Asia Pacific In-Flight Catering Services Market - Industry Analysis and Forecast (2024-2030)
Asia Pacific In-Flight Catering Services Market is estimated to grow at a CAGR of 6.1% during the forecast period. Asia Pacific In-Flight Catering Services Market is expected to reach US$ 5.07 Bn. in 2030 from US$ 3.35 Bn in 2023.
Format : PDF | Report ID : SMR_1247
Asia Pacific In-Flight Catering Services Market Overview:
The Asia-Pacific inflight catering market is now being driven by a growing emphasis on customer-centric meal menus, with most airlines introducing new items to their menus with the goal of providing higher quality food to customers by keeping their tastes in mind. The introduction of new locations and long-haul flights may generate future potential for the Asia-Pacific inflight catering market, as air travel in this region grows.
Due to the culinary habits of the people in the Asia Pacific countries especially India, the market is expected to grow at a healthy rate in India. Furthermore, passengers from various areas have varying culinary tastes. Furthermore, India's tourism has always been on the rise as a result of its diversity. Cruises, adventure, medical, wellness, sports, MICE, eco-tourism, cinema, rural, and religious tourism are just a few of the specialized tourism goods available in India.
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Asia Pacific In-Flight Catering Services Market Dynamics:
During the forecast period, the hybrid and other flight types segment of the Asia-Pacific market is predicted to grow at the fastest rate. Catering on hybrid business model airlines, charter flights, and private jets is included in this section. Despite the fact that the segment's sales are now the lowest, the segment's high expected growth is mostly due to the growing desire for hybrid carriers and their increased penetration in the region's market. To maximize profit, these hybrid carriers combine low-cost carrier characteristics with those of full-service carriers. In addition, new hybrid airlines are launching operations in this region to meet the growing demand for foreign passengers.
Approximately 15 long-haul low-cost airlines were created internationally between 2012 and 2017, with AirAsia X, Jin Air, and Lion Air being the most prominent hybrid airlines in Asia-Pacific. Bamboo Airlines, a new Vietnamese hybrid airline, began service in January of this year. Similarly, Air Premia, a South Korean airline, is expected to commence operations in September 2020. The market is expected to be driven by the entrance of new airlines in this format. However, due to Asia-moderate Pacific's economic growth, the private jet charter business in the region is still in its infancy and is expected to grow gradually in the future.
In FY20, India's tourism sector employed 39 million people, accounting for 8.0 percent of the country's overall workforce. It is estimated to employ almost 53 million people by 2029. According to IATA, aviation passenger traffic increased by 5.1 percent YoY in India in 2019, down from 18.9 percent in 2018. This is due to a number of factors, including Jet Airways' bankruptcy and declining economic activity. With the COVID-19 pandemic now in remission, the inflight food industry is attempting to recoup its losses through initiatives such as product diversity and innovation. IndiGo Airlines, for example, announced the availability of a variety of vegetarian and non-vegetarian alternatives, healthy juices, lemonade, aerated beverages, a large assortment of sugar-free health bars and drinks at competitive pricing onboard. Stellar Market Research forecasts a 30 percent market share for the Indian market.
Asia Pacific In-Flight Catering Services Market Segment Analysis:
Based on Aircraft Class, the Asia Pacific In-Flight Catering Services Market is segmented into Economy Class, Business Class, and First Class. Economy Class remains the most popular option among frequent flyers as majority of population in this region consists of middle-class families, therefore dominating the industry. Passengers' increasing expectations of eating healthy meals will drive up demand for in-flight food, regardless of seating class. Furthermore, increased global health consciousness is forcing in-flight catering market participants in Asia Pacific to reconsider their strategy.
Based on Source, The Asia Pacific In-Flight Catering Services market is segmented into In-House and Outsource. The market for in-flight food services is expected to be dominated by the outsourcing segment. Because of the availability of a wide selection of international cuisines and meals, outsourcing in-flight catering service is anticipated to be the chosen option for the majority of airlines and private aircraft in Asia Pacific over the forecast period. Government-imposed food safety and hygiene rules would increase the demand for outsourced in-flight catering services, which would necessitate substantial food safety certification. Major airlines have strong contracts with in-flight catering service providers, resulting in increased demand for outsourced food products over the forecast period.
