2024: A year of growth and resilience in food?

How are food and beverage companies preparing for what 2024 will bring? What are the key trends that will impact the food industry?

Over 100 food and beverage producers and distributors from the Netherlands and Belgium were surveyed about their confidence in the future. Can they continue to grow in this challenging environment? How are they preparing for change? Aptean, a provider of industry-specific software, surveyed over 100 food and beverage producers and distributors in the Netherlands and Belgium, and based on their responses, produced an insightful report filled with insights, examples, and practical tips. We will give a sneak peek of two of the five trends of the report.

Trend 1: Food and Beverage Companies Adopt a ‘Growth Mindset’

In 2023, companies faced rising inflation, increased operational costs, and fluctuating material availability, all while trying to adapt to the constantly changing preferences of consumers. Despite these challenging times, most organizations remain confident: 72% of respondents expect to generate more revenue in 2023 than in the previous 12 months, and 74% also expect to increase their profit. This ‘growth mindset’ is expected to continue in 2024. The sector hasn't seen a 'normal' year since 2019. This has made them especially adaptable and initiative-driven. For example, the Van Loon Group acquired a stake in Q-group to share their knowledge and experience in meat and convenience for food service and retail. Meanwhile, Vivera announced plans to invest at least €30 million over the next three years to expand its product line, machinery, and workforce.

Trend 2: Automation is Key to Overcoming Growth Barriers

78% of surveyed companies are undergoing a process of digital transformation to improve their business operations and replace manual processes. The adoption of technology has been on the rise for several years. Particularly noteworthy is the impact that digital transformation has on business revenue and profitability. Food producers and distributors that utilize technology to automate tasks and processes experienced a slightly higher profit growth (0.5 percentage points) over the past trading year than companies reliant on manual operations. Certain solutions yield even more significant results: companies using ERP software anticipate a 28% higher profit than companies without automated operations. Companies with PLM software even expect a 31% larger profit growth in 2023 than companies using manual processes.

In Conclusion

The core findings from Aptean's research are clear: digital transformation plays a crucial role in enabling and implementing tangible improvements, all aimed at realizing growth strategies in food and beverage companies. The challenge for 2024 is finding the best-suited technologies to achieve these goals. Want to learn more about the other trends and gain insight into the how and why? Download the report.

www.aptean.com