Market Research Report
Asia Pacific In-Flight Catering Market - Growth, Trends, and Forecast (2019 - 2024)
|Published by||Mordor Intelligence LLP||Product code||353447|
|Published||Content info||95 Pages
Delivery time: 2-3 business days
|Asia Pacific In-Flight Catering Market - Growth, Trends, and Forecast (2019 - 2024)|
|Published: March 1, 2019||Content info: 95 Pages||
The Asia-Pacific in-flight catering services market is anticipated to register a CAGR of 7%, to reach over USD 9 billion, by 2024. Increasing international travel and rising living standards of aspirational travelers are some of the driving factors of the Asia-Pacific in-flight catering market.
The rising emphasis on customer-centric food menus is currently driving the Asia-Pacific in-flight catering market, as most of the airlines are adding new items to their menu, with the idea of providing better quality food to passengers with their preferences in mind.
With the increasing air travel in this region, the induction of new destinations and new long-haul flights wis likely to create future opportunities for the Asia-Pacific in-flight catering services market.
An airline food, in-flight meal, or airline meal is a meal served to passengers on board a commercial airliner. Specialist airline catering services prepare these meals and usually serve to passengers using an airline service trolley. The Asia-Pacific in-flight catering market is segmented based on countries. These are further categorized by food type into meals, bakery and confectionery, beverages, and other food types.
The hybrid and other flight service types segment of the Asia-Pacific market is expected to witness the highest CAGR during the forecast period. This is due to more passengers opting to travel on hybrid carriers than on traditional LCCs. These hybrid carriers blend low-cost carrier traits with that of full-service carriers to maximize the profit. Also, new hybrid airlines are starting their operations in this region to cater to the rising international passenger traffic. During 2012-2017, about 15 long haul low-cost airlines were launched globally, out of which AirAsia X, Jin Air, and Lion Air, among others, are the prominent hybrid airlines in the Asia-Pacific. Bamboo Airlines, the new Vietnamese hybrid airline, announced that it is going to begin its operations in by the end of February 2019. The introduction of new airlines in this model is expected to be the driving factor for the market.
The Indian in-flight catering services market is expected to grow at the highest rate during the forecast period, owing to the growing aviation market in the country. The boom in air travel in India is adding a new dimension to the in-flight catering services business. Around 20 million people availed domestic airline services, and around 10 million passengers used international airline services in the country, as of 2018. With an expected increase in traffic, of 20%, over the next two years, the in-flight meal business is poised to register a significant growth. Besides, the entry of domestic airlines into intercontinental routes is also expected to create competition among caterers, forcing them to be innovative.
Gate Gourmet, LSG Sky Chefs, Sats Ltd, Cathay Pacific Catering Services (H.K.) Ltd, and Emirates Group are some of the prominent players that have a strong presence in the Asia-Pacific in-flight catering services industry. Mergers and acquisitions, along with collaborations by the major companies, are making the market more consolidated. For instance, Qantas sold its catering business to its global alliance partner, Emirates, in April 2018. Also, in January 2018, gategroup announced a strategic joint venture with Asiana Airlines of the Republic of Korea, in order to expand its presence in the region. Increasing R&D investments to integrate innovation with culinary excellence, in order to provide premium quality food for airline in-flight catering services, are expected to allow companies to attain better positions in the market.