Table Top business area
CLEARER AND TRANSPARENT
Table Top is Duni’s largest business area. Customers typically include restaurants, hotels and catering firms, referred to as HoReCa. The range consists primarily of napkins, table covers, candles and table top accessories. Duni is the leading European manufacturer of products for the set table, with the Nordic region and Germany as its biggest markets, and Spain, Italy and France as emerging markets. Sales are to both wholesalers and direct customers – including hotels and restaurants.
BUSINESS AREA STRATEGY IN BRIEF:
Leader within the premium segment
Growth through geographic expansion focused on increased market shares in Southern and Eastern Europe, as well as the UK
Attentiveness to trends in the HoReCa market in order to formulate the right offering
PACKAGING ADDS VALUE
The restaurant and hotel markets have continued to develop well in Europe. Products, concepts and service are in demand in both segments. More conscious choices are being made in relation to raw materials, cooking methods, sustainable profiles, and the guest experience. In order to meet market needs and create added value for its customers, the business area has packaged the customer offering more clearly during the year. This work revolved around the idea of Duni products being used for a specific consumption occasion where the guest experience was the primary focus. Multiple product levels will make it clearer for the customer to choose concepts based on the experience they want to create. The packaging, which will be introduced in 2018, therefore has a firm foundation in Duni’s Goodfoodmood® platform, while the product levels also relate to quality and price segmentation.
CLEARER SALES STRUCTURE
Within the sales organization, further steps were taken in our work to create a clearer focus on fewer and selected segments over the past year. Development within the organization was handled through the Duni Academy training program. A clearer structure was built with Key Account Managers and marketing efforts were steered towards more service-oriented and concept sales. When responsibility is moved closer to the customer, it increases motivation and involvement locally while building a collaboration with the customer that instills confidence in the Company.
“A focused sales model creates involvement and creativity, while helping us build better relationships with our customers.”
Robert Dackeskog, Director Business Area Table Top
SPECIALIZATION AND ADAPTATION TO THE MARKET
The business area’s sales developed well over the past year. Net sales increased compared with the preceding year, equivalent to a 1.2% sales increase at fixed exchange rates. Operating income was SEK 375 m (369) and the operating margin was 16.0% (16.1%). The results are on par with the preceding year.
Demand for table covers has stabilized, especially in the important German market. At the same time, premium napkins have taken market shares in almost all markets. Other sustainable products are also seeing an increase in demand, such as candle holders made of recycled glass and bamboo with associated LED candle. This is a result of the described organizational and sales-oriented initiatives, which will continue in 2018.
Demand for sustainable products is on the rise. One example of this type of product is bamboo candle holders with matching LED candle.
|Net sales|||Operating income|
|Net sales, %|
|Net sales, %|
|Southern and Eastern Europe||18|