Competition in the FMCG sector has always been intense, but food manufacturers now also face an increasingly fragmented retail market, as well as an evolving set of social trends that have changed the landscape of the industry.
Setting the agenda for FMCG food and beverage companies are issues of:
- Health & Wellness Focus
- Omnichannel Campaigns
- Price Sensitivity
- Transparency & Sustainability
With enabling technologies like social media, mobile apps, and other digital technologies that pave the path to purchase, FMCG foods companies are feeling the glare of the consumer spotlight. The COVID-19 pandemic and the geo-political instability in eastern Europe has also strained the industry as supply chains struggle. While 2020 to 2022 were unusual years, revenue in the Food segment in Europe is projected to reach €43.31 billion in 2022 and the market is expected to grow annually by 5.47%.
The EU food and drink industry employs 4.5M people, with a turnover of €1.1 trillion and €222 billion in value added, making it one of the largest manufacturing industries in the EU.
Consumer spending on food and non-alcoholic beverages is is forecast to reach €2.3 trillion in 2025.
Per capita consumer spending on food and non-alcoholic beverages is forecast to reach €2771,52 per capita by 2025
Online Food Delivery Market is project to reach €67.3 Billion by 2027
- The French food & beverages output is forecast to grow by about 4% in 2022, after increasing 4.6% in 2021
The Italian food & beverages value added output rebounded 4% in 2021, and is set to grow further in 2022, supported by domestic consumption and recovering exports
The Dutch food & beverages value-added output is forecast to grow by 3% in 2022
Food & beverages is one of Poland’s strongest industries, and value added output is forecast to grow by more than 5% in 2022
UK food & beverages output is forecast to grow by more than 3% in 2022, after increasing 4.1% in 2021
In order to help you understand the key drivers of change and keep their engagement with consumers relevant, we’ve put together this brief guide to FMCG food industry trends.