2011 Foodservice Directory
Feedback From Industry
CEOs Interviewed
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Fiacra Nagle, Compass Ireland
Derek Caswell, Brakes Ireland
Pat McDonagh, Supermacs
Pat McCann, Dalata Group
Tadgh Geary, Pallas Foods
Challenges Facing Producers
“Achieving a balance between product quality and price”
“Customers (i.e. hotels, cafes, etc.) are trading down and
looking for a better value alternative”
“Downward price pressure”
“Increasing difficulties in securing credit”
“Increasing cost of food”
Price and Value
Challenges Facing Producers
“Need to invest in innovation”
“Ensure you have a value added
proposition to entice consumers”
“Helps grow the business and by association grow
the suppliers business”
Innovation
Top Consumer Trend Predictions
“Increased interest in Irish, local
and regional ingredients”
“Back to basics meals and
food ingredients”
“Value and high quality simple
authentic ingredients”
Local Foods/Artisan
Top Consumer Trend Predictions
“Affordable healthy
product offerings”
“Putting healthy options on
the menu in response to
consumer demand”
Health
“Healthy eating will be a
definite trend”
Top Consumer Trend Predictions
“Strong uptake of
bundled deals”
“Providing value in a positive experience”
“Increased instances of the value conscious, „Tinfoil and Tupperware‟ in
work place restaurants”
“Increase in discount mid-range eating”
“Trading down to lower prices”
Price
Advice for Producers
“Service needs to be efficient and effective. All paperwork should be
provided as requested, orders need to be fulfilled as specified every
time and the product needs to be consistent in quality”
“Cut costs and embrace lean manufacturing including increased
amounts of automation”
Advice for Producers
“External QA certification is essential – HACCP as a minimum for
smaller artisan suppliers, BRC or ISO as a requirement for larger
companies”
“Labelling and product specifications must comply with all FSAI and EU
legislation, barcodes are required for many retail foodservice operators”
“Ensure that innovation is taking place at all levels”
Advice for Producers
“Getting listed with a foodservice distributor is just the first step –
building brand awareness, PR, trade shows, sampling, training,
promotions, social media, point of sale materials will be required to
develop sales into the foodservice sector”
“Become more creative and innovative”
“Think of how your product proposition can add value to your targeted
customer‟s business”
Advice for Producers
“Ensure your business proposition can add value all along the supply
chain or you will not get support”
“Use distribution channels rather than attempting to undertake
distribution yourself”
“Don‟t forget the consumer! What‟s in it for them?”
Foodservice Sector Performance
For The Next 12 Months
“Commodity prices will continue to rise combined with increased
production costs and ongoing resistance by consumers to price
increases. This will result in further pressure on margins within the
sector”
“There will be some further rationalisation and underperforming/weaker
operators will disappear”
“Sales growth in certain channels will remain static”
Foodservice Sector Performance
For The Next 12 Months
“As workplace numbers fall and employers offer fewer subsidies,
workplace and contract catering will decline”
“Quick service restaurants will perform well by offering low cost eating
occasions”
“Major events during 2012 will help the hotel
sector improve its performance”
What Can You Do?
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Producers must ensure they are embracing lean
manufacturing principles
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Innovation will continue to attract attention and
investment
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Tight management of cash control and credit will
be essential for survival
What Can You Do?
o Developing a partnership model with key
customers will help get closer to the end
customer
o Implement a foodservice strategy for your
business
o Develop a strong menu of marketing material
targeted directly at the foodservice sector
What Can You Do?
o
Have a structured approach to dealing with
the foodservice sector
o
Get involved in industry trade organisations
o
Understand international foodservice trends
o
Develop and promote a strong foodservice
brand
What Can You Do?
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Study the 2001 Irish Foodservice Market Directory
Study the 2011 Irish Foodservice Channel Insights
Report
Consider 2012 Foodservice Supplier Development
Programmes
Thank You!