Specialty Food Magazine is the leading publication for retailers, manufacturers and foodservice professionals in the specialty food trade. It provides news, trends and business-building insights that help readers keep their businesses competitive.
Issue link: https://www.e-digitaleditions.com/i/654717
7A THE STATE OF THE SPECIALTY FOOD INDUSTRY THE SPECIALTY FOOD SUPPLY CHAIN: DISTRIBUTORS THE SPECIALTY FOOD SUPPLY CHAIN: BROKERS 2 0 1 5 - AT- A - G L A N C E Mean Annual Sales $7,220,000 Mean # of SKUs 2,061 Mean # of Stores Serviced 2,421 Largest sales channels: Natural supermarkets, conventional super- markets, mass merchandisers, and specialty food stores 2 0 1 5 - AT- A - G L A N C E Mean Annual Sales $3,350,000 Mean # of SKUs 2,804 Online Ordering Capability 36% I N T H E I R OW N WO R D S What plans have distributors implement- ed to address the new FSMA laws? "We are SQF certified so as of now we are up to date for FSMA as well. Importing restrictions and laws might cause signifi- cant changes in how business is done and understanding those challenges will be a huge focus this year." I N T H E I R OW N WO R D S What is the biggest threat to brokers' businesses? "Amazon and e-tailers." "An aging sales force." "The decline of center store in grocery stores." Sixty percent of distributors surveyed saw sales increases of greater than 10 percent. None experienced sales decreases but 40 percent said sales were flat. While more than half of brokers saw sales increases in 2015, 42 percent reported sales as either flat (21 percent) or down (21 percent). Much of this downturn is related to weakness in specialty food store sales reported by brokers in this survey. 2 0 1 5 C H A N N E L G R OW T H Fastest: Natural Supermarkets Slowest: Specialty Food Stores Most Important Natural or Ethical Claim to Consumers: TODAY: ORGANIC IN 3 YEARS: ORGANIC, ALL-NATURAL Most Important Natural or Ethical Claim to Consumers: TODAY: LOCAL IN 3 YEARS: NON-GMO T H E F U T U R E Seeking to Expand Specialty Food Oferings: 60% Seeking to Expand/Add Private- Label Products: 60% D O L L A R S A L E S C H A N G E I N T H E PA S T Y E A R 2015 % Up 30% or more 20 Up 20 – 29% 20 Up 10 – 19% 20 Up 1 – 9% 0 Unchanged 40 Down 1 – 9% 0 Down 10 – 19% 0 Down 20 – 29% 0 Down 30% or more 0 Source: Mintel/SPINS/IRI T H E F U T U R E Seeking to Expand Specialty Food Oferings: 64% Seeking to Expand/Add Private- Label Products: 36% 2 0 1 5 C H A N N E L G R OW T H Fastest: Natural Supermarkets Slowest: Specialty Food Stores D O L L A R S A L E S C H A N G E I N T H E PA S T Y E A R 2015 % Up 30% or more 0 Up 20 – 29% 0 Up 10 – 19% 36 Up 1 – 9% 21 Unchanged 21 Down 1 – 9% 14 Down 10 – 19% 7 Down 20 – 29% 0 Down 30% or more 0 Source: Mintel/SPINS/IRI LOCAL NON-GMO