an immersive experience through a new version of shopping in the Web3 space. Before the pandemic, in 2019, our idea had been to start this revolutionary business, with a major technology component, in the US. We had prepared for that, but when the pandemic came along we couldn’t implement our plan and we had to "reconfigure" our route. After moving to Germany, we went to Dubai on holiday and we ended up staying for a few months due to the lockdown in Germany. Arriving there, we realised that Dubai was a very important technology hub for the new technologies we wanted to build. We discovered a place that was very open to the new business environment, with an amazing rate of implementation of new technologies, starting from the development of blockchain businesses to the introduction of all operations into the metaverse, and not just at the business level, but at the government level as well. That's why we chose to create this business product here while targeting the entire world.

In the beginning of 2021 we started working and developing the business, and in March 2022 we launched the Alpha version of the Xclusiverse platform, which is under continuous development, with new features being added constantly.

Who developed the platform and how large is the project team?

Our team has grown significantly within a very short time. By the end of this year, we expect to have an even larger team, probably reaching 60 employees and collaborators. More than 60 percent of them are Romanians, which makes me very proud, as do our colleagues’ professionalism, knowledge, and expertise. If we were to strictly refer to the development of the platform, we’d be talking about a mixed team, consisting of an internal team located in Dubai and an external team located in Romania. Currently, there are 28 people working on the platform in these two areas. For the design and architecture components of the platform, we also have a team in Sweden, with about 7 people, so in total there are about 35 people (Dubai, Romania, Sweden), and that number is going to grow in the near future.

As for the NFTs, the artwork is being developed together with a very talented team of Romanian designers who live in Barcelona, Spain. The development work for the NFTs is carried out internally, by our programmers.

How much have you invested in the development of the platform so far? Is the development process going to continue?

The first part of the development and implementation process took more than a year. And yes, the platform is in continuous growth, with new features, products, departments. To date, the investment has reached a total of USD 1.4 million.

Who are the main users of the platform?

Xclusiverse primarily targets companies that offer premium & luxury products and services to their clients, those that want to scale their business using an innovative tool that will bring traction in front of a demanding audience, and are early adopters of technology, channels, and new methods of marketing and promotion. We are talking about industries like luxury real estate & development, fashion, beauty, hospitality, concierge services, architecture, and art.

The end users of the platform will be high income individuals who want to explore new ways of interacting, shopping, and having fun.

What is your business model and what are its core elements?

The Xclusiverse World was built using advanced research and design techniques from the entertainment and gaming worlds. By creating shared languages embedded within collective wisdom, ideas can be passed across time and space. Humanity's evolution and progression has been shaped by stories, which have spanned generations and societies. Through the transmission of cultural memory, storytelling evolved to help us make sense of the world. A shared language is a means of passing down collective knowledge.

The Xclusiverse ecosystem will begin with 5 districts: Downtown, Business, Luxury, Art, and Experience (which includes Entertainment, Learning, Education, and Events). All districts have been created with the world's most important industries in mind and with the aim of providing an immersive environment for users. The first three districts were launched in preview mode in December and will be fully available at the beginning of next year. In March 2023 we will launch the Experience district, with a focus on Entertainment, and in the following months we will launch other conferences and events dedicated to the business district. The Art district will be the final one, to be released in August.

The business model is based on both business customers (B2B) and individual customers (B2C). Through the way it has been conceived, designed, and implemented, this metaverse—which is an extended virtual reality—serves the world globally and has the power to offer people and businesses from the most important industries an extraordinary level of online interaction and connection, as well as a perfect environment for doing business at the highest level.

As for the key elements of this metavere business model, they are also based on statistics and extensive research. For example, 30 percent of businesses are expected to have offices in the metaverse by 2026 and in the next 5 years more than 25 percent of people will be present and active in the metaverse, according to a study by KPMG. Currently, according to Statista, there are 50,000 B2C users in the metaverse, and the number is expected to grow to 2 billion by 2026.

What are the benefits for individuals or companies who decide to make their entrance into the metaverse through Xclusiverse?

