Big win for Compass

Compass Group has won a huge contract to feed 12,700 Ford employees in the UK. It will manage catering, vending and hospitality services at five sites, taking over the contract from previous holder Gardner Merchant.

In a formula still to be agreed, Compass will provide a mix of its own branded outlets and franchises, which include Burger King and Pizza Hut.

Contract catering is a big business in Britain, generating a total turnover of well over £2bn. With competition increasing, the number of brands - both from the High Street and others unique to providers - has grown rapidly as companies seek to build customer loyalty.

Consolidation has been a consistent theme, too, with the big (Compass, Gardner Merchant, Granada etc) getting bigger as they acquire many of the independent operators.

The range of non-catering support services provided by contractors has also grown in recent years, with some beginning to note that their most important skills lie in managing operations to meet client requirements - as opposed to delivering catering services.

Elliott Chase