HoReCa Market Research Report— Forecast till 2028

HoReCa Market Research Report: Information by ServiceType (Hotels, Restaurants, and Cafés & Pubs), Category (Single Outlet and HoReCa Chain), and Region (North America, Asia-Pacific, Europe, and the Rest of the World)—Forecast till 2028

ID: MRFR/CR/9054-HCR | 90 Pages | Published By Snehal Singh on March 2023         

HoReCa Market Speak to Analyst Request a Free Sample

HoReCa Market Overview

The HoReCa Market Size is projected to reach approximately USD 2.38 trillion, at a CAGR of 3.15%, from 2021 to 2028. HoReCa is a term in dutch which means hotels, restaurants and cafes. Food services hold a large market share in the hospitality market. In the pandemic and after the betterment of the situation, the food and beverages market is growing. The adaptation of modern lifestyle and increase in the disposal in many prominent countries is a factor for the popularity of the HoReCa market. There is a significant increase in the hotels, restaurants and cafes, and food trucks that provide positive growth. The OYO rooms are popular in the hotel segment in India, and they have collaborated with several other hotels worldwide. They are providing good quality and affordable rooms within budget. The difference in the cuisine tradition and architecture attracts the tourists, impacting the market from 2021 to 2028. It is expected that the HoReCa Market will account for USD 2.38 trillion at a CAGR of 3.15%. Due to the recent generation's modernization and changing lifestyle and food habits, food services are always in demand. Furniture used in different sectors is also boosting the HoReCa Market. The continuous ad about food services and promotion about food outlets improves the market and will increase in the forecast period.

COVID-19 Analysis

The revenue of several markets decreased due to the effect and fear of a pandemic. People avoiding going to crowded places and purchasing only essential items impacted the market severely. The Asia region was impacted most by the COVID 19 spread as the region already had huge unemployment, and after the pandemic, there was a major downfall. Although the online food services were on the speed because of the people ordering food while quarantined, the online market was also at a halt as the spread increased. For safety precaution, hotels, bars, restaurants and cafes are given orders to close til the order impacts the industry. With the relaxation, the market is holding the pace, but the limitation on the dine-ins social distance still affects the HoReCa Market Value.

Chief Factors Existing In The Market

Key Market Drivers

The tourism industry is one of the industries impacting the HoReCa Market. People moving around and trying different cuisines are impacting the market's growth. The experiment with the food availability of different cuisines in one region also boosts the market. The young generation's food habit of eating outside and ordering online from restaurants, cafes, and hotels is another factor for market growth. The technological advancement and availability of several food services online fuels the market growth. According to the HoReCa Market Analysis, the total value of travel and tourism was USD 1.6 trillion, which drives the market. The new restaurants and hotels are fueling the HoReCa Market.

Market Challenges

According to the HoReCa Market Outlook, the market challenges will affect the further growth of the market. The pandemic effect is one of the challenges for the market. Maintaining different government norms and reopening the food services challenge the market must rackle with.

Market Opportunities

Growing tourism is one of the opportunities that the market can avail. People changing their lifestyle and habits and being more inclined towards outside food are factors for the market growth. Availability of all food items independent of the region is forming several ways for growth. The increased number of market players for the foodservice market is opening new opportunities for the market. Different restaurants and cafes providing several additional services for the consumer's satisfaction drive the market and form new opportunities for the HoReCa market.

Market Restraints

Despite the continuous demand of the market, the market faces a lot of limiting factors. The hygiene factor and cleanliness are factors consumers take into consideration while depending on the HoReCa. Price is one of the limiting factors as the old generation finds the price range is not affordable. The availability of the online food market is also restraining the market growth. Consumers can order food items according to their wish, limiting the people to visit physically and lessening the market value. The restraining factors affect the HoReCa Market Size.

Cumulative Evaluation Of The Market

The market carries out several opportunities and profit-gaining ways to make a marketplace in the world. The market's future growth is based on the people number of people acquiring HoReCa. The drivers and opportunities are the factors pushing the market for further growth. In contrast, the restrains and challenges are forming new hurdles for the market that the market will tackle to gain profit during the forecast period. Several key players are responsible for the HoReCa Market Trends. Each factor is taken into consideration while studying the market.

HoReCa Market Segmentation

The HoReCa Market is segmented into service type and category.

