In-Flight Catering Services Market Size By Flight Type (Full-Service Carrier (FSC) and Low-Cost Carrier (LCC)), Airline Class (Economy Class, Business Class and First Class), & Region 2024-2031
Published on: 2024-08-08 | No of Pages : 320 | Industry : latest updates trending Report
Publisher : MIR | Format : PDF&Excel
In-Flight Catering Services Market Size By Flight Type (Full-Service Carrier (FSC) and Low-Cost Carrier (LCC)), Airline Class (Economy Class, Business Class and First Class), & Region 2024-2031
In-Flight Catering Services Market Valuation – 2024-2031
The global in-flight catering services market was experiencing steady growth, largely driven by increasing air travel, particularly in emerging economies, and the demand for enhanced passenger experience. According to the analyst from Market Research, the Global In-Flight Catering Services Market is estimated to reach a valuation of USD 39.98 Billion By 2031 over the forecast by subjugating the revenue of USD 23.87 Billion in 2024.
The COVID-19 pandemic significantly impacted the aviation industry, including in-flight catering services, due to travel restrictions and reduced passenger numbers. This surge in demand enables the market to grow at a CAGR of 6.66% from 2024 to 2031.
Global In-Flight Catering Services MarketDefinition/ Overview
In-flight catering services refer to the preparation and delivery of food and beverages specifically for consumption by passengers on airplanes during flights. Preparing and packaging meals and snacks that meet airline specifications and passenger preferences. This can range from basic snacks for short flights to elaborate multi-course meals for premium cabins on long-haul flights. Supplying beverages like water, juices, coffee, tea, and alcoholic drinks depends on airline policies.
What's inside a
industry report?
Our reports include actionable data and forward-looking analysis that help you craft pitches, create business plans, build presentations and write proposals.
What are the factors that surge the demand for the In-Flight Catering Services Market?
Catering companies are responding to a demand for more variety and customization to cater to the increasingly diverse preferences of air travelers. This includes offering options for special dietary needs, such as vegetarian, vegan, gluten-free, and diabetic meals. Additionally, airlines are partnering with regional cuisines to provide passengers with familiar and comforting flavors. For instance, airlines operating in India might offer curries and biryanis, while those flying in South America could feature dishes like ceviche and empanadas. This focus on customization and regional specialties not only enhances the passenger experience but also reflects the growing cultural awareness in the global travel landscape.
Also, In a competitive airline market, where ticket prices can be a major deciding factor for passengers, airlines are increasingly looking for ways to differentiate themselves and create a more memorable travel experience. High-quality catering, featuring fresh ingredients, gourmet options, and a focus on presentation, is seen as a way to elevate the passenger experience and give airlines a competitive edge.
What factors hinder the growth of the In-Flight Catering Services?
Perishable food items, like fruits, vegetables, and lean proteins, have a short shelf life and can be difficult to maintain at optimal temperatures during long-haul flights. This can lead to spoilage and compromised food quality. Maintaining a cold chain, or an uninterrupted chain of refrigeration, is essential for preserving the safety and quality of perishable food items. However, this can be challenging on airplanes, where space is limited and temperature control systems are not as sophisticated as those found in commercial kitchens. Additionally, the pressurization of airplane cabins can affect the taste and texture of food. Unfortunately, this can lead to a significant amount of food waste. Minimizing food waste is not only an environmental concern, but it also represents lost revenue for catering companies
Also, Airlines are constantly under pressure to cut costs, and in-flight catering is a major expense item. This puts a strain on catering companies, who are forced to find ways to keep their prices low while still maintaining quality standards. This pressure can stifle innovation, as catering companies may be reluctant to invest in new menu items or more sustainable practices if they perceive them to be too expensive.
Category-Wise Acumens
How does the increasing adoption of the economic class impact the market growth?
Economy Class dominates the market share in the in-flight catering services industry primarily due to the large volume of passengers it serves. Economy Class typically accounts for the majority of seats on commercial flights, catering to a wide range of travelers, including budget-conscious tourists, business travelers, and individuals flying for personal reasons. This extensive passenger base translates into a significant demand for in-flight meals and beverages within the economy-class cabin.
Moreover, airlines often prioritize Economy Class catering due to its role in enhancing the overall passenger experience and satisfaction. Despite the cost-conscious nature of economy-class travel, airlines recognize the importance of providing quality food and beverage options to maintain customer loyalty and competitiveness. As a result, in-flight catering services for economy-class passengers focus on efficiency, cost-effectiveness, and mass production without compromising on taste or nutritional value. Bulk purchasing of ingredients, standardized meal preparation processes, and optimized logistics enable catering providers to offer cost-effective solutions to airlines, making Economy Class catering a financially viable segment of their business.
How Low-Cost Carriers (LCCs) segment propel the growth of the In-flight catering market?
Low-cost carriers (LCCs dominate the market share in the in-flight catering services industry. LCCs typically target price-conscious travelers, leading to a significant rise in passenger numbers. This translates to a larger customer base for in-flight catering companies, even if individual passengers spend less on food and beverages. The larger pool of potential customers can help catering companies spread their fixed costs over a larger volume, potentially increasing their profitability.
