The Latest Catering Industry Statistics Explained
The catering industry is expected to reach $11.3 billion by 2026, with a CAGR of 5.4%.
This statistic indicates the growth projection for the catering industry, estimating that the industry’s total revenue will increase to $11.3 billion by the year 2026. The compound annual growth rate (CAGR) of 5.4% suggests that the industry is expected to experience steady growth over the specified timeframe. This indicates a positive outlook for the catering sector, with increasing demand for catering services and potential opportunities for businesses operating within this industry to expand their market share and profitability in the coming years.
About 10% of the entire restaurant industry revenue in the United States is catered.
This statistic indicates that approximately 10% of the total revenue generated by the restaurant industry in the United States comes from catering services. Catering involves providing food and beverage services for events, parties, and other gatherings outside of a traditional restaurant setting. This figure highlights the significant role that catering plays in the overall revenue stream of the restaurant industry, showcasing its importance as a lucrative business segment. Additionally, it suggests that catering services are in demand and contribute significantly to the industry’s overall financial health, making them a valuable and profitable avenue for restaurants to explore.
The annual growth of the catering industry from 2015 to 2020 was 1.6%.
The statistic indicates that the catering industry experienced an average annual growth rate of 1.6% over the period from 2015 to 2020. This means that, on average, the industry’s total revenue or output increased by 1.6% each year during this period. The positive growth rate suggests that the industry expanded over the five-year period, possibly due to factors such as increasing demand for catering services, improvements in technology and efficiency, or changes in consumer preferences. This statistic provides valuable insight into the overall health and trajectory of the catering industry during the specified time frame, highlighting its ability to adapt and grow in a dynamic market environment.
The average profit margin for catering companies is typically between 7-8%.
The statistic stating that the average profit margin for catering companies typically falls between 7-8% indicates the percentage of total revenue that is retained as profit after accounting for all operating expenses. Catering companies operate on narrow profit margins due to the high costs associated with food, labor, equipment, and overhead expenses. A profit margin of 7-8% is considered typical within the industry, representing a balance between generating sufficient profit to sustain the business and remaining competitive in the market. Companies with profit margins above this range may be considered more profitable or efficient, while those below may struggle to remain financially viable in the long term. Overall, understanding and effectively managing profit margins is crucial for the success and sustainability of catering businesses.
There are over 12,000 catering businesses in the United States.
The statistic “There are over 12,000 catering businesses in the United States” represents the total number of catering companies operating across the country. This figure suggests a considerable presence of the catering industry in the US, highlighting the popularity and demand for catering services. The diversity of catering businesses within the market indicates a competitive landscape, with various companies offering a wide range of services to meet the needs of different clients and events. This statistic serves as a quantitative indicator of the size and scope of the catering industry, showcasing the significant contribution of these businesses to the overall economy and food service sector in the United States.
Approximately 70% of all catering businesses are home-based.
The statistic suggests that a significant portion of catering businesses operate from home, with approximately 70% of all catering businesses falling into this category. This could indicate that many individuals are choosing to start catering businesses from their homes, possibly due to lower startup costs, convenience, or a preference for a more flexible work environment. Operating a catering business from home may also offer certain advantages such as increased control over costs and schedules. However, it is important to consider potential challenges such as limited space, zoning regulations, and possible restrictions on the types of services that can be offered from a home-based setup.
In the United States, over 150,000 people are employed in the catering industry.
The statistic that over 150,000 people are employed in the catering industry in the United States indicates a significant level of employment within this sector of the economy. This suggests that catering services play a substantial role in providing jobs and contributing to the overall labor market. The catering industry encompasses a wide range of activities, including food preparation, service, event planning, and management, highlighting the diverse employment opportunities available within this field. The large number of people employed in catering also points to the sector’s importance in meeting the demands of various events and occasions, such as weddings, corporate functions, and social gatherings, showcasing the industry’s relevance in both the business and social spheres of American society.
The United States catering market is expected to reach $12.3 billion by 2026.
This statistic indicates that the catering industry in the United States is projected to grow significantly over the next few years, culminating in a market size of $12.3 billion by the year 2026. This growth suggests a robust increase in demand for catering services, likely driven by factors such as changing consumer preferences, increasing disposable incomes, and a rise in demand for convenience and experience-based dining options. The projected market size provides valuable insights for businesses operating in the catering industry, indicating potential opportunities for expansion, innovation, and strategic planning to capitalize on the anticipated market growth.
The Corporate catering segment dominates over 60% of the catering market.
The statistic that the corporate catering segment dominates over 60% of the catering market suggests that a significant portion of the catering industry’s revenue and service volume is generated by catering services provided to businesses and corporate clients. This indicates that corporate events, meetings, and functions are major drivers of demand within the catering market, with companies relying heavily on catering services to meet their food and beverage needs. The strong presence of corporate catering highlights the importance of this segment within the overall industry landscape, emphasizing the substantial influence that corporate clients have on shaping the market dynamics and trends in the catering sector.
