Market analysis

Lab i: market analysis

THE SNACK MARKET IN GREECE

GROUP 5

CONTENTS

INTRODUCTION

MARKET SCENARIO

DEMAND

SUPPLY

COMPANY

CONCLUSION

01.

02.

03.

04.

05.

06.

1. INTRODUCTION

The snack market

➤ sweet biscuits, snack bars & fruit snacks

Greece: the market scenario

Demand

Supply

Papadopoulos: the company

2. MARKET SCENARIO OF GREECE

• The population of Greece is decreasing (2014-2024) with a -0.377% growth rate. This is due to: low birth rate, high death rate and emigration.

• The unemployment rate (2014-2023) is declining, from 26.4% (2014) to 11% (2023).

• There are major fluctuations of GDP per capita, showing economic instability

GDP per capita (% change on previous year, real values) (2014-2023)

3. DEMAND

• When examining retail volume trends from 2014 to 2023, Greece shows a slower recovery compared to countries like Germany and Italy, but by 2023, it surpasses both France and Spain.

• In 2022, Greece recorded the highest food consumption as a percentage of GDP, exceeding 11%. This suggests limited disposable income and potential economic vulnerability.

Retail volume cross country comparison (2014-2023)

Greece (dark red line) displays steady growth in retail values from 2014 to 2023, reaching more than +43%. The steady rise suggests an ongoing economic recovery since the challenges of the early 2010s, including the debt crisis.

Retail Values cross Country comparison (2014-2023)

Active enterprises are studied divided by sector:

• Manufacturing: Sharp decline, down -13% by 2022, indicating significant challenges.

• Food: Gradual decrease, reaching -9% by 2020.

• Bakery: Steady decline, ending at -13% by 2022

• Snacks: Peaked at +1% in 2016, then dropped to -7.5%, recovering slightly to -3% by 2022.

4. SUPPLY

Active enterprises (2014-2023)

The graph shows a steady increase in the production volume trend, with a noticeable peak in 2019, followed by a dip in 2020 due to the COVID-19 pandemic.

After 2020, a strong growth trajectory resumes, indicating economic growth, higher industrial output, and improved business activity.

Production volume (2014-2023)

The trend in raw material costs can be broken down into two periods:

• 2015-2020: slight decline in 2016, followed by a moderate fluctuation, ending at -1.74% in 2020.

• 2021-2022: sharp rise starting in 2021, reaching +22.86% in 2022.

The rise in the cost of raw materials in recent years has led to overall higher production costs.

Cost of raw materials (2015-2022)

5. COMPANY - market share

Focusing on Papadopoulos EJ SA, we can see a consistent presence in the Greek snack market, holding a dominant position since 2015.

Greek market shares (2015-2023)

5. COMPANY - retail value

The retail values (RSP) of company sales of snacks from 2015 to 2023 range between approximately 95 and 102.5 million euros, showing a slight decline from 2017 (peak value of 102.5 million euros) to 2019, followed by some fluctuations and recovery in later years, reaching 101.7 million euros in 2023.

Retail values RSP (2015-2023)

5. COMPANY - positioning

Heritage & TraditionsAuthentic Greek roots; strong emotional connection with consumers

Product RangeBiscuits, breadsticks, crackers, cereal bars

Market LeadershipTop biscuit brand in Greece; expanding globally while maintaining Greek indentity

Quality & TrustPremium quality ingrediends; strict standards; consumer trust over generations

SustainabilityEco-friendly packaging; energy efficiency

5. COMPANY - strategies

Brand Identity & Heritage

Focus on quality

Sustainability & Corporate Responsibility

Digital Marketing & E-Commerce expansion

Partnerships & Collaborations

International expansion➤ 67 countries ➤ tailored products

Innovation, R&D➤ health-focused options

➤ iconic products

➤ local, high quality ingredients

➤ eco-friendly practices

➤ collaborations with retailers, distributors➤ partnerships with food manufacturers

SWOT ANALYSIS

- Strong brand reputation - Adaptability to changing tastes - Control over production chain - Wide variety of products - Investment in New Technology

STRENGHTS

- Growing global demand for baked goods - Increasing demand for healthy foods - Growth of online shopping

OPPORTUNITIES

- Heavy dependence on European markets - Seen as a traditional brand

- Intense competition - Strict EU food regulations - Labor shortages and rising costs

THREATS

WEAKNESS

AVERAGE PERSONNEL COST

The average personnel costs are studied divided by sector:

• Manufacturing: generally stable, with two drops in 2018 and 2021.

• Food & Snacks: Both saw fluctuations; there was a significant decline in 2020-2021, and there was a recovery in 2022.

• Bakery: steady decrease, reaching the lowest level in 2022.

6. CONCLUSION

Retail Volume & Value Growth

Productivity Volume Resilience

Unemployment Reduction

Papadopoulos: the dominant company in the Greek snack market

Increase in raw material costs

THANK YOU FOR YOUR ATTENTION

GROUP 5 Rima Ben Salem Finn Stefan Helena Bosman Emilia Ferro Lorenzo Masiello Tran Ha My NguyenAurora Allegrini

CULINARY LEGACY

GLOBAL REACH

GROWTH MODERNIZATION

PRODUCTS

• Founded in 1922 in Athens
• 4 factories in Greece, 34 brands
• 200+ products

• Exports to 40+ countries
• Evolving into a global player
• Represents Greek tradition & excellence

• Petit-Beurre biscuits
• Caprice wafer sticks
• Digestive

• Family-owned for 100+ years
• Transitioned from family bakery to large-scale operation in 1970s

CULINARY LEGACY

GLOBAL REACH

GROWTH MODERNIZATION

PRODUCTS

• Founded in 1922 in Athens
• 4 factories in Greece, 34 brands
• 200+ products

• Exports to 40+ countries
• Evolving into a global player
• Represents Greek tradition & excellence

• Petit-Beurre biscuits
• Caprice wafer sticks
• Digestive

• Family-owned for 100+ years
• Transitioned from family bakery to large-scale operation in 1970s