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United States Food Services Market, By Region, Competition, Forecast and Opportunities, 2020-2030F

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    Report

  • 88 Pages
  • March 2025
  • Region: United States
  • TechSci Research
  • ID: 5892183
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United States Food Services Market was valued at USD 1.02 Trillion in 2024 and is expected to reach USD 1.53 Trillion by 2030 with a CAGR of 6.73% during the forecast period. The US is the second largest market for foodservice, globally, due to the increased dining-out culture. Rising number of dual-earner households, expanding menu choices to satisfy consumer preferences are expected to propel demand for Food Services over the next five years. Consumer dining preferences are evolving, with an increasing desire for diverse culinary experiences and ethnic cuisines.

Around 80% of Americans now choose ethnic dishes at least once a month in fine dining restaurants, indicating the country's expanding tastes and willingness to explore international flavors. This shift has led to a rise in restaurants offering authentic global dishes, especially in urban areas where demographic diversity fuels demand for a variety of dining options. The beverage sector has also seen growth, with Americans consuming about 3.9 billion gallons of tea annually, highlighting the rising popularity of specialty beverages.

Key Market Drivers

Consumer Demand for Convenience and Delivery Services

One of the primary drivers of the United States Food Services Market is the increasing consumer demand for convenience, especially in the context of fast-paced lifestyles. As people’s schedules become busier, they seek convenient and time-saving solutions for meals. This trend has resulted in the rapid growth of food delivery services, meal kits, and takeout options. Major food delivery platforms such as Uber Eats, DoorDash, and Grubhub have seen substantial growth, with consumers opting for the convenience of ordering from a variety of restaurants without leaving home. Additionally, online ordering platforms allow consumers to customize their meals to fit specific dietary needs, which adds an extra layer of convenience.

Fast food chains, casual dining, and quick-service restaurants (QSRs) are capitalizing on this trend by enhancing their mobile app functionalities and expanding delivery options. The COVID-19 pandemic further accelerated this shift, as people avoided dining out and turned to contactless food delivery for safety and convenience. This demand for on-the-go food has prompted businesses to invest in digital platforms, streamlined ordering processes, and partnerships with delivery services, solidifying the importance of convenience in driving market expansion. The increasing reliance on delivery services has also led to the growth of ghost kitchens commercial kitchens used exclusively for delivery orders. This model reduces operational costs for restaurants and allows them to serve a larger customer base without the need for physical storefronts, making it an attractive option for businesses seeking to meet the growing demand for food delivery.

Key Market Challenges

Labor Shortages and High Employee Turnover

The United States food services market faces significant challenges related to labor shortages and high employee turnover. The industry is heavily reliant on a workforce that is often underpaid and experiences high levels of job dissatisfaction. Many food service employees work in low-wage positions, leading to a lack of job stability and a constant turnover rate. During the COVID-19 pandemic, the food services sector saw many employees leave the industry, and a combination of health concerns, government stimulus checks, and better-paying opportunities in other sectors led to a widespread labor shortage. Even as the economy recovered, the challenge of attracting and retaining qualified workers persists.

The high turnover rate not only increases recruitment and training costs but also affects the consistency and quality of customer service. As the industry recovers, foodservice operators are focusing on improving working conditions, offering competitive wages, and providing benefits like flexible hours and health insurance to address these challenges. However, finding solutions to the labor shortage remains one of the most pressing issues in the food services market.

Key Market Trends

Increased Demand for Plant-Based and Alternative Proteins

A significant trend in the U.S. food services market is the rising demand for plant-based and alternative proteins. As consumers become more health-conscious and environmentally aware, many are shifting away from traditional animal-based proteins to plant-based alternatives like Beyond Meat, Impossible Foods, and various other meat substitutes. This shift is driven by the growing popularity of vegan, vegetarian, and flexitarian diets, which focus on reducing meat consumption for health, ethical, and environmental reasons. Restaurants and foodservice operators are responding by adding plant-based menu options, including plant-based burgers, dairy alternatives, and protein-rich dishes made from legumes, grains, and tofu.

