Despite Uncertainties, FER Forecasts 2.5% E&S Market Real Growth In `13

“Sure, it’s an economic and political environment fraught with uncertainties,” Foodservice Equipment Reports Publisher Robin Ashton told attendees at the magazine’s annual E&S Market Forecast President’s Preview meeting, held in Rosemont, Ill., on July 24. “But the fundamentals for continuing growth of the equipment and supplies market remain strong, not just next year,” he continued, “but out through mid-decade.”

Ashton noted that pent-up operator demand, joined with improved operator sales and profits, continue to drive a market with hundreds of thousands of units and facilities needing renewal.  And while there are “real dangers from a host of issues,” from European debt to political dysfunction and a withering corn crop in the U.S. to slowing growth in Asia, “one has to forecast as if 2013 will be a “normal’ year, Ashton said. He noted that Technomic Inc. revised upward their forecast for operator sales growth this year during a revision in May.

Ashton and forecasting partner John Muldowney, v.p.-marketing at Alto-Shaam, forecast E&S market growth of 2.5% real and 4.3% in current dollars in ’13. They revised their forecast for growth this year only very slightly to 2.6% real and 4.7% nominal. The also predict annual E&S market growth in the 2.7% to 2.9% range for the years ’14, ’15 and ’16.

The complete FER E&S Market Forecast is available for purchase for $1,295 ($895 for past attendees and purchasers of the forecast.) The forecast package includes data and analysis of macro-economic, operator and materials-price trends as they impact the foodservice E&S market, international economic and operator trends, as well as exclusive information on E&S manufacturer list-price trends from AutoQuotes Inc. Also included are FER‘s exclusive annual rankings of the top U.S. E&S manufacturers as well as additional data, buying group analysis and a full-ranking of dealers based on FER‘s annual Top Dealers Report. The merger and acquisition activity in both communities is also detailed. The package concludes with the magazine’s hard-number forecasts of E&S market growth at the manufacturer level for next year and our through ’16. For the first time, FER details individual product category growth in the long-range forecast.

For information on the forecast and how to purchase it, email Chris Palmer at cpalmer@fermag.com.”””