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 SWOT Analysis Chapter
The Grocery Wholesaling industry is in the mature phase of its life cycle. Industry revenue has risen since 2011, as have wage costs, suggesting that industry companies are expecting to perform better with a more advanced workforce. As a result, industry value added, a measure of the industry's contribution to the economy, is expected to grow an annualized 2.1% in the 10 years to 2021. This growth is in line with anticipated annualized GDP growth of 2.2% during the same period.
Overall industry changes, such as increased mergers and greater integration between wholesale and retail operations, have weakened sales and increased competitive pressure for companies and their customers... purchase to read more