Contract Catering Yes or No
Contents Our definition of contract catering. Competitive structure and the environment. Environmental influences. Perceptions. Future issues. Predictions. Contract catering with analytical tools.
Our definition of Contract Catering Contract catering is the provision of food service by a separate organisation to a company or party, whereby food is ancillary to the main activity.
Contract Catering Life Cycle
3 Main Areas of Market Analysis
Environmental Influences Pest
Competitive structure and the environment Types of contracts Market background Main players – competitors What effects the supply and demand Contracts used to be just businesses and schools, they now include event organising from sporting events to private parties, functions etc also military, health care etc. Market background is past trends and the way CC used to be and has developed. Main players i.e. SODEXHO, GRANADA, COMPASS. Various things that effect s&d of cc. I.e. if industry does not grow the neither will cc. Also competition and substitutes to cc.
Strategic Group Analysis OLIGOPOLOY!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Boston Consultancy Matrix Market share High Low Problem Child ? Star Healthcare* M.O.D.* * Business/Industry Growth Cash Cow Cow *State Education *Public Catering Local Authority* Private Education* Low
Strategic Mapping
Porters Five Forces Potential Entrants. Buyers. Suppliers. Sodexho Low barriers to entry. Buyers. Suppliers. Food and beverage suppliers Catering equipment Recruitment agencies Technology suppliers Uniform Suppliers Large companies have higher economies of scale Public sector, schools, Hospitals, Trains, Motorways, Universities, Private sector, Airlines, Pubs, Restaurants, Offices, Businesses. Any party that wants to use a contract catering supplier. Sodexho Compass Group Aramak Substitutes. Hotels Restaurants Fast food chains Licensed establishments Takeaway Cafes Eating in home
Social Trends Extended life expectancy Higher disposable income Eating on the move, eating quicker Extended working hours (work and university) Increase in corporate hospitality Greater interest in good food
Future issues Sept 11. – Effect on industry Euro – Effect of entering Possibility of a recession Europe becoming smaller
Contract Catering Life Cycle
Predictions Introduction of vending machines Fast food in contract catering Longer operating hours Higher disposable income Eating on the move Continual growth of industry Possible Market Saturation
Branding and Franchising
Conclusion. The question is not what you can do for contract catering but what contract catering can do for you!!
Contract catering, for everyone, for ever!