Market Trends of Inflight Catering Industry
The Meals Category is Expected to Dominate the Food Type Segment
The advent of ready-to-eat meals for travelers and rising demand for catering services on long-distance, nonstop flights are key factors fuelling growth. The major companies that provide in-flight catering are taking initiatives to provide meals to culturally diverse passengers. The rising demand for healthy and nutritious meals among passengers and customer willingness to pay a higher price for such meals are expected to facilitate growth.
The inflight dinners for most Asian airlines include meat (most commonly chicken or beef), a salad or vegetable, a small roll, and a dessert. Cooked breakfast or lighter continental-style meals may be served during morning flights. Globally, the size of the vegan and vegetarian population is increasing rapidly due to factors such as religion, altruism, environmental concerns, etc. Growing vegetarianism has increased the demand for vegan or vegetarian meals onboard aircraft. Since September 2023, Malaysia Airlines has introduced vegetarian dishes and diabetic-friendly and gluten-free meals.
American Airlines, Delta Air Lines, Emirates, Singapore Airlines, Swiss Air Lines, and Qantas are major airlines that provide vegan meal options in their menus. Also, the growth of health-conscious people has resulted in the growing popularity of gluten-free meals and low-salt meals, as they are becoming the major food offerings under the special meals for airlines. To make the process of ordering food easier for passengers, airlines are providing options like meal pre-selection, meal pre-order, and mixed buy-on-board/complimentary catering to passengers. The provision of pre-ordering meals has also helped enhance the confidence of consumers in favor of inflight food services. Pre-orders are significantly on the rise, with the provision of 'free' pre-order programs for the business and premium economy classes.
North America is Anticipated to Witness the Highest Growth During the Forecast Period
The North American diet varies considerably with each state. The eating habits of the two major North American countries, the US and Canada, differ considerably from each other. In Canada, food intake in the Quebec region differs from the rest of the provinces. Smaller countries in the continent vary even more. So carriers have to arrange and stock up food accordingly, sufficing their routes and the region they are operating in.
The trend is, however, more toward eating healthy food, which is observed throughout the continent, particularly in the US. More than 1/4th of US citizens still consume fast food every day, but the percentage is dropping gradually. Healthy food has achieved significant traction. Foods like yogurt, poultry, sandwiches, and fresh fruits have witnessed a spike in demand in the field of inflight catering. Besides, the country is also a large market for chocolates, bakeries, and other confectioneries. The demand for low-calorie meals has resulted in a significant change in food offerings during flights.
For instance, in January 2023, Porter Airlines partnered with Canadian brands for inflight catering as it expanded across North America. The new catering menu is sustainable and includes vegetarian, vegan, and gluten-free options. Such developments are expected to drive the growth of the North American region during the forecast period.