F&N industry report
Description of Industry
Market Overview
With a lacklustre economic growth of 1.3% in 2012, Singapore advance with a 3.7% growth in GDP in the second quarter of 2013 as compared to 0.2% in the preceding quarter. Singapore’s food & beverage (F&B) services industry contributed approximately SGD 9.7 bn or 3.2% to the country’s total GDP of SGD 305.2 bn
In 2011, the F&B services industry comprised about 6,500 establishments, up 4.5% from a year ago. Total operating receipts of the F&B industry stood at SGD 7.11bn in 2011, an increase of 12.1% compared to 2010. Total value added of the industry increased 11.7% to SGD 2.49bn. On a per establishment basis, operating receipts and value added also rose by 7.3% and 6.9% to SGD 1.1mn and SGD 385,000 in 2011, respectively.
Industry Driving Forces
Market Trends
Singapore’s F&B industry is highly competitive; hence there is a need to call for continuous innovation to cater to consumer demands, which is growing more complex over time. Some of the key industry trends are highlighted below:
Product demand and offering
As consumers are becoming more aware of their health, unprocessed and functional food for health has begun to gain increasing popularity, where functional food nowadays is more likely to be for specific illnesses and thus can overcome limitations of conventional food. Besides, many consumers have shifted to cooking fresh food at home due to greater concern of nutritional facts for health reasons. This has, in turn, driven growth in the number of culinary lesson for those people who seek to improve their skills. There are also demand for healthier food in all sector, especially in the fast food restaurants sector, whereby there is a need to show case their nutritional value of each of the food, so that consumer would have a choice to avoid those unhealthy ones.
Going green and sustaining it
With the impending climate change, consumers are also wiser nowadays in
Market Overview
With a lacklustre economic growth of 1.3% in 2012, Singapore advance with a 3.7% growth in GDP in the second quarter of 2013 as compared to 0.2% in the preceding quarter. Singapore’s food & beverage (F&B) services industry contributed approximately SGD 9.7 bn or 3.2% to the country’s total GDP of SGD 305.2 bn
In 2011, the F&B services industry comprised about 6,500 establishments, up 4.5% from a year ago. Total operating receipts of the F&B industry stood at SGD 7.11bn in 2011, an increase of 12.1% compared to 2010. Total value added of the industry increased 11.7% to SGD 2.49bn. On a per establishment basis, operating receipts and value added also rose by 7.3% and 6.9% to SGD 1.1mn and SGD 385,000 in 2011, respectively.
Industry Driving Forces
Market Trends
Singapore’s F&B industry is highly competitive; hence there is a need to call for continuous innovation to cater to consumer demands, which is growing more complex over time. Some of the key industry trends are highlighted below:
Product demand and offering
As consumers are becoming more aware of their health, unprocessed and functional food for health has begun to gain increasing popularity, where functional food nowadays is more likely to be for specific illnesses and thus can overcome limitations of conventional food. Besides, many consumers have shifted to cooking fresh food at home due to greater concern of nutritional facts for health reasons. This has, in turn, driven growth in the number of culinary lesson for those people who seek to improve their skills. There are also demand for healthier food in all sector, especially in the fast food restaurants sector, whereby there is a need to show case their nutritional value of each of the food, so that consumer would have a choice to avoid those unhealthy ones.
Going green and sustaining it
With the impending climate change, consumers are also wiser nowadays in