Technomic reveals continued marketplace consolidation for the distribution channel
Recently published data shows growing market share among leading broadline foodservice distributors
CHICAGO, Aug. 2, 2018 /PRNewswire/ -- The top 10 companies in the Power 50 ranking continued to grow market share in 2017, adding another percentage point of sales share and now accounting for 90.5% of the Power 50's total sales volume of $128 billion. While major players may still have interest in acquiring direct competitors, companies are also motivated to complete smaller acquisitions to create efficiencies. These findings and more can be found in Technomic's recently released Power 50 U.S. Broadline Distributor Report, now available for purchase.
The 2018 report can be purchased at https://www.technomic.com/available-studies/industry-reports/power-50.
"Consolidation has been a long-standing theme in foodservice distribution, and 2017 was no different," said David Henkes, Technomic senior principal. "We're seeing a lot of merger and acquisition activity happening as distributors try to strengthen their regional foothold or penetrate specialty categories, and we expect to see more in the near future."
Key themes from the report include:
- Annual sales growth for the Power 50 distributors registered at 2.9% in 2017
- As chain traffic declines, local chains and independents are picking up the slack and growing at the expense of their major chain counterparts
- Rising labor costs and a shrinking pool of available workers are issues challenging the distribution channel
- Leading-edge distributors—through their DSRs—are taking the lead in helping operators understand the various nuances of delivery
Technomic's 2018 Power 50 U.S. Broadline Distributor Report focuses on broadline distributors that function as a one-stop shop for foodservice customers. Sales figures are representative of total U.S. annual sales volume and are collected using a combination of public filing analysis, direct company surveying and Technomic's proprietary estimations, when necessary. Sales figures may also include any specialty distribution businesses operated by each company, such as Sysco's SYGMA and Performance Food Group's VISTAR divisions. Rankings are determined by total U.S. sales volume from the prior year.
To purchase or learn more about this and other industry reports from Technomic, please visit Technomic.com or contact one of the individuals listed below.
Contacts:
Press inquiries: Dave Henkes, (312) 506-3927, [email protected]
Purchasing details: Patrick Noone, (312) 506-3852, [email protected]
About Technomic
Technomic Inc., a Winsight company, delivers a 360-degree view of the food industry. It impacts growth and profitability for clients by providing consumer-grounded vision and channel-relevant strategic insights. Its services range from major research studies and management consulting solutions to online databases and simple fact-finding assignments. Its clients include food manufacturers and distributors, restaurants and retailers, other foodservice organizations, and various institutions aligned with the food industry. Visit Technomic at www.technomic.com.
About Winsight LLC
Winsight LLC is a recognized leader in business-to-business media and information services for the convenience-retailing, foodservice and grocery industries. Winsight has an extensive media portfolio, including five publications: CSP, Restaurant Business, FoodService Director, Convenience Store Products and Winsight Grocery Business. Winsight also offers a suite of digital products, including websites, e-newsletters, webinars, video products, mobile and tablet apps, and custom marketing solutions. In addition to more than 12 major EduNetworking conferences and advisory meetings, Winsight also produces seven exclusive, large-scale executive-level conferences: Restaurant Leadership Conference, Global Restaurant Leadership Conference, Outlook Leadership Conference, Convenience Retailing University, FSTEC, MenuDirections and Restaurant Directions. In 2015, Winsight acquired Technomic Inc., a provider of primary and secondary market information and advisory services for the food industry. For more information on Winsight and its brands, go to www.winsightmedia.com.
SOURCE Technomic Inc.
Related Links
WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?
Newsrooms &
Influencers
Digital Media
Outlets
Journalists
Opted In
Share this article