Inflight Catering Market Size, Share & Trends Analysis Report By Food Type (Meals, Bakery and Confectionary, Beverages, Other Food Types), By Flight Type (Full-Service Carriers, Low-Cost Carriers, Other Flight Types), By Aircraft Seating Class (Economy Class, Business Class, First Class), By Catering Type (Retail on Board, Classic Catering), By Flight Duration (Long Haul, Short Haul) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Inflight Catering Market Size and Trends

The global inflight catering market size was valued at USD 13.62 billion in 2023. It is projected to reach from USD 15.16 billion in 2024 to USD 35.75 billion by 2032, growing at a CAGR of 11.32% during the forecast period (2024–2032). The primary catalyst for growth in the inflight catering market is the recovery of the airline sector following the disruptive effects of the COVID-19 epidemic, increasing air passenger traffic. Consumers demand high-quality and healthy food during their flights, another growth driver for the global inflight catering market.

In-flight catering, or the provision of meals and beverages to passengers during a flight, is a crucial aspect of the airline experience. These meals are typically served from a trolley by flight attendants and are prepared by specialized airline catering services. In-flight catering has become particularly significant for long-haul flights and network carriers, where the quality and variety of meals can greatly influence passenger satisfaction.

Meal planning and design are key components of in-flight catering. The quality and complexity of meals can vary widely depending on the airline and travel class. For short-haul economy flights, passengers might receive a simple snack or beverage. In contrast, long-haul first-class passengers might enjoy elaborate multi-course gourmet meals. The types of food offered also vary based on regional cuisine, often incorporating elements from both the departure and destination countries. This regional diversity in meal offerings reflects the airline's effort to provide a unique and enjoyable dining experience. Historically, during the regulation period of domestic American ticket rates, airlines competed heavily on the basis of their food services, making in-flight catering a significant factor in distinguishing between carriers.

Top 4 key highlights

• Meals dominate the food type segment.
• Full-service carriers dominate the flight type.
• Economy class dominates the aircraft seating class segment.
• Asia-Pacific is the highest shareholder in the global market.

Inflight Catering Market Growth Factors

Growing demand for high-quality and healthy in-flight food

The increasing demand for high-quality and healthy in-flight food is a key driver in the Global Inflight Catering Market. A recent survey by the Airline Passenger Experience Association (APEX) reveals that 78% of passengers now prioritize nutritional value and freshness in their in-flight meals, a significant rise from 52% in 2019. This trend is particularly strong among millennials and Gen Z. Nielsen's 2023 Global Health & Wellness report indicates that 82% of these groups are willing to pay more for healthier food options.

In response to this shift, the airline industry has adapted rapidly. According to the International Travel Catering Association (ITCA), 65% of its member airlines increased their budgets for premium, health-focused ingredients by an average of 30% in 2023. 

• For instance, Emirates, which serves over 110 million meals annually, now sources 60% of its produce from organic farms, as highlighted in its 2023 sustainability report.

Dietary preferences are also influencing the market. The International Air Transport Association (IATA) has observed a 55% increase in special meal requests since 2021, with vegan options alone seeing a dramatic 112% rise. In response, Lufthansa, which operates around 500,000 flights annually, has expanded its vegan menu to account for 30% of its offerings in 2023. Moreover, the demand for gourmet experiences is driving market growth. A 2023 Skytrax study found that 45% of business and first-class passengers value chef-curated menus. This has led to collaborations such as Air France’s partnership with Michelin-starred chefs, which resulted in a 25% increase in premium catering revenue in Q1 2023.

Inflight Catering Market Restraining Factors

Compliance with food quality and safety regulations

Compliance with food quality and safety regulations poses a significant restraint for the global inflight catering market. In 2022, the International Air Transport Association (IATA) reported 1,718 cases of food-related illnesses on flights, highlighting the critical need for stringent adherence to safety standards. The World Health Organization (WHO) estimates that 1 in 6 passengers may suffer from foodborne illness annually, with average costs of $175,000 per incident for medical care and reputational damage.

Regulatory scrutiny has intensified, with the U.S. Food and Drug Administration (FDA) increasing inspections by 40% to 3,620 in 2022, leading to numerous facility suspensions. In Europe, the European Food Safety Authority (EFSA) requires HACCP certification, yet only 65% of facilities met this standard in 2022. Moreover, temperature control issues and rising food allergy incidents further complicate compliance, driving up operational costs for airlines.

Inflight Catering Market Opportunity

Increased automation of in-flight catering

The rising trend towards automation in in-flight catering offers a transformative opportunity in the global inflight catering market. A 2023 report by the International Flight Services Association (IFSA) highlights that 65% of airline catering facilities now utilize automation, up from 28% in 2019. This shift enhances efficiency and cost-effectiveness; for example, LSG Sky Chefs reports a 35% increase in production rates and a 22% reduction in labor costs due to automated meal assembly lines introduced in 2021.

The COVID-19 pandemic accelerated this trend, with 80% of Airline Catering Association (ACA) members fast-tracking automation projects to ensure social distancing and minimize human contact. Robotics are pivotal; ANA's partnership with YASKAWA Electric deployed robotic arms in 2022, capable of assembling 1,500 meal trays per hour, a task that would otherwise require 15 human workers. Similarly, Lufthansa’s use of automated guided vehicles (AGVs) at its Frankfurt hub handles 85% of its daily meals, cutting delivery times by 40%.

