Dallmayr

The Front door of Dallmayr

The fountain with life crayfish

The coffee section

Dallmayr is a luxury delicatessen food store in Munich, Germany dating back to the 17th century. Its reputation is comparable to Fauchon in Paris, Fortnum & Mason in London, or Meiji-ya in Tokyo. About 2.5 million people visit the main store every year, including high society and VIPs. Besides luxury foods Dallmayr also sells a luxury brand of coffee, includes a restaurant, a party service, and other food related services. The goal of the business is to offer only the best and the finest. The revenue of 2004 was 455 Million Euro with about 2500 employees. The main competitor in Munich is Feinkost Käfer.

Current Store

The main store, completed in 1950 with a neo classic facade, is located in the Dienerstrasse in Munich between the Marienplatz and the Odeonsplatz. About 2.5 million people visit the main store every year, including high society, VIPs, and numerous tourists. (Other sources state 1.3 million people per year, which in any case are still more than Neuschwanstein with 1.1 Million). The list of famous regular customers includes for example Queen Sirikit Rajini of Thailand. Besides the first rate food, the store is also known for its indoor fountain, stocked with life crayfish. Different to a supermarket, there is no central cashier, but the products are always paid in the individual departments. The building is known Germany wide due to the Dallmayr advertising featuring the building regularly on TV since 1980, including the staff in blue blouses and white aprons and the historic porcelain vessels. Having a TV spot run three times per day costs the company about 20 Million Euro per year. Currently, a staff of about 300 is employed in the main store.

In June 29 2003 Dallmayr opened its first branch store in terminal 2 at the Munich International Airport, a combination of shop and cafe-bistro-bar for 160 people.

History

Alois Dallmayr

The main store dates back to the 17th century, with a Spezereien-Handlung of the Munich citizen and chandler Christian Reitter. The store was established in the current location in the Dienerstrasse between 1671 and 1700. The exact date is not known, a surviving document dates from his death in 1700. After his death his two daughters inherited the store and the chandler guild membership. The name Dallmayr comes with a new owner in 1870, Alois Dallmayr, a merchant from Wolnzach in Bavaria. Alois Dallmayr did not have any heir and therefore in 1895 sold the store to Anton Randlkofer, who died only two years later.

Anton und Therese Randlkofer

The inside of the store around 1912

His widow, Therese Randlkofer takes over the store. While a female top executive was very rare during these times, she managed the business very successfully, and significantly improves the reputation of the store. She was also very skilled to leverage social contacts for her business, and exchanged recipes with the cooks of the Bavarian court. Around 1900 the store is one of the top food stores in Europe, and its customers include 15 royal and noble households in Europe, including the last German Emperor Wilhelm II of Germany. (one of these 15 was already a customer during the times of Alois Dallmayr, the other 14 became customers during the management of Therese Randlkofer. The numbers also vary slightly with different sources). The store was also awarded the title of Königlich Bayerischer Hoflieferant (Royal Bavarian Purveyor to the Court), and made daily deliveries for Prince Luitpold of Bavaria. The store was also the first store to import bananas from the Canary Islands to Germany, and also offered Mangos, plums from china, and Lychees during a time when most people have never even heard of bananas. Therese Randlkofer introduced many innovations. For example she used otherwise unsellable corners of larger bacon pieces for salads on a salad bar, hence opening the first cold buffet. The store was also the talk of the town for its modern illuminated advertising. Therese Randlkofer purchased an estate in 1906, the Goldachhof near Ismaning to provide supplies for the store. By 1912 the store had more than 70 employees.

In 1930, due to the depression after the Wall Street Crash of 1929, Dallmayr also encountered difficult times, as especially the purchase of luxury products decreases in a depression. To protect against a downturn, Dallmayr expanded its product portfolio in 1931 to include a new product line, coffee. By 1933, a full fledged coffee department including electric roasting has been established by a 19 year old coffee Expert Konrad Werner Wille from Bremen.

