"Professional Services Market Research Report"
The global in-flight catering services market was valued at USD 17.45 billion in 2024. It is projected to grow from USD 18.24 billion in 2025 to USD 29.01 billion by 2032, exhibiting a CAGR of 6.9% during the forecast period.
In-flight catering services is a growing industry driven by the expanding travel market and strong competition from flight operators. Airlines actively invest in enhancing customer experience in assisting flights through in-house services such as meal offerings, entertainment, and other. These services significantly increase customer loyalty and brand differentiation. As airline services connect to different parts of the world, there is an increase in multicultural passenger bases with varied culinary requirements. The market observes trends such as data-driven personalization and collaborative crowd-sourced food menus in airlines. These services offer diverse and customizable food options that cater to individual tastes, ensuring each passenger's satisfaction.
Global in-flight catering services players such as Gates Group, Emirates, and Dnata are investing heavily in increasing operational excellence and customer loyalty through valuable digital feedback, data-driven personalization, and mobile apps. The data gathered through feedback and travel booking is used to offer personalized meals, refine in-flight services, and expand customer loyalty toward airline brands.
Increased In-Flight Digital Ordering and Catering Drive Technology Adoption
Digital ordering systems are revolutionary technologies that integrate orders from different systems at one place, easing ordering and catering processes across in-flight catering services. This technology enhances service operations by increasing its speed and accuracy, making customers satisfied. Further, this technology also delivers real-time menu updates, giving customers the latest options and making operations smoother with less cost and labor. These advancements expand the in-flight catering services market size in developed and emerging markets.
Health Trends and Vegan Meals Reshape Modern In-flight Catering Market
The air travel industry is rapidly changing post-pandemic, shifting focus to healthier meal options across the airline catering industry. This change highlights a customer shift toward safer catering needs and demand for quick nutritional meals on their journey. These requirements create a space for partnerships between prominent airlines and catering specialists. This allows industry experts to create versatile options that are both healthy and tasty.
Personalized Catering and Digital Ordering Drives In-Flight Catering Services Demand
Demand for in-flight catering services is shaped by digital ordering that allows customers to personalize menus according to taste, significantly expanding the menus in-flight. Airline companies are integrating custom food menu options for passengers in every class. These customized menu options enable companies to ensure customers' favourite meals are available before onboarding. This extends the demand for personalized catering, progressively driving the in-flight catering services market growth during the forecast period.
High Price Competitiveness and Stringent Compliance are Complex Challenges
The industry is highly dependent on customer behavior. Thus, the catering industry demands strong compliance, especially for the outsourced onboard meals. Airports cater to a large group of customers, however ensuring profit while reducing wastage is crucial for the airline catering industry. Additionally, different airline catering companies are hampered by highly competitive market where low price margins due to the presence of a large pool of companies is creating complexities.
Demand for Sustainable Packaging Creates Lucrative Opportunities
Sustainability in airline catering has gained a significant focus, as passengers' preferences for compostable and biodegradable packaging for in-flight meals have changed. Additionally, there is a growing emphasis on eliminating single-use plastics and shifting consumers to opt for biodegradable materials to reduce the environmental footprint. Hence, airlines offer recyclable packaging options to meet the growing consumer preference for eco-friendly practices. These sustainable practices create a new demand for eco-packaged meals across the in-flight catering industry.
Increased World-class Service Options for Business Class Contributes to the Segment’s Dominance
By flight type the market is classified into business, premium, and economy.
Business class flights are the dominating segment and expected to grow with highest CAGR, and huge potential for the in-flight catering market over the forecast period. Business customers pre-order premium food services to satisfy their needs and appetites, strengthening airline caterers' business across the in-flight catering services value chain. As the economy class turned into a highly competitive market, airline businesses ventured into new offerings with onboard catering services to increase customer attraction and brand awareness.
The premium segment continues to grow significantly, supported by airlines' increasing emphasis on offering premium services to build customer loyalty.
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Growing Preference for Hot Meals Drives Long-Haul Catering Demand
The market is classified into short-haul, medium-haul, and long-haul, based on flight duration.
The long-haul segment dominates the in-flight catering services market, led by the active adoption of food services in premium and long-range flights. Customers leverage the availability of hot meal services in long-range flights, which continues to expand the segment's growth.