For B2B clients, the main benefit is that they can find new revenue streams, grow their business, and position themselves as innovative brands. In the Business district, for example, companies will have virtual offices which will be tailored to their core needs. Here they can attract and meet new customers from all over the world, because there are no space and time limitations, so they can become truly global companies. In other words, they can scale up their business very easily. Having an office in a virtual world will be a step up from the website they had before. In the platform, the possibilities for interaction become endless, as people can actually come in to see you and what you are doing. This will become one of the most effective ways to promote and grow a business.

On the other hand, the Xclusiverse metaverse gives businesses the opportunity to develop their product portfolios and target market segments that they would not normally be able to reach

using traditional means of exposure and promotion. In the Luxury District, people will not only have amazing fashion, jewellery, and beauty experiences, but they could also enjoy exquisite services and products from industries like cars, yachts, private planes or hotels. In this area, for example, the user can customise their avatar by purchasing different outfits and accessories. They can also try out products for both the virtual world and the physical world.

The Experience (Entertainment) District is a suitable environment for event organisers, regardless of the number of participants and whether we are talking about local or international events. Everyone can have an experience that is somehow doubled by a kind of "digital twin" at these events. So, besides the fact that more people can have the opportunity to attend your event, even if they can't physically be there, they can also enjoy other kinds of products here that they wouldn't have access to in the real world—including a different kind of interaction. This world has no limits and you can essentially do anything you want to enhance your experience. You can connect with people you may not normally get a chance to talk to, you can meet up with your friends from other corners of the world at a virtual concert, and you can even fly, because the Entertainment District comes with superpowers.

Another benefit for all Xclusiverse users is that they can interact without being restricted by space and meet business leaders, celebrities or high-profile people, whom they would normally have little chance to meet in real life due to distance, time or money, in the dedicated "MEET & GREET" area. Here, people will have the chance to interact with global stars, celebrities, and thought leaders in a non-limiting virtual environment where they can shake hands or even have a brief conversation.

Are Romanian investors ready to develop their businesses in the metaverse? Are global players better paid for this type of venture?

Xclusiverse’s initial strategy was to only target B2B customers. They should be prepared to expand into the metaverse now, because if we were to look a bit more closely at what happened 10-15 years ago, at the Web 2.0 level, we’d see that many companies missed the opportunity to open online shops or develop their apps, and I am convinced that they’ve come to regret that in recent years. But now they have a chance to regain the ground they’ve lost. Many luxury brands went through the same thing. They were very reluctant when online shops first appeared and only a few wanted to go in that direction. And when the pandemic came, it hit them pretty hard. That's why now, in the Web3 space, luxury brands are the more enthusiastic ones. As for Romania, I already know for sure that there are companies—in technology, architecture, hospitality or logistics—who want to be ahead of the times.

For the moment, it is clear that the metaverse is still not for everyone. It’s for those who are inspired enough to see that in the next two-three years, many of their B2C customers will become active in the metaverse. To conclude, I very much believe that some Romanian companies are ready for the metaverse, especially since Romanians generally have a keen interest in technology and digitalization. At the same time, as far as our B2C customers are concerned, they will come along with the market growth. We are ready to offer them great experiences in the metaverse. But as more influencers and thought leaders will begin talking about it, their followers will start exploring the new medium as well. Just like what happened with social media, e-commerce, and everything else.

How large of an investment should a company that’s interested in entering the metaverse be ready to make?

It all depends on what each company wants to achieve. Our rental services for standard spaces, for example, start from USD 4,000/year for a virtual office, going up to USD 14,000/month for showrooms in the retail area. Of course, companies can choose spaces that are customised to their needs, and we have the capabilities to offer the best solutions.

What are your short-term goals for Xclusiverse?

On the technology side of the business, 2023 and 2024 should bring the completion and launch of the final product, with all five of its main districts—Downtown, Business, Luxury, Art, Experience. We aim to attract customers for each of the B2B districts and to exponentially increase the number of B2C customers every month. We aim to achieve this through various brand activations. In terms of business growth, another goal would be to attract investors to support and further develop the product. As a financial goal, for 2023 we are estimating that revenue will increase to USD 4.5 million. How important is the role of the luxury industry in the platform’s development on other markets? Which markets are you targeting for your expansion?

