Grocery Wholesaling in the US
Growth in the Grocery Wholesaling industry has been inconsistent over the past five years as intense competition and rising production costs drive food manufacturers and supermarkets to bypass middlemen. In addition to rising external competition from wholesale bypass, weak economic conditions during the recession led consumers to purchase more low-margin food products, reducing profitability and forcing the exit of some companies from the industry. This, in turn, has resulted in a continued trend toward consolidation among grocery wholesalers. Growth will remain marginal in the coming five years as wholesalers seek new markets and opportunities to mitigate their diminishing role in the grocery supply chain.
Grocery wholesalers act as the middlemen between food producers and retailers. They do little to transform products and are intermediaries in merchandise distribution. Wholesalers sell and distribute all general-line grocery products, and industry establishments generally do not specialize. Distributed products usually include dry groceries, perishable food and nonfood products found in grocery stores.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.
C&S Wholesale Grocers Inc.
Wakefern Food Corporation
Performance Food Group