Foodservice

Industry Forecast Report

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016

Publication Date: March 2012

Reference code: FS0016MR

www.canadean.com

INTRODUCTION

TABLE OF CONTENTS

1 Introduction ...... 11 1.1 What is this Report About? ...... 11 1.2 Definitions ...... 11 1.2.1 This report provides 2011 actual sales; while forecasts are provided for 2012 – 2016...... 11 1.3 Summary Methodology ...... 19 2 Executive Summary ...... 21 3 Irish Foodservice – Market Attractiveness ...... 23 3.1 Irish Foodservice Market Size ...... 23 3.2 Market Trends and Drivers ...... 26 3.2.1 Ireland Macro-Economic Fundamentals ...... 26 3.2.2 Irish Foodservice – Consumer Trends and Drivers ...... 27 3.2.3 Irish Foodservice – Technology Trends and Drivers ...... 33 3.2.4 Irish Foodservice – Operator Trends and Drivers ...... 35 3.3 Irish Foodservice Market Forecasts ...... 42 4 Irish Foodservice – Market Dynamics and Structure ...... 45 4.1 Profit Sector Analysis ...... 45 4.1.1 Channel Share Analysis ...... 46 4.1.2 Profit Sector Structure: Outlets ...... 47 4.1.3 Profit Sector Demand: Transactions ...... 50 4.2 Cost Sector Analysis ...... 54 4.2.1 Channel Share Analysis ...... 55 4.2.2 Cost Sector Structure: Outlets ...... 56 4.2.3 Cost Sector Demand: Transactions ...... 59 4.3 Regulatory Environment ...... 62 4.3.1 Legal and Self-Regulation Developments ...... 62 4.3.2 Key Regulations for Foodservice Sector ...... 63 5 Irish Foodservice – Profit Sector Analysis ...... 65 5.1 Profit Sector Analysis: ACCOMMODATION ...... 65 5.1.1 Porter‟s Five Force Analysis – Accommodation ...... 65 5.1.2 Channel Trend Analysis...... 66 5.1.3 Channel Size and Forecasts ...... 68 5.1.4 Key Channel Indicators...... 70 5.2 Profit Sector Analysis: LEISURE ...... 77 5.2.1 Porter‟s Five Force Analysis – Leisure ...... 77 5.2.2 Channel Trend Analysis...... 78 5.2.3 Channel Size and Forecasts ...... 80 5.2.4 Key Channel Indicators...... 82

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INTRODUCTION

5.3 Profit Sector Analysis: PUBS, CLUBS AND BARS ...... 88 5.3.1 Porter‟s Five Force Analysis – Pubs, Clubs and Bars ...... 88 5.3.2 Channel Trend Analysis...... 89 5.3.3 Channel Size and Forecasts ...... 90 5.3.4 Key Channel Indicators...... 93 5.4 Profit Sector Analysis: RESTAURANTS ...... 98 5.4.1 Porter‟s Five Force Analysis – Restaurants ...... 98 5.4.2 Channel Trend Analysis...... 100 5.4.3 Channel Size and Forecasts ...... 101 5.4.4 Key Channel Indicators...... 103 5.5 Profit Sector Analysis: RETAIL ...... 108 5.5.1 Porter‟s Five Force Analysis – Retail ...... 108 5.5.2 Channel Trend Analysis...... 109 5.5.3 Channel Size and Forecasts ...... 110 5.5.4 Key Channel Indicators...... 113 5.6 Profit Sector Analysis: TRAVEL ...... 120 5.6.1 Porter‟s Five Force Analysis – Travel ...... 120 5.6.2 Channel Trend Analysis...... 122 5.6.3 Channel Size and Forecasts ...... 123 5.6.4 Key Channel Indicators...... 125 5.7 Profit Sector Analysis: WORKPLACE ...... 127 5.7.1 Porter‟s Five Force Analysis – Workplace ...... 127 5.7.2 Channel Trend Analysis...... 128 5.7.3 Channel Size and Forecasts ...... 130 5.7.4 Key Channel Indicators...... 132 6 Irish Foodservice – Cost Sector Analysis ...... 137 6.1 Cost Sector Analysis: Education ...... 137 6.1.1 Channel trend analysis ...... 137 6.1.2 Channel size and forecasts ...... 138 6.1.3 Trend analysis: key channel indicators ...... 141 6.2 Cost Sector Analysis: Healthcare ...... 147 6.2.1 Channel trend analysis ...... 147 6.2.2 Channel size and forecasts ...... 147 6.2.3 Trend analysis: key channel indicators ...... 151 6.3 Cost Sector Analysis: Military and Civil Defense ...... 156 6.3.1 Channel trend analysis ...... 156 6.3.2 Channel size and forecasts ...... 156 6.3.3 Trend analysis: key channel indicators ...... 159 6.4 Cost Sector Analysis: Welfare and Services ...... 165 6.4.1 Channel trend analysis ...... 165

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INTRODUCTION

6.4.2 Channel size and forecasts ...... 165 6.4.3 Trend analysis: key channel indicators ...... 169 7 Irish Foodservice – Competitive Landscape ...... 174 7.1 Leading Financial Deals...... 174 7.2 Company Profile: Limited ...... 175 7.2.1 Company Overview ...... 175 7.2.2 Abrakebabra Limited: Major Products and Services ...... 175 7.3 Company Profile: Butlers Chocolate Cafe ...... 177 7.3.1 Company Overview ...... 177 7.3.2 Butlers Chocolate Cafe: Major Products and Services ...... 177 7.4 Company Profile: ...... 178 7.4.1 Company Overview ...... 178 7.4.2 Insomnia Coffee Company: Major Products and Services ...... 178 7.5 Company Profile: McDonald's Restaurants of Ireland Limited ...... 180 7.5.1 Company Overview ...... 180 7.5.2 McDonald's Restaurants of Ireland Limited: Major Products and Services ...... 180 7.6 Company Profile: Coffee Company Ireland ...... 182 7.6.1 Company Overview ...... 182 7.6.2 Starbucks Coffee Company Ireland: Major Products and Services ...... 182 7.7 Company Profile: Supermac's (Ireland) Limited ...... 183 7.7.1 Company Overview ...... 183 7.7.2 Supermac's (Ireland) Limited: Major Products and Services ...... 183 7.8 Company Profile: Zumo International ...... 185 7.8.1 Company Overview ...... 185 7.8.2 Business Description ...... 185 7.8.3 Zumo International: Major Products and Services ...... 185 7.8.4 Zumo International: SWOT Analysis ...... 186 7.9 Company Profile: Kylemore Services Group ...... 188 7.9.1 Company Overview ...... 188 7.9.2 Business Description ...... 188 7.9.3 Kylemore Services Group: Major Products and Services ...... 188 7.9.4 Kylemore Services Group: SWOT Analysis ...... 189 7.10 Company Profile: Four Star Ireland Ltd ...... 192 7.10.1 Company Overview ...... 192 7.10.2 Ireland Ltd: Major Products and Services ...... 192 8 Business Landscape ...... 193 8.1 Macro Economic Environment ...... 193 8.2 Consumer Trends ...... 200 9 Appendix ...... 203

