HoReCa Market: Current Analysis and Forecast (2024-2032)

Report Description

HoReCa Market Size & Forecast

The HoReCa market was valued at approximately USD 3.7 Billion in 2023 and is expected to grow at a robust CAGR of around 5.2% during the forecast period (2024-2032) owing to the increasing urbanization, rising disposable incomes, and evolving consumer preferences for dining out and travel experiences.

HoReCa Market Analysis

The industry has undergone advancements in technology, and changes in measures that are adopted while operating to increase safety and be environmentally friendly. Safety rules and regulations, shifts of customer preferences, and increases in the cost of labor are some of the factors that are forcing organizations to embrace technology and innovate processes. The industry is expected to continue its investment in process optimization tools whereby organizations borrow ideas on how to make repetitive tasks more efficient. Moreover, the rapid rise and development of ghost kitchens or cloud kitchens have changed the HoReCa industry culture massively by acting as one of the biggest market drivers growing the market. These are professional food preparation and cooking facilities set up for the preparation of delivery-only meals and have taken a major chunk of the market and is experiencing high growth. Even huge fast-food chains have started investing in cloud kitchens, for instance – Wendy’s announced plans to open 700 ghost kitchens across the United States, Canada, and the United Kingdom by 2025

HoReCa Market Trends

This section discusses the key market trends influencing the HoReCa segments as identified by our research experts.

Hotels Type Transforming Industry

This domination has mainly been seen because of the expanding travel and tourism business across the globe, the developing innovation in smart rooms, and online booking solutions that helped hotels to gain the attention of clients and improve sales. For example, The U. S. Travel Association said that hotel demand in 2023 was at its pre-pandemic level and the ADR was 17% higher than in 2019 in October of 2022. Furthermore, consumers are turning into elastic demand types of consumers since they want more customized services and are sensitive to the changes in price levels. Due to this, hotels have developed services and packages that will suit the needs of the customers.

Asia Pacific Dominated the Market in 2023

Tourism in Asia Pacific has seen significant growth, with international arrivals rising from 186 million in 2008 to 346 million in 2018, and mainly driven by intra-regional tourists. Before the pandemic, mainland Chinese were the top source of visitors to 10 of the 13 major destinations tracked. Going forward, Investment confidence and pent-up travel demand is returning but Asia Pacific recovery is slower than the rest of the world. Major destinations such as Hong Kong, Japan, Taiwan, and China still have tight border policies, although other countries are gradually loosening controls and selectively admitting vaccinated travelers.

HoReCa Industry Overview

The HoReCa is competitive, with several global and international market players. The key players are adopting different growth strategies to enhance their market presence, such as partnerships, agreements, collaborations, new product launches, geographical expansions, and mergers and acquisitions. Some of the major players operating in the market are Hilton, Hyatt Corporation, Marriott International, Inc., IHG, Wyndham Hotel Group, LLC., McDonald’s, Yum! Brands RSC, Restaurant Brands International Inc., Inspire Brands, Inc., The Coca-Cola Company (Costa Coffee)

HoReCa Market News

• For instance, in 2024, Ev2 Ventures, a Sustainable Mobility Climate focused VC fund, has led an INR 6 Crore Pre-Series A investment round in Centriti, a HoReCa distribution company headquartered in Delhi with operations spanning across Delhi, Jaipur, and Bangalore

HoReCa Market Report Coverage

Reasons to buy this report:

• The study includes market sizing and forecasting analysis validated by authenticated key industry experts.
• The report presents a quick review of overall industry performance at one glance.
• The report covers an in-depth analysis of prominent industry peers with a primary focus on key business financials, product portfolios, expansion strategies, and recent developments.
• Detailed examination of drivers, restraints, key trends, and opportunities prevailing in the industry.
• The study comprehensively covers the market across different segments.
• Deep dive regional level analysis of the industry.

Customization Options:

The global HoReCa can further be customized as per the requirement or any other market segment. Besides this, UMI understands that you may have your own business needs; hence, feel free to connect with us to get a report that completely suits your requirements.

