Food Service Equipment Market – Trends Forecast Till 2030

Market Snapshot

Market Overview

The global Food Service Equipment Market size is projected to reach a CAGR of 6.4% from 2023-2030.

Food service equipment is used for the preparation and storage of food products for commercial purposes. This equipment includes cooking equipment, storage & handling equipment, ware washing equipment, food & beverage preparation equipment, and serving equipment. This equipment is used in the food services industry such as restaurants, hotels, and other commercial kitchens.

Changing food consumption patterns, increased demand for takeaways, and the expanding hospitality sector are some of the key factors driving the market. Furthermore, factors such as increasing digitalization, the need for sustainable & eco-friendly equipment, and stringent consumer safety norms are expected to create promising growth opportunities for the market in the near future.

The market's expansion is hampered by the high cost of culinary equipment and a scarcity of experienced operators. The rising per capita income in emerging nations, the rise in multi-function food appliances, the rise in Wi-Fi and Internet-enabled gadgets, and the expanding trend of the Food Service Equipment market are all creating prospects for market sellers.

The COVID-19 pandemic resulted in the temporary shutdown of food service operations owing to stringent social distancing and shelter-in-place norms imposed by governments worldwide. This resulted in negative growth of the industry as both production and sales were negligible during 2020. Nevertheless, as governments announce relaxations to lockdowns and the first vaccines arrive, the food service industry is expected to bounce back over the forecast period. While the dine-in restaurant traffic is expected to take longer to come to normalcy, end customers are expected to recover through off-premise, takeaways, and online delivery services. On account of the subsequent rise in footfall in food service restaurants and institutional kitchens, the beleaguered market is expected to flourish over the years to come.

Delvens Industry Expert's Standpoint

The growing demand in the need for suitable kitchen equipment while creating new ones or refurnishing existing ones to provide ease of operation. Furthermore, increasing demand for food services across the world, the growing popularity of eating out, and the rise of innovative and technologically advanced food service equipment. Many food service establishments are now opting for equipment that not only saves energy but also reduces their carbon footprint. This trend has resulted in the development of new and innovative products that are designed to be more energy-efficient, such as high-efficiency refrigerators, ovens, and dishwashers. Increasing demand for food services, the adoption of new and innovative equipment, and the growing focus on sustainability and energy efficiency are expected to grow the food service equipment market in the next years.

Market Portfolio

Key Findings

• The product segment is further segmented into Kitchen Purpose Equipment, Refrigeration Equipment, Ware Washing Equipment, Food Holding & Storing Equipment, and Others. The kitchen purpose equipment segment accounts for the largest revenue share and is anticipated to dominate the market during the forecast period. The growth of the kitchen purpose equipment segment is highly subject to the use of innovative products in commercial kitchens depending on the space and budget of the kitchen. The increasing demand for meal preparation appliances in open food service kitchens has encouraged manufacturers to increase their focus on elements including the latest technology solutions and appliance exterior designs.

• The end-user segment is further fragmented into Full-Service Restaurants (FSR), Quick Service Restaurants (QSR), Institutional, and Others. The Full-Service Restaurant (FSR) segment accounted for the dominant revenue share and is anticipated to dominate the market during the forecast period. The Full-Service Restaurant (FSR) is anticipated to dominate the market during the forecast period. The high market share of FSRs can be attributed to the advent of digital dining trends, which has compelled foodservice operators to deploy modern equipment to speed up the preparation process and reduce delivery uptime. The subsequent shift in the dine-out culture for formal events as well as informal gatherings during travel & tourism activities has increased the footfall in full-service restaurants over the past few years.
   
• The market is also divided into various regions such as North America, Europe, Asia-Pacific, South America, and Middle East and Africa. The Asia Pacific market accounted for the highest revenue share and is anticipated to dominate the market during the forecast period. Rapidly westernizing dining customs and expansion of the tourism sector, particularly in Singapore, Malaysia, Indonesia, and Australia, are driving the demand for food service equipment in the region. Furthermore, restaurants are incorporating multiple cuisines into their menus owing to an increasing number of customers experimenting with new foods and developing a taste for different cuisines.
   
• The COVID-19 pandemic resulted in the temporary shutdown of food service operations owing to stringent social distancing and shelter-in-place norms imposed by governments worldwide. This resulted in negative growth of the industry as both production and sales were negligible during 2020. Nevertheless, as governments announce relaxations to lockdowns and the first vaccines arrive, the food service industry is expected to bounce back over the forecast period. While the dine-in restaurant traffic is expected to take longer to come to normalcy, end customers are expected to recover through off-premise, takeaways, and online delivery services.

Regional Analysis

Asia Pacific to Dominate the Market

• The Asia Pacific market accounted for the highest revenue share and is anticipated to dominate the market during the forecast period. Rapidly westernizing dining customs and expansion of the tourism sector, particularly in Singapore, Malaysia, Indonesia, and Australia, are driving the demand for food service equipment in the region. Furthermore, restaurants are incorporating multiple cuisines into their menus owing to an increasing number of customers experimenting with new foods and developing a taste for different cuisines.
   
• Additionally, the rising consumption of processed foods is expected to create a soaring demand for these appliances in the Asia Pacific region.

Competitive Landscape

• AB Electrolux
• Ali Group S.r.l. a Socio Unico
• Dover Corporation
• Duke Manufacturing
• Haier Group
• SMEG S.p.A.
• The Middleby Corporation

Recent Developments

• May 2021 - AB Electrolux - the first product using the most climate-friendly CO2 natural refrigerant was launched on the market. The CO2 option is available for refrigerated cabinets, freezers, counters, Blast Chillers, and several other refrigerated products.
   
• July 2022 - The Middleby Corporation - announced the acquisition of Colussi Ermes, a leading worldwide manufacturer of automated washing solutions for the food processing industry. Located in Pordenone, Italy the company has approximately $50 million in annual revenues.

Reasons to Acquire

• Increase your understanding of the market for identifying the best and most suitable strategies and decisions on the basis of sales or revenue fluctuations in terms of volume and value, distribution chain analysis, market trends, and factors.
   
• Gain authentic and granular data access for Food Service Equipment Market so as to understand the trends and the factors involved in changing market situations.
   
• Qualitative and quantitative data utilization to discover arrays of future growth from the market trends of leaders to market visionaries and then recognize the significant areas to compete in the future.
   
• In-depth analysis of the changing trends of the market by visualizing the historic and forecast year growth patterns.

Report Scope