Fruit and Vegetable Retailing in Australia Industry Market Research Report Now Updated by IBISWorld
Melbourne, Australia (PRWEB) February 23, 2014 -- Operators in the Fruit and Vegetable Retailing industry have weathered difficult trading conditions over the five years through 2013-14, with revenue expected to post annualised growth of 0.8%. Despite growth in fruit and vegetable consumption expenditure, revenue has been constrained due to unseasonal weather patterns. Events such as the prolonged drought, floods and cyclones have caused considerable fluctuations in the supply and price of fruit and vegetables during this period. According to IBISWorld industry analyst Claudia Burgio-Ficca, “retail demand has also been affected by fluctuations in real household disposable incomes and volatility in consumer sentiment following the onset of the global financial crisis.” Industry revenue is expected to rise by 1.6% to $13.4 billion in 2013-14.
Industry retailers have faced a difficult operating landscape over the past five years. Rising industry competition and price discounting by supermarkets have eroded revenue from an already fickle industry. As a result, sales and market shares for smaller specialty retailers have declined, as larger supermarkets have expanded their product lines to incorporate more exotic fruit and vegetables. “While growth in disposable incomes has boosted the spending power of consumers, demand for fruit and vegetables has been affected by fluctuations in consumer sentiment,” says Burgio-Ficca. The industry is characterised by a medium level of concentration. Major players Woolworths Ltd and Wesfarmers Limited each wield a considerable amount of market share.
Demand and supply trends will remain vulnerable to seasonal weather patterns and industry operators are expected to source produce from different suppliers in a bid to meet constant consumer demand for quality and affordable goods. Heightened competition from supermarkets and other grocery stores seeking a larger share of the market is likely to squeeze smaller players out of the Fruit and Vegetable Retailing industry. However, rising social awareness about the importance of incorporating the recommended number of fruit and vegetable serves as part of a healthy diet is likely to drive demand and consumption over the next five years.
For more information, visit IBISWorld’s Fruit and Vegetable Retailing report in Australia industry page.
Follow IBISWorld on Twitter: http://twitter.com/#!/ibisworldau
IBISWorld industry Report Key Topics
Operators specialise in retailing a broad range of fruit and vegetable produce. Products are purchased from domestic growers or wholesale markets and then sold by operators to consumers. Retailers may also sell goods to other businesses such as cafes and restaurants. Products may be sold through bricks-and-mortar stores or websites. However, operators that trade purely online are excluded from the industry.
Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
International Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Industry Globalisation
Major Companies
Operating Conditions
Capital Intensity
Technology & Systems
Revenue Volatility
Regulation & Policy
Industry Assistance
Key Statistics
Industry Data
Annual Change
Key Ratios
About IBISWorld Inc.
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.
Gavin Smith, IBISWorld, http://www.ibisworld.com.au, +61 396553833, [email protected]
Share this article