By service type

Based on the segment service type, the HoReCa Market is segregated into hotels, restaurants, cafes, and pubs. Over the last few years, restaurant registered 46.5%, and in 2020, it is accounted to gain the largest market share. Consumers opting for take-out are one factor for the HoReCa Market Growth of the segment. The demand for hygenic food and wide range of availability boosts the restaurant segment. Restaurants offer several services, such as placing orders through email and calling the restaurant segment most valued. Customers also provide car plate numbers to the restaurants. While waiting in the parking lot, the restaurant service bringing food to the parking is another factor restaurants are getting popular. This function is accepted in many regions and fuels the restaurant segment. Other service segments are also getting acknowledgment and will register growth during the forecast period.

By category

The category segment bifurcated into a single chain and an HoReCa chain. In 2020 the HoReCa chain registered the largest CAGR due to the wide range of food outlets worldwide. HoReCa chains are established to improve geographical differences and cultural and cuisine differences and spread local food to other parts of the world. The HoReCa serves several types of items based on the preference of the consumers, which makes it a better segment for the HoReCa Market Share.

Regional Analysis

The HoReCa Market is studied in North America, Asia Pacific, Europe and other parts of the world. Popular food chains, heavy workloads, and busy schedules make North America dependent on the HoReCa. The changing lifestyle of the North American region and huge population depending on the outdoor food habit boost the market. North America is a prominent place for travel and tourism, and the availability of different regions of cuisine is a factor for the market growth. The Asia Pacific is on the way to registering a high revenue due to the huge population in the Asian regions like China and India. Attractive seasonal offers and discounts by the HoReCa fuel the Asia Pacific region.

Competitive Intensity Within The Industry

Analyzing many key operating processes has explained the competition between prominent regional companies. Various key players invest in the market based on the development and profit of the market. Different strategies and ways are made out by keeping the players in mind. TheThe key players are expected to increase the market presence by making strategies and collaboration techniques. In the future, the important key players will have a profitable impact on the HoReCa Market Forecast. The major key players of the HoReCa Market are

  • Yum! Brands, Inc. In the US

  • Restaurant brands international inc. In Canada

  • Hyatt hotels corporation in the US

  • Wyndham Hotels Group, LLC in the US

  • Inspire brands, Inc. In the US

  • The coca-cola company in the US

  • Hilton worldwide Holding Inc. In the US

  • Mcdonald's corporation in the US

Recent Market Developments

  • Hemant Malik, divisional chief executive at ITC Ltd, announced that out-of-home consumption would likely gain further momentum with the decline in the number of Covid cases and easing the restriction.

  • AI Bayader International has unveiled two F and B brands. They are baya food and Baya agua under a new business division and new solutions for the HoReCa sector.

Report Overview

The HoReCa Market overview shows the situation of the market depending on the growth rate. Drivers, restraints, challenges and opportunities are affecting the market condition. Different market segmentation strongly impacts the market value for the future. The market is studied in several regions, and the key players of those regions are boosting market growth. Recent market development is also mentioned in the report. The HoReCa Market will experience a good growth rate and increase the profit of different market players investing in it in the forecast period.

Key Industrial Segments

By service type

  • Hotels

  • Restaurants

  • Cafes and pubs

By category

  • Single outlet

  • HoReCa chain

Report Scope:

Report Attribute/Metric Details
  Market Size   USD 2.38 trillion
  CAGR   3.15% (2021-2028)
  Base Year   2020
  Forecast Period   2021-2028
  Historical Data   2019
  Forecast Units   Value (USD Million)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends, Type, category
  Segments Covered   Product Type, Indication, End User, Region, Services
  Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
  Key Vendors   Hilton Worldwide Holdings Inc. (US) Hyatt Hotels Corporation (US) Marriott International, Inc. (US) InterContinental Hotels Group plc (UK) Wyndham Hotel Group, LLC (US) McDonald's Corporation (US) Yum! Brands, Inc. (US) Restaurant Brands International Inc. (Canada) Inspire Brands, Inc. (US) The Coca-Cola Company (Costa Coffee) (US)
  Key Market Opportunities   Wide availability of food options and convenient buying
  Key Market Drivers   The hospitality & tourism industry has witnessed significant growth over the past few years

Speak to Analyst Ask for Customization

Frequently Asked Questions (FAQ) :

Continuous lifestyle change and changing eating habits of the youngster is the main factor for the continuous growth of the market.

The HoReCa Market will account for USD 2.38 trillion at a CAGR of 3.15% from 2021 to 2028.

The market is segmented by service and by category.