ID: MRFR/CR/9054-HCR | April 2021 | Region: Global | 90 pages
The global HoReCa market is projected to reach approximately USD 2.38 trillion, at a CAGR of 3.15%, from 2021 to 2028. HoReCa stands for hotels, restaurant, and cafés & pubs and is an important service sector in the global economy. It primarily consists of hotels, restaurants, and bars accounting for about two thirds of the global turnover.
The outbreak of Covid-19 has caused a downward trend in the HoReCa industry as lockdown and “stay at home” orders given by governments across the globe and consumers preferring to stay indoors to curb the spread of the novel coronavirus. The pandemic has forced restaurants to close their doors to dine-in customers resulting in a sharp drop in HoReCa industry growth. However, with gradual relaxation of government norms, hotels, restaurants, and cafés & pubsare primarily focusing on cleanliness and safety precautions to restrict the spread of the virus. Owing to this, there is a significant gap in supply and demand as there is a limitation in dine-in seats, lodging rooms, and has even impacted operation time. Furthermore, the HoReCa industry is highly responsible for crowd management to follow social distancing norms. Moreover, with the increasing Internet penetration in developingregions and the escalating growth of online food delivery services, food service outlets that cannot attract consumers are turning to either home delivery services or approaching third party food delivery platforms such as GrubHub and DoorDash. Therefore, gradual relaxation of government restrictions and rising popularity of online food delivery services are expected to drive the overall HoReCa industry during the forecast period.
The global HoReCa market has witnessed high growth in recent years. An emerging strategy within the HoReCa industry involves the combination of culinary expertise, industry experience, and strategic marketing among food manufacturers, food distributors, and foodservice operators. This alliance, along with several other trends is re-shaping the HoReCa operation into a highly technological, efficient, and flexible enterprise. Additionally, the increase in busy lifestyle and hectic schedules of consumers have augmented the demand for fast food and out-of-home eating. In several metro cities, where people work almost throughout the day, the consumption of fast food to save time and money is significantly popular. For instance, according to a recent MRFR study, the total share of disposable personal income spent on food decreased to less than 7% in 2020 from 12% in 2000. Our research figures further show that food away-from-home expenditures have grown to 44% of total household food expenditure, while food at-home expenditures have fallen to 56% in 2020.Moreover, the young generation tends to follow the Western culture and opt forfast food chains such as McDonald’s and Subway, which is further driving the overall HoReCa industry globally in 2020.However, despite the success of large hotels, fast food chains, takeaways, and franchises, the presence of unorganized small, independent, and family-owned organizations are restricting the growth of the HoReCa market across the globe.
Wide availability of food options and convenient buying
|Market Size||USD 2.38 trillion|
|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|