Industry Analysis & Industry Trends
The Alcoholic Beverage Wholesaling industry faces challenging times. During the past decade, a number of trends in both downstream and upstream markets have hurt alcohol wholesalers, constraining revenue growth and eating into profit margins. Consolidation in the beer, wine and spirits production industries has strengthened the market power of wholesalers' suppliers and customers, resulting in wholesalers being bypassed in the off-trade supply chain. On-trade markets have also come under pressure, as falling patronage, declining beer consumption, rising operating costs, rising alcohol duties and the introduction of a ban on smoking have forced pubs to close... purchase to read more
Industry Report - Starting a New Business Chapter
Barriers to entry into the Alcoholic Beverage Wholesaling industry are low, with entrants only requiring links with upstream producers and downstream retailers and a decent distribution network. However, the fact that many wholesalers are in fact manufacturers themselves makes entry into the industry considerably more difficult. Firms seeking to enter the industry with any meaningful market share are therefore subject to the same barriers to entry as beverage producers: significant investment in production facilities; a large portfolio of brands; a well-established distribution network; a high advertising and marketing budget; and a relatively skilled workforce... purchase to read more