As I mentioned earlier, we pay special attention to the district that will feature premium and luxury brands. The companies in the Luxury district of Xclusiverse will have a different product category. While these brands have so far been selling physical products online, now they can also create digital products that they can sell in Web 2.0 or Web 3.0, in the metaverse. And on top of that, they can also build their NFT collections, which is basically art. Users and customers of these companies in Xclusiverse will enjoy an innovative experience and interaction with the products. In the B2C area, in collaboration with renowned designers and in association with international fashion magazines, we are preparing a collection of Xclusiverse-branded outfits for avatars in our metaverse. We look

forward to making this exclusive collection available to our users through our partnership with Ready Player Me, after they’ve been created and validated by top specialists in the field.

From a Shopping 3.0 perspective, we are very excited about what we have created as a team. In addition to a variety of physical and virtual products, users will get the chance to try on and test their favourite products: clothes, shoes, cosmetics, but also cars, planes, yachts, gadgets—all in a new, novel, revolutionary way. Especially with the Luxury and Business divisions, we are planning an expansion to the US, Middle East, and Western Europe.

How does Xclusiverse integrate the real world with the virtual one to provide tangible benefits to both the B2B and B2C segments?

XCLUSIVERSE is the only metaverse that connects real-world vendors, specialists, real estate agents, educators or business people to help all of them take their businesses to the next level. The platform consists of 3 components: the metaverse, the new digital world with a zone of intense interaction in the virtual environment; e-commerce, a space where brands can rent showrooms, commercial spaces where they can sell their products either digitally as NFTs or for real; and crypto investment, where utility and security tokens will be issued and allow users to make investments and trade assets on exchange platforms. Those who enter the Xclusiverse world will be able to buy virtual products as individuals.

They can even purchase security tokens, which can represent fractions of real properties in Dubai or other metropolises, to own and trade. Companies can rent virtual offices where business people can meet clients from all over the world and showcase products and services from all segments through a complex and interactive virtual journey. Unlike current platforms for business meetings or courses, Xclusiverse offers a much more engaging and real experience where you don't feel the barrier of a screen, but share the same reality.

What can you tell us about the launch event for Xclusiverse’s first three districts and NFT collection, which took place in Dubai on December 5?

Xclusiverse closed the year with a super event that united the real world and the virtual world, officially opening the doors of the Xclusiverse Metaverse to all innovation and technology enthusiasts.

We met physically on December 5 in an exclusive location in Dubai, but the event was also streamed live in the metaverse. During this private event, we showed our guests a preview of the first 3 districts of Xclusiverse: Downtown, where users can interact freely; Business, for companies who want customised virtual offices; and Luxury, for brands that will be able to showcase their products in virtual showrooms and users who will enjoy amazing shopping experiences. This preview was based on interactions, allowing people to discover some of the showrooms and shops that will be made available next year. We also launched our first NFT collection about the first part of the Xclusiverse story, told in a meaningful and artful way. The whole collection is about rebirth and reinventing worlds, aiming for an evolution of ourselves as a species. This first Xclusiverse event was dedicated to people who have chosen to contribute to this dream and become investors and business partners. This initial share of the collection celebrating the first citizens to arrive to the Xclusiverse will be named The Settlers. 2,000 NFTs with unique traits and perks will form the first part of collection, divided into 4 main sub-categories: The Main, The First, The Chosen Ones, and The Ambassadors. The special subcollection is endorsed by 4 International Key Opinion Leaders from various industries for each Xclusiverse district: Downtown – Carlos Calva, Business – Dr. Jonas Ridderstrale, Luxury – Diana Verde Nieto, Art & Experience – Ferdi Alici.

The physical event was streamed live in the metaverse and a live video with people from the metaverse (at the same time) was streamed in the physical event. People present in the metaverse used both platforms: the web and Oculus. On the web platform, it was the first time in the world that a physical event was streamed in the metaverse. We had almost 200 participants in the physical event and 1100 people on metaverse, during the entire event. 4 rare NFTs were auctioned and purchased in both worlds simultaneously, at an auction broadcasted live in the metaverse from the physical event and also in the real world, from the metaverse platform.

