Key companies covered in food service market are McDonald's (U.S.), Starbucks (U.S.), Restaurant Brands International Inc. (Canada), Costa Limited (U.K.), Tim Hortons (Canada), Dominos (U.S.), KFC Corporation (U.S.), Supermac's (Ireland), Jollibee (Philippines), Baskin Robbins (U.S.), and more players profiled.
Pune, India, June 20, 2023 (GLOBE NEWSWIRE) -- The global food service market size was valued at USD 2,395.03 billion in 2022 and is projected to reach a valuation of USD 2,646.99 billion in 2023 and is expected to reach USD 5,423.59 billion by 2030, with a CAGR of 10.79% during the forecast period. A food service refers to any business which caters to and distributes food for outside consumption. Demand for fast food is increasing, which also gives rise to food service establishments. The expansion of various food chains and restaurants is projected to assist in market development. Fortune Business Insights™ shares this information in its report titled “Global Food Service Market, 2023-2030.”
Full-Service Restaurants To Lead Owing To Availability Of Different Varieties Of Food
Based on type, the market is divided into full service restaurants, quick service restaurants, institutes, and others. Full service restaurants account for the largest market size due to the availability of different varieties of food on their food menu. They offer menus in multiple selection types, including breakfast, lunch, and dinner. It accounted for 36.39% in 2022. Fine dining and casual dining restaurants are the major contributors to this segment. Quick service restaurants are also expected to grow as it specializes in selective entrees.
Geographically, the market is studied across North America, Europe, Asia Pacific, South America, and the Middle East & Africa.
Report Coverage
The report provides a detailed analysis of the top segments and the latest trends in the market. It comprehensively discusses the driving and restraining factors and the impact of COVID-19 on the market. Additionally, it examines the regional developments and the strategies undertaken by the market's key players.
Drivers and Restraints
Increasing the Number of Food Courts and Malls to Progress Market Growth
An increasing number of food courts and malls is anticipated to drive food service market growth. The trend of food and shopping malls in metro, tier 2, and tier 3 cities is increasing in developing and developed countries. The need of consumers to have everything under one roof is driving the food service industry to offer and design F&B and lifestyle areas, including stand-alone food stalls and kiosks under one roof. The incorporation of new technology in the food and beverage industry plays a vital role. Starbucks and Dunkin’ Donuts have extended the role and reach of traditional coffee shops by introducing mainstream audiences to specialty beverages and proprietary coffee blends. However, the disadvantages of online food delivery restrain the market growth.
Disrupted Supply Chains Amit Strict Restrictions Led to A Negative Market Growth
Owing to the COVID-19 pandemic, global supply chains were disrupted due to government regulations and restrictions such as lockdowns and border closures. Production closures, supply chain disruptions, and economic slowdown impacted the food service industry. During the pandemic, heavy restrictions were imposed on dine-in food services, due to which hotels and restaurants were closed. Many customers were reluctant to dine out due to the possibility of getting affected by the virus.
Regional Insights
Asia Pacific led the global food service market share in 2021 as consumers in countries such as South Korea, Australia, and Japan prefer to dine out in full-service restaurants. The share for full-service restaurants is also rising in the region. Unique food halls with a wide range of food options served to consumers have also undergone rapid transformation in recent years.
North America is also expected to have a considerable CAGR in global food service market share in 2021.
The growth of the European food service industry is supported by the trend of eating out, a busy lifestyle, and increasing demand for prepared food items. Germany is the leading country in the European market due to the high spending capacity of consumers which further boosts the growth of the food service market.
Competitive Landscape
Partnership Strategies by Key Players to Advance Market Path
The market players in the food service industry have been focusing on launching different products. Yum! Brands, Inc. is the market leader in the food categories, including KFC, Pizza Hut, and Taco Bell. KFC and Pizza Hut have been developing a wide assortment of pizza and chicken items and have successfully expanded their presence in other countries. Market players have adopted partnership strategies to expand their customer services in new countries and regions. In March 2022, Starbucks Corporation partnered with Grab, one of the leading companies in South East Asia. With this partnership, it aimed to expand its consumer service by serving consumers in the Philippines, Thailand, Singapore, Malaysia, Indonesia, and Vietnam.
May 2022- Outback Steakhouse restaurants are launching new restaurants in the U.S. that have a modernized look on their dining space. The company launched three new restaurants in Fort Worth, Steele Creek, and Polaris.
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