From Prawns to Panettone: How Christmas Fuels Food Frenzy

Christmas season sales make up a major part of annual revenue for food and beverage businesses with planning for many Australian retailers commencing as early as July.

According to ANZ’s latest Food for Thought report, Christmas and New Year are the most critical periods for Australian food, beverage, and agribusiness (FBA) companies.

ANZ Executive Director for FBA Insights, Michael Whitehead, said: “Christmas isn’t just about unwrapping presents – it’s about peeling prawns, carving ham, and popping champagne, all of which make this the most deliciously chaotic time of year for food and beverage businesses.”

In Australia, seafood sales surge by about 30 per cent, with prawns a popular choice for festive entertaining. 

Traditional Christmas meats like ham and turkey see even larger spikes, with 75 per cent of turkey consumption in Australia occurring during the holiday season.

December is also the biggest month for liquor sales, with alcohol purchases 60 per cent higher across the month compared to an average month.

Globally, unique traditions create distinct demand surges, from Japan’s KFC “Christmas Chicken” to Italy’s panettone, which sees more than 70 per cent of Italians purchasing it during the season.

For FBA businesses, the festive season involves not just increasing production but also fine-tuning logistics to meet these peaks.

January, however, brings a steep post-holiday slowdown, challenging businesses to manage excess stock and avoid food waste.

Retailers often rely on Boxing Day sales to clear remaining inventory, with significant markdowns on holiday staples like hams and turkeys.

“Behind every Christmas table lies months of planning and companies need to navigate inventory management, fine-tune supply chains, and ensure that every festive staple – from glazed hams to plum puddings – arrives in time for the big day. 

“This seasonal shift presents businesses with both risks and opportunities.

“Companies that adapt quickly and learn from Christmas demand can better position themselves for the year ahead,” Whitehead said.

Further insights can be found in the summer edition of ANZ’s Food for Thought report.

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