FDI in a turbulent year: from disinvestment to new greenfield ventures

At a lower level, 2022 also recorded several departures by companies in the field of mobility

Divestment is beginning to resurface in Romania as a potential trend in the field of foreign investments. For now, we are mainly talking about the local energy market, which is periodically affected by legislative changes. Still, other areas may also be prone to departures in the coming period.

Enel is the latest major player to announce its departure from the Romanian energy market. As one of the largest private investors in the industry, Enel has been operating in the electricity distribution and supply sector as well as in the production of electricity from renewable sources since 2005. In the spring of this year, Exxon Mobil announced that it would be selling its Romania branch to gas producer Romgaz for over one billion dollars. The transaction also includes Exxon’s participation in the Neptun Deep project. 2022 also saw the departure of some investors from the food industry. At the beginning of the year, industrial giant Tereos, the largest sugar producer in France and the second largest worldwide, decided to give up its business in Romania. The reason? Since it was first acquired by Tereos, the sugar factory in Ludus (Mures county) had collected significant losses and had been struggling, mainly due to the constant reduction of the areas for sugar beet cultivation, despite actions aimed at compensating for these losses. In response to this disinvestment, the government then reported that it had analysed several scenarios, including a series of measures aimed at saving, restructuring, and pursuing the competitiveness of the Ludus sugar factory. A solution could come from state aid for rescue or restructuring, but this type of project must first be approved by the European Commission.

At a lower level, 2022 also recorded several departures by companies in the field of mobility: ridesharing company Free Now halted its operations this year, while Just Eat Takeaway stopped its delivery operations in Romania.

NEW GREENFIELD INVESTMENTS IN THE CENTRE AND WEST OF ROMANIA

In 2021, Romania passed the EUR 100 billion threshold for its foreign direct investment balance, and 2022 brought new greenfield investments, which are the most economically significant due to their long-term effect. German company Diehl Controls, a manufacturer 2022 was marked by new growth in terms of foreign direct investment, despite the fact that the last 12 months have been unsteady. Greenfield investments in manufacturing have balanced out the increasing risk of disinvestment in critical areas such as energy and the food industry.

By Claudiu Vrinceanu

of components for household appliances, completed a greenfield investment that highlighted Romania’s strengths, especially since investors had looked at a long list of 20 target countries. The company is investing EUR 40 million in a research centre and production unit in Brasov. Bihor county also stood out in 2022 as it drew new investments: EUR 125 million from Stihl and EUR 650 million from Nokian, with both companies expected to invest more in the coming years. Also in manufacturing, Austrian company Syn Trac will build a new tractor factory in Arad county. Its investment of more than EUR 400 million will create around 600 jobs.

On the other hand, there are also tensions in the FDI ecosystem: German battery manufacturer Varta announced that it was facing a difficult economic situation amid which revenues have declined, so its strategic investment of EUR 1 billion in Romania is still on hold. However, additional investments by current players on the local market could balance out these delays. Stada and Hella have revealed new such plans, which will lead to a 20 percent growth in FDI for 2022 compared to 2021. The new ventures confirm Romania’s potential, ranked 4th at the European level in terms of investment intent for next year, after Portugal, the United Kingdom, and Lithuania, whether it’s for setting up new businesses or expanding existing operations, according to an EY survey.

Romanian scaleups that stood out in 2022 and the trends behind their success

2022 was a tough year for startups across Europe, which raised USD 85 billion in funding, a decline of USD 15 billion from 2021, according to State of European Tech. Let’s take a look at Romanian tech scaleups that have managed to raise more than 1 million in a new round. We’ll also highlight the trends behind the four selected case studies.

