Saudi Arabia Food Service Market 11.37 CAGR Growth Outlook 2024-2030

Key Insights

The Saudi Arabia Food Service Marketsize was valued at USD 14.16 USD Billion in 2023 and is projected to reach USD 30.09 USD Billion by 2032, exhibiting a CAGR of 11.37 % during the forecast period. The food service industry in Saudi Arabia comprises different types all of which can be categorized according to the type of need they fulfill. They are fast food outlets, traditional restaurants, caterers, and specialty cafés. This group includes not only quickly prepared food with widespread fast food chains such as McDonald's KFC and many others. Local food is common in traditional restaurants, where clients can get kabsa and shawarma among other meals; these restaurants are an essential part of the Saudi culture. Catering services involve the sale of food and beverages to events and meetings, and for occasions such as weddings and corporate meetings. Various and specific food services emphasize on specialty drinks and desserts, and local and international trends also act as a basis. Altogether, the identified food service types offer various kinds of meals and are positioned from casual hamburgers to luxurious food for the event; which exemplifies the combination of the regional and the global influences in the Saudi Arabian food industry.

Saudi Arabia Food Service Trends

• Growing population and urbanization
• Rising disposable income
• Changing consumer lifestyles
• Increasing tourism

Driving Forces: What's Propelling the Saudi Arabia Food Service Market

• Government initiatives to promote the food service industry
• Favorable regulatory environment
• Growing demand for convenience food
• Increasing number of food delivery platforms

Challenges and Restraints in Saudi Arabia Food Service Market

• High labor costs
• Competition from informal sector
• Cultural factors affecting food consumption patterns
• Lack of skilled workforce

Emerging Trends in Saudi Arabia Food Service

• Health and wellness-focused menus
• Plant-based food options
• Personalized dining experiences
• Digitalization and automation

Growth Catalysts in Saudi Arabia Food Service Industry

• Increasing investment in the food service sector
• Government support for food startups
• Growing popularity of online food ordering and delivery
• Expanding tourism industry

Market Segmentation: Saudi Arabia Food Service Analysis

Type:

• Full Service Restaurants
• Quick Service Restaurants
• Institutes
• Others

Service Type:

• Commercial and Institutional

Leading Players in the Saudi Arabia Food Service Market

• Yum! Brands, Inc. (U.S.)
• Starbucks Corporation (U.S.)
• McDonald’s Corporation (U.S.)
• Restaurant Brands International Inc. (Canada)
• Domino’s Pizza, Inc. (U.S.)
• Papa John's International, Inc. (U.S.)
• ALBAIK Food Systems Company Ltd. (Saudi Arabia)
• Herfy Food Services Co. JSC (Saudi Arabia)
• KUDU Company for Food and Catering (Saudi Arabia)
• Hardee’s Restaurants LLC (U.S.)

Significant Developments in Saudi Arabia's Food Service Sector

• February 2023: ‘Ramla Terraza’, an international food mall, opened its doors for visitors to try a variety of world-famous restaurants.
• December 2022: Russo’s New York Pizzeria & Italian Kitchen opened its new outlet in Saudi Arabia.
• July 2022: Americana Restaurants signed an agreement with Yum! Brands to establish and operate Pizza Hut brand restaurants in Saudi Arabia.
• June 2022: Starbucks KSA introduced an all-female drive-thru store in the country.

Comprehensive Coverage Saudi Arabia Food Service Market Report

• Market Overview
• Market size and forecast
• Market segmentation
• Industry analysis
• Competitive landscape
• Future outlook

Regional Insight

• Eastern Province
• Central Region
• Western Region
• Southern Region
• Northern Region

Consumer Side Analysis

• Eating habits
• Consumer preferences
• Consumer spending

SWOT Analysis

Strengths:

• Strong consumer demand
• Favorable government policies
• Growing tourism industry

Weaknesses:

• High labor costs
• Competition from the informal sector

Opportunities:

• Health and wellness-focused menus
• Plant-based food options
• Digitalization and automation

Threats:

• Economic downturn
• Changing consumer tastes