Meal Kit Market Analysis

Meal Kit Market Analysis

To get key market trends

  Download Free Sample

Based on type, the meal kit market is segmented into vegetarian, non-vegetarian, vegan, paleo, keto, Mediterranean, other. The non vegetarian segment accounted for USD 6.5 billion and held the largest share in terms of revenue in 2022. Non-vegetarian meal kits have broader consumer appeal, as they cater to a larger portion of the population. This is because many people are not exclusively vegetarian and enjoy a variety of meat and seafood options. In addition, Meat and seafood are rich sources of protein, and for those who follow protein-centric diets or are athletes, non-vegetarian options are often preferred to meet their dietary requirements

Based on offering, the meal kit market is further sub-segmented into cook & eat, heat & eat, ready-to-eat. The ready to eat accounted for the highest CAGR of 13.4% over the forecast period is experiencing rapid growth for several compelling reasons. With the fast-paced modern lifestyle, consumers are increasingly seeking convenience and efficiency in their meal choices. Ready-to-eat foods offer a hassle-free solution, saving time and effort, which aligns with the following key factors driving this growth. Busy professionals, students, and families often find it challenging to prepare homemade meals from scratch due to time constraints. RTE foods, such as pre-packaged salads, microwaveable dinners, and grab-and-go snacks, provide an instant and accessible option for individuals with hectic schedules. This convenience is especially relevant in urban areas, where commutes and work hours are long, making home cooking less feasible.

Based on the distribution channel, the meal kit market is further sub segmented in online, grocery stores, other. The online segment is has dominated in terms of revenue in the year 2022 and accounted for the largest revenue share of USD 8.3 billion. This growth can be attributed to convenience offered by the online shopping. Consumers can browse and purchase products from the comfort of their homes or on-the-go through their mobile devices. This convenience is a major driver of the online segment's growth, as it saves time and effort, and eliminates the need for physical travel to brick-and-mortar stores.

North America region dominated the regional segment and accounted for the largest revenues share of USD 5.3 billion in 2022. This growth can be attributed to the urbanization trend in region which has led to increased demand for convenient food options. In urban areas, long commutes and demanding work schedules often leave little time for cooking from scratch. Meal kits provide a convenient solution for busy urban professionals and families. In addition, the region has a high level of internet and smartphone penetration. Meal kit services have leveraged technology to make it easy for consumers to order and manage their subscriptions online or through mobile apps. This tech integration has contributed to the market's growth and accessibility.