By Claudiu Vrinceanu

The video gaming industry has undergone a radical transformation

NESTOR

Y Combinator-backed startup Nestor, an HRtech platform changing the way businesses retain talent by building a language for skills at work, raised a USD 2 million seed round for further expansion. Founded in 2018 by Raluca and Bogdan Apostol, Nestor is headquartered in San Francisco and targets HR people in Fortune 500 companies across Europe, North America, and Latin America. The trend: Over the past few years, the transition to hybrid work environments, coupled with ongoing phenomena such as the Great Resignation and Quiet Quitting, have forced organisations to rethink their workforce development strategies. Workforce development is agile, business-focused, and democratised to give people more ownership, opportunity, and equity. Rigid job structures and the push for employee training from the top down, assuming that the organisation is the one who best knows what skills people need, clearly do not work in this new dynamic. This hurts employees, leaving them with the feeling that they have no say over the work they do.

SWISSPOD

Swisspod Technologies, a high-speed ground transportation system founded by entrepreneur Denis Tudor, has attracted an investment round of EUR 1.8 million. The new financing adds to a seed round that reached EUR 1.1 million, earlier in 2022. In addition, the startup also got a grant from the Swiss government, which was assigned for building a circular testing Hyperloop infrastructure and a propulsion system for high speeds on long distances. Recently, the Swiss government decided to extend the funding period to support R&D activities for the project in Switzerland until 2025. The trend: the migration to electric and energy-autonomous transport solutions. This new direction streamlines the output of new startups addressing issues such as carbon emissions, energy consumption, traffic, and capacity while aiming to transform fragmented logistics architectures into automated networks.

LICENSEWARE

Bucharest-born open app ecosystem business Licenseware has raised EUR 1 million from investors led by Early Game Ventures in what is being billed as a late seed stage raise. Backers include Fortech Investments, Acequia Capital, and Hellen's Rock, with further interest from ROCA X, Growceanu, Transylvania Angels Network, and Startup Wise Guys. Fortech and Early Game Ventures also previously backed Licenseware last December with EUR 500,000 in pre-seed funds. The trend: While companies are looking to reduce cloud costs, some cloud providers automatically provision more storage space than clients need, which can lead to unnecessary expenses. In this context, users are looking to access a range of third-party enterprise apps with competitive licensing fees underpinned by public development frameworks that reduce development times and costs.

MACHINATIONS.IO

Machinations.io, the Romanian web platform that allows game developers to optimise the mechanics and economics of premium, free2play, and play2earn games, stood out this year with Series A funding of USD 3.3 million. The funds are being invested in growing the team and launching new products and services to support the rapid advance in the number of users. The financing round was led by Hiro Capital¬—a European investment fund focused on the gaming segment—and also included follow-on investments from GapMinder, Acequia Capital, and Venrex Investment Management. Trend: The video gaming industry has undergone a radical transformation. The web3 gaming revolution is now in full swing, with developers harnessing the power of blockchain technology to create new concepts that redefine the gaming experience. This new trend highlights the great challenge of designing Sustainable Game Economies.

Building a better future through regenerative farming and biodiversity preservation

What are the key sustainability projects being developed by Nestlé in Romania?

Nestlé’s ambition in terms of sustainable development is to reach net zero emissions globally by 2050, through a transition to 100 percent renewable energy, the development of alternative packaging, innovation in recipes, and concrete involvement in activities that increase biodiversity and reduce the amount of carbon dioxide through tree planting, under the sustainability pillar called "Nestlé for a Waste-Free World."

Nestlé’s sustainable development strategy is based on several projects, including awareness campaigns. One of our biggest community-based educational projects is "The Blue Planet is Counting on You!", a project initiated by the PRAIS Foundation in partnership with Nestlé Romania. The programme targets teachers, primary school students, their families, and all those who want to contribute to protecting the environment, through simple daily gestures.

What can you tell us about Nescafé Plan 2030, an initiative that aims to make coffee farming more sustainable?

The Nescafé Plan 2030 is meant to help drive regenerative agriculture, reduce greenhouse gas emissions, and improve farmers’ lives. Nescafé will provide farmers with training, technical assistance, and high-yielding coffee plantlets to support their transition to regenerative coffee farming practices. The brand is investing over EUR 1 billion in the plan and this investment builds on the existing Nescafé Plan as the brand expands its sustainability work. Irina Siminenco, Corporate Affairs Manager at Nestlé Romania, sat down with Business Review to talk about the company’s commitment to sustainability both in Romania and at the international level.

