High quality, product variety, and timely delivery are key values for Hørkram Foodservice

Adapting rapidly to customer needs

One of the biggest players on the Danish food service market is Hørkram Foodservice, a company that supplies a variety of customers from firms large and small, through institutions, to café’s, restaurants, and bakeries. With two logistics centres, in Aarhus (Jutland) and in Sorø (Zealand) respectively, Hørkram is well-positioned to make timely deliveries around the country. The assortment of products it can offer include fruit and vegetables, fish and meat from its own production, drinks, and non-food items. Lenni Jess Hansen, Hørkram’s head of production, mentions here his company’s response to some of the trends that are affecting the food sourcing and delivery industry.

Has fish and seafood consumption stayed fairly stable over the last five years? Have you noticed any trends in the demand for seafood over the years, for example the substitution of meat products with fish products? Are some seafood products becoming more popular than others?

We produce approx. 40-50 tons of fish per week, which fully meets our expectations at this time. Of course, there has been a decline due to Covid-19, but we are back on track and producing more than we did in 2019. A boost due to the substitution of meat products is, in my opinion, minimal. I don’t think the trends have changed. If I had to name a product that is progressing, it would be oysters. We are experiencing a boost in sales of almost all our different varieties.

In relation to the seafood segment what would Hørkram like seafood suppliers to do better, in terms, for example, of innovation? Why would this be important for Hørkram?

The environment is important to both Hørkram and our customers. Sustainable fishing plays a big role with the consumer, so the selection of products certified to the MSC (Marine Stewardship Council) standard should be expanded.

There has been a lot of talk about using small oily fish (sprats, sardines, anchovies) for human consumption as they are associated with health benefits and low carbon footprints. Eating these fish is common in southern Europe but in the north, they are mainly used to produce fishmeal and fish oil. If Hørkram were to offer these species to the customer, how would Hørkram do this?

The idea is fine, but it is demand that creates the supply—and here the customer is in control. In my opinion there is no point in trying to push a product on the customers, it probably does more harm than good.

How much does Hørkram source from the UK in terms of fish products and what was the impact of Brexit on this supply?

The impact has been very small. We get the vast majority of our incoming goods from Scandinavia and Southern Europe.

The war in Ukraine has had a particular impact on food commodities like cereals and oilseeds reducing the supply,

Lenni Jess Hansen, Head of Production, Hørkram Foodservice

pushing up prices and prompting other exporters of these products to restrict their exports. In a situation like this how does Hørkram react to ensure that it can continue to deliver to its customers? If the war drags on, how do you think it will affect Hørkram’s business?

I don’t think either the war or inflation will have a crucial impact, we have a broad customer segment which means that even if some sectors are affected,

Hørkram

we will be able to work with those that aren’t.

Sustainability has become an important part of any business activity. How do you define sustainability at Hørkram? As a food service company how do you ensure the sustainability both of the food products you supply as well as of your operations?

We maintain and improve our sustainability, i.e. by setting high demands for our suppliers to live up to. In our operation, it is about protecting the environment as much as possible, and this is an ongoing optimization. Our range of sustainable products is growing rapidly, both due to high demand, but also because we believe it is the future of the industry.

Food waste is a huge concern in Denmark where about 540,000 tonnes of food are lost annually. Of this, some 300,000 tonnes are from primary production, the food industry, retail, and food service. What measures does Hørkram take to reduce the levels of food waste in its own operations and those of its suppliers?

We are very well aware of the problem and carry out continuous optimizations in the area. Overall, we have committed to reducing our food waste by 50 by 2030. One initiative in the area is our spot list. As the expiry date of a product approaches, it is placed on a spot list in our webshop, which makes it possible for our more than 9,500 customers to buy the product at a reduced price. Moreover, we have created a staff “supermarket” which gives our staff the opportunity to buy goods that are close to expiry at favorable prices and therefore cannot be sold to our customers and with 1,000 employees, it has been very effective.

The use of plastic packaging in the food industry helps to extend the shelf life of food and thereby decrease the volume of food waste. However, plastic is also a significant source of pollution on land and in the sea. How does Hørkram reconcile these two conflicting roles that plastic plays? What initiatives has Hørkram taken to reduce the use of plastic? And where does Hørkram foresee changes within packaging in the future?

The fish industry’s standard packaging form is expanded polystyrene (eps) boxes which are definitely not good for the environment. In the production at Hørkram Sorø, we use plastic, rather than eps— which is the lesser of two evils, in my opinion. Our plastic trays are sealed with a protective atmosphere which eliminates the need for crushed ice. Our largest packaging tray weighs 230 g, it can contain up to 10 kg of fish. A standard flamingo box with crushed ice, for the same content, weighs 5 kg and the durability is the same.

Vegetarianism, veganism, flexitarianism are among the food consumption habits that are increasing in popularity among consumers. Does Hørkram also notice these developments among its customers? How important are these trends in terms of numbers and do you think they will gradually become more mainstream? What are the long-term implications for the food service sector? Does Hørkram see a difference in the mentioned consumer segments as for levels of spending and quality requirements?

We are still at a level that does not affect us deeply, but in the long term it will become a factor that will take up more space. We will follow developments closely and adapt accordingly.

What are the advantages that Hørkram offers a customer compared to a wholesaler like Inco Cash and Carry (apart from the fact that Hørkram distributes directly to the customer)?

We have consultants who help customers fully meet their needs. We have an award-winning webshop that is extremely user-friendly. Quality is in the driver’s seat, so the customer can feel confident when having delicate goods such as vegetables, meat, and fish delivered from us. Food safety is a top priority for us, and we ensure that the integrity of the cold chain for all products is maintained from order to delivery. We also regularly adapt the product selection to our customers’ needs.