Tough Market Conditions Expected in 2017
Foodservice Industry experts M&C Allegra have predicted â€œTougher Market in 2017 Expectedâ€ After several years of relative optimism, trading expectations for 2017 are somewhat downbeat for the coming year. There are a variety of reasons for this such as; political and economic uncertainty, linked with the rising inflation and the likely weaker consumer spending, combined with cost pressures and staff concerns, are all factors which is weakening business confidence at present.
On the flip side there are still many positives being reported for the industry â€“ e.g. the tremendous growth of digital platforms in terms of improving customer communications and also within healthier eating sector. While underlying volume growth will be extremely hard fought for, consensus view is that 2017 will still see 2% market growth which is extremely positive given all the recently political uncertainty. Specific sectors of the market especially those who are targeting the millennial consumers â€“ sub-sectors like fast causal, street food and coffee shops will continue to enjoy strong growth.