Industry Analysis & Industry Trends
Companies in the Meat and Meat Product Retailing industry specialise in the sale of fresh and cooked meat. Businesses typically purchase produce from UK farms or suppliers. Over the past decade the industry has been subject to intense competition from supermarkets. Large supermarkets have taken industry operators' revenue by offering similar products at cheaper prices. This competition has intensified over the five years through 2013-14 as negative economic conditions prompted consumers to cut down on purchases and expenditure. Consumers have been lured in by the wider range, cheaper prices and the overall convenience that supermarkets offer. The industry also faces rising purchase costs owing to increasing feed prices, which have pushed up the cost of meat and shrunk profit margins... purchase to read more
Industry Report - Industry Investment Chapter
IBISWorld determines the capital intensity of an industry by comparing capital costs, measured as depreciation, to wage costs. The Meat and Meat Product Retailing industry has a moderate level of capital intensity. Labour costs are incurred through the need to have skilled employees to handle and store meat in accordance to health and safety regulations. Skilled butchers are also required to have an understanding of the different types of meat and cuts and effectively answer any customer queries that may arise. Furthermore, some retailers prepare cooked meats on-site and experienced cooks are often required. Labour costs are estimated to account for 13.6% of industry revenue in 2013-14.
Nevertheless, industry operators require machinery in order to operate effectively... purchase to read more