ANALYSIS OF PRESERVED FOODS INDUSTRY IN THE USA
Analysisof the Preserved Foods Industry in the USA
SupplyChain of Preserved meats in USA
Thefood manufacturing industry is one of Unites State’s largestmanufacturing industry and accounts for more than 10% of all themanufacturing shipments, according to the US Department of CommerceIndustry. As at 2007, the meat products manufacturing Industry wasvalued at $ 145 billion, and the value has risen since then. Thereare so many meat products that are sold on the market today. ThesePreserved meat products reach the consumers via various supplychains. The chains range from direct sale through depots tosupermarkets, food delis as well as other retailers, likerestaurants. This paper analyses the supply chain of cured meatproducts by looking at two of the main manufacturing companies,Citterio, and Berretta
Citteriocompany was established in 1970 and deals in a wide range of curedmeat products, namely prosciutto, salami, mortadella, cooked ham,and pancetta among others. These products range in prices dependingon the type of the product and size of the product. For example,Salami retails at about $ 4.79 per 100g. Most of the company’sproducts are sold in delis around the USA. East Dulwich Deli, foundin London, is an example of a deli that sells the cured meat productslike Salami and Prosciutto manufactured by Citterio Company.
Berrettais also a leading manufacturer of cured meat products. The companywas established in 1812, according to the information from theofficial website. The company manufactures a variety of preservedfood products among them Dry sausage, soppressata, mortadella,prosciutto di Parma, pancetta, and coppa among others. BerrettaCompany distributes a large percentage of its products by using thefood deli spread around the USA. Some of these products are alsoavailable in supermarkets, retail stores, and restaurants. An exampleof a deli that sells these products is the Santis Delicatessen. Theproducts range in prices: Sopressata retails at $ 9.99, Mortadella at$ 4.87 per lb, Coppa at $ 15.95, while Pancetta retails at $ 9.7 perlb.
Soas to meet the rising demand for fresh meat products, themanufacturers are establishing huge deli departments in their stores.According to the information from the Statista website, the categoryshare of deli cured meat sales in the US in 2015 was about 83% of thetotal meat products sold.
Today,the manufacturing companies have developed online platforms throughwhich the consumers can order their products directly from them.Also, there are retail stores that have established the same onlineplatform and deliver the preserved products from these companies tothe consumers. An example of such an online store is theigourment.com that sells products from various manufacturers andcustomers are allowed to choose.
Buildinga Preserved Meat Production Company in the USA
Thereare several costs that are accrued when one wants to build apreserved meat production company in the USA. Some of these costsinclude the premises costs, production costs, labor costs, marketingcosts and distribution costs. The value of these costs varies andchanges depending on the size of the company as well as the market tobe served by the company. Most of the costs are associated withpreservation of the products, since they are perishable. The mostappropriate distribution channel is a direct sale to the consumers aswell as sale to other retailers like the supermarkets. The use of theinternet can help in bridging the gap between the customers and themanufacturer. This strategy is likely to increase the sales volumethus increase the profit margins.
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