Year 12 | 28 January 2020 | firstname.lastname@example.org
The Future of Foodservice in Denmark to 2016” provides a top-level overview and detailed market, channel and company-specific insights into the operating environment for foodservice companies. It is an essential tool for companies active across the Danish Foodservice value chain, and for new companies considering entering the market.
What is the current market landscape and what is changing?
Steady GDP growth, accompanied with lower inflation, has been a major driving factor in the growth of the Danish foodservice industry. GDP, at constant prices, grew by 1.1% in 2011, and the inflation level was below 2%, which is in the comfortable zone. The economy has also been showing signs of growth with industrial output increasing by 1.6% between 2011 and 2010, which is a good indicator for a developed country.
What are the key drivers behind recent market changes?
During the review period, changes in the lifestyle of the working population, high per-capita incomes, increasing awareness of nutritious food, and changing demographics supported growth in the foodservice market.
Key Market Issues
Steady GDP growth, lower inflation and increase in business confidence driving the foodservice sales
Growth in GDP and lower inflation were the primary reasons for the growth in foodservice sales in the country during the review period. Danish foodservice sales are expected to increase on account of the high urbanized population and changes in eating habits, which are expected to make Denmark a leader in the foodservice industry among the global developed economies.
Restaurants suffered due to rise in inflation
The sudden increase in inflation in 2008-2009 lead to the increase prices of raw materials and subsequently restaurant meals became more expensive, which had an adverse effect on restaurant sales.
Growth in unemployment negatively impact food services industry
The unemployment rate increased to 6.07% in 2009 and it became difficult to find and retain jobs. This affected consumer confidence in Denmark, which declined sharply in 2009, and this coupled with high unemployment rates decreased consumer spending and the number of transactions in restaurants decreased during this period.
Growth in travel and tourism spending to support foodservice sales
Tourism has received an impetus due to high disposable incomes, a better travel network and a spirit of optimistic economy prevailing in the country.
Increase in Internet penetration in the country has made foodservices more convenient for the consumers
As more people are able to access the internet, the foodservice sector in Denmark has gained directly from it. Consumers can now check and compare different restaurants and other foodservice outlets and choose a place that best suits their needs. Furthermore, they were able to reserve tables in restaurants and place their menu orders by using internet.
The increasing Ageing population leads to demand for healthy food
The distribution of the Denmark population has changed considerably in recent years. More than 59% of the population is above 40 years of age and prefer healthy meals. Of these age groups, the 60 and above age category is improving much faster than the whole group.
High amount of women workforce encourages foodservice industry in Denmark
An increase in the women workforce and single household has increased the demand for quick service restaurants and fast food chains.
Growth in demand for healthy food items due to increase in lifestyle related disorders
The number of people working for long hours has increased in recent years and this change in lifestyle has affected diet habits. The problem of obesity is mainly concentrated in the urban areas. However, consumers are beginning to be aware of adopting a healthier lifestyle and are choosing healthy food options. Denmark is taking utmost care to fight obesity and is trying to further reduce its obese population that currently stands at 10%.
Eating out-of-home becoming prevalent in the country
With changing lifestyle patterns and an improved economic prosperity in the country it is becoming common for people to eat out-of-home, driving the demand for the foodservice industry in the country. Both fast food and formal dining outlets have increased especially in urban areas with people living there significantly increasing their expenditure on meals purchased outside.
Increasing awareness of organic food
The demand for organic food is high with food that is low in fat and organic being preferred. The Denmark government has started encouraging organic on the production side by reimbursing organic farm costs and also on the supply side by ensuring 60% of meals in public kitchens are organic.
For further information please visit : http://www.reportreserve.com/Danish-Foodservice-The-Futur...
by S. C.
30 august 2012, World News > Europe