Fast food chains, casual dining, and even fine dining establishments are embracing this trend to cater to the increasing number of consumers looking for plant-based options. This trend is not just confined to vegans and vegetarians but is appealing to a broader audience interested in reducing their meat consumption or trying healthier, sustainable options. The plant-based food sector is expected to continue expanding, influencing both food production and culinary innovation, as more consumers opt for environmentally-friendly and ethical food choices.

Key Market Players

  • Bloomin' Brands, Inc.
  • Brinker International, Inc.
  • Chipotle Mexican Grill, Inc.
  • Darden Restaurants, Inc.
  • Doctor's Associates, Inc.
  • Domino's Pizza Inc.
  • Inspire Brands, Inc.
  • McDonald's Corporation
  • MTY Food Group Inc.
  • Northland Properties Corporation

Report Scope:

In this report, the United States Food Services Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

United States Food Services Market, By Food Service Type:

  • Cafes & Bars
  • Cloud Kitchen
  • Full Service Restaurants
  • Quick Service Restaurants

United States Food Services Market, By Outlet:

  • Chained Outlets
  • Independent Outlets

United States Food Services Market, By Region:

  • South
  • West
  • Midwest
  • Northeast

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the United States Food Services Market.

Available Customizations:

With the given market data, the publisher offers customizations according to a company's specific needs. The following customization options are available for the report.

Company Information

  • Detailed analysis and profiling of additional market players (up to five).

