Soft Drink and Pre-Packaged Food Wholesaling in Australia - Market Research Report (2013-2028)
Melbourne, Australia
Last Updated: October 2023
ANZSIC F3609Revenue
$20.6bn
Past 5-Year Growth
Profit
$XXX.Xm
Employees
35,312
Businesses
5,671
Wages
$X.Xbn
Soft Drink and Pre-Packaged Food Wholesaling in Australia industry analysis
Soft drink and pre-packaged food wholesaling's fortunes are closely linked to trends in downstream food-service and retailing industries. Demand from food-service establishments has been volatile, with downstream demand growing strongly prior to the COVID-19 pandemic. Food-service establishments are vital to industry performance, as they tend to trust specialised wholesalers to provide high-quality and niche products. For example, coffee shops tend to prefer a specialised coffee bean wholesaler due to their detailed product knowledge and variety of beans available. Restrictions on the operations of food-service establishments constrained demand from this key market during the COVID-19 pandemic. Consequently, revenue is expected to decline at an annual average rate of 2.2% over the five years through 2022-23, to $20.6 billion. This includes an anticipated increase of 0.5% in the current year, as these restrictions continue to ease.Food retailers also account for a large share of revenue. While the big supermarket chains have not been major customers of the industry for decades due to ongoing wholesale bypass trends, soft drink and pre-packaged food wholesalers supply a range of independent supermarkets and grocery stores across the country. These smaller players are important customers for soft drink and pre-packaged food wholesalers. Demand from food retailers was boosted COVID-19 pandemic, as consumer purchases of dry and canned goods at food retailers increased, but demand has since switched back towards food-service establishments. Higher input costs and increasing bypass trends have reduced profitability over the past five years.Soft drink and pre-packaged food wholesaling revenue is forecast to rise. As consumers increasingly eat meals outside the home, demand from food-service establishments is likely to increase. This trend is projected to be fuelled by growth in disposable incomes over the next five years. Growing demand and increased efficiency through automation is projected to support rising profit margins. However, demand from food retailers is likely to be limited by larger retailers increasingly bypassing wholesalers. Overall, revenue is projected to grow at an annual average rate of 1.5% over the five years through 2027-28, to $22.2 billion.
Trends and Insights
- Revenue and profitability have declined over the past five years. Soft drink and pre-packaged food wholesalers have faced greater competition from general line grocery wholesalers and increased wholesale bypass altogether.
- Consumer food tastes and preferences are expanding, boosting demand for herbs, spices and sauces. Consequently, dry goods and oils and sauces have expanded as a share of revenue.
- Most soft drink and pre-packaged food wholesalers are located in the New South Wales and Victoria. These states have the largest populations and are therefore key locations for downstream markets.
- Market share concentration is low. These wholesalers are by nature smaller businesses that focus on one or two food and beverage product lines.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 2.2 % over the past five years, to reach an estimated $20.6bn in 2023.
Trends and Insights
The COVID-19 pandemic impaired demand conditions
- Demand from the industry's largest market, food-service establishments, is expected to be severely constrained by the COVID-19 pandemic.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Soft drink and pre-packaged food wholesalers are set to ramp up investment in warehouse automation
- Greater investment in warehousing and distribution technologies will help improve wholesaler efficiency.
Biggest companies in the Soft Drink and Pre-Packaged Food Wholesaling in Australia
| Company | Market Share (%)
2023 | Revenue ($short_0)
2023 |
|---|
There are no companies that hold a large enough market share in the Soft Drink and Pre-Packaged Food Wholesaling in Australia industry for IBISWorld to include in this product.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Snacks and confectionery , Beverages and Dry goods. Snacks and confectionery is the largest segment of the Soft Drink and Pre-Packaged Food Wholesaling in Australia.