By Anda Sebesi

Can you provide some details about the company’s policy on sustainable sourcing?

At Nestlé, our goal is to minimise our impact on the world’s resources, doing our best to make sure they remain available for coming generations. To that end, we are operating responsibly, creating a positive business environment, and empowering our employees to make sustainable business decisions. Our approach is centred on farmers, supporting solutions that are right for their regions and crops.

Our Sustainable Sourcing team makes sure that the raw materials, the packaging, and the services we source have been produced in accordance with our Responsible Sourcing Standard. Our initiatives aim to protect and promote human rights and animal welfare while protecting and restoring forests and natural ecosystems that are critical to the sourcing of our ingredients. We have 540 sourcing specialists and more than 4,500 support staff who are assisting in the transition towards regenerative agriculture.

What are the objectives of the Nestle Cocoa Plan?

lives, and better cocoa. The plan, along with our Rainforest Alliance certification, allows us to take steps to address social and environmental issues and create a sustainable cocoa supply chain. We are committed to sourcing 100 percent of our cocoa through this plan by 2025. We also aim to provide training and resources to help farmers improve their crops, increase their incomes, and improve their lives. We make lives better by tackling child labour, empowering women, and improving education to help communities thrive, as well as making better cocoa by enhancing supply chain traceability and tackling deforestation.

What can you tell us about Nestlé’s reforestation initiatives in Romania?

Globally, Nestlé is committed to planting 20 million trees a year, with Nestlé Romania being an essential part of this objective. In Romania, we planted 55,000 trees between 2019 and 2021 together with the Cozia National Park, and this year we’ve planted 20,000 acacia trees with the help of the Mai Mult Verde Association, as part of the Honey Forest initiative.

Carried out under the "Nestlé for a WasteFree World" sustainability pillar, Honey Forest brings together all our afforestation projects as well as our education and awareness campaigns in schools and for the wider public, which map and promote biodiversity in Romania. We strongly believe in the role bees play in the local ecosystem and we direct our efforts towards helping them and supporting local communities of beekeepers, while contributing to the restoration of degraded soils and areas.

Hervis launches new app and gives fresh look & feel to its stores

Catalin Pozdarie, general manager at Hervis Romania, tells Business Review about the company’s new approaches for the local market and how it intends to strengthen its leading position in Romania over the coming years.

By Anda Sebesi

When did you launch the Hervis App? What was the reason behind it and what are your main expectations for this app?

In a continuously changing retail environment, where every company is looking for ways to keep its customers as close as possible, the launch of the HERVIS App was a natural and necessary step for us. Nowadays, more than 60 percent of all online purchases are carried out through a mobile device, mainly phones. The app is a tool that allows us to improve the customer journey and further simplify the buying experience.

What are the key benefits for the users of this app?

First of all, our customer is always connected to HERVIS. They get information about our latest campaigns, store openings, new products releases, sports events, and so on. The customer can find all their account benefits in one place: for example, bonus points from previous purchases or bonus points they get on their birthday and other personal events. With this app, customers can more easily access the HERVIS online shop and use the points from their accounts for future purchases, all in a simple and intuitive user interface.

What can you tell us about the company’s development plans in Romania?

Economists are expecting the near future to be under the influence of a higher cost of money. That means that a lot of companies are going to postpone their investments from 2023 to 2024 or later. Hervis Romania, as part of SPAR Group Austria, is proud to announce that it will continue to invest on the local market even under these circumstances. We have several openings planned in new cities in 2023, as well as an increase of the number of stores in cities where we already have a presence. We are also working to expand our logistics capabilities on the local market. How does the Hervis brand position itself on the local market? Can you provide some details about your exclusive brands?

Hervis is known as a specialist sports retailer. This field has become increasingly crowded in recent years. New players have entered the market, while existing ones have rapidly grown in terms of number of stores. Even so, Hervis has managed to hold on to its leading role on the local market, with a strong online and offline presence.

