The HORECA industry (Hotels – Restaurants – Catering establishments) poses different challenges than the usual retail channels and needs differentiation in the distribution models one might develop. The various suppliers of goods destined to the HORECA segment are faced with different procedures and demands scattered across their customers’ spectrum from the organized segment (chains) to the non-organized segment (small and big independents).
The Cyprus HORECA environment
Cyprus being a favoured seasonal destination for more than two million tourists, three times the local population, adds to the demands of this industry by creating demand variations stretching to as much as 3:1 in monthly comparisons in specific areas.
Some of the HORECA establishments opt to close down during the winter low season months. Since this trend is not happening at the same time for all such points, the distribution networks have to continually adjust routings for a period of five to six months.