Suite tech: Equipment sales will grow as restaurants resume expansion plans

Over the past five years, revenue for the Restaurant and Hotel Equipment Wholesaling industry rebounded from the negative effects of the recession, as downstream restaurants and hotels increased their expenditures on capital improvements in light of improving consumer demand. Steady employment and economic growth have increased disposable income levels, making consumers more willing to spend on nonessential leisure activities such as dining out and traveling. Increased sales in downstream industries have justified the need for capital improvements such as kitchen expansions and equipment upgrades in restaurants and hotels...purchase to read more.

Industry Statistics & Market Size
Annual Growth 12-17
Forecast Growth 17-22
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Improving economic conditions will encourage hotel and restaurant operators to resume expansion plans
  • The availability of credit is crucial to the industry
  • Improvements in the fast food and restaurant market will positively affect industry revenue
  • Industry Report - Starting a New Business Chapter

    As with most wholesale industries, the industry's potential new entrants require moderately high levels of capital investment in buildings and other structures to establish a warehouse and distribution system and survive alongside large and existing participants that have efficient systems in place. These factors can present barriers to entry. In addition to system efficiency, larger industry operators can exhibit market power by bundling products and services. Bundling arrangements usually feature a special pricing arrangement. Consolidating a wide variety of purchases with a single wholesaler results in better pricing, making it cheaper to buy the products and services in a package rather than separate-item purchases. The...purchase to read more.

    Additional Insights for the Restaurant & Hotel Equipment Wholesaling Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Restaurant & Hotel Equipment Wholesaling Industry are

  • Having links with suppliers
  • Having a loyal customer base
  • Having a good technical knowledge of the product
  • IBISWorld analysts also discuss how external factors such as Demand from food services and drinking places and Consumer spending in the Restaurant & Hotel Equipment Wholesaling industry impact industry performance..

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    What's in this report

    What is the Restaurant & Hotel Equipment Wholesaling Industry?

    Companies in this industry distribute, sell and repair commercial machines and equipment used in restaurants and hotels. These products include cooking equipment, dishwashing equipment, balances and scales, soda fountains and food-service fixtures and signs. This industry excludes the wholesaling of refrigeration equipment, which is included in the Refrigeration Equipment Wholesaling industry (IBISWorld report 42374).

    Industry Products
  • Restaurant and hotel equipment
  • Store machines and equipment
  • Service receipts and labor charges
  • Industry Activities
  • Balances and scales wholesaling
  • Commercial cooking equipment wholesaling
  • Commercial dishwashing equipment wholesaling
  • Commercial food-service equipment wholesaling
  • Commercial oven wholesaling
  • Commercial kitchen utensil wholesaling
  • Store equipment and fixture wholesaling
  • Vending machine wholesaling
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from food services and drinking places
  • Consumer spending
  • Value of private nonresidential construction
  • Domestic trips by US residents
  • Prime rate

  • Current Performance
  • Spending resumes after the recession
  • Availability of credit and other incentives
  • Rising profit, stagnating industry participation
  • Chart: Revenue Growth

  • Industry Outlook
  • Improving conditions
  • Utility costs and other factors
  • Industry structure and profitability
  • Table: Restaurant & Hotel Equipment Wholesaling Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Restaurant & Hotel Equipment Wholesaling Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Convenience Stores
  • Hotels & Motels
  • Chain Restaurants
  • Single Location Full-Service Restaurants
  • Food Service Contractors
  • Coffee & Snack Shops
  • Fast Food Restaurants

  • Key Selling Industries
  • Copier & Optical Machinery Manufacturing
  • Hand Tool & Cutlery Manufacturing
  • Office Furniture Manufacturing
  • Power Tools & Other General Purpose Machinery Manufacturing

  • Products & Services
  • Restaurant and hotel equipment
  • Store machines and equipment
  • Service receipts and labor charges
  • Chart: Restaurant & Hotel Equipment Wholesaling Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Restaurants, hotels and food services
  • Business users for end use
  • Other wholesalers for resale
  • Retailers for resale and repair shops for repair work
  • Other
  • Building contractors, heavy construction and governmental bodies
  • Chart: Major Market Segmentation for the Restaurant & Hotel Equipment Wholesaling Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Additional expenses
  • Chart: Cost Structure Benchmarking – Sector vs Restaurant & Hotel Equipment Wholesaling

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Restaurant & Hotel Equipment Wholesaling Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Restaurant & Hotel Equipment Wholesaling Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Restaurant & Hotel Equipment Wholesaling Industry
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Consumer Spending (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Full-Service Restaurant
  • A food establishment where customers receive table service and typically pay at the end of the meal.
  • Radio Frequency Identification (Rfid)
  • A technology that tracks products from the time they leave the assembly line to the time they leave the store by releasing continuous signals from a chip.
  • Wholesale Bypass
  • A popular trend within retail and manufacturing industries where producers supply goods directly to stores, eliminating the middleman.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Restaurant & Hotel Equipment Wholesaling provides up-to-date sales and market data, allowing you to identify the product and customer segments driving revenue growth. The report identifies the leading companies in the industry, and offers strategic analysis of the key factors influencing the market. Our data forecasts are accompanied by full analysis to illustrate how the market is responding to dominant and emerging trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Restaurant & Hotel Equipment Wholesaling:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Restaurant & Hotel Equipment Wholesaling market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Restaurant & Hotel Equipment Wholesaling, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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