Food service sector revenue up 2.5 % for first 8 months
Organization: Department of International Cooperation Publish Date: 2016-10-25 16:42
Source: China Post (10/18/2016), Economic Daily News (10/17/2016)
Taiwan food service industry revenue rose 2.5% to reach a record-high of NT$293.7 billion (US$9.27 billion) for the January to August period, according to a report released by the Department of Statistics, MOEA on Oct. 17.
It's estimated the sales for the whole year could also hit record high to NT$430 billion (US$13.56 billion), the report stated. As the nation's appetite for dining out and domestic recreational travel has increased in recent years, the food service sector has been growing in tandem. Total food-related sales reached NT$424.1 billion (US$13.38 billion) last year, with restaurants collecting 85% of the revenue, drink stores 11%, and other establishments 4%.
In order to stay competitive, more and more food service companies have been opting for a multi-branding strategy to seize greater market share and to provide more options to consumers. Among large businesses that employ 100 or more workers, roughly 63% say they plan to open new stores in the future, while 21% of small and medium-sized companies indicated the same. Locations close to department stores, commercial districts or MRT stations are the top picks for establishing new stores, the survey showed.
Despite food operators' plans to further cultivate the domestic market, overseas sales have gradually grown in importance. Financial data from the nation's six listed food companies marked the first time that their foreign revenue surpassed domestic sales in 2015.
When asked which area of business operations deserved the greatest attention, 62% cited improvements in food safety control and audits as their top priority, followed by 40% percent who cited reducing raw material costs, and another 40% who mentioned new product research and development.