Advanced technologies such as AI and IoT are also making significant strides. Gate Gourmet's "Smart Kitchen" initiative, launched in 2023, leverages AI to optimize menu planning, reducing food waste by 15%. Additionally, Emirates uses RFID tags and IoT sensors to monitor 70% of its meals for temperature compliance, achieving a 99.7% adherence to safety standards. This increased automation not only improves operational efficiency but also enhances food safety and reduces waste, positioning automation as a key opportunity in the market.

Inflight Catering Market Regional Analysis

Asia-pacific dominates the global market

Asia Pacific holds the largest share of the global aviation market and is poised for significant growth, accounting for about 35% of the market share in 2023, according to the International Air Transport Association (IATA). This dominance is primarily driven by China, which has surpassed the U.S. as the world's largest aviation market. The Civil Aviation Administration of China (CAAC) reports that domestic air travel has reached 118% of pre-pandemic levels by the second quarter of 2023, resulting in over 515 million passenger trips. This resurgence in travel has directly boosted the demand for inflight catering services.

India's rapid growth also plays a crucial role in the region's aviation expansion. The Airports Authority of India reported a 24.2% increase in domestic air traffic in the fiscal year 2022-23, reaching 123.3 million passengers. The Indian Ministry of Civil Aviation anticipates that this figure will soar to 400 million by 2030. Moreover, Japan and South Korea significantly contribute to the Asia Pacific's leading position. The Japan Civil Aviation Bureau (JCAB) notes an 80% increase in international flights from Japan in 2023 compared to 2022.

Meanwhile, South Korea's Ministry of Land, Infrastructure and Transport highlights that Incheon Airport accommodated over 70 million international passengers in 2023, each typically receiving a meal during their flight. These factors collectively underscore the region's robust growth and the increasing demand for inflight services.

Inflight Catering Segmentation Analysis

By food type

The meals segment is a dominant force in the global inflight catering market, offering a diverse range of gourmet meals tailored to passenger preferences. Airlines provide various meal options, including bland meals, child meals, diabetic meals, fruit platter meals, gluten-free meals, and Hindu meals, accompanied by appetizers, soup, salad, and entrees such as chicken, beef, fish, or pasta.

During the COVID-19 pandemic, many airlines temporarily halted onboard food services as a cost-cutting measure and to reduce contamination risks. Initially, airlines offered only cold meals on international routes and eliminated meal services on domestic flights. However, as the aviation industry began to recover, airlines gradually reintroduced hot meal services for both domestic and international passengers, restoring the quality and variety that travelers expect. This resurgence in meal offerings highlights the meals segment's resilience and adaptability in meeting passenger needs.

By flight type

The full-service carriers (FSC) segment holds the highest market share. These airlines offer passengers a comprehensive range of amenities, including checked baggage, meals, beverages, in-flight entertainment, and comforts like blankets and pillows, all included in the ticket price. To meet the anticipated growth in demand, FSC airlines are expanding routes and enhancing their in-flight catering menus.

For example, Vistara, a full-service carrier in India, introduced new in-flight meals across cabins on its domestic network and has resumed serving hot vegetarian meals in economy class, which had previously been replaced with pre-packaged snacks. These strategic enhancements by airlines are expected to drive the growth of the FSC segment during the forecast period as they continue to cater to passenger preferences and enhance the travel experience.

By aircraft seating class

The economy class segment is the most significant contributor, based on aircraft seating class. Economy class seats generate the highest revenues for airlines due to their sheer volume compared to other classes. There is a growing trend of airlines enhancing their economy-class experience by improving meal quality, offering more diverse menu options, and incorporating healthier choices. For instance, some airlines have begun to provide complimentary snacks and beverages, along with hot meals on long-haul flights, to elevate the passenger experience.

Additionally, the introduction of premium economy seats, which often replace some business class seats, is also driving market growth. This trend caters to passengers seeking more comfort and amenities than traditional economy class but at a lower price point than business class. As airlines focus on enhancing economy-class services and introducing premium economy options, the segment is poised for continued expansion, reinforcing its position as the dominant force in the market.

By catering type

The classic catering segment remains the largest revenue contributor. During the COVID-19 pandemic, many airlines temporarily halted their hot meal services, opting instead to provide packaged food to minimize contamination risks. However, as the pandemic situation improved, airlines resumed offering complimentary hot meals as part of their service, a move that has been well-received by passengers.

The increase in classic catering has been driven by a renewed emphasis on passenger comfort and the overall travel experience. Airlines are investing in menu innovations, incorporating regional cuisines, and offering special meal options to cater to diverse dietary needs. Additionally, collaborations with renowned chefs and the use of high-quality, fresh ingredients have elevated the standard of in-flight dining.

By flight duration

The long-haul segment is a substantial contributor to the market. The COVID-19 pandemic had a significant impact on long-haul travel demand as countries closed borders and implemented quarantine and mandatory testing rules throughout 2020 and parts of 2021. This led to a decline in passenger travel, reducing the demand for in-flight catering on long-haul routes.

However, as countries have eased testing and quarantine requirements following a global decrease in COVID-19 cases, there has been a notable resurgence in interest in long-haul travel.

• For instance, airlines in the United Kingdom, such as British Airways, Virgin Atlantic Airways Ltd, and TUI AG, have reported increasing interest in long-haul flights since the country relaxed its coronavirus testing requirements. This renewed interest is expected to drive the recovery of revenues in the long-haul segment during the forecast period.

Market News

• July 2024 - Mainline Aviation partnered with SAS Scandinavian Airlines to provide in-flight catering services for their transatlantic route from Atlanta to Copenhagen. The route began on June 17 and operated daily during the summer using an Airbus A330-300 aircraft. Mainline Aviation's culinary team created a diverse menu featuring dishes that combine Scandinavian and Southern U.S. flavors.