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INTRODUCTION

9.1 About Canadean ...... 203 9.2 Disclaimer ...... 203

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INTRODUCTION

LIST OF TABLES

Table 1: Irish Exchange Rate EUR-US$ (Annual Average), 2006–2011 ...... 11 Table 2: Canadean Key Foodservice Definitions ...... 12 Table 3: Canadean Profit Sector Definitions ...... 13 Table 4: Canadean Cost Sector Definitions ...... 17 Table 5: Irish Foodservice: Sales by Sector, (EUR Million), 2006–2011 ...... 23 Table 6: Irish Foodservice: Sales by Sector, (US$ Million), 2006–2011 ...... 23 Table 7: Irish Foodservice: Sales by Channel, (EUR Million), 2006–2011 ...... 25 Table 8: Irish Foodservice: Sales by Channel, (US$ Million), 2006–2011 ...... 25 Table 9: Irish Foodservice: Sales Forecasts by Sector, (EUR Million), 2011–2016 ...... 42 Table 10: Irish Foodservice: Sales Forecasts by Sector, (US$ Million), 2011–2016 ...... 42 Table 11: Irish Foodservice: Sales Forecast by Channel, (EUR Million), 2011–2016 ...... 44 Table 12: Irish Foodservice: Sales Forecast by Channel, (US$ Million), 2011–2016 ...... 44 Table 13: Irish Profit Sector: Segmentation by Channel, (% Value), 2006–2016 ...... 46 Table 14: Irish Profit Sector: Outlets by Channel, 2006–2011 ...... 49 Table 15: Irish Profit Sector: Outlets by Channel, 2011–2016 ...... 49 Table 16: Irish Profit Sector: Sales per Outlet by Channel, (EUR Thousand), 2006–2011...... 49 Table 17: Irish Profit Sector: Sales per Outlet Forecast by Channel, (EUR Thousand), 2011–2016 ...... 50 Table 18: Irish Profit Sector: Sales per Outlet by Channel, (US$ Thousand), 2006–2011 ...... 50 Table 19: Irish Profit Sector :Sales per Outlet Forecast by Channel, (US$ Thousand), 2011–2016...... 50 Table 20: Irish Profit Sector: Transactions by Channel (Million), 2006–2011 ...... 52 Table 21: Irish Profit Sector: Profit Transactions by Channel (Million), 2011–2016...... 52 Table 22: Irish Profit Sector: Transactions per Outlet per Week by Channel, 2006–2011 ...... 52 Table 23: Irish Profit Sector: Transactions per Outlet per Week Forecast by Channel, 2011–2016 ...... 53 Table 24: Irish Cost Sector: Segmentation by Channel, (% Value), 2006–2016 ...... 56 Table 25: Irish Cost Sector: Outlets by Channel, 2006–2011 ...... 58 Table 26: Irish Cost Sector: Outlets by Channel, 2011–2016 ...... 58 Table 27: Irish Cost Sector: Sales per Outlet by Channel, (EUR Thousand), 2006–2011...... 58 Table 28: Irish Cost Sector: Sales per Outlet Forecast by Channel, (EUR Thousand), 2011–2016 ...... 58 Table 29: Irish Cost Sector: Sales per Outlet by Channel, (US$ Thousand), 2006–2011 ...... 59 Table 30: Irish Cost Sector: Sales per Outlet Forecast by Channel, (US$ Thousand), 2011–2016 ...... 59 Table 31: Irish Cost Sector: Transactions by Channel (Million), 2006–2011 ...... 60 Table 32: Irish Cost Sector: Cost Transactions by Channel (Million), 2011–2016 ...... 61 Table 33: Irish Cost Sector :Transactions per Outlet per Week by Channel, 2006–2011...... 61 Table 34: Irish Cost Sector: Transactions per Outlet per Week Forecast by Channel, 2011–2016 ...... 61 Table 35: Irish Accommodation Channel: Sales by Sub-Channel, (EUR Million), 2006–2011 ...... 68 Table 36: Irish Accommodation Channel: Sales Forecast by Sub-Channel, (EUR Million), 2011–2016 ...... 68 Table 37: Irish Accommodation Channel: Sales by Sub-Channel, (US$ Million), 2006–2011 ...... 69 Table 38: Irish Accommodation Channel: Sales Forecasts by Sub-Channel, (US$ Million), 2011–2016 ...... 69 Table 39: Irish Accommodation Channel: Outlets by Sub-Channel, 2006–2011 ...... 71 Table 40: Irish Accommodation Channel: Outlets Forecasts by Sub-Channel, 2011–2016 ...... 72 Table 41: Irish Accommodation Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011 ...... 72 Table 42: Irish Accommodation Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 73 Table 43: Irish Accommodation Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016 ...... 73 Table 44: Irish Accommodation Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 73 Table 45: Irish Accommodation Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 75 Table 46: Irish Accommodation Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 75 Table 47: Irish Accommodation Channel: Transactions per Outlet per Week by Sub-Channel, 2006–2016 ...... 75 Table 48: Irish Accommodation: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 76 Table 49: Irish Leisure Channel: Sales by Sub-Channel, (EUR Million), 2006–2011 ...... 81 Table 50: Irish Leisure Channel: Sales Forecast by Sub-Channel, (EUR Million), 2011–2016 ...... 81 Table 51: Irish Leisure Channel: Sales by Sub-Channel, (US$ Million), 2006–2011 ...... 81 Table 52: Irish Leisure Channel: Sales Forecasts by Sub-Channel, (US$ Million), 2011–2016 ...... 81 Table 53: Irish Leisure Channel: Outlets by Sub-Channel, 2006–2011 ...... 83 Table 54: Irish Leisure Channel: Outlets Forecasts by Sub-Channel, 2011–2016 ...... 84 Table 55: Irish Leisure Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011 ...... 84 Table 56: Irish Leisure Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 84 Table 57: Irish Leisure Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016 ...... 85 Table 58: Irish Leisure Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 85

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INTRODUCTION

Table 59: Irish Leisure Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 86 Table 60: Irish Leisure Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 86 Table 61: Irish Leisure Channel: Transactions per Outlet per Week by Sub-Channel, 2006–2016 ...... 87 Table 62: Irish Leisure: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 87 Table 63: Irish Pubs, Clubs and Bars Channel: Sales by Sub-Channel, (EUR Million), 2006–2011 ...... 90 Table 64: Irish Pubs, Clubs and Bars Channel: Sales Forecast by Sub-Channel, (EUR Million), 2011–2016 ...... 91 Table 65: Irish Pubs, Clubs and Bars Channel: Sales by Sub-Channel, (US$ Million), 2006–2011 ...... 91 Table 66: Irish Pubs, Clubs and Bars Channel: Sales Forecasts by Sub-Channel, (US$ Million), 2011–2016 ...... 91 Table 67: Irish Pubs, Clubs and Bars Channel: Outlets by Sub-Channel, 2006–2011 ...... 94 Table 68: Irish Pubs, Clubs and Bars Channel: Outlets Forecasts by Sub-Channel, 2011–2016 ...... 94 Table 69: Irish Pubs, Clubs and Bars Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011 ...... 94 Table 70: Irish Pubs, Clubs and Bars Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 95 Table 71: Irish Pubs, Clubs and Bars Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016 ...... 95 Table 72: Irish Pubs, Clubs and Bars Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 95 Table 73: Irish Pubs, Clubs and Bars Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 96 Table 74: Irish Pubs, Clubs and Bars Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 97 Table 75: Irish Pubs, Clubs and Bars Channel: Transactions per Outlet per Week by Sub-Channel,2006–2016 ...... 97 Table 76: Irish Pubs, Clubs and Bars: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 97 Table 77: Irish Restaurants Channel: Sales by Sub-Channel, (EUR Million), 2006–2011 ...... 101 Table 78: Irish Restaurants Channel: Sales Forecast by Sub-Channel, (EUR Million), 2011–2016 ...... 101 Table 79: Irish Restaurants Channel: Sales by Sub-Channel, (US$ Million), 2006–2011 ...... 101 Table 80: Irish Restaurants Channel: Sales Forecasts by Sub-Channel, (US$ Million), 2011–2016 ...... 102 Table 81: Irish Restaurants Channel: Outlets by Sub-Channel, 2006–2011 ...... 104 Table 82: Irish Restaurants Channel: Outlets Forecasts by Sub-Channel, 2011–2016 ...... 104 Table 83: Irish Restaurants Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011...... 104 Table 84: Irish Restaurants Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 105 Table 85: Irish Restaurants Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016...... 105 Table 86: Irish Restaurants Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 105 Table 87: Irish Restaurants Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 106 Table 88: Irish Restaurants Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 107 Table 89: Irish Restaurants Channel: Transactions per Outlet per Week by Sub-Channel, 2006–2016...... 107 Table 90: Irish Restaurants Channel: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 107 Table 91: Irish Retail Channel: Sales by Sub-Channel, (EUR Million), 2006–2011...... 111 Table 92: Irish Retail Channel: Sales Forecast by Sub-Channel, (EUR Million), 2011–2016 ...... 111 Table 93: Irish Retail Channel: Sales by Sub-Channel, (US$ Million), 2006–2011 ...... 111 Table 94: Irish Retail Channel: Sales Forecasts by Sub-Channel, (US$ Million), 2011–2016 ...... 112 Table 95: Irish Retail Channel: Outlets by Sub-Channel, 2006–2011 ...... 114 Table 96: Irish Retail Channel: Outlets Forecasts by Sub-Channel, 2011–2016 ...... 114 Table 97: Irish Retail Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011 ...... 115 Table 98: Irish Retail Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 115 Table 99: Irish Retail Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016 ...... 115 Table 100: Irish Retail Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 116 Table 101: Irish Retail Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 117 Table 102: Irish Retail Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 118 Table 103: Irish Retail Channel: Transactions per Outlet per Week by Sub-Channel, 2006–2016...... 118 Table 104: Irish Retail Channel: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 119 Table 105: Irish Travel Channel: Sales by Sub-Channel, (EUR Million), 2006–2011 ...... 123 Table 106: Irish Travel Channel: Sales Forecast by Sub-Channel, (EUR Million), 2011–2016 ...... 123 Table 107: Irish Travel Channel: Sales by Sub-Channel, (US$ Million), 2006–2011 ...... 123 Table 108: Irish Travel Channel: Sales Forecasts by Sub-Channel, (US$ Million), 2011–2016 ...... 124 Table 109: Irish Travel Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 126 Table 110: Irish Travel Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 126 Table 111: Irish Travel: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 126 Table 112: Irish Workplace Channel: Sales by Sub-Channel, (EUR Million), 2006–2011 ...... 130 Table 113: Irish Workplace Channel: Sales Forecast by Sub-Channel, (EUR Million), 2011–2016 ...... 130 Table 114: Irish Workplace Channel: Sales by Sub-Channel, (US$ Million), 2006–2011 ...... 130 Table 115: Irish Workplace Channel: Sales Forecasts by Sub-Channel, (US$ Million), 2011–2016 ...... 131 Table 116: Irish Workplace Channel: Outlets by Sub-Channel, 2006–2011 ...... 133 Table 117: Irish Workplace Channel: Outlets Forecasts by Sub-Channel, 2011–2016 ...... 133 Table 118: Irish Workplace Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011 ...... 133 Table 119: Irish Workplace Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 134

