In-Flight Catering Service Market

Market Definition

The In-Flight Catering Services Market size was valued at USD 16.23 billion in 2021 and is predicted to reach USD 26.53 billion by 2030 with a CAGR of 5.4% from 2022-2030. 

In-flight catering services refer to the meals served to passengers boarded in flights. These meals are arranged by specialist catering companies. The quality and quantity of the meals served in flights varies across airline companies and class of travel. Inflight catering companies are guided by various rules and regulations to offer passengers quality food items. 

For instance, Etihad Airways, EgyptAir and several others have special regulation regarding the meat served in their flights. They mandate that the meat should be halal certified and do not allow pork to be served as per the Islamic custom.

Market Dynamics and Trends

The demand for in-flight catering services is increasing due to surge in number of airline passengers. Also, factors such as surge in disposable income and adoption of advanced in-flight food and beverage ordering system are expected to propel the growth of the market during the forecast period. In addition, rise in the number of long-haul and non-stop flights, primarily due to the upsurge in leisure as well as business tourism, has led to increased demand for catering services on board.

However, the fact that flying at high altitudes is known to reduce appetite and lack of food choices provided by the airlines are expected to restrain the growth of market during the forecast period. 

On the other hand, increasing initiatives by established service providers to improve existing fleet and launch of new airlines across various countries in the world is expected to create lucrative opportunities for the in-flight catering services market players. Also, with the advancing technology, the adoption of internet meal reservation systems by the major airline companies has increased, which in turn is expected to drive the demand for in-flight catering services in future.

Market Segmentations and Scope of the Study

The in-flight catering services market size has been segmented based on food type, flight type, and geography. Based on food type, the market is classified into meals, bakery & confectionary, beverages, and others. Based on flight type, the market is bifurcated into full service and low cost. The geography breakdown and analysis of each of the aforesaid segments includes regions comprising of North America, Europe, Asia-Pacific, and RoW.

Geographical Analysis

The global In-flight catering services market across Asia Pacific region holds the highest market share and is expected to continue dominating the market during the forecast period. This is attributed to factors such as rising population and supportive government policies. In addition, developing countries including China and India are investing huge amount of money on airport infrastructure projects, which in turn is expected to propel the growth of the market in this region.

At the same time, North America is expected to show a steady rise in the in-flight catering services market due to greater number of business travel and busy schedule of the passengers. Also, unique trend of offering regional as well as continental meal options to their passengers is further boosting the market growth in this region.

Competitive Landscape

The market comprises of various players such as Gategroup, Cathay Pacific Airways Limited, DO & CO., The Emirates Group, Flying food Group LLC, LSG Sky Chefs, Newrest Group International S.A.S., SATS Limited, LSG Sky Chefs, and Goddard Catering. The market is dynamic with the key service providers forming joint ventures and long-term agreements with various airline operators to introduce innovative solutions to strengthen their market presence. 

For instance, in June 2021, Newrest, a multi sector catering services provider signed a new inflight catering contract with a leading American airline in Atlanta. Newrest’s inflight catering standards enable the teams to provide the highest food safety such as end-to-end cold chain management and HACCP tracking of food production. In addition, traveler's security had gained importance due to the outbreak of Covid 19. Also, in July 2021, Gategroup, a leading global airline catering, company signed a partnership renewal agreement with LATAM Airlines to provide inflight catering services for additional five years. According to the agreement, Gategroup will serve LATAM Airlines at 14 locations, which includes two new strategic domestic locations that are Bogota, Colombia and Santiago, Chile.

Key Benefits

• The in-flight catering services market report provides the quantitative analysis of the current market and estimations through 2022-2030 that assists in identifying the prevailing market opportunities to capitalize on.

• The study comprises a deep dive analysis of the in-flight catering services market trend including the current and future trends for depicting the prevalent investment pockets in the market.

• The information related to key drivers, restraints and opportunities and their impact on the in-flight catering services market is provided in the report.

• The report also focuses on offering competitive analysis of the market players along with their market share in in-flight catering services market.

• The SWOT analysis and Porter’s Five Forces model is elaborated in the study.

• Value chain analysis in the market study provides a clear picture of the stakeholders’ roles.

Key Market Segments

By Food Type

• Meals

• Bakery & Confectionary

• Beverages

• Others

By Flight Type

• Full Service

• Low Cost

By Geography

• North America

  • U.S

  • Canada

  • Mexico

• Europe

  • UK

  • Germany

  • France

  • Italy

  • Spain

  • Rest of Europe

• Asia-Pacific

  • China

  • India

  • Japan

  • South Korea

  • Australia

  • Rest of Asia-Pacific

• RoW

  • UAE

  • Saudi Arabia

  • South Africa

  • Brazil

  • Remaining Countries

Key Players

• Gategroup

• Cathay Pacific Airways Limited

• DO & CO.

• The Emirates Group

• Flying food Group LLC

• LSG Sky Chefs

• Newrest Group International S.A.S.

• SATS Limited

• LSG Sky Chefs

• Goddard Catering

REPORT SCOPE AND SEGMENTATION

Parameters	Details
Analysis Period	2021–2030
Base Year Considered	2021
Forecast Period	2022–2030
Market Size Estimation	Billion (USD)
Market Segmentation	By Food Type (Meals, Bakery & Confectionary, Beverages, and Others), by Flight Type (Full Service and Low Cost)
Geographical Segmentation	North America (U.S., Canada, Mexico) Europe (UK, Germany, France, Italy, Spain, Rest of Europe), Asia-Pacific (China, India, Japan, South Korea, Australia, Rest of Asia-Pacific), Rest of the World (UAE, Saudi Arabia, South Africa, Brazil, Remaining countries)
Companies Profiled	Gategroup, Cathay Pacific Airways Limited, DO & CO., The Emirates Group, Flying food Group LLC, LSG Sky Chefs, Newrest Group International S.A.S., SATS Limited, LSG Sky Chefs, and Goddard Catering.