Finland’s economy has continued to struggle in recent years despite emerging from recession in 2014. Numerous factors, including a reliance on the forestry industry and Russian trade has left Finland unable to register substantial economic growth. Unemployment in the country is equally stagnant; at 9.4% it remains below the Eurozone average but disappointing in comparison to other Nordic countries such as Sweden (7.4%) and Norway (3.7%).
Finland’s profit sector is relatively fragmented, with independent operators accounting for 61.5% of outlets across the total restaurant channel. Consumer trends towards localism are expected to reinforce this dominance in future years. Low population density creates further issues for chains, who are unable to draw on expert local knowledge and struggle to garner favorable profit margins outside of major cities.
Full service restaurants (FSR) represent Finland’s largest foodservice market, valued at EUR€2.3 Million in 2015. However recent growth of the channel has been weak, reflective of the country’s softer economic climate and the high EUR€22.39 average transaction price per visit.
Despite its international recognition as one of the largest coffee consuming countries in the world, Finland’s coffee and tea shop foodservice market in relatively small, accounting for just 8.8% of the total profit sector in 2015. Indeed, there are only 848 coffee and tea shop outlets in Finland, the equivalent to one for every 6,474 people. This is much higher than neighbouring countries’ Denmark (one for every 4,279) and Sweden (one for every 4,644).
Pubs, clubs and bars were the only foodservice channel to experience a negative CAGR in recent years, declining at a rate of 1.3%. Growing consumer trends towards healthier eating and drinking has exposed operator’s overreliance on alcohol, which accounts for 83.8% of revenue in the channel. Food, for comparison, makes up just 11.5%.
The report Finland - The Future of Foodservice to 2020, provides extensive insight and analysis of the Finnish Foodservice market over the next five years (2015-2020) and acts as a vital point of reference for operators or suppliers.
In particular, this report provides the following -
Overview of Finland's macro-economic landscape: Detailed analysis of current macro-economic factors and their impact on Finland’s foodservice market including GDP per capita, consumer price index, population growth and annual household income distribution.
Growth Dynamics: In-depth data and forecasts of key channels (QSR, FSR, Coffee & Tea Shops, Pubs, Clubs and Bars) within Finland's foodservice market, including the value of the market, number of transactions, number of outlets and average transaction price.
Customer Segmentation: identify the most important demographic groups, buying habits and motivations that drive out-of-home meal occasions among segments of the Finnish population.
Key Players: Overview of market leaders within the four major channels including business descriptions and number of outlets.
Case Studies: Learn from examples of recent successes and failures within the Finnish foodservice market.
A fragile economic climate, high unemployment rate and low consumer confidence have solidified a shift towards a price conscious market, with Finnish consumers seeking out discounts and promotions across all foodservice channels.
A trend towards “localism” amongst consumers has led operators to incorporate local ingredients and traditions in order to show a connection between their brands and Finnish culture.
Retail operators' continued use of coffee as a loss leader has limited value growth of the coffee and tea shop channel in a country renowned for high consumption.
Reasons to buy
Specific forecasts of the foodservice market over the next five years (2015-2020) will give readers the ability to make informed business decisions through identifying emerging/declining markets.
Consumer segmentation detailing the desires of known consumers among all major foodservice channels (QSR, FSR, Coffee & Tea shops, Pubs, Clubs and Bars) will allow readers understand the wants and needs of their target demographics.
Relevant case studies will allow readers to learn from and apply lessons discovered by emerging and major players within Finland's foodservice market.