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In-flight Catering Services Market Size - By Food Type, By Flight Type, By Catering Type, By Source, By Aircraft Seating Class, By Flight Duration and Forecast, 2025 - 2034

  • Report ID: GMI4634
  • Published Date: Dec 2024
  • Report Format: PDF

In-flight Catering Services Market Size

The global in-flight catering services market was valued at USD 10.9 billion in 2024 and is estimated to grow at a CAGR of 7.8% from 2025 to 2034.
 

In-flight Catering Services Market

The growing demand for premium air travel services has led to a surge in investments aimed at enhancing in-flight dining experiences, as passengers increasingly seek high-quality and personalized catering options. For instance, the Noida International Airport (NIA) recently signed a concession agreement with Tata group's TajSATS to establish a state-of-the-art in-flight kitchen facility.
 

This partnership underscores the industry's commitment to elevating meal services in air travel. Under the agreement, TajSATS will operate the facility on a design, finance, build, operate, and transfer (DBFOT) model for a 37-year term. The facility will cater to both passenger and crew meal services, manage in-flight catering equipment, and oversee the loading and unloading of meals. This initiative highlights the aviation industry's dedication to meeting the evolving needs of its customers.
 

Airlines are reshaping in-flight catering by increasingly adopting pre-order meal systems, prioritizing passenger convenience and personalization. These systems empower travelers to choose their meals ahead of time, accommodating dietary preferences, cultural needs, and health-conscious decisions. This proactive approach not only curtails food waste but also boosts operational efficiency and passenger satisfaction by ensuring meal availability and customization. Technological advancements, particularly mobile apps and online platforms are facilitating this seamless pre-ordering process. Furthermore, by minimizing unused meals, this shift not only aligns with sustainability goals but also emerges as a cost-effective, eco-friendly solution. With air travel on the rebound and expanding, airlines are leveraging pre-order meal systems as a strategic tool to enhance customer experience and optimize catering operations.
 

In-flight Catering Services Market Trends

The integration of AI in inflight catering services is transforming the industry by optimizing meal planning and reducing waste. Airlines are leveraging AI tools to predict passenger show-up rates, streamline catering operations, and enhance sustainability. These technologies improve efficiency while meeting evolving customer expectations, marking a significant trend in modernizing inflight services.
 

For instance, KLM implemented artificial intelligence (AI) to reduce waste in its inflight catering services. Using the Trays AI model, developed by Kickstart AI with input from companies like Bol, Ahold Delhaize, NS, and ING, the airline aims to enhance meal planning accuracy. This AI tool predicts passenger show-up rates, addressing the challenge of no-shows, which KLM estimates at 3-5% depending on travel class. By forecasting passenger numbers more effectively, KLM minimizes excess meal preparation, aligning with sustainability goals while maintaining service quality. This initiative highlights the growing role of AI in inflight catering, enabling airlines to optimize operations, reduce food waste, and meet customer expectations, thereby setting a new benchmark for sustainable and efficient airline catering processes.
 

Driven by heightened environmental awareness among both airlines and passengers, in-flight catering services are increasingly embracing sustainable practices. Catering firms are turning to eco-friendly measures, such as biodegradable packaging, curtailing single-use plastics, and taking steps to reduce food waste. These initiatives not only further sustainability objectives but also bolster brand reputation among eco-conscious travelers.
 

Moreover, there's a growing preference for locally sourced and organic ingredients, mirroring passengers' desires for healthier, sustainable meals. Airlines are collaborating with catering partners to curate menus that celebrate regional flavors without compromising on nutritional value. Such endeavors not only elevate customer satisfaction but also mitigate the environmental footprint of global supply chains. With sustainability regulations becoming more stringent, these trends are poised to significantly influence the trajectory of the market.
 

In-flight Catering Services Market Analysis

In the in-flight catering services industry, rising raw material costs and stringent quality control standards pose key restraints. Yet, opportunities beckon in the form of expansion into emerging markets and a growing appetite for premium in-flight dining. Regulatory challenges loom large, with companies innovating in response to stricter food safety standards, environmental regulations on waste reduction, and heightened sustainability efforts. These dynamics compel the industry to adapt, all while seeking growth through diversification and sustainability-centric solutions.
 

In-flight Catering Services Market Size, By Food Type, 2021-2034 (USD Billion)

Based on food type, the in-flight catering services market is segmented into meals, bakery and confectionary, beverages, others. In 2024, the meal segment accounted for the largest market share with 44% share.
 

