On 1^st January 2023 Croatia will join the eurozone. What does this mean for the Croatian economy and for the building industry in particular?

I believe that the introduction of the Euro will benefit Croatian citizens, Croatian economy, and Croatian society in general. Entering the Euro area results in the elimination of the currency risk and foreign exchange costs in trade with other European Union countries, which also encourages foreign direct investments. Expected decrease in interest rates will allow the availability of cheaper financing for domestic companies as well as increase the possibility of financing new projects through the capital market. We can expect an improvement in the Croatian credit rating, which will work as a positive stimulus to attract investments.

The improved business environment is expected to attract a larger number of foreign investors to enter the Croatian market, providing incentives for the construction industry and overall economy.

Improved financing conditions will encourage all domestic investors, led by the State, to get involved into new investments with more confidence. Additional momentum is expected for the infrastructure projects (as for both new constructions and renovations), which had a significant setback in 2022.

As for tourism, we expect investments in refurbishment projects of accommodation facilities to raise their quality and maintain or improve their standard levels. Projects related to energy efficiency improvement are also gaining strong momentum due to the possibility of subsidised investments offered by EU funds, resulting in an increase of projects related to the renovations of public, commercial and residential complexes and private houses, as well as to the construction of low-energy buildings. All this provides an answer to the question of what will happen in the years to come and presents us with challenges that I am sure we will be able to face.

Tourism is an important part of the Croatian economy and accounts for around 20% of GDP: is it also an important sector for Mapei? What projects is the company involved in?

Tourism is one of the main contributors to the Croatian GDP and a main source of economic activities, including those in the construction industry. For example, during the first seven months of 2022, Croatia registered 10.3 million tourist arrivals and recorded 54.3 million overnight stays. It is also an important field for Mapei Croatia as we have been always involved in the most important building and renovation projects ranging from small family rental houses and hotels up to special hotels such as the Heritage Hotel Life Palace in Šibenik and large tourist complexes such as Zaton Holiday Resort. We are proud to have gained business relationships and cooperation with Croatian market leaders in the tourism industry such as the Valamar, Maistra, Falkensteiner groups and international hotel chains such as Sheraton and Hilton.

Infrastructure is another crucial factor in growing the economy: Pelješki Bridge was recently opened and could solve transport problems in the Dubrovnik region. What does this sector mean for Mapei and what are the opportunities for boosting its involvement in major works?

Being the market leader in infrastructure projects is something we are proud of. The most important projects cannot be done without us, especially in the field of the concrete repair of viaducts and bridges. Although we only played a minor role in the Pelješki bridge project, we were involved in the building of the tunnel connecting with the Pelješki bridge as for supplying products for concrete protection and for the final coating of the tunnel surfaces.

We are also involved in the most important ongoing tunnel construction project in Croatia: the Učka tunnel (in Istria), where we are supplying waterproofing agents and admixtures for concrete.

For us, it is important to take part in large construction projects such as infrastructures, because they always have an extremely important role for the country. Several opportunities to increase our engagement in large-scale projects are provided, as I mentioned earlier, by tunnelling, water supply and sewerage projects, with the latter being a new niche in which we have many excellent solutions to offer the market.

In 2020, Croatia was hit by violent earthquakes. What stage have reconstruction operations reached and how is Mapei involved?

In fact, in 2020 two major earthquakes hit Croatia: the former (the strongest one in the previous 140 years) in March hit Zagreb, and the latter, stronger than the former, hit an area 60 km far from Zagreb including the cities of Petrinja and Glina, while affecting quite strongly Zagreb as well and causing further damages.

Both earthquakes strongly affected all citizens and this happened during the Covid-19 crisis. Mapei Croatia technicians were available at the locations hit by the earthquake from the first day, providing the necessary technical support. Mapei S.p.A.’s long experience in post-earthquake reconstruction, especially in Italy, helped us to create a strategy with specific solutions for professionals. Our know-how helped many civil engineers, designers, and construction companies to start the reconstruction process. Besides, we shared our knowhow and experience with the whole academic society, which was priceless for all those involved during those difficult times.

We took part in reconstruction projects from the very beginning, and today we are still being involved in the most important projects as for the renovation of important, landmark churches and public buildings, residential complexes, and private houses.

Which sections of the building industry does Mapei plan to focus on in order to continue growing?

Mapei Croatia will continue to focus on all segments of the building industry where it has already gained the position of market leader and built strong relationships with its partners, especially in the renovation projects.

We also see potential for growth in infrastructure projects. Additionally, we will focus more strongly on sectors where we haven’t been significantly present in the past, such as the segments of cementitious and resin floorings and solutions for the shipbuilding industry. Even if we are already present in these segments, we still have strong potential for improvement due to the complete range of products that Mapei can offer as for these sectors.