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Table 120: Irish Workplace Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016 ...... 134 Table 121: Irish Workplace Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 134 Table 122: Irish Workplace Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 135 Table 123: Irish Workplace Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 135 Table 124: Irish Workplace Channel: Transactions per Outlet per Week by Sub-Channel, 2006–2016 ...... 136 Table 125: Irish Workplace: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 136 Table 126: Irish Education Channel: Sales by Sub-Channel (EUR Million), 2006–2011 ...... 138 Table 127: Irish Education Channel: Sales Forecast by Sub-Channel (EUR Million), 2011–2016 ...... 138 Table 128: Irish Education Channel: Sales by Sub-Channel (US$ Million), 2006–2011 ...... 139 Table 129: Irish Education Channel: Sales Forecast by Sub-Channel (US$ Million), 2011–2016 ...... 139 Table 130: Irish Education Channel: Outlets by Sub-Channel, 2006–2011 ...... 142 Table 131: Irish Education Channel: Outlet Forecasts by Sub-Channel, 2011–2016...... 142 Table 132: Irish Education Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011 ...... 143 Table 133: Irish Education Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 143 Table 134: Irish Education Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016 ...... 143 Table 135: Irish Education Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 144 Table 136: Irish Education Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 145 Table 137: Irish Education Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 146 Table 138: Irish Education Channel: Transactions per Outlet per Week by Sub-Channel, 2006–2016 ...... 146 Table 139: Irish Education Channel: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 147 Table 140: Irish Healthcare Channel: Sales by Sub-Channel (EUR Million), 2006–2011...... 148 Table 141: Irish Healthcare Channel: Sales Forecast by Sub-Channel (EUR Million), 2011–2016 ...... 149 Table 142: Irish Healthcare Channel: Sales by Sub-Channel (US$ Million), 2006–2011 ...... 149 Table 143: Irish Healthcare Channel: Sales Forecasts by Sub-Channel (US$ Million), 2011–2016 ...... 149 Table 144: Irish Healthcare Channel: Outlets by Sub-Channel, 2006–2011 ...... 152 Table 145: Irish Healthcare Channel: Outlets Forecasts by Sub-Channel, 2011–2016 ...... 152 Table 146: Irish Healthcare Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011...... 152 Table 147: Irish Healthcare Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 153 Table 148: Irish Healthcare Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016...... 153 Table 149: Irish Healthcare Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 153 Table 150: Irish Healthcare Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 154 Table 151: Irish Healthcare Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 155 Table 152: Irish Healthcare Channel: Transactions per Outlet per Week by Sub-Channel, 2006–2016...... 155 Table 153: Irish Healthcare: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 155 Table 154: Irish Military and Civil Defense Channel: Sales by Sub-Channel (EUR Million), 2006–2011 ...... 157 Table 155: Irish Military and Civil Defense Channel: Sales Forecast by Sub-Channel (EUR Million), 2011–2016 ...... 158 Table 156: Irish Military and Civil Defense Channel: Sales by Sub-Channel (US$ Million), 2006–2011...... 158 Table 157: Irish Military and Civil Defense Channel: Sales Forecasts by Sub-Channel (US$ Million), 2011–2016 ...... 158 Table 158: Irish Military and Civil Defense Channel: Outlets by Sub-Channel, 2006–2011 ...... 160 Table 159: Irish Military and Civil Defense Channel: Outlets Forecast by Sub-Channel, 2011–2016 ...... 160 Table 160: Irish Military and Civil Defense Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011 ...... 161 Table 161: Irish Military and Civil Defense Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 161 Table 162: Irish Military and Civil Defense Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016 ...... 161 Table 163: Irish Military and Civil Defense Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 161 Table 164: Irish Military and Civil Defense Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 163 Table 165: Irish Military and Civil Defense Channel: Transactions Forecasts by Sub-Channel (Million), 2011–2016 ...... 163 Table 166: Irish Military and Civil Defense Channel: Transactions per Outlet per Week by Sub-Channel, 2006–2016 ...... 163 Table 167: Irish Military and Civil Defense: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 164 Table 168: Irish Welfare and Services Channel: Sales by Sub-Channel (EUR Million), 2006–2011 ...... 166 Table 169: Irish Welfare and Services Channel: Sales Forecast by Sub-Channel (EUR Million), 2011–2016 ...... 167 Table 170: Irish Welfare and Services Channel: Sales by Sub-Channel (US$ Million), 2006–2011 ...... 167 Table 171: Irish Welfare and Services Channel: Sales Forecasts by Sub-Channel (US$ Million), 2011–2016 ...... 167 Table 172: Irish Welfare and Services Channel: Outlets by Sub-Channel, 2006–2011 ...... 170 Table 173: Irish Welfare and Services Channel: Outlets Forecasts by Sub-Channel, 2011–2016 ...... 170 Table 174: Irish Welfare and Services Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2006–2011 ...... 170 Table 175: Irish Welfare and Services Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2006–2011 ...... 170 Table 176: Irish Welfare and Services Channel: Sales per Outlet by Sub-Channel (EUR Thousand), 2011–2016 ...... 171 Table 177: Irish Welfare and Services Channel: Sales per Outlet by Sub-Channel (US$ Thousand), 2011–2016 ...... 171 Table 178: Irish Welfare and Services Channel: Transactions by Sub-Channel (Million), 2006–2011 ...... 172 Table 179: Irish Welfare and Services Channel: Transaction Forecasts by Sub-Channel (Million), 2011–2016 ...... 173 Table 180: Irish Welfare and Services Channel: Transactions per Outlet per Week by Sub-Channel, 2006–2016 ...... 173

