Industry Analysis & Industry Trends
The Delicatessens industry has struggled over the past five years. Poor consumer sentiment and spending during the years following the global financial crisis contributed to the industry's decline over the three years through 2009-10. Following this, strong competition from the major supermarkets added to the industry's pain. However, the rising premiumisation trend among some consumers has buoyed the industry over the past three years. Over the five years through 2014-15, industry revenue is projected to post annualised growth of 0.6%, to reach $908.3 million.
Supermarkets and grocery stores are the largest competitive threat to the industry. The price war that escalated in 2011 drew consumers away from specialised retailers and into supermarkets... purchase to read more
Industry Report - Industry Key Buyers Chapter
The Delicatessens industry is expected to exhibit a low level of market share concentration. The industry is characterised by a large number of highly diverse operators. The majority of delicatessens are independently owned and operated, targeting a relatively small geographic area such as their local neighbourhood. Consequently, it is highly difficult for any individual delicatessen to build the economies of scale required to expand nationally. This has made the industry highly susceptible to competition from other retailers, most notably the major supermarkets, Woolworths and Coles.
Over the past five years, the industry's market share concentration has remained low... purchase to read more