Based on Food Type, The Asia Pacific In-Flight Catering Services market is segmented into Meal, Bakery & Confectionery, Beverages and Others. The Meal segment is expected to dominate the market. The expansion of the in-flight catering industry is being fueled by an increase in passenger demand for meals on board. One of the main reasons for increased meal demand is the growing traffic on long-haul flights, which has remained critical in driving demand for in-flight catering services on a massive scale. Airlines offer three-course meals as well as beverages and salads as side dishes. This aspect has significantly raised demand for meals due to the combined benefits. Beverages are predicted to have strong demand from customers, particularly millennials and children, despite having a lower economic basis than meals.
Asia Pacific In-Flight Catering Services Market Regional Insights:
Because of the country's booming aviation business, the Indian inflight catering market is predicted to grow at the fastest rate over the forecast period. The increase in air travel in India is giving the inflight culinary services industry a new dimension. As of 2018, the country's domestic airline services were used by over 20 million people, while foreign airline services were used by around 10 million people. The inflight meal sector is set to grow significantly over the next two years, with a 20 percent rise in traffic projected. Furthermore, the advent of domestic airlines into intercontinental routes is projected to increase competition among caterers, encouraging them to be more inventive.
For example, in May 2018, Vistara started a "Chef On-board" program in collaboration with Taj SATS Air Catering Limited, the airline's caterers. Chef On-Board, according to the firm, is an innovative and first-of-its-kind program in India, in which chefs will receive direct and immediate input from customers on the new menu launched across the network. Such initiatives to improve the in-flight catering experience may aid in the expansion of the country's players. Despite this, China now has the largest inflight catering market in the area, owing to the country's strong aviation activity.
Airlines in China are purchasing new aircraft and launching new routes in order to meet rising aviation demand. Chinese airlines are re-designing their in-flight menus to enhance profitability while maintaining food quality in order to stay competitive. Because of the high level of competition in the airline market and the low profit growth of small and medium-sized air carriers from additional supporting services, airlines in China have abandoned the idea of providing complimentary in-flight meals to economy class passengers, which is expected to slow the market's growth over the forecast period.
The objective of the Asia Pacific In-Flight Catering Services report is to present a comprehensive analysis of the Asia Pacific In-Flight Catering Services market to the stakeholders in the industry. The Asia Pacific In-Flight Catering Services report provides trends that are most dominant in the Asia Pacific In-Flight Catering Services market and how these trends will influence new business investments and market development throughout the forecast period. The Asia Pacific In-Flight Catering Services report also aids in the comprehension of the Asia Pacific In-Flight Catering Services Market dynamics and competitive structure of the market by analyzing market leaders, market followers, and regional players.
The qualitative and quantitative data provided in the Asia Pacific In-Flight Catering Services market report will assist in understanding which market segments, regions, and factors affecting the Asia Pacific In-Flight Catering Services market, as well as key opportunity areas, will drive the industry and market growth over the forecast period. The Asia Pacific In-Flight Catering Services report also includes the competitive landscape of key industry players, as well as their recent developments in the In-Flight Catering Services market. The Asia Pacific In-Flight Catering Services report investigates factors such as company size, market share, market growth, revenue, production volume, and profits of the market's key players.
The report includes Porter's Five Force Model, which aids in the development of market business strategies. The report assists in determining the number of competitors, who they are, and the quality of their products in the Asia Pacific In-Flight Catering Services market. The report also examines whether it is easy for a new player to gain a foothold in the Asia Pacific In-Flight Catering Services market, whether they enter or exit the market on a regular basis, whether the market is dominated by a few players, and so on.
The Asia Pacific In-Flight Catering Services report also includes a PESTEL Analysis, which aids in the development of company strategies. Political variables help in figuring out how much a government can influence the Asia Pacific In-Flight Catering Services market. Economic variables aid in the analysis of economic performance drivers that have an impact on the Asia Pacific In-Flight Catering Services market. Understanding the impact of the surrounding environment and the influence of environmental concerns on the Asia Pacific In-Flight Catering Services market is aided by legal factors.
Asia Pacific In-Flight Catering Services Market Scope:
Asia Pacific In-Flight Catering Services Market |
|
Market Size in 2023 |
USD 3.35 Bn. |
Market Size in 2030 |
USD 5.07 Bn. |
CAGR (2024-2030) |
6.1% |
Historic Data |
2018-2022 |
Base Year |
2023 |
Forecast Period |
2024-2030 |
Segment Scope |
By Aircraft Class
|
By Source
|
|
By Food Type
|
|
Country Scope |
|
Asia Pacific In-Flight Catering Services Market Key Players
- Flying Food Group LLC (U.S.)