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INTRODUCTION

Table 181: Irish Welfare and Services: Average Transaction Price by Sub-Channel (EUR), 2006–2016 ...... 173 Table 182: Ireland Leading Financial Deals: Recent Foodservice Financial Deals ...... 174 Table 184: Abrakebabra Limited: Main Products and Services ...... 175 Table 185: Butlers Chocolate Cafe: Main Products and Services ...... 177 Table 186: Insomnia Coffee Company: Main Products and Services ...... 178 Table 187: McDonald's Restaurants of Ireland Limited: Main Products and Services...... 180 Table 188: Starbucks Coffee Company Ireland: Main Products and Services ...... 182 Table 189: Supermac's (Ireland) Limited: Main Products and Services ...... 183 Table 190: Zumo International: Main Products and Services ...... 185 Table 191: Kylemore Services Group: Main Products and Services ...... 189 Table 192: Four Star Pizza Ireland Ltd: Main Products and Services ...... 192

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INTRODUCTION

LIST OF FIGURES

Figure 1: Irish Foodservice: Sales by Channel, (%), 2011 ...... 24 Figure 2: Irish Foodservice: Sales by Sector, (%), 2006 vs. 2011 ...... 24 Figure 3: Irish Consumer Foodservice Trend – KFC‟s new punch-line “sogood” – an effort to promote healthier image...... 29 Figure 4: Irish Consumer Foodservice Trend – McDonald‟s Ireland Launched New Wraps Menu ...... 30 Figure 5: Irish Consumer Foodservice Trend – Admiral, Dublin‟s nautical themed restaurant ...... 31 Figure 6: Irish Consumer Foodservice Trend – Esquires Coffee Houses introduced New Flattie ...... 32 Figure 7: Irish Consumer Foodservice Trend – The Taste of Everest, an Asian cuisine restaurant in Ireland ...... 32 Figure 8: Irish Technology Foodservice Trend – Insomnia Coffee Company is using Facebook to promote its Fairtrade Fortnight 2012 campaign ...... 33 Figure 9: Irish Technology Foodservice Trend – Usage of QR Codes ...... 34 Figure 10: Irish Technology Foodservice Trend – Restaurant.ie providing iPhone apps...... 35 Figure 11: Irish Operator Foodservice Trend – ‟s Nutrition and Allergen Guide ...... 36 Figure 12: Irish Operator Foodservice Trend – Insomnia Coffee Company introduced low fat lunch range at competitive prices ...... 37 Figure 13: Irish Operator Foodservice Trend – ARAMARK Ireland Promoting Traditional Irish Locally Sourced Food ...... 38 Figure 14: Irish Operator Foodservice Trend – McDonald‟s Extra Value Meal ...... 39 Figure 15: Irish Operator Foodservice Trend – Lets Eat In launched “Real Deal Meals” menu...... 40 Figure 16: Irish Operator Foodservice Trend – Amicus Restaurant providing casual dining experience ...... 41 Figure 17: Irish Foodservice: Market Dynamics by Channel, 2006–2016 ...... 43 Figure 18: Irish Profit Sector: Market Dynamics, by Channel, 2006–2016 ...... 46 Figure 19: Irish Profit Sector: Outlets by Channel, 2006–2016 ...... 48 Figure 20: Irish Profit Sector: Transactions by Channel, 2006–2016 ...... 51 Figure 21: Irish Cost Sector: Market Dynamics, by Channel, 2006–2016 ...... 55 Figure 22: Irish Cost Sector: Outlets by Channel, 2006–2016 ...... 57 Figure 23: Irish Cost Sector: Transactions by Channel, 2006–2016 ...... 60 Figure 24: Irish Accommodation Channel: Five Forces Analysis ...... 65 Figure 25: Irish Accommodation Channel: Market Dynamics, by Sub-Channel (EUR Million), 2006–2016 ...... 67 Figure 26: Irish Accommodation Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 70 Figure 27: Irish Accommodation Channel: Outlets by Sub-Channel (% Outlets), 2006–2016 ...... 71 Figure 28: Irish Accommodation Channel: Transactions by Sub-Channel (% Transactions), 2006–2016 ...... 74 Figure 29: Irish Leisure Channel: Five Forces Analysis ...... 77 Figure 30: Irish Leisure Channel: Market Dynamics, by Sub-Channel (EUR Million), 2006–2016 ...... 80 Figure 31: Irish Leisure Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 82 Figure 32: Irish Leisure Channel: Outlets by Sub-Channel (% Outlets), 2006–2016 ...... 83 Figure 33: Irish Leisure Channel: Transactions by Sub-Channel (% Transactions), 2006–2016 ...... 86 Figure 34: Irish Pubs, Clubs and Bars Foodservices Channel: Five Forces Analysis ...... 88 Figure 35: Irish Pubs, Clubs and Bars Channel: Market Dynamics, by Sub-Channel (EUR Million), 2006–2016 ...... 90 Figure 36: Irish Pubs, Clubs and Bars Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 92 Figure 37: Irish Pubs, Clubs and Bars Channel: Outlets by Sub-Channel (% Outlets), 2006–2016 ...... 93 Figure 38: Irish Pubs, Clubs and Bars Channel: Transactions by Sub-Channel (% Transactions), 2006–2016 ...... 96 Figure 39: Irish Restaurant Channel: Five Forces Analysis ...... 98 Figure 40: Irish Restaurant Channel: Market Dynamics, by Sub-Channel (EUR Million), 2006–2016 ...... 100 Figure 41: Irish Restaurants Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 102 Figure 42: Irish Restaurants Channel: Outlets by Sub-Channel (% Outlets), 2006–2016 ...... 103 Figure 43: Irish Restaurants Channel: Transactions by Sub-Channel (% Transactions), 2006–2016 ...... 106 Figure 44: Irish Retail Channel: Five Forces Analysis ...... 108 Figure 45: Irish Retail Channel: Market Dynamics, by Sub-Channel (EUR Million), 2006–2016 ...... 110 Figure 46: Irish Retail Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 112 Figure 47: Irish Retail Channel: Outlets by Sub-Channel (% Outlets), 2006–2016 ...... 113 Figure 48: Irish Retail Channel: Transactions by Sub-Channel (% Transactions), 2006–2016 ...... 117 Figure 49: Irish Travel Channel: Five Forces Analysis ...... 120 Figure 50: Irish Travel Channel: Market Dynamics, by Sub-Channel (EUR Million), 2006–2016 ...... 122 Figure 51: Irish Travel Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 124 Figure 52: Irish Travel Channel: Transactions by Sub-Channel (% Transactions), 2006–2016 ...... 125 Figure 53: Irish Workplace Channel: Five Forces Analysis ...... 127 Figure 54: Irish Workplace Channel: Market Dynamics, by Sub-Channel (EUR Million), 2006–2016 ...... 129 Figure 55: Irish Workplace Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 131 Figure 56: Irish Workplace Channel: Outlets by Sub-channel (% Outlets), 2006–2016 ...... 132 Figure 57: Irish Workplace Channel: Transactions by Sub-Channel (% Transactions), 2006–2016 ...... 135

