Industry Analysis & Industry Trends
Volatile input prices, changing consumer trends and a saturated market are just some of the changes facing the Snack Food Manufacturing industry. While the industry has shown glimpses of promise in the five years through 2013-14, the industry has been plagued with rising commodity prices, turbulent economic conditions and increasingly health-conscious consumers that have ditched snacking in favour of healthier alternatives. Over the five years through 2013-14, industry revenue is expected to increase by an annualised 2.2% to total $3.0 billion. In 2013-14, revenue is expected to increase by only 0.5%... purchase to read more
Industry Report - Starting a New Business Chapter
The Snack Food Manufacturing industry exhibits medium levels of barriers to entry. The biggest threat facing potential new entrants is the extremely well established position of the industry's major players. Firms like Frito-Lay, Snack Food Limited and Nestle enjoy high brand and customer loyalty and have considerable resources to invest in advertising and promotions to protect and grow their market share. Further, the major players enjoy favourable contracts with key suppliers such as grocery stores and supermarkets that may be difficult for new entrants to secure.
Technology constraints within the industry however, are not as prohibitive. Access to equipment and technology is relatively easy, with most of it being able to be sourced from either Europe or the United States... purchase to read more