In-flight catering services are honing in on the meals segment, emphasizing diverse and customizable options tailored to passenger dietary preferences and regional tastes. For long-haul flights, airlines prioritize delivering premium-quality hot and cold main courses, underscoring their nutritional value. A noticeable uptick in demand for plant-based meals, organic selections, and halal/kosher-certified options highlights a shift in consumer preferences. Meanwhile, business and first-class travelers are treated to gourmet meals, often curated by chefs and spotlighting locally sourced ingredients, ensuring a distinctive onboard dining experience.
 

To elevate meal preparation and presentation, airlines are harnessing technology and forging partnerships with catering providers. With pre-order systems, passengers can select their meals in advance, leading to reduced waste and heightened customer satisfaction. In economy class, airlines are crafting cost-effective, compact meals that prioritize both taste and convenience. As air travel surges and customer expectations rise, the meals segment is evolving, increasingly attuned to health-conscious and sustainability-driven preferences across all flight classes.
 

In-flight Catering Services Market Share, By Source, 2024

Based on source, the in-flight catering services market is divided into in- house, outsource. In 2024, the outsource segment is the fastest-growing segment with a CAGR of 8.2% during the forecast period.
 

Airlines are increasingly turning to specialized catering companies, a move that underscores a strategic shift in the in-flight catering services segment. This collaboration not only grants airlines access to top-notch meals and diverse culinary expertise but also offers scalable solutions. With outsourcing, airlines benefit from streamlined logistics, strict adherence to food safety standards, and innovative meal offerings tailored to passenger preferences. This trend is especially pronounced among low-cost and mid-tier carriers, where the focus is on cost-effectiveness and operational efficiency.
 

By outsourcing, airlines can hone in on their core operations, all the while enhancing passenger experiences through the expertise of catering providers. Many global catering firms provide a suite of integrated services, from meal preparation and logistics to packaging, simplifying the airline's operational processes. As passengers increasingly seek diverse dietary options, airlines are turning to these partnerships. Catering providers are now specializing in premium, plant-based, and region-specific cuisines, ensuring airlines can meet evolving demands. Moreover, this outsourcing strategy dovetails with sustainability objectives, notably in waste reduction through accurate demand forecasting.
 

U.S. In-flight Catering Services Market Size, 2021-2034 (USD Billion)

North America in-flight catering services market is expected to reach over USD 6 billion by 2034. In North America, the U.S. stands out with a thriving in-flight catering market, fueled by surging passenger traffic and a growing appetite for personalized meal options. Airlines are not just serving meals; they're curating diverse, high-quality dishes that cater to a spectrum of dietary needs and preferences. Sustainability is taking center stage, with a notable uptick in eco-friendly packaging and a preference for locally sourced ingredients. U.S. airlines are stepping up their game, especially for long-haul and business class flights, by enhancing premium meal offerings and leveraging technology to simplify meal ordering and customization.
 

China's in-flight catering market is surging, fueled by the nation's thriving air travel industry. As both domestic and international flights proliferate, airlines are ramping up their catering services to satisfy the escalating demand. They're not only diversifying meal offerings to resonate with local and global tastes but also embracing sustainability. Chinese airlines are cutting down on food waste and opting for eco-friendly packaging, mirroring worldwide trends. With air travel on an upward trajectory, the catering market stands on the brink of substantial growth.
 

Germany's in-flight catering services market, molded by a seasoned aviation sector, prioritizes efficiency and quality. Renowned for their diverse meal selections, German airlines spotlight both local and global cuisines. Sustainability takes center stage, with a push for eco-friendly packaging and waste reduction. Moreover, Germany's innovative spirit shines through digital advancements like meal pre-order systems, granting passengers a say in their dining choices. As air travel rebounds, these trends are set to gain momentum.
 

Japan's in-flight catering market is synonymous with top-tier service and meal excellence. Airlines curate a menu that marries traditional Japanese dishes with global fare, catering to a wide array of traveler tastes. There's a pronounced shift towards premium offerings, particularly on long-haul flights, where gourmet meals and meticulous service reign supreme. In line with global trends, Japanese airlines are delving into sustainability, eyeing eco-friendly packaging and waste minimization. With passenger numbers on the rise, the market is poised for further evolution, hinting at an era of bespoke dining experiences.
 