The medium-haul segment will grow moderately, as packaged food and pre-order options with a marginal added cost are growing in preference.
Short-haul catering options for bakery and confectionery goods, ready-to-eat meals, and other drink options are available for the customers as onboard sales. These options continue diversifying business opportunities, increasing the in-flight catering services market share over the forecast period.
Geographically, the market is divided into North America, Asia Pacific, Europe, South America, and Middle East & Africa.
North America In-Flight Catering Services Market Size, 2024 (USD Billion)
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North America dominates the regional market with a 36% share, driven by the region’s dynamic aviation industry and increased preference for aviation as a mode of travel for long and medium journeys. Another factor contributing to the market growth is the customer preference for onboard food options, with a marginal price at every flight type, which has expanded the market potential. Countries such as the U.S., Canada, and Mexico are epicenters for the market due to their large aviation sector and huge number of national and international flights.
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The U.S. is the biggest market in the North American region. It dominates the region with potential customer earnings and a developed aviation sector supporting the travel industry. Customers prefer domestic flights for medium-haul travel owing to the numerous options available and cheap pricing across the country.
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Asia Pacific is a dynamically growing region witnessing the highest CAGR in the global market. The growing number of domestic and international air passengers leads to the surge in emerging economies such as China, Japan, India, and Southeast Asia. Prominent tourism destinations such as India and Southeast Asian countries have limited airline presence, which makes these countries efficient to operate. In-flight catering services can help emerging players build brand awareness and loyalty for customers travelling in this region.
The presence of a large number of businesses largely drives Europe's steadily growing premium and long-range flights. The region also has preferred tourism places for international tourists. The presence of premium airline operators and world-class catering services in-flights adds to the European high-value market.
The Middle East & Africa region is moderately growing due to large connected airlines and a leg between the source and destination. However, connected airlines and premium players such as Etihad, Emirates, and Qatar drive the in-flight catering business. Companies are largely dependent on international tourism, and the potential investments in in-flight catering are growing as compared to lounge catering.
The South American market is slowly growing, with increasing potential customer savings. The growing preference for travel spending is driving the in-flight catering services market. Airline caterers are expanding their regional presence, offering premium meals on medium and long flights.
Modernization and Acquisition for Sustainability and Operations Drive Players' Expansion
In-flight catering companies are witnessing potential growth in the international market, largely shaped by the growing investment of flight operators in the in-flight catering services industry and sustainability. Businesses are expanding their operation capabilities to meet this demand, with expansion capabilities aligning with sustainability goals. The business verticals are targeting modern trends of sustainable options through strategic acquisitions that will strengthen the brand loyalty and presence in the long-term.
The in-flight catering services report includes detailed segmentation and analysis of the market. It focuses on key aspects such as leading companies, services, and operations. It also offers insights into market trends and highlights key industry developments. In addition to the factors above, the report encompasses several factors that contributed to the market's growth in recent years.
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ATTRIBUTE |
DETAILS |
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Study Period |
2019-2032 |
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Base Year |
2024 |
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Estimated Year |
2025 |
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Forecast Period |
2025-2032 |
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Historical Period |
2019-2023 |
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Growth Rate |
CAGR of 6.9% from 2025 to 2032 |
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Unit |
Value (USD Billion) |
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Segmentation |
By Flight Type
By Flight Duration
By Region
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Companies Profiled in the Report |
Gategroup (Switzerland), Emirates Flight Catering (Dubai), Newrest (France), LSG Group (Germany), SATS Ltd. (Singapore), Do & CO Ag (Austria), TajSATS (India), Flying Food Group (U.S.), GCC Group (U.S.), Cathay Pacific Catering Services (H.K.) Ltd. (Hong Kong) |
The market is projected to reach USD 29.01 billion by 2032.
In 2024, the market was valued at USD 17.45 billion.
The market is projected to grow at a CAGR of 6.9% during the forecast period.
The business type is the leading segment in the market.
Personalized catering demand drives the in-flight catering services.
The top players in the in-flight catering services industry include Gategroup, Emirates Flight Catering, Newrest, LSG Group, SATS Ltd., Do & CO AG, TajSATS, Flying Food Group, GCC Group, Cathay Pacific, and Catering Services (H.K.) Ltd.
The North America region is expected to hold the highest market share.
The business flight type is expected to grow with the highest CAGR during the forecast period.
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