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Grocery Wholesaling in the US: Market Research Report

Market Research • Market Size • Industry Statistics • Industry Analysis • Industry Trends

Grocery Wholesaling Market Research Report | NAICS 42441 | Apr 2016

Missing link: Wholesale bypass forces industry to consolidate and seek new markets

The Grocery Wholesaling market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

Report Snapshot
Industry Statistics & Market Size
Revenue
$202bn
Annual Growth 11-16
4.7%
Annual Growth 16-21
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Profit
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Employment
155,846
Businesses
5,116
Industry Analysis & Industry Trends

The hearty revenue growth for the Grocery Wholesaling industry in the five years to 2016 can be attributed to the high price increases in several key food categories. These higher commodity prices led to higher product prices in grocery stores, which helped generate more revenue for the industry. However, the industry's recent growth is expected to slow over the next five years. The world price of crude oil is expected to rise, significantly raising transport costs. Additionally, large grocery stores are seeking to cut costs by eliminating wholesalers, as purchasing food and nonfood items from wholesalers adds to the final cost of goods... purchase to read more

Industry Report - Industry Products Chapter

Two types of wholesalers provide services in this industry. Merchant wholesalers buy and resell goods from their own warehouse facilities, while manufacturers who sell goods at the wholesale level maintain manufacturers' sales branches and offices (MSBO). Merchant wholesalers account for the majority of industry sales, but this share is sharply decreasing because large MSBOs are gaining market share with their streamlining capabilities.

Fresh meat and produce

Fresh meat and meat products (including poultry and poultry products), account for the largest share of industry revenue. These products are often the most costly for consumers because they must go from meat processing plants to grocery store shelves very quickly to avoid expiration... purchase to read more

 


Industry ProductsRelated ReportsTable of Contents

What is the Grocery Wholesaling Industry?

Grocery wholesalers act as the middlemen between food producers and retailers. They do little to transform products and are intermediaries in merchandise distribution. Wholesalers sell and distribute all general-line grocery products, and industry establishments generally do not specialize. Distributed products usually include dry groceries, perishable food and nonfood products found in grocery stores.

Industry Products
Fresh meat and meat productsCanned foodFrozen foodDairy productsSpecialty foodFresh fruits and vegetablesPaper and plastic products
 
Industry Activities
Wholesaling general-line groceriesWholesaling dry groceriesWholesaling perishable food productsWholesaling nonfood products


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