Emergence of Outsourcing Facilities to Drive the Contract Catering Market in US


Arizton’s recent market research report on the contract catering market in US provides comprehensive industry analysis, trend forecasts, and competitive analysis. The research study segments the market by industry (B&I, education, healthcare, senior care, sports & leisure, and others), by contract type (fixed price, cost-plus, and others), by delivery (IFM and single service), by the facility (on-premise and on and off-premise), and offers detailed competitive analysis.

The contract catering market in US is projected to generate revenues of around $63 billion by 2023, growing at a CAGR of more than 4% during 2017-2023.

The implementation of government regulations and the creation of wellness programs that scrutinize food and the effect it has on productivity is propelling the growth of the US market. The increasing focus on offering fresh food subscriptions and customized meals will help companies to attract maximum consumers in the contract catering market in US.

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The top 3 drivers and trends propelling the growth of the contract catering market in US are discussed below:

Emergence of a new age of outsourcing facilities

The recent trend to bring down costs, reduce headcount, and improve efficiency is driving the need for outsourcing in the contract catering market in US. The emergence of a new age outsourcing facilities that help to enhance the quality of catering to the needs and demands of their staff via expert knowledge is expected to transform the market. Smaller companies are outsourcing non-core activities to avoid the complexity and outlay of employing a team internally that offer tailored services in the contract catering market in US. The bigger organizations, on the other hand, give their contracts to specialist facilities management providers to avail services with due diligence and incorporate new pillars of efficiency in the market. The growing demand for a wide range of meal offerings that meet the dynamic consumer requirements will enable caterers to reach a large group of consumers in the US market. The integration of digital technology that will increase the efficiency of the value chain and improve the delivery models will boost the demand for facilities management in the market. The companies are establishing effective supply chain management that focuses on cost-efficiency, service analysis, and benchmarking will revolutionize the contract catering market in US.

The Rise of “Eatertainment”

The rising need for delivering compelling experiences is becoming essential to sports and leisure platforms and giving rise to the concept of “eatertainment” in the contract catering market in US. These experiences promote connected life and drive human realities into seeking out experiences that are well curated, social, and diverse in the US market. The leading vendors are offering an experience that combines food and entertainment that boosts revenues, drives brand loyalty, increases attendance, and delivers the radical experience the modern-day guest demands in the contract catering market in US. Food is becoming the starting point for entertainment and conversations promoting socialization and increases consumer satisfaction. For instance, at Disneyland, there are 400+ food kiosks and restaurants in its theme park alone. Some of the leading sports and leisure brands are focusing on the fan events and food, and yet others are leveraging technology to enhance the feel-good factors to gain a larger US market share. From outdoor grills to destination dining spaces to special food-related events, a host of renditions of foodservice deliveries that provide “eatertainment” as opposed to just a snack bar or food kiosk are becoming part of the appeal of the services offered by these companies. The vendors are creating a unique gastronomical experience to enhance the customer satisfaction levels in the contract catering market in US.

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Enhancing Customer Journeys

The leading companies are implementing 4G, RFID, mobile apps, and smartphones through digital technology and changing the way food are presented and delivered in the contract catering market in US. The leading companies are leveraging technology to provide more information, customized orders, and shorter waiting times in the US market. The increasing use of digital technology will help companies create rewarding and memorable customer experiences, offer greater convenience, choice, and accessibility in the contract catering market in US. The introduction of the 30 self-service kiosks that offered a build-your-own experience that is introduced to make ordering easier and more intuitive. These systems are designed to make tracking sales more efficiently and round-the-clock access to good, quality food in the contract catering market in US. For instance, Sodexo introduced On the Spot which offers a retail experience over traditional vending.

The leading vendors in the contract catering market in US are Compass Group, Sodexo, Aramark Services, Delaware North, and Elior Group.

The complete overview of the latest market research report on contract catering market in US by Arizton is now available.

The report also offers a detailed study of major trends, drivers, challenges, and also provides the market size and forecast for major geographical regions and key countries.

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