Industry Analysis & Industry Trends
Continued demand from grocery stores and the economic recovery will benefit frozen food wholesalers; however, growth will remain slow. In the coming years, the steadily improving US economy will likely have a positive impact on grocery and food service sales overall, as disposable incomes rise and consumers spend more on discretionary products and meals outside the home. However, as unemployment falls and disposable income levels creep back up, consumers will slowly begin to phase in more expensive discretionary purchases, such as fresh seafood and fine-dining restaurant meals, which will stifle demand for industry products... purchase to read more
Industry Report - Starting a New Business Chapter
Overall, the Frozen Food Wholesaling industry has medium barriers to entry. In most instances, existing players have signed supply contracts with large downstream retail chains and food service providers, guaranteeing wholesalers a market for their frozen products. However, several of the industry's major players also own retail supermarket chains, which creates some competition for smaller players and higher barriers for industry newcomers.
The most significant barrier to entry to the industry is the high level of capital investment necessary to open a firm in the industry... purchase to read more