Top 111: Leading in Europe

 
Europe's Top 111 foodservice operators rang up combined sales of €85.4 bn in 2008. These 111 companies are based in 18 countries and they operate in practically all nations across the  Continent.  The latest ranking once again underlines the major role played by two sectors - contract catering and quickservice. The leaders achieved growth of 6.0%, the second best rate of  rowth since this list was first published at the beginning of the decade. The research was carried out by Gretel Weiss, Philipp Laqué and Sabine Neuf (FoodService Europe & Middle East) with additional information on the UK provided by Peter Backman (Horizons) and Bruce Whitehall.

The 111 largest foodservice operations in Europe grew at a combined rate of 6.0% in 2008 (‘07: 8.3%; ‘06: 5.8%). Their sales currently account for more than 20% of total market value in Europe - which is, by the way, small compared to many other product groups and service industries. Mind you, the share of the Top 111 in the market as a whole has increased steadily albeit relatively lowly. In most countries, the first 8 months of 2008 were characterised by a good or even very good environment for business. This changed suddenly with the collapse of Lehman Brothers in September with the result that the away-fromhome- market was in a much better shape at the beginning than at the end of the year. Despite economic decline, private consumption stayed fairly stable.
 
However  corporate expenditures in the restaurant industry dropped dramatically. Some national markets were hit harder and earlier than others, for example the UK and Spain, and  Eastern Europe. Although we are talking about the very biggest players in Europe, no less than 38 out of the Top 111 make their money in just one country. In other words, they have not set foot  utside their domestic market. At least not within Europe - but perhaps in the Middle East or elsewhere. 
 
Mention must also be made of the fact that 14 of these 38 are British players with a more profitable cost structure than on the continent (except for the ‘New East').  Going multi-national is a very demanding business. It's not only the investment,  you also need a clear strategy, a management structure and partners - and you need patience and time to adapt.