Furthermore, LCCs often focus on opening new routes, particularly on shorter-haul flights. This expands the geographic reach of in-flight catering services, creating opportunities for catering companies to serve new airports and airlines in emerging markets. This can be especially beneficial for catering companies that specialize in regional cuisines or have a presence in a particular geographic area.
Gain Access to In-Flight Catering Services Market Report Methodology
Country/Region-wise Acumens
How is the demand for in-flight catering services influencing the growth of the market in North America?
According to analysts, North America is estimated to dominate the in-flight catering services market during the forecast period. the robust expansion of air travel in North America, by economic growth, increasing disposable incomes, and a growing population, propels the demand for in-flight catering services. As more passengers take to the skies for business and leisure travel, airlines prioritize enhancing the overall passenger experience, including onboard dining options, to differentiate themselves in a competitive market.
Moreover, North America is home to some of the world’s largest airlines, operating extensive domestic and international flight networks. These airlines continually invest in upgrading their in-flight catering offerings to cater to the diverse preferences and expectations of passengers, ranging from premium travelers to budget-conscious flyers. As a result, there is a constant demand for innovative and high-quality catering solutions to meet the evolving needs of North American travelers.
What factors contribute to the potential opportunities in the European region?
Europe region is estimated to grow at the highest CAGR within the in-flight catering services market during the forecast period. European countries boast diverse and vibrant travel markets, with major aviation hubs such as the UK, Germany, France, and Spain experiencing steady growth in both domestic and international air travel. This growing demand for air travel leads to increased opportunities for in-flight catering service providers, as airlines strive to enhance the overall passenger experience through high-quality onboard dining options.
Moreover, the cultural richness and culinary diversity of European countries influence in-flight catering preferences, with airlines catering to a wide range of tastes and dietary requirements. From gourmet meals inspired by local cuisines to international fusion dishes and specialized dietary accommodations, in-flight catering services in key European countries aim to provide a personalized and satisfying dining experience for passengers.
Competitive Landscape
The in-flight catering services market is characterized by several key players competing to provide high-quality food and beverage options to airlines and their passengers.
Some of the prominent players operating in the in-flight catering services market include
- LSG Sky Chefs
- Gate Gourmet
- SATS Ltd
- Flying Food Group
- Aeromaritime
- DO & CO
- Emirates Flight Catering
- dnata, SATS Ltd
- Do & Co
- ANA Catering Service Co Ltd
- Emirates Flight Catering
- Flying Food Group
- Newrest Group Services SAS
- Servair, S.A
Latest Developments
- In 2023, LSG Sky Chefs, recently announced a partnership with Microsoft to implement a cloud-based catering management system to improve efficiency and sustainability.
- In 2023, Gate Gourmet, recently opened a new catering facility in Bangalore, India, to meet the growing demand for inflight catering services in the region
- In 2023, SATS Ltd announced the launch of a new automated tray assembly system at their Singapore inflight catering centre.
Report Scope
REPORT ATTRIBUTES | DETAILS |
---|---|
STUDY PERIOD | 2021-2031 |
Growth Rate | CAGR of ~6.66% from 2024 to 2031 |
Base Year for Valuation | 2024 |
Historical Period | 2021-2023 |
Forecast Period | 2024-2031 |
Quantitative Units | Value in USD Billion |
Report Coverage | Historical and Forecast Revenue Forecast, Historical and Forecast Volume, Growth Factors, Trends, Competitive Landscape, Key Players, Segmentation Analysis |
Segments Covered |
|
Regions Covered |
|
Key Players | LSG Sky Chefs, Gate Gourmet, SATS Ltd, Flying Food Group, Aeromaritime, DO & CO, Emirates Flight Catering, dnata, SATS Ltd, Do & Co, ANA Catering Service Co Ltd, Emirates Flight Catering, Flying Food Group, Newrest Group Services SAS, Servair. S.A |
Customization | Report customization along with purchase available upon request |
In-Flight Catering Services Market, By Category,
Flight
- Full-Service Carrier (FSC)
- Low-Cost Carriers (LCC)
- Others
Airline Class
- Economy Class
- Business Class
- First Class
- Others
Region
- North America
- Europe
- Asia Pacific
- Rest of the world
Research Methodology of Market Research
To know more about the Research Methodology and other aspects of the research study, kindly get in touch with our .
Reasons to Purchase this Report
• Qualitative and quantitative analysis of the market based on segmentation involving both economic as well as non-economic factors• Provision of market value (USD Billion) data for each segment and sub-segment• Indicates the region and segment that is expected to witness the fastest growth as well as to dominate the market• Analysis by geography highlighting the consumption of the product/service in the region as well as indicating the factors that are affecting the market within each region• Competitive landscape which incorporates the market ranking of the major players, along with new service/product launches, partnerships, business expansions, and acquisitions in the past five years of companies profiled• Extensive company profiles comprising of company overview, company insights, product benchmarking, and SWOT analysis for the major market players• The current as well as the future market outlook of the industry with respect to recent developments which involve growth opportunities and drivers as well as challenges and restraints of both emerging as well as developed regions• Includes in-depth analysis of the market of various perspectives through Porter’s five forces analysis• Provides insight into the market through Value Chain• Market dynamics scenario, along with growth opportunities of the market in the years to come• 6-month post-sales analyst support
Customization of the Report
• In case of any please connect with our sales team, who will ensure that your requirements are met.