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INTRODUCTION

Figure 58: Irish Education Channel: Market Dynamics by Sub-Channel (EUR Million), 2006–2016 ...... 137 Figure 59: Irish Education Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 140 Figure 60: Irish Education Channel: Outlets by Sub-Channel (% Outlets), 2006–2016 ...... 141 Figure 61: Irish Education Channel: Transactions by Sub-Channel (% Transactions), 2006–2016...... 145 Figure 62: Irish Healthcare Channel: Market Dynamics by Sub-Channel (EUR Million), 2006–2016 ...... 148 Figure 63: Irish Healthcare Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 150 Figure 64: Irish Healthcare Channel: Outlets by Sub-Channel (% Outlets), 2006–2016 ...... 151 Figure 65: Irish Healthcare Channel: Transactions by Sub-Channel (% Transactions), 2006–2016 ...... 154 Figure 66: Irish Military and Civil Defense Channel: Market Dynamics by Sub-Channel (EUR Million), 2006–2016 ...... 157 Figure 67: Irish Military and Civil Defense Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 159 Figure 68: Irish Military and Civil Defense Channel: Outlets by Sub-Channel (% Outlets), 2006–2016 ...... 160 Figure 69: Irish Military and Civil Defense Channel: Transactions by Sub-Channel (% Transactions), 2006–2016...... 162 Figure 70: Irish Welfare and Services Channel: Market Dynamics by Sub-Channel (EUR Million), 2006–2016 ...... 166 Figure 71: Irish Welfare and Services Channel: Sales by Sub-Channel (% Sales), 2006–2016 ...... 168 Figure 72: Irish Welfare and Services Channel: Outlets by Sub-Channel (% Outlets), 2006–2016 ...... 169 Figure 73: Irish Welfare and Services Channel: Transactions by Sub-Channel (% Transactions), 2006–2016 ...... 172 Figure 74: Ireland GDP Value at Constant Prices (US$ billion), 2006–2016...... 193 Figure 75: Ireland GDP Per Capita at Constant Prices (US$), 2006–2016 ...... 193 Figure 76: Ireland GDP Split by Key Segments (% of GDP), 2011 ...... 194 Figure 77: Ireland Inflation (%), 2006 – 2016 ...... 194 Figure 78: Ireland Net Debt as Percentage of GDP (%), 2006–2011 ...... 195 Figure 79: Total Labor Force in Ireland (in 15–59 Age Group, Million), 2006–2016 ...... 195 Figure 80: Ireland Female Labor Force, 2006–2016 ...... 196 Figure 81: Ireland's Rate of Unemployment 2006–2016 ...... 196 Figure 82: Ireland Population Distribution by Age (%), 2006–2016 ...... 197 Figure 83: Ireland‟s Life Expectancy at Birth (Years) 2006–2016 ...... 197 Figure 84: Ireland Urban and Rural Population (%), 2006–2016 ...... 198 Figure 85: Number of Households in Ireland, 2006–2016 ...... 198 Figure 86: Marriages in Ireland, 2006–2016 ...... 199 Figure 87: Irish Annual Per Capita Disposable Income (US$), 2006–2016 ...... 200 Figure 88: Obese Population as a Percentage of the Total Irish Population, 2006–2016 ...... 200 Figure 89: Ireland Calorie Supply per Capita, 2006–2016 ...... 201 Figure 90: Ireland Calorie Supply Per Capita from Animal Products, 2006–2016 ...... 201 Figure 91: Healthcare Expenditure as a Percentage of Irish GDP (%), 2006–2016 ...... 202

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INTRODUCTION

1 Introduction

1.1 What is this Report About?

This report is the result of Canadean‟s extensive market and company research covering the Irish foodservice industry. It provides detailed analysis of both historic and forecast foodservice industry values at channel level, analysis of the leading companies in the industry, and Ireland‟s business environment and landscape.

“Ireland Foodservice: The Future of Foodservice in Ireland to 2016” provides a top-level overview and detailed market, channel, and company-specific insights into the operating environment for foodservice companies. It is an essential tool for companies active across the Irish foodservice value chain, and for new companies considering entering the market.

1.2 Definitions

Time Frame For the purposes of this report, the following timeframes apply:

Review period: 2006–2011 Forecast period: 2012–2016

This report focuses on the value of the foodservice industry, based on the total revenue generated by both the profit and cost sectors each year.

Exchange Rate and Data

All the data is collected in local currency. Annual growth rates from local currencies to US dollars may vary as all conversions into US dollars of historical data are made at that year‟s average annual conversion rate, while conversions for the current and forecast years are made at 2011‟s annual average. All values in tables are displayed to one decimal place, with the exception of compound annual growth rate (CAGR) values, which are displayed to two decimal places. Growth rates may, therefore, appear inconsistent with absolute values due to this rounding method.

1.2.1 This report provides 2011 actual sales; while forecasts are provided for 2012 – 2016.

Table 1: Irish Exchange Rate EUR-US$ (Annual Average), 2006–2011

Sector 2006 2006 2007 2008 2009 2011 EUR-US$ Exchange Rate (Annual Average) 1.25622 1.37074 1.47134 1.39463 1.32789 1.39284

Source: Canadean © Canadean

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INTRODUCTION

Key Foodservice Definitions

Table 2: Canadean Key Foodservice Definitions Term Definition Foodservice Foodservice is defined as the cost of all food and drink, including on-trade drinks not drunk with food, for immediate consumption on the premises or in designated eating areas shared with other foodservice operators, or, in the case of takeaway transactions, freshly prepared food for immediate consumption. Foodservice is restricted to the sale of food and drink in specific foodservice channels defined below and excludes vending machines. Profit Sector A number of foodservice channels have been grouped together to be termed the 'Profit Sector‟. These include Accommodation, Leisure, Restaurants, Retail, Travel, Workplace, and Pubs, Clubs and Bars. Neither operators nor consumers, or companies in the case of the Workplace channel, typically receive a subsidy for the foodservice transaction, and largely represent non-state foodservice operations. Cost Sector A number of foodservice channels have been grouped together to be termed the 'Cost Sector'. These include Healthcare, Education, Military and Civil Defense, and Welfare and Services. This sector typically represents the state‟s foodservice operations. Food Transactions The total number of visits by individuals to foodservice locations that involve the consumption of either food, or food and drink. Drink-only transactions are excluded from transaction data, but covered in sales data; if several people visit one location at once and there is only one bill, such as a group dining in a restaurant, the number of transactions is counted as being one for each person in the group. The concept of „meals‟ is broadly analogous to transaction data, less a typically very small amount for snack-only transactions. Operator Selling Prices Operator Selling Prices represent the amount that the consumer spends on food and drinks in foodservice (OSP) channels, once the foodservice operator has added on any fees and levies and their margin. This is often known as "retail sales equivalent" and represents the end value of the foodservice market. All sales data is provided in OSP Outlet A foodservice outlet is defined as a single point of sale location which is actively involved in the preparation and sale, or complementary provision, of food and drinks, for either immediate consumption on the premises, or in designated eating areas shared with other foodservice operators, or, in the case of takeaway transactions, freshly prepared food and drink for immediate off-premise consumption. An outlet is considered a discrete entity if all foodservice operations within it are run by the same organization, for example, a hotel that runs its own bar and restaurant represents one hotel outlet. Any concessions or franchises run at the location of another outlet are considered separate entities, for example a hotel that has a Starbucks operated by a franchisee counts as one hotel outlet and one coffee shop outlet. A license to operate all the different foodservice channels or brands at another outlet are still considered to be one outlet if these are all operated by a single provider; a caterer operating the cafes, restaurants and staff and student canteens at a university, for example, counts as one university outlet. Concession The grant of a license to provide foodservice operations by the owner of an outlet, such as an airport, amusement park or hotel, on that premise, typically in exchange for rent or a certain percentage of the sales or earnings to the grantor. Source: Canadean © Canadean

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INTRODUCTION

Profit Sector Definitions

Table 3: Canadean Profit Sector Definitions Channel Sub-Channel Outlet Sales Accommodation Bed and Breakfasts Residential properties that have been modified to Includes sales via on-site, non- (B&B) offer paid lodging, accommodation services and concession restaurants, pubs, clubs breakfast meals to guests, and where the owner- and bars. operator lives on the property. These are typically small establishments offering no more than 10 private rooms for lodging. Guest Houses Locations that provide paid lodging and Includes sales via on-site, non- accommodation services to their guests with a concession restaurants, pubs, clubs number of rooms that are en-suite, typically and bars. offering more rooms than a B&B but fewer than 30 private bedrooms and where the owner- operator does not live in the same property as the guests. Meals may or may not be included. This excludes all bed and breakfasts and hotels and motels. Holiday Parks Holiday resort sites that contain collective Includes sales via on-site, non- apartments, static caravans or homes that offer concession restaurants, pubs, clubs paid lodging services to guests for tourist use, and bars. either in serviced or self-catered accommodation, on dedicated shared grounds with full service entertainment offerings and facilities and dining services. Holiday Parks are distinguished from other collectively managed holiday accommodation sites by their dedicated resort complex and inclusive leisure facilities and entertainment services. Holiday parks do not include sites for those bringing their own caravan or tent; this is covered under Caravan and Camp Sites. Hostels Locations that provide paid lodging services to Includes sales via on-site, non- guests with some portion of the establishment concession restaurants, pubs, clubs offering shared accommodation facilities, such and bars. as dormitories and shared washrooms. These locations are typically budget-oriented. Hostels exclude non-commercial accommodation provided by charities or housing associations for subsidized or non-paying guests. Hotels and Motels Locations that provide paid lodging and full guest Hotel and Motel sales exclude food services to their guests typically with a and drink sales through on-site continuous staff presence, and, in the case of conference facilities; this is covered motels, off-street parking facilities, but not under the Leisure channel‟s Venue necessarily meal services. sub-channel. Hotels include sales via on-site, non-concession restaurants and pubs, clubs and bars. Leisure Entertainment Locations that operate arts or leisure pursuits Includes sales via on-site, non- which are open to the public, or upon becoming concession restaurants, pubs, clubs a member, for participation or spectating for the and bars purpose of entertainment rather than sightseeing or education. These include a range of venues including but not limited to: bingo halls, bowling venues, casinos, cinemas, football clubs, other sports clubs, ice rinks, theatres, show grounds and racecourses. This excludes private member and social clubs.

