APAC foodservice spending hits $1.3b

Consumer foodservice spending in the region is projected to return to pre-COVID levels in 2024.

The Asia-Pacific (APAC) consumer foodservice market saw a 12% revenue increase in 2023, surpassing $1.21b, amidst a challenging period in 2022 due to the pandemic, according to Euromonitor International.

The report, however, noted that although consumer foodservice value is approaching pre-pandemic levels in 2024, dining-in at restaurants in the region is still not expected to fully rebound until 2028.

Additionally, transaction volumes also rose by 10%, outpacing new outlet openings at a modest 3% growth rate.

However, retail value sales per transaction only saw a marginal 1% increase, indicating stagnant order sizes despite increased consumption. 

Despite this, Euromonitor anticipates that consumer foodservice spending in the APAC region will return to pre-COVID levels in 2024, both in terms of value and transaction volumes.

Home delivery also remains popular, driven by convenience improvements, whilst takeaway is losing its pandemic-era gains. 

Moreover, delivery services are expected to account for 23% of sales by 2028, up from 21% in 2023. Eat-in dining is expected to stabilise at around 60%.

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“Losses made during the pandemic, from extended restrictions and economic challenges and the volatility of the industry’s supply chain and demand, overpowered growth experienced in 2018 and 2019,” said Emil Fazira, Food Insight Manager in Asia at Euromonitor International.
 
“Besides improving their point of sale and order fulfilment methods, foodservice operators also enhanced the perceived value of dining out, with full menus with a range of options at different price points,” she added.