Hervis exclusive brands will help us maintain and strengthen our position. We are continuously developing the range of products being offered under Hervis exclusive brands to provide quality and comfort at more affordable prices. As proof of the fact that we believe in our brands and as a way to test them under real life conditions, we have signed a partnership with Salvamont Romania. Hervis is providing the apparel and gear for the entire Romanian Salvamont team. We are proud and honoured to have this opportunity and the feedback has been very positive. We will soon launch a new product range that’s more focused on lifestyle and the casual athlete.

Hervis shops have a new look. Why did you decide to adopt this strategy and how do you expect it to impact your results?

Retailers that want to maintain their position on the market and develop new ways of interacting with customers are always looking to improve their appearance. HERVIS has introduced this new fitting concept at an international level, and it has been implemented in all the countries in which we are present. We are displaying the merchandise in a cleaner manner; the brands are more visible for the customer and the instore flow is easier to understand. This new mode of presentation ensures that the store keeps its modern and dynamic vibe.

Bosch to continue expanding its operations in Romania

How has Bosch’s business in Romania developed up to this point?

Romania is a strategic market for the Bosch Group, which invested approximately EUR 700 million here between 2005 and 2021. Last year alone we made investments that reached EUR 83 million, mainly in the development of our production units in Cluj and Blaj. In parallel, we recorded encouraging financial results, which allowed us to continue with the business development process. The successful outcome was made possible by the extraordinary engagement and resilience of our associates, as together we’ve managed to overcome many major challenges.

What are the main investments Bosch has made in Romania?

Bosch's investments in Romania are considerable and they underline the Group's commitment to this country. In 2021, we inaugurated a third production plant in Cluj, where we manufacture electrical control units. The Bosch Engineering Centre in Romania has started the construction of a new office building in Cluj-Napoca, which will be completed next year, following an investment of EUR 21 million. In addition, we’ve extended the Bosch Engineering Centre in Bucharest and we currently have more than 1,200 employees across all the sites of the engineering centre, out of a total of approximately 8,800 in Romania, all involved in state-of-the-art technology projects.

The Bosch Group is one of the biggest investors in Romania’s automotive industry, with both its manufacturing sites and engineering centre having seen steady development over the years. Business Review talked to Mihai Boldijar, the General Manager of Robert Bosch S.R.L. and the representative of the Bosch Group in Romania, Vice-president with regional responsibilities to get some insight into the company’s plans.

By Aurel Constantin

What measures have you taken to counterbalance the rise in prices for energy and raw materials?

The increased prices of raw materials and energy have affected the entire economy. We have implemented several energy efficiency projects within the Bosch units in Romania, including solutions for energy consumption monitoring, replacing old lighting with LED technology, using motion and brightness sensors, and installing solar panels. The annual average energy generated by this system is 8,252 MWh, enough to cover the needs of approximately 4,000 households. The savings are important and we are taking the first steps towards energy independence. The total investment in solar panels amounts to more than EUR 5 million, and the project in our plant in Cluj is among the biggest in the country considering the total power installed on the roof.

What are your plans for the near future?

We plan to continue our investment and development plans in 2023, as our commitment to Romania is very strong. At the moment, we have hundreds of open positions within our organisation and we want to expand our teams with professionals who adhere to the values of the Bosch Group. We also continue to support young people who are just starting out their careers with over 1,000 opportunities available for juniors, young graduates, and students. We will also continue our partnerships with the top universities in the country. Last but not least, there will be further development in our production units and engineering centre.

What are the top trends in the automotive industry and what is Bosch’s approach towards them?

There are several important development directions in the automotive industry, and I am happy to say that Bosch is one of the market leaders in terms of innovation. We are systematically adjusting our Mobility Solutions business segment to areas of future importance such as electromobility, automated driving, and future electronics architectures. At the Engineering Centre in Cluj, we are already working on a series of interesting projects, and in the future we intend to continue to grow in terms of the number of projects and our skills as well as take on more responsibility in several areas. For example, in Cluj we develop software for electric cars, such as control units for battery management or cloud-based services to increase battery life and performance. In addition, we continue to invest in AIoT solutions, which represent a combination of AI and IoT.