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INTRODUCTION

Table 3: Canadean Profit Sector Definitions Venues Fitness centers, leisure centers, conference and Includes sales via hotel and motel exhibition centers that have on-site foodservice conference sales. operations or event catering. This includes hotel and motel conference facilities and associated foodservice sales

Visitor Attractions A location which is open to the public where it is Includes sales via on-site, non- feasible to charge admission for the primary concession restaurants, pubs, clubs purpose of sightseeing and which can be and bars. classified as a single business under single management. The attraction must be a permanently established excursion destination, a primary purpose of which is to allow access for entertainment, interest, or education, rather than being primarily a retail outlet or a venue for sporting, theatrical or film performances. Pubs, Clubs and Pubs and Bars Drinking establishments that have on-trade Excludes sales via pubs, clubs and Bars alcohol licensing arrangements, this may include bars with serviced accommodation pubs or bars that are either freehold, tenanted or stock; these outlets are classed as managed, with or without a restaurant, however accommodation. more than 50% of revenue should be from drinks. This excludes private members and social clubs and nightclubs. Pubs and bars that have serviced accommodation provisions are always classified under accommodation. Private Member Dedicated establishments used for the sole Excludes sales via pubs, clubs and and Social Clubs purpose of providing a social environment to bars with serviced accommodation groups affiliated by a common membership stock: these outlets are classed as scheme and are, therefore, not open to the accommodation. general public, such as political clubs, private members clubs or working clubs. These sites often have a license to sell alcohol. This excludes sports clubs which are covered under entertainment outlets. Nightclubs Drinking and entertainment establishments that Excludes sales via pubs, clubs and have extended on-trade alcohol licensing hours bars with serviced accommodation arrangements and provide music entertainment stock; these outlets are classed as where the focus is on dancing. Nightclubs may accommodation. serve food. For countries with no restrictions on licensing hours, nightclubs are distinguished by the entertainment offered. Restaurants Full-Service Eating establishments primarily focused on the Excludes sales via Restaurants with Restaurants provision of meals with a full table service and serviced accommodation stock; these payment occurring after consumption. These outlets are classed as locations typically serve alcohol. Takeaway accommodation. services are either typically not offered or constitute a small proportion of revenues. Pubs and bars that generate more than 50% of revenues from food and offer table service are considered full-service restaurants. Restaurants that have serviced accommodation stock are always classified under accommodation.

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INTRODUCTION

Table 3: Canadean Profit Sector Definitions Quick-Service Eating establishments primarily focused on the Excludes sales via restaurants with Restaurants and provision of meals or soft drinks, but not hot serviced accommodation stock; these beverages, with limited or no table service and outlets are classed as with payment occurring before consumption. accommodation. These locations typically do not serve alcohol and are characterized by short order times. This excludes coffee and tea shops and ice cream vendors. Restaurants that have serviced accommodation stock are always classified under accommodation.

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INTRODUCTION

Coffee and Tea Foodservice establishments that may serve a Excludes sales via Restaurants with Shops mix of food and drink but the focus and core serviced accommodation stock; these offering is on the provision of coffee or tea for outlets are classed as immediate consumption on premise or takeaway, accommodation. and will often have limited seating on site for customers with limited table service, but may also frequently operate from kiosks or mobile units. This excludes establishments that do not specialize in coffee or tea provision. Restaurants that have serviced accommodation stock are always classified under accommodation. Retail Baker Retailers that specialize in the production and Sales include all types of foodservice sale of bakery goods to consumers that have in- offered in-store to customers including store foodservice provision for customers. takeaway, catering for staff is excluded. Concession sales are excluded Convenience Stores Stores, kiosks and newsstands of area generally Sales include all types of foodservice less than 300 square meters that specialize in a offered in-store to customers including limited range of food and grocery products takeaway, catering for staff is designed primarily for convenience-seeking excluded. Concession sales are consumers, and that have in-store foodservice excluded provision for customers. Delicatessens Retail outlets that specialize in deli foods, such Sales include all types of foodservice as cured meats, fermented meats, pates, offered in-store to customers including cheeses, home-made, locally-sourced and/or takeaway, catering for staff is fine foods from non-mainstream brand excluded. Concession sales are manufacturers, and that have in-store excluded foodservice provision for customers. Department Stores Multi-category retailers, focusing primarily on Sales include all types of foodservice non-grocery categories with distinct departments offered in-store to customers including specializing in defined product areas, examples takeaway, catering for staff is include Bloomingdale's, Macy's, John Lewis, El excluded. Concession sales are Corte Inglés, and that have in-store foodservice excluded provision for customers. Garden Centers and Home improvement retailers specialize in the Sales include all types of foodservice DIY sale of home improvement tools and materials, offered in-store to customers including primarily aimed at consumer rather than trade takeaway, catering for staff is needs, such as Home Depot or B&Q. Gardening excluded. Concession sales are retailers specialize in the sale of plants and excluded related tools and products, and both must have in-store foodservice provision for customers. Other Retail All retail outlets excluding Bakers, Convenience Sales include all types of foodservice Stores, Department Stores, Garden and Home offered in-store to customers including Improvement Centers, Service Station takeaway, catering for staff is Forecourts and Supermarkets and excluded. Concession sales are Hypermarkets, that have in-store foodservice excluded provision for customers. This may include, for example, bookstores or banks with in-store cafes. Service Station Retail outlets that will typically sell or serve a Sales include all types of foodservice Forecourts limited range of food and drink products, offered in-store to customers including attached to gas stations where fuel is the main takeaway, catering for staff is revenue driver, and that have in-store excluded. Concession sales are foodservice provision for customers. excluded

Supermarkets and Supermarkets include all sales through retailers Sales include all types of foodservice Hypermarkets with floor area of 300–2,500 square meters that offered in-store to customers including offer a wide, departmentalized range of grocery, takeaway, catering for staff is and may carry some general merchandise lines, excluded. Concession sales are such as Sainsbury's or Kroger. Hypermarkets excluded and mass merchandisers include all sales through retailers with floor area over 2,500 square meters that carry full lines of both grocery and general merchandise, such as Wal-Mart.

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INTRODUCTION

Outlets include those with in-store foodservice provision for customers.

