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Dusterberg, Apetito satisfy appetite for sales by doing 178M DM in Business.

Dusterberg, Apetito Satisfy Appetite For Sales by Doing 178M DM in Business

Karl Dusterberg KG rang up business worth 178 million DM in 1989, an increase of 13% over the previous year. The lion's share of about 75% came out of institutional and industrial sales. Roughly 15% was accounted for by the retail segment, with the remaining 10% derived from the catering sector.

Meanwhile, the Rheine-based firm invested 11 million DM in production facilities, structures, and the development of computers and software programs. For the current year, more than 20 million DM has been earmarked for spending on new products, technologies and environmental protection.

At a press conference, D. Erwin Welte, head of Apetito's marketing department, noted that demand for frozen prepared dishes is likely to continue to grow. A sales increase of 25% at retail and 9% in the industrial catering sector over 1988 was cited as justification for his optimistic prediction.

The marketing chief sees the potential for further expansion in connection with the increasing demand for microwave ovens and a growing preference for foods perceived to be fresher, more natural and greater in nutrition.

On the other hand, Welte said, several factors are working to limit future growth such as low price levels, a slight but continuing reluctance among consumers to use convenience products, and customers' traditional preference for moist and dried prepared dishes. However, he suggested, barriers can be surmounted by aggressive marketing strategies.

Wolfgang Dusterberg rated progress of the legally independent company Dusterberg's Apetito Catering GmbH & Co. KG in 1988-89 (its first year) as pleasing overall. Sales increased by 12.5% to reach 18 million DM. The outfit is now supplying 16,000 meals a day to factories, old age homes and schools.

To gain a foothold in the largescale restaurant trade, 1988 greeted the birth of Dusterberg's Apetito Restauration GmbH & Co. KG, which was inaugurated at the Federal Garden Show in Frankfurt. As the second project of this sort, the company was awarded a foodservice contract to supply the meeting hall at the Frankfurt Zoo.

Apetito's industrial catering share has grown to some 30% of the market.

Meanwhile, the consumer market has been influenced by two opposing trends:

* Continued strong growth of home delivery services and discounters.

* Mild stagnation in the grocery store trade.

Compared with the previous year, sales in the consumer market were up by more than 50%.

Already a specialist in prepared dishes, the company sees its best chances in the consumer market with its Light Menus line. The Fantasievollen (full of fantasy) range has been exported to the European community under the International brand name La Creation, and has already found great popularity in several countries.

A major impetus for growth in the last year has been the "social catering" sector. With a 10% sales increase, the "meals on wheels" business strengthened its position as market leader.

Table : Apetito KG in Numbers
 1988 1989
Total sales 142 million DM 160 million DM
Catering sales 16 million DM 18 million DM
Total sales 158 million DM 178 million DM
Sales increase + 13%
Investments 13 million DM 11 million DM
Employees 1,140 1,250
Prepared dishes/day 340,000 350,000
Products about 900 about 950
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Title Annotation:Karl Dusterberg KG, Apetito Restauration Gmbh & Company KG
Publication:Quick Frozen Foods International
Date:Jul 1, 1990
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