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Food Service Market to Reach US$ 4513.21 Billion by 2031 at 9.82% CAGR, Driven by Quick Service Restaurants Expansion and Rising Demand for Convenient Dining | DataM Intelligence

01-21-2026 10:04 AM CET | Food & Beverage

Press release from: DataM Intelligence 4 Market Research LLP

Food Service Market

Food Service Market

According to DataM Intelligence, the global Food Service market reached US$ 2116.92 billion in 2023 and is expected to reach US$ 4513.21 billion by 2031, growing at a CAGR of 9.82% during the forecast period 2024-2031, driven by rapid growth of quick service restaurants, increasing urbanization and busy lifestyles boosting demand for convenient meals, strong expansion of chain restaurants and franchises, rising non-commercial sector (institutional catering), and accelerating adoption in North America and Asia-Pacific.

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Food Service Market Key Mergers and Acquisitions

✦ January 2026: Compass Group acquired a regional institutional catering firm to expand its non-commercial food service portfolio in hospitals and educational facilities.
✦ December 2025: Sodexo completed a strategic acquisition of a quick service restaurant chain operator to strengthen its commercial sector presence in urban markets.
✦ November 2025: US FOODS, INC. secured a licensing agreement with a franchise technology provider to integrate advanced ordering and delivery systems into its food service supply chain.

Food Service Market Key Industry Developments

☑️ January 2026: Compass Group, Sodexo, and US FOODS, INC. expanded quick service restaurant partnerships with new menu innovations and digital ordering platforms, targeting high-traffic urban locations in North America and Asia-Pacific.
☑️ December 2025: Saval Foodservice and Shamrock Foods increased supply agreements with chain restaurants and franchises, focusing on sustainable packaging and efficient delivery for full-service and quick service outlets.
☑️ November 2025: Gordon Food Service and Creed Foodservice launched enhanced non-commercial catering solutions for schools and corporate cafeterias, with improved menu variety and cost management tools.

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Food Service Market Segmentation Analysis

By Type of Service: Quick Service Restaurants hold the largest share due to fast-paced lifestyles, affordability, and widespread chain/franchise expansion; Full-Service Restaurants follow for premium dining experiences; Cafés and Bars grow steadily with specialty coffee and beverage trends; Others include cloud kitchens and food trucks.

By Sector: Commercial sector dominates with the highest share driven by restaurants, cafés, bars, and quick service outlets; Non-commercial grows rapidly in institutional catering (schools, hospitals, corporate) for consistent volume and long-term contracts.

By Type of Establishment: Chain Restaurants and Franchises lead due to brand consistency, standardized operations, and scalable expansion; Independent Outlets remain significant for localized and artisanal offerings.

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Food Service Market Key Players

✦ Compass Group - In January 2026, acquired an institutional catering firm and expanded quick service partnerships with digital ordering platforms, strengthening its presence in hospitals, schools, and urban commercial sites.
✦ Sodexo - Completed acquisition of a quick service operator in December 2025 and rolled out sustainable menu innovations for full-service and non-commercial sectors across North America and Europe.
✦ US FOODS, INC. - Licensed advanced delivery tech in November 2025 and enhanced supply chain for chain restaurants and franchises, focusing on cost efficiency and fresh ingredient delivery.
✦ Shamrock Foods - Expanded distribution agreements in late 2025 for quick service and cafés, emphasizing premium and specialty products in retail and foodservice channels.
✦ Gordon Food Service - Introduced enhanced non-commercial catering solutions in December 2025 with improved menu variety and technology tools for corporate and educational facilities.

Food Service Market Regional Insights

North America commands the largest market share in the global Food Service market, supported by high consumption of quick service and full-service restaurants, strong chain/franchise presence, advanced digital ordering and delivery infrastructure, large non-commercial sector (schools, healthcare), and significant investments by leading players in convenience and premium dining.

Asia-Pacific remains the fastest-growing region, fueled by rapid urbanization, rising disposable income in China, India, and Southeast Asia, increasing demand for quick service restaurants and cafés, expanding foodservice chains and franchises, growing non-commercial catering in corporate and institutional settings, and aggressive market entry by global and local operators.

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DataM Intelligence is a Market Research and Consulting firm that provides end-to-end business solutions to organizations from Research to Consulting. We, at DataM Intelligence, leverage our top trademark trends, insights and developments to emancipate swift and astute solutions to clients like you. We encompass a multitude of syndicate reports and customized reports with a robust methodology.
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