Travel Air Air outlets include airports, defined as locations Air foodservice sales include only on- intended to be used either wholly or in part for board sales; these include all the arrival, departure and surface movement of domestic and internal travel aircraft and open for commercial air transport foodservice sales. Lounge sales are operations, that report more than 15,000 covered in their relevant channel. passenger movements per year. Please note that on-board locations are not covered in outlet data. Coach Coach outlets include motorway / highway Coach foodservice sales include only service stations that offer dining services, on-board sales; these include all parking facilities and vehicle refueling facilities; domestic and internal travel this excludes rest stops with no foodservice. foodservice sales. Lounge sales are Please note that on-board locations are not covered in their relevant channel. covered in outlet data. Rail Rail outlets include rail terminals and rail Rail foodservice sales include only on- stations, defined as passenger locations used for board sales; these include all the arrival or departure or stops of scheduled rail domestic and internal travel services. Please note that on-board locations are foodservice sales. Lounge sales are not covered in outlet data. covered in their relevant channel. Sea Sea outlets include seaports, defined as Sea foodservice sales include only on- locations used for the arrival, departure of water board sales; these include all going vessels, these include major or minor ports domestic/internal travel foodservice (sea or inland) that are recognized by a country's sales. Lounge sales are covered in maritime or port authority. Please note that on- their relevant channel board locations are not covered in outlet data. Workplace Government Government department and local authority Includes sales via on-site, non- Department and locations that offer foodservice provision to staff concession restaurants, pubs, clubs Local Authority at work, excluding the feeding of public servants, and bars. such as the army or police, and overseas staff. These may be self-managed outlets or outsourced to contract caterers. This excludes healthcare, education, military and civil defense and welfare and services outlets. Industrial Industrial locations that only offer foodservice Includes sales via on-site, non- provisions to staff at work, such as concession restaurants, pubs, clubs manufacturing plants, mines and oil rigs, this and bars. covers the domestic market, and its territorial waters, if any. These may be self-managed outlets or outsourced to a contract caterer. Retail, Financial and Retail, financial and office-based locations that Includes sales via on-site, non- Office-Based offers foodservice provision to staff at work, such concession restaurants, pubs, clubs as white-collar workplaces. This covers the and bars. Excludes foodservice sales domestic market and its territorial waters, if any, or complementary provision to only, and excludes foodservice provision to customers. customers. These outlets may be self-managed or outsourced to a contract caterer. Source: Canadean © Canadean

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INTRODUCTION

Cost Sector Definitions

Table 4: Canadean Cost Sector Definitions Channel Sub-Channel Outlet Definition Foodservice Sales Definition Education Children's Activity Locations that offer daytime child care services Sales include all types of foodservice Centers with activities and entertainment facilities offered to students and staff on typically for children between 0–3 years of age. premise, but exclude event catering. Further Education Education establishments for post-secondary, Sales include all types of foodservice non-tertiary students for the delivery of a range offered to students and staff on of full- and part-time vocational and academic premise, but exclude event catering. education principally to those above the age range of compulsory education, broadly equivalent to International Standard Classification of Education (ISCED) Level 3 and 4. Often known as Adult Education Centers. Middle Schools Education establishments that fall between Sales include all types of foodservice primary education and secondary education, with offered to students and staff on students from the upper year(s) of primary and premise, but exclude event catering. from the lower year(s) of secondary education. Middle Schools definition will vary by country and will always be mutually exclusive with other education outlets. In the US this outlet is known as Junior High. Pre-Schools Education establishments for pre-primary Sales include all types of foodservice education children that are school-based such as offered to students and staff on nursery schools, kindergartens and for children premise, but exclude event catering. aged at least 3 years, broadly equivalent to International Standard Classification of Education (ISCED) Level 0. Primary Schools Education establishments for primary education Sales include all types of foodservice or first stage of basic education with students offered to students and staff on starting no earlier than 4 years of age and no premise, but exclude event catering. later than 7 years of age and schooling typically for 6 years, broadly equivalent to International Standard Classification of Education (ISCED) Level 1 Secondary Schools Education establishments for lower secondary Sales include all types of foodservice education or second stage of basic education offered to students and staff on students typically to a minimum age of 15 or 16 premise, but exclude event catering. years, as well as upper secondary education to students, often to the age of 18 years (those secondary schools that offer education after the minimum compulsory age but pre-tertiary would be included as Secondary Schools), and often coincides with the end of compulsory national education, broadly equivalent to International Standard Classification of Education (ISCED) Level 2 and 3 Tertiary Institutions Education establishments for post-secondary Sales include all types of foodservice education or post-further education for tertiary offered to students and staff on education typically leading to a degree, post- premise, but exclude event catering. graduate or doctorate qualification, broadly equivalent to International Standard Classification of Education (ISCED) Level 5 and 6. This will include establishments offering MBA qualifications. Training Centers Education establishments offering training Sales include all types of foodservice courses to employees of organizations and offered to students and staff on companies, typically fully subsidized by the premise, but exclude event catering. employer. This excludes military and civil defense training centers.

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INTRODUCTION

Table 4: Canadean Cost Sector Definitions Channel Sub-Channel Outlet Definition Foodservice Sales Definition

Healthcare Hospitals Healthcare establishments that provide medical, Sales include all types of foodservice surgical, emergency, or psychiatric care and offered to all patients, including both treatment for the sick or the injured includes both regular patient feeding and special private and public healthcare. This excludes formulations, visitors and staff on military and civil defense hospitals. premise. Excludes sales via concession restaurants, pubs, clubs and bars. Medical Centers Healthcare establishments typically focused on Includes all foodservice sales or primary care that include clinics, doctor's complementary offerings to patients surgeries, rehabilitation centers and health and visitors. Note that those with centers, but excludes dental surgeries, and overnight treatment, such as includes both private and public healthcare. This rehabilitation centers, will typically excludes hospitals and residential care units, as offer full meal provision. well as military medical centers. Residential Care Residential locations that provide managed care Sales include all types of foodservice Units facilities, most commonly for the elderly, either offered to residents and staff on run by a local authority or by the private sector. premise Military and Civil Air Force Permanent or semi-permanent military Excludes sales via concession Defense establishments that provide foodservice to air restaurants, pubs, clubs and bars. force personnel, such as barracks, bases, training centers, detention centers or hospitals. This is limited to native territorial waters or domestic locations and excludes overseas locations. Army Permanent or semi-permanent military Excludes sales via concession establishments that provide foodservice to land restaurants, pubs, clubs and bars. forces personnel, such as barracks, bases, training centers, detention centers or hospitals. This is limited to native territorial waters or domestic locations and excludes overseas locations. Navy Permanent or semi-permanent military Excludes sales via concession establishments that provide foodservice to naval restaurants, pubs, clubs and bars. forces personnel, such as barracks, bases, training centers, detention centers or hospitals. This is limited to native territorial waters or domestic locations and excludes overseas locations. Police and Police, fire service or ambulance service Sales include all types of foodservice Emergency locations, where ambulance services do not form offered to all front line and back office Services part of other healthcare outlets. staff on the premises. Welfare and Other Welfare and Local authority or non-profit managed locations Sales include all types of foodservice Services Services offering other welfare services such as offered to all residents, visitors and community services, charity services, shelter and staff on the premises. non-commercial accommodation. Prisons Detention centers with foodservice provision for Sales include all types of foodservice the housing of prisoners and those awaiting trial. offered to prisoners and on-premise This excludes police cells or military detention staff. locations. Welfare Meals This channel has no outlets. State meal provision, often part- subsidized, to those customers that are eligible to receive this support, typically as a delivery service but

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INTRODUCTION

Table 4: Canadean Cost Sector Definitions Channel Sub-Channel Outlet Definition Foodservice Sales Definition sometimes at a central meeting location.

Source: Canadean © Canadean

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INTRODUCTION

1.3 Summary Methodology

All Canadean reports are rigorously sourced and created according to a comprehensive four-stage methodology:

Market study

A) Standardization Market definitions are specified using recognized industry classifications. The same definition is used for every country. Annual average currency exchange rates are collected for the latest complete year. These are then applied across both the historical and forecast data to remove exchange rate fluctuations

B) Internal audit Review of in-house databases to gather existing data: Historic market databases and reports Company database Foodservice database

Research

A) Sources Collection of the latest market-specific data from a wide variety of respected industry sources: Government statistics Industry associations Company filings Broker reports International organizations

B) Expert opinion Collation of opinion taken from Canadean journalist interviews of leading industry figures: Analysis of third party opinion and forecasts Industry operators and suppliers Broker reports Industry associations Official government sources

C) Data consolidation and verification

Consolidation of data and opinion to create historical datasets

Creation of models to benchmark data across sectors and geographies

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INTRODUCTION

Analysis

Market forecasts Feed of forecast data into market models: Macroeconomic indicators Industry-specific drivers Analysis of the Canadean Foodservice Database to identify trends by sector

Report writing Analysis of market data Discussion of company and Industry trends and issues Annual review of financial deals, industry contracts and sector news

Quality control

A) Templates Detailed process manuals Standardized report templates and accompanying style guides Complex forecasting tools used to ensure forecast methodologies are consistently applied Quality control checklists

