Industry Analysis & Industry Trends
The Sausage Production industry has seen better times. Growing awareness of health and nutrition has led consumer choices away from high-fat foods, such as sausages and related smallgoods. Producers have also been plagued with falling profitability, volatile commodity inputs and anaemic consumer sentiment. Offsetting these factors has been a growing appetite for high end and specialised products. This trend of premiumisation has resulted in an increased demand for high-margin gourmet and specialty sausages such as chorizo, bratwurst and sopressa. Producers have also responded to industry threats by being innovative with their product development. Growing areas include low-fat products with convenience packaging and varied consumption options... purchase to read more
Industry Report - Industry Key Buyers Chapter
The industry has a high level of market share concentration and this has increased over the past five years. In 2012-13, the top two industry players are forecast to account for 82.3% of industry revenue. Considerable economies of scale exist, especially in the production of fresh sausages. Operators have been rewarded for minimising their cost structures through acquisition and by centralising production. The industry's two largest companies have both acquired medium-size businesses in the past five years, leading to more scale. Both have grown as a result, increasing the industry's level of market share concentration.
At a regional level and within speciality markets there is also a high level of market share concentration... purchase to read more