South Korea's market is on the upswing, buoyed by a dynamic aviation industry and a surge in international travel. Airlines are curating a rich tapestry of meal options, blending authentic Korean dishes with global favorites to cater to a diverse clientele. A pronounced emphasis on sustainability sees airlines championing waste reduction and greener packaging. The burgeoning demand for premium services, especially in business and first-class, further fuels market growth. With a keen eye on innovation and a commitment to customer satisfaction, South Korea's in-flight catering landscape is set for continued expansion.
 

In-flight Catering Services Market Share

In-flight Catering Services Market Share Analysis, 2024

In the in-flight catering industry, Gate Gourmet (Gategroup), LSG Group, and Dnata stand out as key players, each delivering a broad spectrum of catering solutions. With a global footprint, Gate Gourmet serves a multitude of airlines, offering both in-flight meals and logistics services. LSG Group not only provides a variety of catering options but also engages in various aviation-related services. Meanwhile, Dnata, with a stronghold in several international markets, excels in both ground handling and in-flight catering. Collectively, these companies are committed to elevating the passenger experience, focusing on enhanced meal offerings and streamlined operations in air travel.
 

In-flight Catering Services Market Companies

Major players operating in the in-flight catering services industry are:

  • Air Fayre
  • ANA Catering Service Co. Ltd.
  • Cathay Pacific Catering Services Ltd.
  • CATRION
  • Dnata
  • DO & CO
  • Emirates Flight Catering
  • Gate Gourmet (Gategroup)
  • Goddard Catering Group
  • KLM Catering Services
  • LSG Group
  • Newrest Catering
  • Royal Holdings 
  • SATS Ltd 
     

In-flight Catering Services Industry News

  • In December 2023, Newrest inked a 12-year deal with Icelandair, focusing on catering and logistics. Beginning February 1st, 2024, Newrest will cater from Keflavik International Airport, backing Icelandair's flights across North America and Europe.
     
  • In November 2024, T’way Air, in its bid to expand European operations, forged a partnership with gategourmet and Servair. The collaboration focuses on inflight catering for T’way's flights from Barcelona and Paris to Seoul. Initially, gategourmet Barcelona will cater to three weekly flights, with intentions to add another flight later in the year.
     

This in-flight catering services market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD million) from 2021 to 2034, for the following segments:

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Market, By Food Type

  • Meals
  • Bakery and confectionary
  • Beverages
  • Others

Market, By Flight Type

  • Full-service carriers
  • Low-cost carriers
  • Other flight types

Market, By Catering Type

  • Retail on board
  • Classic catering

Market, By Source

  • In- House
  • Outsource

Market, By Aircraft Seating Class

  • Economy class
  • Premium economy
  • Business class
  • First-class

Market, By Flight Duration

  • Long haul
  • Short haul

The above information is provided for the following regions and countries:

  • North America
    • U.S.
    • Canada
  • Europe
    • UK
    • Germany
    • France
    • Italy
    • Spain
    • Russia
  • Asia Pacific
    • China
    • India
    • Japan
    • South Korea
    • Australia 
  • Latin America
    • Brazil
    • Mexico 
  • MEA
    • UAE
    • Saudi Arabia
    • South Africa

 

Authors: Suraj Gujar, Partha Paul

Frequently Asked Questions (FAQ) :

The global market size for in-flight catering services was valued at USD 10.9 billion in 2024 and is projected to reach USD 22.9 billion by 2034, driven by a CAGR of 7.8% during the forecast period, fueled by the growing demand for premium air travel services.

The meal segment held the largest market share of 44% in 2024, driven by the increasing emphasis on diverse and customizable meal options tailored to passenger dietary preferences.

The North America market is expected to exceed USD 6 billion by 2034, driven by rising passenger traffic and a growing demand for personalized meal options.

Major players in the industry include Air Fayre, ANA Catering Service Co. Ltd., Cathay Pacific Catering Services Ltd., CATRION, Dnata, DO & CO, Emirates Flight Catering, Gate Gourmet (Gategroup), Goddard Catering Group, KLM Catering Services, LSG Group, Newrest Catering, Royal Holdings, and SATS Ltd.

In-flight Catering Services Market Scope

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Premium Report Details

  • Base Year: 2024
  • Companies covered: 14
  • Tables & Figures: 290
  • Countries covered: 18
  • Pages: 210
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