HP Industry analysis Flashcards
(22 cards)
1
Q
What are the industry trends in the 21st century?
A
- Move to healthier options - fresher more authentic
- Less efficient but meets customer demand
2
Q
How have 21st century trends impacted HP?
A
- HP adapting to industry shifts to healthier options
- Established high production model
- Responding to threats via innovation
3
Q
What is the product landscape in the industry?
A
- Traditional mass market
- Health conscious and functional
- Artisan and specialty
4
Q
Who are some of HP’s competitors?
A
- Warbutons (UK)
- Hovis (UK)
- Flowers foods (USA)
- Hary Brot (Germany)
- Goodman Fielder (Aus)
5
Q
How can the product landscape be applied to HP?
A
- HP real strength is efficiency
- Market is however changing, HPP responded via Multi-seed and wholemeal
- Could respond further by releasing gluten free, high protein and fortified
- Rustic loaf responds to surge in popularity for artisan bread, range could be further expanded still
- Key is to innovate without compromising efficiency, failure not an option!
6
Q
What are the market segments in the industry?
A
- Mass market buyers - happy with packaged bread
- Health conscious consumers - growing segment that wants healthier bread
- Premium and artisan shoppers - growing segment
- Sustainability driven buyers
- Convenience focused buyers
HP needs to adapt product offerings to appeal to shifting priorities
7
Q
What are the changing demand?
A
- Healthier ingredients
- Less processing
- More variety - speciality breads
- Freshness > Shelf life - artisan breads
8
Q
What consumer trends are shaping the industry?
A
- Premiumisation
- Sustainability concerns
- Health driven
- Convenience first
- Social media influence
9
Q
How can customers and marketing be applied to HP?
A
- HP still relies on traditional pre-packaged bread, needs to vary offering
- Looking to cater to more health conscious consumers
- Doesn’t currently offer gluten free, high protein or fortified breads
- HP could lose shelf space if they don’t produce products that match customer needs
- Don’t cater much for convenience, could offer wraps, bagels or single portions
- Expand into more versatile bread formats
- Continue to capitalise on sustainability
10
Q
How do the 4ps interact with HP?
A
- Product - expand range
- Price - sell high volumes of low margin products and release more high margin products
- Place - B2B, explore D2C via website?
- Promotion - minimalistic currently, emphasise sustainability via marketing
11
Q
What is in the supply chain for operations in the bread industry?
A
- Inventory of raw materials
- Finished goods - JIT maintains freshness
- Tech has increased efficiency via automated mixing and dough handling
- Smart ovens and AI controlled baking, potential for HP
- Buyer power - strong for large retailers and lower for small retailers
12
Q
How does the supply chain for operations apply to HP?
A
Room for new tech (AI) to help with baking and inventory management
13
Q
What are the issues with delivering bread?
A
- Short shelf life
- Retailer pressure - want fresh produce
- Rising fuel and transport costs
- Sustainability concerns
14
Q
What is being done to combat delivery issues?
A
- Route optimisation tech (AI)
- Smarter stock management
- Sustainable transport solutions
- More flexible supply markets
15
Q
How does transport and distro supply chain relate to HP?
A
- Efficient transport and distro critical to HP success
- Own distro centre comes with high costs, need to keep efficiency
- Possibly outsource to 3rd party?
16
Q
What are the needs of each stakeholder?
A
- Directors & senior management - profitability, operational efficiency and long term strategy
- Employees - fair wages, job security and safe working conditions
- Shareholders - consistent financial returns, sustainable growth and risk management
- Gov - meet standards
- Customers - affordable, high quality and fresh bread
- Suppliers - steady orders and timely payments
- Local community - impact local employment, environmental sustainability and social responsibility
- Environmental groups - sustainable farming, lower emissions and reduced packaging waste
17
Q
What are the ethical, CSR and environmental issues in the bread industry?
A
- Fair wages and working conditions
- Sourcing of ingredients and agricultural impact - large scale wheat farming can lead to soil degregation
- Energy consumption in baking
- Health and nutrition concerns
- Packaging waste
- Food waste
- Transport emissions
- Marketing transparency
18
Q
How do stakeholders and CSR relate to HP?
A
- Labour conditions - Samira has introduced bonus scheme, ongoing investment in training and working conditions key
- Energy use and waste - improve efficiency and strengthen sustainability credentials
- Food waste and packaging - improve forecasting and explore more sustainable packaging solutions
- Long term sustainability - progress in modernising operations whilst reducing waste and providing supply chain transparency
19
Q
How can HP learn from warbutons?
A
- Product innovation key - diversify product range to meet evolving consumer preferences
- Strong branding and marketing matter
- Distro and supply chain efficiency crucial
- Sustainability becoming a competitive advantage
- Financial resilience matters
20
Q
What issues does the bread industry face?
A
- Political issues
- Legal issues - 1998 bread and flour regs, flour fortified with calcium, iron thiamin and niacin
- Industry bodies
21
Q
What industry issues apply to HP?
A
- Trade policies
- Legal compliance
- Sustainability and regs
- Industry bodies
22
Q
What are the key trends in the bread industry?
A
- Health and wellness focus
- Artisanal and specialty breads
- Sustainability initiatives
- Convenience and innovation
- Tech advancements
- Global flavour influences
- Home baking resurgence
- Economic pressures and ingredient costs
- Regulatory changes
