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In this article, you will discover the exclusive results of Market Research on the digitalization of 625 companies in the food & beverage industry. The challenges and opportunities are immense.
Maket Research on 625 Italian companies in the food and beverage sector reveals a worrying digitalization situation. The companies in the sample, SMEs, lag far behind, as shown by several indicators: internet presence, presence and activity on social networks, and e-commerce. These figures reflect the deeper concerns of SME managers, which we decipher in this article.
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Key figures: digitalization in the Food & Beverage Industry
- 84.7% of Italian food & beverage companies have a website.
- The existence of a website varies according to specialties: from 50% for companies specializing in olive oil to 93.2% for fruit and vegetables.
- 43% of food & beverage company websites are not translated into a 2nd language.
- 39% of food & beverage company websites are available in a 2nd language.
- 71.3% of food & beverage companies have no e-commerce.
- 18.8% of food & beverage companies have an e-commerce site, while 8.9% sell their products via third-party platforms.
- 70.3% of companies have a Facebook page, but only 73.9% are active.
- Only 40.6% of companies have a LinkedIn page.
- Only 52.3% of companies have an Instagram account, but 97.7% have posted content in the last 12 months.
A team from the Italian Observatory of Food Strategies conducted the survey. The 625 companies surveyed had an average of 35 employees. This corresponds well to the Italian entrepreneurial fabric, which is made up of SMEs and VSEs.
In some sectors, up to 30% of companies do not yet have a website
Do Italian food & beverage companies have a website?
The research team members studied the 625 companies in the panel and concluded that 84.7% had a website. A further 3.9% had a website “under construction.” In other words, 11.4% of the Italian companies surveyed had no website. However, this percentage varied according to sub-sector (see table 1 below).
| Sub-sector | Number of companies in the sample | Percentage of companies without a website | Percentage of companies with website “under construction | Percentage of companies with a website |
|---|---|---|---|---|
| Meat | 138 | 23,9% | 6,5% | 69,6% |
| Fish and shellfish | 21 | 19,0% | 4,8% | 76,1% |
| Fruit and vegetables | 59 | 3,4% | 3,4% | 93,2% |
| Oils | 10 | 50,0% | 0% | 50% |
| Dairy products | 54 | 7,4% | 3,7% | 88,9% |
| Pasta and cereals | 36 | 8,3% | 0% | 91,7% |
| Bakery | 207 | 18,9% | 1,5% | 79,7% |
| Prepared dishes | 103 | 5,8% | 3,9% | 90,3% |
Table 1: Availability of a website in Italian food & beverage companies, by business sector
As can be seen from the data in Table 1, the situation varies according to sub-sector. Suppose we disregard sectors for which the number of companies is too limited. In that case, we see that the presence of a website varies from 69.6% for companies active in butchery to 93.2% for those active in fruit and vegetables. In other words, in some business sectors, 30% of companies have no website or no functional website. This is a very striking figure, but it can be explained in several ways:
- In certain traditional sectors, the level of digital knowledge is no doubt insufficient to project an online presence.
- Although the average number of employees among the companies surveyed was 35, this figure may reflect quite different realities, with local microbusinesses not feeling the need to have a website.
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Internationalization lags behind
The willingness to go international is also reflected in the translation of the website into foreign languages. Research shows that 42.9% of websites are available in just one language and 38.3% in 2. The second most common language is, unsurprisingly, English, followed by German.
E-commerce is not making inroads into the food & beverage industry
The market research sheds new light on the use of e-commerce in the food & beverage industry. Specifically, the figures show that few companies have an e-commerce site: just 21.3% offer this option. As in the case of the existence of a website, the situation varies depending on the sub-sector (see Table 2).
| Sub-sector | Percentage of companies offering some form of e-commerce |
|---|---|
| Meat | 16,8% |
| Fish and shellfish | 17,7% |
| Fruit and vegetables | 19,6% |
| Oils | 60% |
| Dairy products | 18,4% |
| Pasta and cereals | 36,4% |
| Bakery | 27,4% |
| Prepared dishes | 34% |
Table 2: availability of an e-commerce site by specialization
Explanations for variations between sectors can be found in:
- Coordination: fresh produce is more difficult to sell online.
- the power of intermediaries.
- digital culture and in-house skills in this area.
Social networks are little used in the food & beverage industry
The final part of the market research report is devoted to companies’ use of social networks in the food & beverage sector.
70.3% of companies have a Facebook page, but only 73.9% are active and have posted content in the last 12 months. The median number of followers is 2,270. In the butchery sector, the median number of followers is 1281, compared with 5290 in the pasta and cereals sector.
While only 52.3% of companies have an Instagram account, the activity rate is much higher. 97.7% of brands with an Instagram account have posted content in the last 12 months.
The median number of followers is 916, ranging from 474 companies active in seafood (fish, shellfish) to 1809 for those specializing in pasta and cereals.
Only 40.6% of companies have a LinkedIn page, and 60.4% have posted content in the last 12 months. The median number of followers is 327.
Other social networks
13% of companies have an account on X (ex-Twitter), 32.1% on YouTube, and 4% on TikTok.
What explains the low level of digitalization in the food & beverage sector?
Several factors can explain the low level of digitalization in the food & beverage sector: the predominance of small businesses with limited resources, a lack of digital culture and training, perceived high investment costs, and sometimes inadequate infrastructures, particularly in rural areas. Added to this are complex regulatory constraints and a reluctance to change, fueled by an attachment to traditional practices and an uncertain perception of return on investment. Concerted efforts are needed to overcome these obstacles, particularly in awareness-raising, training, and financial support, to demonstrate the tangible benefits of digitalization.
