Apetit’s market position
Apetit is the largest Finnish operator in Finland, its principal market area, and the leading developer of a unique vegetable-based value chain from field to table in its product groups.
As well as being healthy and tasting good, vegetable based eating is a sustainable choice. Long-term food trends highlight factors related to responsibility and individual well-being: healthiness, concern about climate change, domesticity, making everyday life easier, local food and transparency of the food chain. With cost inflation, the price of food has become increasingly important.
Apetit is the largest Finnish operator in Finland, its principal market area, and the significant developer of plant-based “from field to fork” value chain in its product groups. Apetit sells its products to retailers, the Food Service sector, food industry, animal feed industry and exports.
In Finland, grocery trade is highly concentrated. In the Food Service sector, sales are more evenly distributed, and products are sold both directly to restaurant chains and through various public sector procurement clusters and Food Service whole-salers. In exports, Apetit is developing its position especially in Sweden, where the frozen foods market is relatively larger than in Finland.
The most significant drivers of change in the operating environment for Apetit are associated with inflation in the prices of raw materials and energy and crop variability related to climate change. When it comes to cultivation, the constantly developing legislation on chemicals and pesticides also has impacts on the cultivation of different plants and the securing of harvest levels.
The global political situation creates uncertainty. The effects of cost inflation can be seen in consumer purchasing behaviour: despite inflation affecting food prices, the relative share of expenditure spent by Finnish households on food has not increased. When buying food, consumers prefer more affordable products and the price plays an increasingly important role in purchasing decisions. In 2023, the value of the retail sales of food continued to grow. Value of sales of groceries increased by 7.5 per cent in 2023. The volume of food sales decreased by 1.9 percent on average. The increase in grocery prices by average was 9.6 per cent from last year. Wholesale food service sales increased by 6.7 per cent in January–December.*
Inflation decreases consumer purchasing power and directs consumption to affordable products. According to Statistics Finland (15 January 2024), average annual change in food Consumer Price Index in 2023 was 9.0 per cent when compared to last year.
Apetit’s product portfolio is based on plant- and fish-based products that make daily life easier and increase well-being, and the demand for these products is expected to grow further. The position of Apetit’s brand and products remains strong in the retail segment in frozen vegetables, frozen ready meals and vegetable oils. Apetit’s broad product portfolio has withstood the change in consumer purchasing preferences driven by inflation.
*Source: The Finnish Grocery Trade Association
Frozen vegetables and frozen foods
Market share and competitive position
Apetit is the market leader in Finnish frozen vegetables and frozen ready meals. In frozen products, the competitive situation is expected to remain unchanged in Finland. Competition is mainly coming from big international players and private label products. In the international food trade, Apetit is fairly unknown, but has strengthened its position especially in the retail trade in Sweden.
Competitive advantages:
- Raw material sourcing model based on contract farming
- Strong market position and highly regarded brand
- Expertise in product development and production
- In-house cultivation development based on a sustainable food supply chain
- High degree of Finnish origin, Finnish production facilities in Finland
Vegetable oils
Market share and competitive position
Apetit is the market leader in vegetable oils in Finland, in the food industry and Food Service channels and a significant player in the grocery trade. Competition from abroad has increased somewhat especially in industrial sales.
Competitive advantages:
- Economies of scale in production and sourcing
- High production efficiency and delivery reliability, own energy solution
- High-quality products for a broad customer base
- Chemical-free and environmentally sustainable process
- Domesticity
- Strong market position and well-known brand
Raw materials for feeds
Market share and competitive position
Apetit has a considerable share in the sales of oilseed-based raw materials for feeds in Finland.
Competitive advantages:
- No salmonella, no chemichals
- Alternative for soy
