Welcome to the December Edition of Bord Bia's Ireland Market Foodservice Newsletter.
To coincide with Sirha foodservice tradeshow that takes place every second year in Lyon, France, Bord Bia is organising a bespoke Market Study Visit on 22nd and 23rd January 2025. The MSV will include insights presentations, visits to key foodservice operators and the opportunity to attend Day One of Sirha 2025.
There will also be a networking dinner on Wednesday evening, January 22nd, prepared by Chefs Irish Beef Club member Guillaume Mallet. This is a fantastic opportunity for Irish food and beverage producers either currently supplying the French foodservice market or looking to enter the market.
It is solely open to Bord Bia client companies, with further information and the ability to register via the My Bord Bia platform here.
Monthly Spotlight: Fashion Retail Meets Foodservice
In another example of the ever-blurring lines between foodservice and retail, global fashion retailer Zara recently announced that it is venturing into the café business. The company has launched Zacaffé within it’s Madrid store, with plans to expand to both Japan and Korea in 2025. Zacaffé offers coffee and pastries to both shoppers and non-shoppers and also has plans to host cultural collaborations and art exhibitions – a great example of how future foodservice opportunities can come from unlikely sources.
General Industry News
Domestic economy grows 1.3% in third quarter – CSO
RTE Business – 05.12.2024
Ireland's domestic economy grew by 1.3% in the third quarter compared with the previous three months, new figures from the Central Statistics Office show. On an annual basis, modified domestic demand grew 4.1% in the three months to the end of September, the CSO figures revealed. The Government has forecast that modified domestic demand will grow 2.5% in 2024 as a whole, and 2.9% in 2025.
Irish Consumer Steady for November as Easing Costs Counter Future Uncertainty
Checkout Magazine – 27.11.2024
Irish consumer sentiment remained unchanged in November as increased social spending and stable readings of household finances were countered by uncertain geopolitical terrain. The Credit Union Consumer Sentiment Survey, shows an index reading of 71.4 for November, identical to October’s reading. While it is not unusual for consumer sentiment to stay largely the same, this is only the second time in the surveys near 29-year history that the reading has remained unchanged one month to the next.
Quick Service Restaurant (QSR) & Pub Sector
McDonald’s To Create 1,000 Jobs In Ireland
Hospitality Ireland – 18.11.2024
Fast-food giant McDonald’s has announced its ambition to create 1,000 new jobs across Ireland over the next four years, as part of a €40 million investment. This comes after the company’s new Social and Economic Impact Report finds that McDonald’s supports 11,640 jobs in Ireland and contributed €414.6 million to the Irish economy in 2023. The Social and Economic Impact Report confirmed that the company spent €241.7 million with Irish food suppliers in 2023 across beef, bacon, eggs and dairy.
Irish Distillers Expands Direct-To-Consumer Offering
Business Post – 05.12.2024
Midleton Distillery Collection, Irish Distillers’ online shop, has announced the expansion of its direct-to-consumer offering to new European markets, including Italy and Spain, to meet demand for its whiskey brands. The collection is home to whiskey brands including Jameson, Redbreast, Midleton Very Rare, Powers, the Spot Whiskeys, Method and Madness, and Knappogue Castle.
Hotel & Restaurant Sector
Large Norwegian real estate company builds stake in Dalata
Business Post – 27.11.2024
One of Norway’s largest real estate companies has built a 5.45 per cent stake in Dalata, Ireland’s biggest hotel group. According to stock exchange notices, Eiendomsspar has been establishing the position in the Dermot Crowley run company since the middle of October when a 3 per cent stake was taken. With its current position, the Norwegian firm is the fourth largest shareholder with €51.15 million worth of shares, at the current share price of €4.39.
Esquires signs deal to expand presence in Ireland
Propel – 05.12.2024
Cooks Coffee Company has signed a deal to expand the presence of its Esquires brand in Ireland. It has entered an agreement with Dairygold Agri Business for Esquires to operate and manage four cafés within Co-Op Superstores owned by Dairygold in Ireland. The contract will be for an initial period of ten years and is effective immediately. The cafés are based in Midleton, Carrigaline and Mallow in Cork and Raheen in Limerick. Dairygold’s retail business operates 26 stores across Munster under the Co-Op Superstores brand. Cooks Coffee Company owns the global rights to the Esquires brand and has its core focus on the UK and Ireland. It currently has circa 70 UK stores and more than 100 in its global portfolio.
Casual Dining / Contract Catering Sector
Applegreen to invest €1 billion in Irish, UK and US expansion
RTE Business – 25.11.2024
Fuel and forecourt retailer Applegreen said it plans to invest €1 billion over the next five years to expand its business, which currently serves 180 million customers a year in Ireland, the UK and the US. This comes as the company reported a 9% increase in gross profits for last year. It has almost 200 locations in the Irish market. Applegreen said it will continue the roll out of its Braeburn coffee offer and its partnership with M&S Food across the Irish market. It currently operates M&S at 19 of its locations in Ireland and said it plans to grow that number to over 60 sites.
Upper Crust owner SSP posts full-year revenue of €4.13bn
Business Post – 03.12.2024
SSP, the London-based group that runs the Upper Crust café brand, has posted £3.43 billion (€4.13 billion) revenue in its 2024 financial year, up 17 per cent from last year. Profits before tax were up 23 per cent to £343 million for the year ended September 30, 2024. The group said performance was strong across North America, the UK and Asia, while its business in continental Europe took a hit due to slow recovery, strikes in the rail sector and weak Motorway Service Area trading in Germany. Meanwhile, SSP said it acquired new contracts in Saudi Arabia and New Zealand, as well as new business in Sofia, Bulgaria.