Trends and Insights
A growing focus on healthy eating has reduced demand for snacks and confectionery
- Snacks include biscuits, chips, nuts and dried fruit, and nutritious snacks. Confectionery includes chocolate, lollies, chewing gum and mints.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Dairy Produce Wholesaling in Australia
- Fruit and Vegetable Wholesaling in Australia
- General Line Grocery Wholesaling in Australia
Complementors
- Meat, Poultry and Smallgoods Wholesaling in Australia
International industries
- Frozen Food Wholesaling in the US
- Confectionery Wholesaling in the US
- Soft Drink, Baked Goods & Other Grocery Wholesaling in the US
- Fresh Bread & Bakery Goods Wholesaling in the US
- Soft Drink and Pre-Packaged Food Wholesaling in New Zealand
Table of Contents
About this industry
Industry definition
Industry companies wholesale specific grocery or food items that are not classified elsewhere. Wholesalers generally operate as an intermediary in the supply chain by purchasing a range of goods from manufacturers, which they onsell to downstream buyers such as supermarkets, convenience stores and food-service establishments. The industry does not include operators that wholesale three or more grocery lines or manufacturers that are vertically integrated.
What's included in this industry?
Snacks and confectioneriesDry goodsBeveragesCanned foodOils and saucesPrepared mealsJamMarmaladeHoneyCompanies
Purchase this report to view all major companies in this industry.
Related Terms
RADIO-FREQUENCY IDENTIFICATION (RFID)WHOLESALE BYPASSSPECIALISED WHOLESALERIndustry Code
ANZSIC 3609 - Soft Drink and Pre-Packaged Food Wholesaling in Australia
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Revenue and profitability have declined over the past five years. Soft drink and pre-packaged food wholesalers have faced greater competition from general line grocery wholes...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Consumer food tastes and preferences are expanding, boosting demand for herbs, spices and sauces. Consequently, dry goods and oils and sauces have expanded as a share of reve...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Most soft drink and pre-packaged food wholesalers are located in the New South Wales and Victoria. These states have the largest populations and are therefore key locations f...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each region in 2023
- Number and share of revenue each region accounts for in 2023
- Number and share of wages each region accounts for in 2023
- Number and share of employees in each region in 2023
Detailed analysis
- Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Market share concentration is low. These wholesalers are by nature smaller businesses that focus on one or two food and beverage product lines.
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
There are no major players in the Soft Drink and Pre-Packaged Food Wholesaling industry. Around 45.0% earn under $200,000 in annual revenue according to the latest data from ...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
Detailed analysis
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Soft drink and pre-packaged food wholesalers must abide by the Competition and Consumer Act 2010. The act sets out standards relating to competition and fair trading that is ...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Profit margins have declined over the past five years. Increasing wholesale bypass trends have weakened price growth, while input costs have risen.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Australia include:
- Australian Bureau of Statistics
- Australian Taxation Office
- Australian Securities & Investments Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Soft Drink and Pre-Packaged Food Wholesaling industry in Australia in 2024?
The market size of the Soft Drink and Pre-Packaged Food Wholesaling industry in Australia is $20.6bn in 2024.
How many businesses are there in the Soft Drink and Pre-Packaged Food Wholesaling in Australia industry in 2023?
There are 5,671 businesses in the Soft Drink and Pre-Packaged Food Wholesaling industry in Australia, which has grown at a CAGR of 1.6 % between 2018 and 2023.
Has the Soft Drink and Pre-Packaged Food Wholesaling industry in Australia grown or declined over the past 5 years?
The market size of the Soft Drink and Pre-Packaged Food Wholesaling industry in Australia has been declining at a CAGR of 2.2 % between 2018 and 2023.
What is the forecast growth of the Soft Drink and Pre-Packaged Food Wholesaling industry in Australia over the next 5 years?
Over the next five years, the Soft Drink and Pre-Packaged Food Wholesaling industry in Australia is expected to grow.
What does the Soft Drink and Pre-Packaged Food Wholesaling in Australia include?
Snacks and confectioneries and Dry goods are part of the Soft Drink and Pre-Packaged Food Wholesaling industry.
How competitive is the Soft Drink and Pre-Packaged Food Wholesaling industry in Australia?
The level of competition is high and increasing in the Soft Drink and Pre-Packaged Food Wholesaling industry in Australia.
