CLEVELAND, June 5, 2020 /PRNewswire/ -- COVID-19 is reshaping the nearly $4 trillion global foodservice industry, with a number of permanent effects expected. Not only is the pandemic accelerating growth of existing trends like online food delivery and curbside pickup, it is giving rise to new ones, such as expanded sanitation protocols and social-distancing dining. While creative fads are unlikely to go mainstream, foodservice establishments must find ways to adapt to market challenges such as limited-capacity seating and quell consumer concerns about contagion in order stay competitive.
A new Freedonia Group analysis examines the short- and long-term impacts of COVID-19 on global foodservice revenues, which are forecast to rise 3.7% per year to $4.4 trillion in 2024.
Asia/Pacific to account for 64% of global revenue gains through 2024
The Asia/Pacific region is to drive global market growth through 2024, supported by rapidly expanding foodservice markets in large developing countries such as China, India, and Indonesia, where rising incomes and Westernizing dining customs are driving new demand for foodservice. Regional revenue growth will also be supported by healthy (if more moderate) advances in mature markets such as Australia and Japan.
Cloud kitchens expand the possibilities of online food delivery in COVID era
Cloud kitchens are nonpublic brick-and-mortar foodservice facilities exclusively dedicated to producing and dispatching meals ordered online, which gained a boost of importance during shutdowns surrounding the COVID-19 pandemic. Even before the pandemic, the ability of cloud kitchens to enhance online food delivery business was leading to broad expansion efforts globally. For example, Grab (Singapore), Uber (US), and Rebel Foods (India) have announced plans to expand cloud kitchen facilities in various markets and traditional foodservice brands – including Chick-fil-A and Inspire Brands – are investing in cloud kitchen capacity.
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Global Foodservice is now available from The Freedonia Group. This study analyzes global foodservice revenues by segment (i.e., full service, fast food & fast casual, other eating & drinking places, and other foodservice establishments), region, and country. Historical data for 2009, 2014, and 2019 and forecasts for 2024 are provided for global foodservice revenues. The study also provides corporate analysis of leading foodservice brands by country.
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SOURCE The Freedonia Group