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Research Methodology

Research Methodology for the HoReCa Market Analysis (2024-2032)

Analyzing the historical market, estimating the current market, and forecasting the future market of the global HoReCa market were the three major steps undertaken to create and analyze the adoption of HoReCa in major regions globally. Exhaustive secondary research was conducted to collect the historical market numbers and estimate the current market size. Secondly, numerous findings and assumptions were taken into consideration to validate these insights. Moreover, exhaustive primary interviews were also conducted, with industry experts across the value chain of the global HoReCa market. Post assumption and validation of market numbers through primary interviews, we employed a top-down/bottom-up approach to forecasting the complete market size. Thereafter, market breakdown and data triangulation methods were adopted to estimate and analyze the market size of segments and sub-segments of the industry. Detailed methodology is explained below:

Analysis of Historical Market Size

Step 1: In-Depth Study of Secondary Sources:

A detailed secondary study was conducted to obtain the historical market size of the HoReCa market through company internal sources such as annual reports & financial statements, performance presentations, press releases, etc., and external sources including journals, news & articles, government publications, competitor publications, sector reports, third-party database, and other credible publications.

Step 2: Market Segmentation:

After obtaining the historical market size of the HoReCa, we conducted a detailed secondary analysis to gather historical market insights and share for different segments & sub-segments for major regions. Major segments are included in the report, such as service type, category, and region. Further country-level analyses were conducted to evaluate the overall adoption of testing models in that region.

Step 3: Factor Analysis:

After acquiring the historical market size of different segments and sub-segments, we conducted a detailed factor analysis to estimate the current market size of the HoReCa market. Further, we conducted factor analysis using dependent and independent variables such as service type, category, and HoReCa regions. A thorough analysis was conducted of demand and supply-side scenarios considering top partnerships, mergers and acquisitions, business expansion, and product launches in the HoReCa market sector across the globe.

Current Market Size Estimate & Forecast

Current Market Sizing: Based on actionable insights from the above three steps, we arrived at the current market size, key players in the global HoReCa market, and market shares of the segments. All the required percentage shares split and market breakdowns were determined using the above-mentioned secondary approach and were verified through primary interviews.

Estimation & Forecasting: For market estimation and forecast, weights were assigned to different factors including drivers & trends, restraints, and opportunities available for the stakeholders. After analyzing these factors, relevant forecasting techniques i.e., the top-down/bottom-up approach were applied to arrive at the market forecast for 2032 for different segments and sub-segments across the major markets globally. The research methodology adopted to estimate the market size encompasses:

• The industry’s market size, in terms of revenue (USD) and the adoption rate of the HoReCa across the major markets domestically
• All percentage shares, splits, and breakdowns of market segments and sub-segments
• Key players in the global HoReCa in terms of products offered. Also, the growth strategies adopted by these players to compete in the fast-growing market

Market Size and Share Validation

Primary Research: In-depth interviews were conducted with the Key Opinion Leaders (KOLs), including Top Level Executives (CXO/VPs, Sales Head, Marketing Head, Operational Head, Regional Head, Country Head, etc.) across major regions. Primary research findings were then summarized, and statistical analysis was performed to prove the stated hypothesis. Inputs from primary research were consolidated with secondary findings, hence turning information into actionable insights.

Split of Primary Participants in Different Regions

Market Engineering

The data triangulation technique was employed to complete the overall market estimation and to arrive at precise statistical numbers for each segment and sub-segment of the global HoReCa. Data was split into several segments and sub-segments after studying various parameters and trends in the service type, category, and regions of the global HoReCa market.

The main objective of the Global HoReCa Market Study

The current & future market trends of the global HoReCa were pinpointed in the study. Investors can gain strategic insights to base their discretion for investments on the qualitative and quantitative analysis performed in the study. Current and future market trends determined the overall attractiveness of the market at a regional level, providing a platform for the industrial participant to exploit the untapped market to benefit from a first-mover advantage. Other quantitative goals of the studies include:

• Analyze the current and forecast market size of the HoReCa market in terms of value (USD). Also, analyze the current and forecast market size of different segments and sub-segments.
• Segments in the study include areas of service type, category, and regions.
• Define and analyze the regulatory framework for the HoReCa
• Analyze the value chain involved with the presence of various intermediaries, along with analyzing customer and competitor behaviors of the industry.
• Analyze the current and forecast market size of the HoReCa market for the major region.
• Major countries of regions studied in the report include Asia Pacific, Europe, North America, and the Rest of the World
• Company profiles of the HoReCa market and the growth strategies adopted by the market players to sustain in the fast-growing market.
• Deep dive regional level analysis of the industry

You can also purchase parts of this report. Do you want to check out a section wise
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