Specialist
Former Group Director at 2 Sisters Food Group Ltd
Agenda
- UK grocery retail channel shifts – grocers, meal kit providers, online pure-players and F&B (food and beverage)
- Supply chain and labour cost headwinds and challenges
- Industry pricing and inflation outlook
- HFSS (high fat, sugar and salt) legislation – implications for UK food manufacturing
Questions
1.
What have been the key UK consumer trends since the beginning of 2020 and how have they played through to today? What does that mean for the wider consumer dynamics and the food industry?
2.
Would you say buying local is one of the notable trends which will last a long time? What about the sugar, vegan and health trends? Are those the key trends we should monitor?
3.
Do you think the move to online, especially among retailers, is a long-term trend that will continue to grow? How do you mix into that trend, given how much CAPEX these retailers have invested? Do you think they might have over-invested or do you think they’re investing ahead of the curve?
4.
The last-mile delivery is not currently profitable for retailers, but do you think the investments need time to play out, and the economies will be achieved?
5.
A lot of meal kit providers, dark kitchens and grocery delivery tech firms have popped up. It seems they are adding competition to a very consolidated market. Do you think this will add further demand to a limited supply of fresh food products?
6.
What do you think about the rise of the discounters? Do you think they might make a return? They are starting to take a bit of market share. Do you think this will put further pressure on the incumbent big four? Does that also affect how the supply works?
7.
Do you think price increases might not be necessarily as easy as they might have been in the past?
8.
What are your thoughts around cost inflation within the UK and the wider food industry? Where do you think it’s coming from? What are the key factors that could be leading to cost and supply pressure?
9.
You mentioned the labour shortages as a result of Brexit that could be heightened as the furlough scheme lifts. Are there any players in the value chain that might be worse off through the labour shortages vs others?
10.
Are there any other labour-related headwinds on the foodservice and food retail sides?
11.
How do you expect the raw material and soft commodity price increases and supply chain challenges to impact manufacturing? How might that flow through the value chain? Where might the big food category items be hit?
12.
Is Brexit still causing the complexities we spoke about earlier?
13.
What do you think of Kerry’s sale of its meat and meals business to Pilgrim’s Pride? What other acquisitions and deals do you think might arise?
14.
Kerry says it’s refocusing on taste and nutrition. Would you say this is the correct place for a business such as Kerry to focus, given the trends?
15.
What are your thoughts on the recent Morrisons bid from a PE firm? Do you expect more bids such as this to come through? What do you make of that whole situation?
16.
Could you elaborate on the HFSS [high fat, sugar and salt] legislation and what it means for the UK food market, especially the retailers?
17.
What level of inflation do you expect? Could it be between 5% and 10%? Which player within the value chain do you think would be able to pass on this inflation to the next player? Who do you think will have to absorb the most cost?
