FoodandBeverage SubsectorOutlook
SURVEY RESPONSES
OVERVIEW
Indicate significant growth in 2023 compared to 2022 71%
Report their online/ e-commerce sales have doubled over the last 12 months 56%
Upgraded their ERP system in the last five years 48%
Diversified their suppliers in order to improve their company's supply chain 58%
Are managing product costs by manufacturing more internally or outsourcing to third-parties 48%
Citrin Cooperman’s 2024 Manufacturing and Distribution Pulse Survey Report unveiled several key opportunities and challenges for the food and beverage subsector. Emerging from years of market volatility, food and beverage companies have reported positive growth in 2023, leveraging e-commerce and online platforms to drive sales Leaders in this subsector have been challenged to think creatively to manage rising costs and interest rates, diversify suppliers in response to continued instability in the supply chain, and effectively utilize their enterprise resource planning (ERP) systems to stay ahead of the competition.
HOW CITRIN COOPERMAN CAN HELP
Citrin Cooperman’s dedicated Manufacturing and Distribution Industry Practice has a core focus in helping food and beverage companies achieve their strategic visions Our team of professionals are here to provide innovative, actionable solutions to today’s most pressing issues
John Giordano
Partner and Co-Leader
Manufacturing and Distribution Industry Practice jgiordano@citrincooperman.com
Mark Henry Partner and Co-Leader
Manufacturing and Distribution Industry Practice mhenry@citrincooperman.com
Interested in how this subsector compares to the full industry? Access the 2024 Manufacturing and Distribution Survey Report here. Manufacturing and Distribution Pulse Survey Report 2024
FOOD AND BEVERAGE SUBSECTOR CHALLENGES
Cybersecurity, environmental, social, and governance (ESG) concerns, and rising costs have been top of mind for food and beverage companies in 2024. Leaders in this subsector must continually evaluate how to effectively manage these challenges to preserve customer loyalty and protect the brand’s reputation Over half of our survey respondents in this subsector indicated that they are potentially selling their business in the next three years Does your business have the systems, policies, and plans in place for what may come next?
SURVEY RESPONSES
Experienced a cyber incident or breach in 2023
Indicate their business is definitely considering a potential sale in the next three years 56% 35% 96% 56%
Report an implementation of environmental, social, and governance (ESG) strategies is the company’s biggest challenge for 2024
Indicate an increase in employee costs over the last year
FOOD AND BEVERAGE SUBSECTOR DEMOGRAPHICS
Position/job title
Owners and C-suite: 48
Revenue:
Less than $10M: 0%
$10M - $99 9M: 8%
$100M - $249 9M: 15%
$250M - $499 9M: 8%
$500M - $1B: 23%
More than $1B: 45%
Physical presence or inventory in multiple states: Yes: 90% | No: 10%
Company employee size:
0 - 100: 6%
101 - 500: 4%
501 - 1,000: 15% 1,001 - 2,500: 17% 2,501 - 5,000: 19% 5,001 - 10,000: 35%
More than 10,000: 4%
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