During the devastation of World War II, the main store was completely burned down to the ground in 1940. The coffee division also encountered difficulties, as coffee was only available on the black market. The current owner Paul Randlkofer, grandson of Anton and Therese Randlkofer, and his coffee expert Konrad Werner Wille start rebuilding, partially financed by the sale of the Goldachhof near Ismaning. By 1950 a new store was completed according to the historic plans including the facade. They also expand the business further by including a vending machine service around 1960, initially in cooperation with BMW. During this time, Konrad Werner Wille also developed a new brand of coffee, Dallmayr Prodomo, which becomes a big success and is still available today. After the death of Konrad Werner Wille in 1977, his son Wolfgang Wille and Georg Randlkofer take over the management of the business. In 1984 Nestle purchased a 50% ownership of the coffee division to establish a foothold in the German coffee market. In 1985, the coffee division is established as a separate company under Wolfgang Wille, the Alois Dallmayr Kaffee oHG. In August 2003 Nestle reduced its share of the Alois Dallmayr Kaffee oHG to 25%. Today Dallmayr is a premium brand name in Germany. As there is no Bavarian court anymore, the company states itself as Ehemaliger Königlich Bayerischer Hoflieferant (Former Royal Bavarian Purveyor to the Court).

Ownership structure

The Alois Dallmayr KG is despite its size still a family business. The owners are Wolfgang Wille (born ca. 1940 or 1941), married to Marianne Wille since 1971, and Georg Randlkofer (born 1948). Their children are also preparing for future management roles. Wolfgang Willes second daughter Julia Dengler (born ca. 1974, with a degree in business economy) is in charge of the international sales division. Her husband Johannes Dengler is the national sales manager. Willes first daughter Ellen Ruthrof (born ca. 1972, with a degree in business economy) is together with Julia in charge of advertising. Florian Randlkofer is the manager of the shipping department, and his wife Sunny Randlkofer is the spokeswoman of the family business. Only the youngest daughter of Wolfgang Wille Simone (born ca. 1980) does not work in the family business and studies journalism in London. The family owns a weekend retreat in Kufstein.

The shareholders of the Alois Dallmayr Kaffee oHG are the Alois Dallmayr KG with 75% and Nestlé Deutschland AG with 25%. The CEO is Wolfgang Wille

Products and Services

Delicatessen

Dallmayr was a food store, and the luxury food division is the oldest branch of Dallmayr. This includes confectionery, tea, honey, jelly, chocolate, meat, sausage, chicken, fish, caviar, pasta, bread, fruits, vegetables, wine, spirits, and tobacco. Over 6000 products are for sale. Overall, the main store has a revenue of about 30 Million Euro per year.

Coffee

In 1930, Dallmayr started to sell coffee, and the main store in Munich purchased electric coffee roasting equipment. The unground coffee beans are stored in hand painted porcelain vessels from Nymphenburg. The quantities are still measured on historic balances. The main brand name Dallmayr Prodomo was created about 1960 and, according to advertising, is refined by a special procedure which removes the many irritants and bitter ingredients. The brand is well known in Germany and is advertised on TV. Up to 200 tons of coffee are roasted every day by Dallmayr in its coffee roasting buildings in Munich-Giesing and in Berlin and sold Germany wide. Most of the coffee comes from Ethiopia. They also sell different types of Espresso and decaffeinated coffee, and some rare types of coffee from all over the world. The revenue in 2004 was 285 Million Euro. Dallmayr ranks fifth on the German market after Kraft (Brand: Jakobs Krönung), Tchibo, Melitta and Aldi.

Party Service

The party service traces its origins to services provided for European courts, and handles events from 10 to 10,000 people.

Restaurant

The main store includes a high end restaurant with a capacity of 120 seats. Diethard Urbansky is (was?) the internationally renowned chef. The restaurant provides German cuisine with a strong influence of French cuisine.

Vending machines

Dallmayr also provides a vending machine services for different businesses and companies all over Europe. The division was established around 1964, when BMW purchased the first hot drink vending machines from the USA, and obtained logistical support from Dallmayr. Florian Randlkofer is the manager of the shipping department. The revenue in 2004 was 140 Million Euro, with 1,800 employees, and is the market leader in Europe with over 40,000 vending machines in eight countries.

Online Shop

The online shop of Dallmayr was started in 2000 to open a new distribution channel. More than 1,200 (other sources: 1,400) products are available online. According to a study by Webtrekk, the user friendliness is among the top 10 of the 60 largest German language online shops.

Miscellaneous

• Georg Randlkofer would like to open its main store longer than the strict hours allowed by the German Ladenschlussgesetz.
• Georg Randlkofer is also chairman of City Partner München e.V, an organization aimed to improve Munich.
• Wolfgang Wille owns and flies a Cessna Citation
• Marianne Wille and daughter Ellen play piano, daughter Julia plays the transverse flute

External links

• Official Homepage
• Online shop
• TV Report
• Newspaper report
• Newspaper report
• Article about Business structure