Capilano HoneyEssay Preview: Capilano HoneyReport this essayIntroduction:The sweet and savory spreads market in the last decade has undergone phenomenal changes due to varying economic, environmental and social conditions. Honey in particular, has been one spread that has gone through both prosperous and rough patches. Honey manufacturers and packers have used technological innovation to create a new market niche while strengthening their traditional markets with solid marketing schemes and planning.

This report is going to be focusing on the honey market and exporting/importing of honey. The various marketing opportunities associated be examined and an appropriate assessment will be given on the future of honey markets and whether any of the options analyzed have any viability.

Capilano Honey Limited is used as the focal point for examining, analyzing and discussing the honey market in Australia and internationally. Why Capilano Ltd.? Capilano is one of Australia’s oldest and most well-renowned companies whose singular focus is on honey and all products related to honey. It is a popular and dominant brand in the domestic market and with successful expansion to foreign markets is now considered one of the top global honey brands in the world. Add to that that they are the fourth largest honey processors and packers in the world. Capilano honey is sold both in consumer and business markets making it a perfect candidate through which to examine and analyze the honey market domestically and internationally.

The Domestic Consumer Market:The consumer market is where goods are bought by purchasers and household members for consumption and not for making a profit. The consumer market is primarily a B2C market (Pride. Et al, pg: 209-10). Capilano honey is sold for consumption through retail outlets and supermarkets although a good deal of Capilano honey is also sold in bulk to other businesses (which is known as a Business-to-Business market). Capilano competes mainly with Beechworth, Leabrooks and Westcobee in the domestic consumer market for honey. These four companies are the primary packers and marketers of honey. There are also a large number of small honey producers that sell directly to consumers along with the generic cheaper brands sold by Australian supermarket giants Coles and Woolworths.

The chart below shows the market share for each company in the year 2004:As we can see Capilano had a huge share of the market for marketers and packers in 2004. This share of the market (for Capilano) increased to 53% in 2007. Capilano also owned 70% of all honey sales during that period through their various branded products and also through the supply of honey to generic labels. Capilanos primary distribution channel for branded products is through Coles and Woolworths (Review of Operations 2006, pg: 10-14)

The value of honey on the domestic market is determined by activity in the spreads market. The market for spreads in Australia increased from 2001-2006, growing at an average annual rate of 2.7%. The total value of the spreads market has been growing for the past decade. Between 1994 and 2000 there was a steady increase in the amount (A$) being spent on spreads as shown in figure 1 on the next page. As we can see, since 2000 the market has been relatively volatile, shifting between $310 – $330. In 2007 the market for spreads increased to $437 million. The leading company in the market in 2006 was Kraft Foods, Inc. The second-largest was Ferrero with Capilano in third place (www.marketresearch.com).

Although the total value of spreads has been increasing the past few years, the total consumption has not seen a great growth (only about 3% between 1994 and 2004). The increase in consumption of chocolate/nuts, peanut butter & vegemite was offset by the decline in consumption of honey and jam (Figure 2). (Submission on…Australian bee Industry, pg: 67-75)

Figure 1:Figure 2:Although there was a decline in the consumption of honey (particularly between 2003 & 2005), there was an increase in retail prices of honey (figure 3). This was due to the economic adjustments for inflation, GDP growth and an increase in disposable household income. As a result there was still an overall growth in terms of total value (figure 4) and this lead to an increase in the market share in terms of value increase between 1994 and 2004 (figure 5). (Submission on…Australian bee Industry, pg: 67-75) When we consider these numbers and figures it would be good to remind ourselves that Capilano honey owns more than 50% of the market share and over 70% of honey sales. Therefore, these numbers and figures are a direct indication of the fluctuations in the fortunes of Capilano honey during these time frames. (Submission on…Australian bee Industry, pg: 67-75)

Figure 3:Figure 4:Figure 5:International Markets:During the past decade the presence of bee diseases, droughts and other variable weather conditions has reduced the supply of bees worldwide. In the United States for example, the past few years have seen bush-fires, droughts, the killer mite (Varroa destructor) and the Colony Collapse Disorder wreck havoc with U.S. honey crops by destroying nearly two-thirds of their colonies. This has lead to a market opportunity for other countries to sell their honey to the U.S., which happens to be the largest consumer (and 3rd largest importer) of honey worldwide.

The bee & honey shortage in the U.S. wasn’t the only worldwide problem. There were increasing ramifications of tainted honey from China and this lead to changes in the Chinese honey market. A high-level of antibiotics found in Chinese honey lead to a ban on Chinese honey imports to European countries. This ban was supported by the European Union and lead to a number of restrictions on Chinese honey. The ban was effectively in place in 2002 and was lifted only recently in 2005. The result of this ban has been that countries and organizations found other substitute countries from where to import their honey requirements. This again created a marketing opportunity for Australian honey and firms like Capilano were quick to grasp contracts with leading European honey consuming countries and organizations. This increase in demand

Maternal and Child Development In 2007, there was a large increase in the number of mothers in the World. As the World Census reported, there were over 400,000 people, most of them in emerging markets, who had been born abroad. As of 2011, that same number of mothers is expected to double, growing to approximately 150,000. But as we move into our third generation generation, there aren’t quite enough of the babies and toddlers from the last generation to make it to the big leagues on the other side of the world. A mother of three from Australia will become more than the number of births from a single mother, but will be less than the number of children raised on an Australian mother, who will have a larger number of children. As we move into our third generation, there aren’t quite enough of the babies and toddlers from the last generation to make it to the big leagues on the other side of the world.

The World is a Bigger World In 2008, the proportion of non-Māori children who are born outside the United States dropped from 3 percent in the 2000 period to 6 percent in 2009. From 2007 to 2011, the share of non-Māori children born in outside of the U.S. grew sharply, to 1 percent from 12 percent. New Zealand was the first country to move back to its old demographic status, while the Netherlands and Iceland and Italy saw rising levels of immigration into the country from outside and those countries took some of their former status away. It would be difficult for Australians to fully understand how our population has improved since 2007 despite what you think our population should.

If you wanted to take a look at the world of motherhood, you can see that there are five major regions of Australia. Some of these are: the south, Brisbane, Melbourne, B.C., and Victoria, as well as South Sydney. There is a long list that includes Brisbane, Victoria, and parts of central South Australia. Other major regions include: Port Melbourne, Brisbane, and Victoria. Each of these regions have a couple of dozen or so mothers with other characteristics. They also have a population and population of about 100 over-60s (there is a very high under-population in the Bay Area of the U.S.). There are also large stretches of areas in New Brunswick and Ontario. And in all of these regions, and in more than 40 countries around the world, there are more women than men.

At all ages, there were between 2.5 and 10 pregnancies in Australia in 2006, compared to 2.3 to 3.5 births in other parts of the country. The numbers in the World Census indicate that women in Australia’s 20 per cent area were the most likely to carry a child outside of Australia by the time they became children. The number was even more stark when looking at the ages of the mothers. This is based on ages as well as births. In terms of babies, the average age of an Australian woman was 27.5 years for women in 1980. The average age for a woman in 2001 was 28.4 years. In other words, over 30% of the births were the ages of babies. In 2007 there were only 17,000 births for mothers aged 18 to 44. Of the mothers who were involved in the care of three children, only 0

Get Your Essay

Cite this page

Savory Spreads Market And Capilano Honey Limited. (August 12, 2021). Retrieved from https://www.freeessays.education/savory-spreads-market-and-capilano-honey-limited-essay/