- Gate group (Switzerland)
- Lufthansa Service Holding AG (Germany)
- Journey Group PLC (U.K.)
- Fleury Michon America (Canada)
- Delta Dailyfood Canada Inc (Canada)
Frequently Asked Questions
China is expected to hold the highest share in Asia Pacific In-Flight Catering Services Market.
The Asia Pacific In-Flight Catering Services Market is expected to grow at a CAGR of 14.1% during the forecast period. Asia Pacific In-Flight Catering Services Market is expected to reach US$ 5.07 Bn. in 2030 from US$ 3.35 Bn in 2023.
1. Asia Pacific In-Flight Catering Services Market: Research Methodology
1.1 Research Data
1.1.1. Primary Data
1.1.2. Secondary Data
1.2. Market Size Estimation
1.2.1. Bottom-Up Approach
1.2.2. Top-Down Approach
1.3. Market Breakdown and Data Triangulation
1.4. Research Assumption
2. Asia Pacific In-Flight Catering Services Market Executive Summary
2.1. Market Overview
2.2. Market Size (2023) and Forecast (2024 – 2030) and Y-O-Y%
2.3. Market Size (USD) and Market Share (%) – By Segments
3. Asia Pacific In-Flight Catering Services Market: Competitive Landscape
3.1. SMR Competition Matrix
3.2. Key Players Benchmarking
3.2.1. Company Name
3.2.2. Headquarter
3.2.3. Service Segment
3.2.4. End-user Segment
3.2.5. Y-O-Y%
3.2.6. Revenue (2023)
3.2.7. Profit Margin
3.2.8. Market Share
3.2.9. Company Locations
3.3. Market Structure
3.3.1. Market Leaders
3.3.2. Market Followers
3.3.3. Emerging Players
3.4. Consolidation of the Market
4. Asia Pacific In-Flight Catering Services Market: Dynamics
4.1. Asia Pacific In-Flight Catering Services Market Trends
4.2. Asia Pacific In-Flight Catering Services Market Drivers
4.3. Asia Pacific In-Flight Catering Services Market Restraints
4.4. Asia Pacific In-Flight Catering Services Market Opportunities
4.5. Asia Pacific In-Flight Catering Services Market Challenges
4.6. PORTER’s Five Forces Analysis
4.7. PESTLE Analysis
4.8. Technological Roadmap
4.9. Regulatory Landscape
5. Asia Pacific In-Flight Catering Services Market: Market Size and Forecast by Segmentation (by Value in USD Million) (2024-2030)
5.1. Asia Pacific In-Flight Catering Services Market Size and Forecast, by Aircraft Class (2024-2030)
5.1.1. Economy class
5.1.2. Business class
5.1.3. First class
5.2. Asia Pacific In-Flight Catering Services Market Size and Forecast, by Source (2024-2030)
5.2.1. In-house
5.2.2. Outsource
5.3. Asia Pacific In-Flight Catering Services Market Size and Forecast, by Food Type (2024-2030)
5.3.1. Meal
5.3.2. Bakery & confectionery
5.3.3. Beverages
5.3.4. Others
5.4. Asia Pacific In-Flight Catering Services Market Size and Forecast, by Country (2024-2030)
5.4.1. China
5.4.2. India
5.4.3. Japan
5.4.4. South Korea
5.4.5. Australia
5.4.6. ASEAN
5.4.7. Rest of APAC
6. Company Profile: Key Players
6.1. Flying Food Group LLC (U.S.)
6.1.1. Company Overview
6.1.2. Business Portfolio
6.1.3. Financial Overview
6.1.4. SWOT Analysis
6.1.5. Strategic Analysis
6.1.6. Recent Developments
6.2. Gate group (Switzerland)
6.3. Lufthansa Service Holding AG (Germany)
6.4. Journey Group PLC (U.K.)
6.5. Fleury Michon America (Canada)
6.6. Delta Dailyfood Canada Inc (Canada)
7. Key Findings
8. Analyst Recommendations
8.1. Strategic Recommendations
8.2. Future Outlook