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Practical Insights (Blog)

Shrink reduction across the entire value chain

From farm to home: These are challenging times for traditional mid-tier grocers, who are fighting to maintain their margins in an ever-changing and increasingly competitive market. How can you maintain and improve EBITDA under these circumstances? The answer lies in the way you approach shrink.

Topics: Food and Beverage Total Value Optimization

4 Operational Areas UK Food and Drink Processing Companies Need to Focus On

Responding to Market Dynamics

These are trying times for the UK’s big four supermarkets, Tesco, Asda, Sainsbury’s and Morrisons. All have struggled with falling sales as shoppers’ habits change. Consumers are ditching the traditional big weekly shop in favour of several visits to smaller local shops and discounters.  Additionally, the seemingly unstoppable rise of insurgent German supermarkets, Aldi and LIdl, has cost the established names dearly. An increasingly ferocious price war means that grocery prices have fallen constantly since autumn of 2014, bringing prices down by 1.7% in just 12 months according to retail researchers Kantar Worldpanel.

Topics: Food and Beverage

Food Production Efficiency and Productivity Key to Long-Term Growth

What are the most significant challenges that food processors and manufacturers face now?

Steve Buchanan: It’s well known that margins in grocery stores and supermarkets are lower than in almost any other industry, so increases or decreases in production costs cannot be reflected in end-product price without the danger of losing shelf space, location, or even possibly an entire account. Production efficiency becomes more important than in nearly any other industry.

Topics: Food and Beverage