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Key Challenges Facing Food and Beverage Manufacturers and What They Must Do To Survive

Food manufacturers have a lot on their plates these days: fickle consumers, powerful retailers, increasingly stringent food safety rules, and much more. The food manufacturing industry is the largest industry in the world. Across the EU, food and beverage expenditures average 12.9% of household consumption. And in the U.S., the industry produces one dollar in every six of the U.S. industrial output, generating more than $700 billion a year in revenue. However, margins are slim and the competition is furious. There are hundreds of product categories, and to compete, firms must constantly innovate. Even industry giants cannot afford to sit back.

Given this backdrop, how can the small-to-medium food manufacturer cope in the face of the same external pressures and fewer resources?

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