The catering segment in contract catering had a value of $248.07 Billion in 2019.
This statistic indicates that the contract catering segment within the catering industry generated a total revenue of $248.07 billion in the year 2019. Contract catering refers to the provision of food services by one company to another through a formal agreement. The value of $248.07 billion reflects the amount of money exchanged within this specific sector for providing catering services under contractual arrangements. This figure serves as a key indicator of the size and economic impact of the contract catering market in 2019, highlighting the significant role played by this segment within the broader catering industry.
The food & beverages sector dominated the contract catering market share with over 66% in 2019.
This statistic indicates that the food & beverages sector held a significant share of the contract catering market in 2019, comprising more than two-thirds of the total market. This dominance suggests that food and beverage companies providing catering services had a strong presence and influence within the industry during that year. The high market share also implies that these companies were likely preferred by consumers or businesses seeking catering services, possibly due to their reputation, quality of offerings, or competitive pricing. Overall, this statistic highlights the importance and impact of the food & beverages sector in the contract catering market in 2019.
Approximately 3.1 million people are directly employed in the contract catering sector in Europe.
The statistic stating that approximately 3.1 million people are directly employed in the contract catering sector in Europe reflects the significant workforce involved in providing catering services on a contractual basis across the continent. This sector encompasses a wide range of facilities such as corporate offices, educational institutions, hospitals, and event venues where catering services are outsourced to specialized providers. The large number of employed individuals highlights the scale and importance of the contract catering industry in Europe, not only in terms of job creation but also in meeting the diverse dietary needs of a broad range of clients and customers.
Catered events make up 50% of industry sales, with corporate catering making up an additional 30%.
The statistic indicates that within the industry, half (50%) of sales come from catered events, which include any type of organized function where food and beverages are provided for a specific group of people. Additionally, corporate catering specifically accounts for 30% of industry sales, which refers to events hosted by businesses or organizations for their employees, clients, or stakeholders. This breakdown suggests that a significant portion of the industry’s revenue is generated by providing catering services for a variety of events, with corporate functions playing a substantial role in driving sales. The data highlights the importance of both catered events and corporate clients in contributing to the overall success and profitability of catering businesses within the industry.
From 2017-2019, the catering industry in China has grown by an average of 9% annually.
The statistic ‘From 2017-2019, the catering industry in China has grown by an average of 9% annually’ indicates that over the three-year period from 2017 to 2019, the catering industry in China experienced consistent and steady growth. The average annual growth rate of 9% suggests a positive trend in the industry’s performance, demonstrating an increasing demand for catering services within the Chinese market. This statistic implies that the industry has been able to attract and retain customers, potentially due to factors such as improving economic conditions, changing consumer preferences, or effective marketing strategies. Overall, the data highlights a promising and profitable trajectory for the catering sector in China during the specified timeframe.
The mobile catering industry is expected to grow by 20%, outpacing the traditional catering growth.
The statistic indicates that the mobile catering industry is projected to experience a 20% increase in its market size or revenue, surpassing the growth rate of the traditional catering sector. This suggests that mobile catering services, such as food trucks or pop-up vendors, are becoming increasingly popular and competitive within the broader catering market. Factors contributing to this growth may include evolving consumer preferences towards convenience and variety, as well as the flexibility and lower overhead costs associated with mobile setups compared to brick-and-mortar catering businesses. The forecasted outpacing of traditional catering growth by the mobile sector signifies a shift in the catering landscape and highlights the potential for continued expansion and innovation in mobile food services.
Only 10% of people tip their caterers, although 15-20% is considered standard.
The statistic indicates that a relatively low proportion of people, specifically 10%, give tips to their caterers, falling below the typically expected range of 15-20% in the service industry. This suggests that a significant portion of customers may be not following the customary standard for tipping in catering services. Such low tipping rates could have implications for the catering industry, potentially affecting caterers’ incomes and job satisfaction. It may be important for both customers and caterers to consider the standard tipping practices and to ensure that appropriate appreciation is shown for the services provided.
By 2025, the online food delivery market, a component of the catering industry, is expected to reach $200 billion.
The statistic ‘By 2025, the online food delivery market, a component of the catering industry, is expected to reach $200 billion’ suggests significant growth and potential in the online food delivery sector. This projection indicates a substantial increase in consumer demand for the convenience and accessibility offered by online food delivery services. The expected market value of $200 billion by 2025 reflects the expanding market share of online food delivery platforms and the shifting consumer preferences towards ordering meals online. This estimate highlights the growing importance of technology and digital platforms in the catering industry, signaling opportunities for businesses to capitalize on the trend towards online food delivery services.
References
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