B) Quality control process Peer review Senior-level quality control Randomized spot checks on data integrity Benchmark checks across databases Market data cross-checked for consistency with accumulated data from: o Canadean Foodservice Database o Company filings

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IRISH FOODSERVICE – MARKET ATTRACTIVENESS

2 Irish Foodservice – Market Attractiveness

2.1 Irish Foodservice Market Size

Table 5: Irish Foodservice: Sales by Sector, (EUR Million), 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–2011 Profit Sector Cost Sector OVERALL Source: Canadean © Canadean

Table 6: Irish Foodservice: Sales by Sector, (US$ Million), 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–2011 Profit Sector Cost Sector OVERALL Source: Canadean © Canadean

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IRISH FOODSERVICE – MARKET ATTRACTIVENESS

Figure 1: Irish Foodservice: Sales by Channel, (%), 2011

Source: Canadean © Canadean

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IRISH FOODSERVICE – MARKET ATTRACTIVENESS

Table 7: Irish Foodservice: Sales by Channel, (EUR Million), 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–2011 Accommodation Leisure Pubs, Clubs and Bars Restaurants Retail Travel Workplace Total Profit Sector

Education Healthcare Military and Civil Defense Welfare and Services Total Cost Sector

OVERALL Source: Canadean © Canadean

Table 8: Irish Foodservice: Sales by Channel, (US$ Million), 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–2011 Accommodation Leisure Pubs, Clubs and Bars Restaurants Retail Travel Workplace Total Profit Sector Education Healthcare Military and Civil Defense Welfare and Services Total Cost Sector

OVERALL Source: Canadean © Canadean

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IRISH FOODSERVICE – MARKET ATTRACTIVENESS

2.2 Irish Foodservice Market Forecasts

Table 9: Irish Foodservice: Sales Forecasts by Sector, (EUR Million), 2011–2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–2016 Profit Sector Cost Sector OVERALL

Source: Canadean © Canadean

Table 10: Irish Foodservice: Sales Forecasts by Sector, (US$ Million), 2011–2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–2016 Profit Sector Cost Sector OVERALL Source: Canadean © Canadean

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IRISH FOODSERVICE – MARKET ATTRACTIVENESS

Figure 27: Irish Foodservice: Market Dynamics by Channel, 2006–2016

Source: Canadean © Canadean

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IRISH FOODSERVICE – MARKET ATTRACTIVENESS

Table 11: Irish Foodservice: Sales Forecast by Channel, (EUR Million), 2011–2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–2016 Accommodation Leisure Pubs, Clubs and Bars Restaurants Retail Travel Workplace Total Profit Sector

Education Healthcare Military and Civil Defense Welfare and Services Total Cost Sector

OVERALL Source: Canadean © Canadean

Table 12: Irish Foodservice: Sales Forecast by Channel, (US$ Million), 2011–2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–2016 Accommodation Leisure Pubs, Clubs and Bars Restaurants Retail Travel Workplace

Total Profit Sector

Education Healthcare Military and Civil Defense Welfare and Services

Total Cost Sector

OVERALL Source: Canadean © Canadean

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BUSINESS LANDSCAPE

3 Irish Foodservice – Profit Sector Analysis

3.1 Profit Sector Analysis: Accommodation

3.1.1 Porter’s Five Force Analysis – accommodation

Figure 24: Irish Accommodation Channel: Five Forces Analysis

Source: Canadean © Canadean

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BUSINESS LANDSCAPE

3.1.2 Channel Trend Analysis

Figure 3: Irish Accommodation Channel: Market Dynamics, by Sub-Channel (EUR Million), 2006–2016

Source: Canadean © Canadean

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BUSINESS LANDSCAPE

3.1.3 Channel Size and Forecasts

Table 13: Irish Accommodation Channel: Sales by Sub-Channel, (EUR Million), 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–11

Bed and Breakfast

Guest House

Holiday Park

Hostel

Hotel and Motel Total Source: Canadean © Canadean

Table 14: Irish Accommodation Channel: Sales Forecast by Sub-Channel, (EUR Million), 2011–2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–16 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation Source: Canadean © Canadean

Table 15: Irish Accommodation Channel: Sales by Sub-Channel, (US$ Million), 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–11 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation Source: Canadean © Canadean

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016 Page 32

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Table 16: Irish Accommodation Channel: Sales Forecasts by Sub-Channel, (US$ Million), 2011– 2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–16 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016 Page 33

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Figure 26: Irish Accommodation Channel: Sales by Sub-Channel (% Sales), 2006–2016

Source: Canadean © Canadean

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016 Page 34

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3.1.4 Key Channel Indicators

Channel Structure: Outlets

Figure 4: Irish Accommodation Channel: Outlets by Sub-Channel (% Outlets), 2006–2016

Source: Canadean © Canadean

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016 Page 35

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Table 17: Irish Accommodation Channel: Outlets by Sub-Channel, 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–2011 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Table 18: Irish Accommodation Channel: Outlets Forecasts by Sub-Channel, 2011–2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–2016 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Sales per Outlet

Table 19: Irish Accommodation Channel: Sales per Outlet by Sub-Channel (EUR '000), 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–2011 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016 Page 36

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BUSINESS LANDSCAPE

Table 20: Irish Accommodation Channel: Sales per Outlet by Sub-Channel (US$ '000), 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–2011 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Table 21: Irish Accommodation Channel: Sales per Outlet by Sub-Channel (EUR '000), 2011–2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–2016 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Table 22: Irish Accommodation Channel: Sales per Outlet by Sub-Channel (US$ ‘000), 2011–2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–2016 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016 Page 37

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Channel Demand: Transactions

Figure 5: Irish Accommodation Channel: Transactions by Sub-Channel (% Transactions), 2006–2016

Source: Canadean © Canadean

Table 23: Irish Accommodation Channel: Transactions by Sub-Channel (Million), 2006–2011

Channel 2006 2007 2008 2009 2010 2011 CAGR 2006–2011 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016 Page 38

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BUSINESS LANDSCAPE

Table 24: Irish Accommodation Channel: Transactions Forecasts by Sub-Channel (Million), 2011– 2016

Channel 2011 2012 2013 2014 2015 2016 CAGR 2011–2016 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Table 25: Irish Accommodation Channel: Transactions per Outlet per Week by Sub-Channel, 2006– 2016

Channel 2006 2011 2016 CAGR 2006–2011 CAGR 2011–2016 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Average Transaction Price

Table 26: Irish Accommodation: Average Transaction Price by Sub-Channel (EUR), 2006–2016

Channel 2006 2011 2016 CAGR 2006–2011 CAGR 2011–2016 Bed and Breakfasts Guest Houses Holiday Parks Hostels Hotels and Motels Total Accommodation

Source: Canadean © Canadean

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016 Page 39

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BUSINESS LANDSCAPE

4 Appendix

4.1 About Canadean

Canadean is a full-service business information provider with in-house market research capabilities. We specialize in analysis across the Consumer Markets Value Chain, covering suppliers, producers, distribution and consumers.

Canadean‟s dedicated research and analysis teams consist of experienced professionals with an industry background in marketing, market research, consulting and advanced statistical expertise. We offer value- added market research, insight and strategic analysis and our products help companies to make better, more informed, strategic and tactical sales and marketing decisions.

Canadean‟s areas of expertise include online research, qualitative and quantitative research, industry analysis, custom approaches, and actionable insights. In addition Canadean has built a network of consultants and specialist researchers across more than 60 countries, each with in-depth industry experience and expertise enabling us to conduct unique and insightful research via our trusted business communities.

4.2 Disclaimer

All Rights Reserved.

No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the publisher, Canadean.

The facts of this report are believed to be correct at the time of publication but cannot be guaranteed. Please note that the findings, conclusions and recommendations that Canadean delivers will be based on information gathered in good faith from both primary and secondary sources, whose accuracy we are not always in a position to guarantee. As such, Canadean can accept no liability whatsoever for actions taken based on any information that may subsequently prove to be incorrect.

Ireland Foodservice: The Future of Foodservice in the Ireland to 2016 Page 40

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