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Table of Contents

1. Introduction
1.1. Market Overview
1.2. Key Highlights of the Report
1.3. Market Coverage
1.4. Market Segments Covered
1.5. Research Tenure Considered
2. Research Methodology
2.1. Methodology Landscape
2.2. Objective of the Study
2.3. Baseline Methodology
2.4. Formulation of the Scope
2.5. Assumptions and Limitations
2.6. Sources of Research
2.7. Approach for the Market Study
2.8. Methodology Followed for Calculation of Market Size & Market Shares
2.9. Forecasting Methodology
3. Executive Summary
3.1. Market Overview
3.2. Market Forecast
3.3. Key Regions
3.4. Key Segments
4. Voice of Customer
4.1. Factors Influencing Availing Decision
4.2. Source of Information
5. United States Food Services Market Outlook
5.1. Market Size & Forecast
5.1.1. By Value
5.2. Market Share & Forecast
5.2.1. By Food Service Type Market Share Analysis (Cafes & Bars, Cloud Kitchen, Full Service Restaurants, Quick Service Restaurants)
5.2.2. By Outlet Market Share Analysis (Chained Outlets, Independent Outlets)
5.2.3. By Regional Market Share Analysis
5.2.3.1. South Market Share Analysis
5.2.3.2. West Market Share Analysis
5.2.3.3. Midwest Market Share Analysis
5.2.3.4. Northeast Market Share Analysis
5.2.4. By Top 5 Companies Market Share Analysis, Others (2024)
5.3. United States Food Services Market Mapping & Opportunity Assessment
5.3.1. By Food Service Type Market Mapping & Opportunity Assessment
5.3.2. By Outlet Market Mapping & Opportunity Assessment
5.3.3. By Region Market Mapping & Opportunity Assessment
6. United States Cafes & Bars Market Outlook
6.1. Market Size & Forecast
6.1.1. By Value
6.2. Market Share & Forecast
6.2.1. By Outlet Market Share Analysis
7. United States Cloud Kitchen Market Outlook
7.1. Market Size & Forecast
7.1.1. By Value
7.2. Market Share & Forecast
7.2.1. By Outlet Market Share Analysis
8. United States Full Service Restaurants Market Outlook
8.1. Market Size & Forecast
8.1.1. By Value
8.2. Market Share & Forecast
8.2.1. By Outlet Market Share Analysis
9. United States Quick Service Restaurants Market Outlook
9.1. Market Size & Forecast
9.1.1. By Value
9.2. Market Share & Forecast
9.2.1. By Outlet Market Share Analysis
10. Market Dynamics
10.1. Drivers
10.2. Challenges
11. Market Trends & Developments
12. SWOT Analysis
12.1. Strength
12.2. Weakness
12.3. Opportunity
12.4. Threat
13. Policy & Regulatory Landscape14. United States Economic Profile
15. Competitive Landscape
15.1. Company Profiles
15.1.1. Bloomin' Brands, Inc.
15.1.1.1. Company Details
15.1.1.2. Products & Services
15.1.1.3. Financials (As Per Availability)
15.1.1.4. Key Market Focus & Geographical Presence
15.1.1.5. Recent Developments
15.1.1.6. Key Management Personnel
15.1.2. Brinker International, Inc.
15.1.2.1. Company Details
15.1.2.2. Products & Services
15.1.2.3. Financials (As Per Availability)
15.1.2.4. Key Market Focus & Geographical Presence
15.1.2.5. Recent Developments
15.1.2.6. Key Management Personnel
15.1.3. Chipotle Mexican Grill, Inc.
15.1.3.1. Company Details
15.1.3.2. Products & Services
15.1.3.3. Financials (As Per Availability)
15.1.3.4. Key Market Focus & Geographical Presence
15.1.3.5. Recent Developments
15.1.3.6. Key Management Personnel
15.1.4. Darden Restaurants, Inc.
15.1.4.1. Company Details
15.1.4.2. Products & Services
15.1.4.3. Financials (As Per Availability)
15.1.4.4. Key Market Focus & Geographical Presence
15.1.4.5. Recent Developments
15.1.4.6. Key Management Personnel
15.1.5. Doctor's Associates, Inc.
15.1.5.1. Company Details
15.1.5.2. Products & Services
15.1.5.3. Financials (As Per Availability)
15.1.5.4. Key Market Focus & Geographical Presence
15.1.5.5. Recent Developments
15.1.5.6. Key Management Personnel
15.1.6. Domino's Pizza Inc.
15.1.6.1. Company Details
15.1.6.2. Products & Services
15.1.6.3. Financials (As Per Availability)
15.1.6.4. Key Market Focus & Geographical Presence
15.1.6.5. Recent Developments
15.1.6.6. Key Management Personnel
15.1.7. Inspire Brands, Inc.
15.1.7.1. Company Details
15.1.7.2. Products & Services
15.1.7.3. Financials (As Per Availability)
15.1.7.4. Key Market Focus & Geographical Presence
15.1.7.5. Recent Developments
15.1.7.6. Key Management Personnel
15.1.8. McDonald's Corporation
15.1.8.1. Company Details
15.1.8.2. Products & Services
15.1.8.3. Financials (As Per Availability)
15.1.8.4. Key Market Focus & Geographical Presence
15.1.8.5. Recent Developments
15.1.8.6. Key Management Personnel
15.1.9. MTY Food Group Inc.
15.1.9.1. Company Details
15.1.9.2. Products & Services
15.1.9.3. Financials (As Per Availability)
15.1.9.4. Key Market Focus & Geographical Presence
15.1.9.5. Recent Developments
15.1.9.6. Key Management Personnel
15.1.10. Northland Properties Corporation
15.1.10.1. Company Details
15.1.10.2. Products & Services
15.1.10.3. Financials (As Per Availability)
15.1.10.4. Key Market Focus & Geographical Presence
15.1.10.5. Recent Developments
15.1.10.6. Key Management Personnel
16. Strategic Recommendations
16.1. Key Focus Areas
16.2. Target Food Service Type
16.3. Target Outlet
17. About the Publisher & Disclaimer

Companies Mentioned

  • Bloomin' Brands, Inc.
  • Brinker International, Inc.
  • Chipotle Mexican Grill, Inc.
  • Darden Restaurants, Inc.
  • Doctor's Associates, Inc.
  • Domino's Pizza Inc.
  • Inspire Brands, Inc.
  • McDonald's Corporation
  • MTY Food Group Inc.
  • Northland Properties Corporation

Table Information