Gone to seed: Industry revenue droops as competition from supermarkets remains intense

Firms in the Fruit and Vegetable Retailers industry sell fresh and preserved fruits and vegetables in specialised stores. Rising levels of health consciousness have boosted consumption of fruit and vegetables over the past decade, with an increasing number of consumers attempting to incorporate more fruit and vegetables into their diets in order to meet their recommended five a day. However, supermarkets have accounted for the majority of fruit and vegetable sales, as they have been able to undercut the prices offered by specialised retailers. Over the five years through 2019-20, industry revenue is forecast to decrease at a compound annual rate of 2.4%, to reach £993.9 million. This includes a forecast decline of 0.6% in the current year...read more.

Industry Statistics & Market Size
Revenue
£993.9m
Annual Growth 15-20
-2.4%
Forecast Growth 20-25
Profit
Employment
12,920
Businesses
2,957
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Intense competition from supermarkets has caused revenue to fall over the past five years
  • Competition from supermarkets is expected to force some enterprises out of the industry
  • Specialist retailers can focus on creating a pleasant in-store experience
  • Industry Report - Starting a New Business Chapter

    New companies in the Fruit and Vegetable Retailers industry face low barriers to entry. While competition is high, this does not prevent new operators from entering the market. Prospective entrants into this industry can establish a customer base through the local market. However, they require funds to establish a shop and a steady supply of fruit and vegetable stock from farmers or wholesalers. Also, given the relatively short product life span and risk of food spoilage, shop owners need to have products delivered on a regular basis. These factors could be considered barriers to entry...purchase to read more.

    Additional Insights for the Fruit & Vegetable Retailers Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Fruit & Vegetable Retailers Industry are

  • Ability to attract local support/patronage
  • Having a good reputation
  • Attractive product presentation
  • IBISWorld analysts also discuss how external factors such as Demand from supermarkets and Health consciousness in the Fruit & Vegetable Retailers industry impact industry performance..

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    What's in this report

    What is the Fruit & Vegetable Retailers Industry?

    Firms in this industry specialise in the sale of fresh fruit and vegetables or prepared and preserved fruit and vegetables. Conventional supermarket chains that retail fruit and vegetables are not included in this industry.

    Industry Products
  • Berries
  • Citrus and stone fruits
  • Apples, pears and bananas
  • Other fruit
  • Leaf and stem vegetables and cabbages
  • Root and tuber vegetables
  • Other vegetables
  • Industry Activities
  • Fresh fruit retailing
  • Fresh vegetable retailing
  • Prepared and preserved fruit and vegetable retailing
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from supermarkets
  • Health consciousness
  • Real household disposable income
  • Consumer confidence index

  • Current Performance
  • Produce prices

    and supply

  • Increasing competition
  • An apple a day
  • Organic growth
  • Prepared and packaged
  • Chart: Revenue Growth

  • Industry Outlook
  • Supply-side problems
  • Supermarket competition
  • Local appeal
  • Market structure
  • Table: Fruit & Vegetable Retailers Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Fruit & Vegetable Retailers Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Fruit & Vegetable Wholesaling
  • Fruit Growing
  • Vegetable Growing

  • Products & Services
  • Other vegetables
  • Root and tuber vegetables
  • Leaf and stem vegetables and cabbages
  • Apples, pears and bananas
  • Berries
  • Other fruit
  • Citrus and stone fruits
  • Chart: Fruit & Vegetable Retailers Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Consumers aged between 30 and 49
  • Consumers aged between 50 and 64
  • Consumers aged 65 and over
  • Consumers aged between 19 and 29
  • Other non-household markets
  • Consumers aged between 11 and 18
  • Restaurants and other commercial end users
  • Consumers aged under 11
  • Chart: Major Market Segmentation for the Fruit & Vegetable Retailers Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    WagesPurchasesProfitDepreciationRentOther
  • Chart: Cost Structure Benchmarking – Sector vs Fruit & Vegetable Retailers

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Fruit & Vegetable Retailers Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Fruit & Vegetable Retailers Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Fruit & Vegetable Retailers Industry
    Includes:
  • Industry Revenue (2011-2025)
  • Industry Gross Product (2011-2025)
  • Establishments (2011-2025)
  • Businesses (2011-2025)
  • Employment (2011-2025)
  • Wages (2011-2025)
  • Wages (2011-2025)
  • Purchases (2011-2025)
  • Profit (2011-2025)
  • Depreciation (2011-2025)
  • Marketing (2011-2025)
  • Rent (2011-2025)
  • Utilities (2011-2025)
  • Other (2011-2025)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Box Scheme
  • A scheme where consumers receive boxes of assorted fruits and vegetables sourced directly from farmers.
  • Organic Food
  • Food produced using no artificial pesticides or fertilisers
  • Yield
  • The amount of an agricultural product produced.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Fruit & Vegetable Retailers market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Fruit & Vegetable Retailers:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Fruit & Vegetable Retailers market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Fruit & Vegetable Retailers, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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