Industry Analysis & Industry Trends
The Condiments and Seasoning Manufacturing industry has emerged strongly from the economic downturn suffered during the past five years. The global economic collapse took its toll on the industry early in the period, although this was mitigated by a boost in the number of meals prepared and eaten at home. Many industry products are perceived as essential, meaning that profit margins never fell far. Revenue growth has been supported by product alterations and intense competition. Some brands operating in the industry have been in production since the 19th century, accruing enormous brand power through traditional consumption.
Recently, the threat from supermarket retailers has increased, bringing cheaper own-label condiments and seasoning... purchase to read more
Industry Report - Industry Investment Chapter
IBISWorld estimates that the industry has a moderate level of capital intensity. For every £1 invested in capital, approximately £4.36 is spent on labour. Although this is a manufacturing industry, capital intensity is mitigated by the large number of small and medium-size businesses that are unable or unwilling to invest in large-scale machinery. Equally, larger firms do not need to replace machinery often as it tends to be durable. As well as production line operation, labour is required for intensive research and development in order to produce innovative ideas for recipes in the larger companies. This skews the capital to labour ratio towards labour as wages commanded by food scientists tend to be higher... purchase to read more