Catering And Food Service Contract Market Expected to Reach $497.7 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Catering And Food Service Contract Market," The Catering And Food Service Contract Market Size was valued at $288.8 billion in 2022, and is estimated to reach $497.7 billion by 2032, growing at a CAGR of 5.3% from 2023 to 2032.

Lifestyle and demographic trends indicate an optimistic outlook for the catering and food service contract industry. A return to traditional family celebrations or reunions and increase in numbers of high-income families with busy lifestyles are also positive indications for the catering and food services contract market. Moreover, the Hotel and Catering Institute has demonstrated the latest technology packages relating to food and catering facilities for catering and food appliances, hygiene factors, a variety of dishes, online business, and others also drive the market. Moreover, rise in business related travel, surge in urban population, and rise in number of food joints such as hotels and restaurants fuel the growth of the hospitality industry.

The outbreak of COVID-19 has severely hampered the catering and food service contract market growth. This is attributed to the fact that the catering and food service contract industry is majorly dependent on the hospitality sector for its revenue generation. Development of the hospitality industry is anticipated to drive the growth of the catering and food service contract market.

The increase in demand for hygienic and nutritional food across educational institutions and geriatric care centers also drives the growth of the market. Several contract catering and food service companies are leveraging technology for offering pre-booking options, online menus, customized orders, and shorter waiting durations due to rapid digitalization and increase in penetration of smart devices. In recent times, rise in globalization levels, surge in number of tourism activities, and exposure to various inter-cultural cuisines have brought change in consumer food preferences across the globe. Apart from this, the expansion of leading contract catering companies along with their integrated services are attracting a large consumer base globally.

Moreover, the emergence of advanced business models for offering ad-hoc workplace food services are expected to further boost the growth of the contract catering market in the coming years. However, changes in food habits and busy lifestyle of consumers have led to increase in demand for ready-to-eat meals. Also, rapid changes in the supporting factors such as disposable income, consumer preferences, increase in working women population, and digitization have resulted into rise in number of quick-service, pop & shop, and other including full-service restaurants, pubs & bars, and quick service restaurants has dramatically hampered the sale of catering and food service contract market.

The increase in use of contract catering services among the working class reflects a significant shift in the way people approach their daily meals and culinary preferences which brings Catering And Food Service Contract Market Opportunities. Gradually, the demands of modern life, coupled with the desire for convenience, drives this trend. Many working individuals now choose for contract catering services as a solution to their busy lifestyle, as it offers them a hassle-free, time-saving alternative to cooking at home or going out to eat.

This growing preference can be attributed to several factors, including but not limited to an extensive range of cuisines, prioritize health and nutrition, providing balanced meal options that promote overall well-being. Furthermore, contract catering services often incorporate technological advancements, allowing for convenient online ordering and delivery tracking, making it easier for busy professionals to access quality meals. The convenience, variety, and health-conscious options offered by contract catering services have solidified their place in the daily lives of the working class, meeting their needs for efficient, delicious, and nutritious meals in an increasingly fast-paced world. This Catering And Food Service Contract Market Trends is expected to continue growing as the demand for convenience and personalized dining experiences remains high.

The catering and food service contract market is segmented into ownership, application, and region. On the basis of ownership, the market is divided into standalone and chain. On the basis of application, it is classified into a corporate, educational institution, healthcare, industrial, hospitality services, sports and leisure, and others. On the basis of region, it is studied across North America, Europe, Asia-Pacific, and LAMEA.

The players included in the Catering And Food Service Contract Market Analysis have adopted acquisition and product launch as their key development strategies to increase profitability and improve their position in the market. The key players profiled in the catering and food service contract market include The RK Group, Gulf Catering Company, Delaware North Companies, Inc., Comprehensive Support Services PTE., Ltd., Australian Camp Services, Of Food Catering, Conntrak Catering Service., National Catering Services & Foodstuff, NCC Group, Compass Group PLC., Sodexo, Elior Group, Aramark, ISS A/S, Thompson Hospitality Corporation, NTUC Foodfare Co-operative Limited, SATS Ltd., Catering Solutions Pte. Ltd., Neo Group Limited, Algosaibi Services Company, Ltd., Cater Care Holdings Pty., Ltd., Catering HQ, Gnocci Holdings Pty. Ltd., WSH Investments Limited., Fusion Foods & Catering Pvt. Ltd.

Key Market Findings

• Based on ownership, the catering and food service contract market for standalone segment held the major Catering And Food Service Contract Market Share in the market in 2022. Standalone catering and food and service contractor effectively utilize social media to engage with customers and enhance their brand image are more likely to thrive over the Catering And Food Service Contract Market Forecast period.
• Based on application, the catering and food service contract market for corporate dominated the global market in the year 2022. For reducing inconveniences and save time, the caterer uses food trucks to bring the food close to the company without entering the premises, the employees can pick up their order and have it within proximity.
• Based on region, the Europe catering and food service contract market dominated the global market in the year 2022. The sustained high rate of GDP growth in Europe over a long period of time has resulted in growth in the per capita income.