Mapei does not have a manufacturing plant in Croatia: which countries provide you with building materials?

Italy is, of course, our biggest supplier through our mother company, Mapei SpA. It is followed by Hungary, Germany, France, and Austria, but there are also some of our Croatian suppliers that supply the rest of the Mapei Group.

Marketing is increasingly strategic in the company's plans: what projects are you undertaking to boost the Mapei brand?

Strengthening our brand is one of the most important activities we engage in. In the last 20 years, we have built a strong brand that has helped us connecting with existing customers, reaching out new ones, and encouraging loyalty and recognition. Professionals, as well as "ordinary" people, know that they can always turn to us and receive the best possible support. We go on promoting our brand content on social media and on Mapei Svijet, the company magazine that we have been publishing 3 times/year since 2005, which is something that sets us apart from the competitors and makes us very recognizable on the Croatian market.

What are you doing to attract talented and qualified staff to the company?

We invest in relationships with educational institutions such as the Faculties of Civil Engineering and Architectures of several Croatian universities, but also with professional schools in order to present ourselves to future tile installers, for example. We also participate in students job fairs where we can find new talents who want to gain experience in their future profession. Our comprehensive onboarding process trains new employees and quickly integrates them into our team, providing them with opportunities to develop through a mentoring program and internal training sessions. We constantly work to provide the right environment for employees and meet their own needs while working towards our business goals. We are confident that a healthy company culture will allow us to retain our employees and create an attractive space for new talents.

MAPEI CROATIA

A well established relationship with the industry professionals

Mapei began operating in Croatia in 2002 distributing chemical products for the national building market. Mapei Croatia Ltd was first established in 2007 and then a logistics centre was opened in Kerestinec, near Zagreb, in 2009: events that really helped Mapei break onto the Croatian market and boost its sales.

Now the subsidiary, which only employed 2 members of staff in the beginning, has 42 employees and can claim to be the leading building chemistry company on the Croatian market.

A team of technicians and sales assistants work all over the country daily in direct contact with professionals of the construction industry. Mapei Croatia technicians regularly attend seminars, customer presentations and professional training courses. The company also enjoys an intense cooperation with Faculties of Civil Engineering and Architecture through lectures and practical trainings at the Universities of Zagreb, Rijeka, Osijek and Split. Training sessions also involve visits to building sites, including those in areas damaged by the earthquakes and making use of FRCM materials supplied by Mapei.

Thanks to the strong bonds between the subsidiary and the leading players in the industry, the support provided by the mother company, and the possibility of being able to count on technologically cutting-edge products, since 2022 Mapei Croatia has progressed from just supplying products for installing ceramics and natural stone to meeting all kinds of requirements for every type of building operations all over the country. And these solid foundations certainly augur well for future growth.

20 Years of success in every department

Last June, Mapei Croatia celebrated 20 years’ business in the local building industry. It wanted to dedicate a special day to this important milestone, first and foremost to thank its staff for their hard work that has been decisive in achieving so much success. So, each department team was given a mug in the shape of a cube (reminiscent of the Mapei "cubes") in turn made up of 20 smaller cubes symbolising the number of years Mapei Croatia has been operating. Each department was also given a special nickname in recognition of their day-to-day commitment: for example, the sales staff were jokingly called " the road heroes", the Finance and Controlling staff were nicknamed "the real problem solvers" and the customer service staff referred to as "nerves of steel". The General Manager, Jozo Grgić, received a special award for his contribution to Mapei Croatia’s growth from when it was originally founded to the present day, while Severin Čamdžić, maker of a very popular video about Mapei epoxy joints, was awarded the "Youtube star" prize.

During the whole 2022, Mapei Croatia is devoting plenty of activities to its employees to provide them with a better working experience.

Active in cycling and triathlon

Mapei Croatia is also very active in the realm of sports: last September, the subsidiary’s entire team took part in the B2Run cycling race, one of the most popular business cycling events in the country. The idea behind this initiative was to promote a healthier lifestyle among staff and boost the team spirit.

This year also saw the start of a sponsorship deal with Swibir Triathlon Club, a sports association that has enjoyed plenty of success in Croatia. The triathlon is, in itself, a very dynamic sport whose aim is not so much to defeat your opponent as to overcome your own limits by relying on your endurance, ability to adapt and determination. The similarity with Mapei's corporate values (dedication, teamwork, taking on new challenges) is the main reason why Mapei Croatia decided to begin this partnership which results in Giorgio Squinzi's motto "Never stop pedalling" being officially adopted by Swibir Triathlon club.