Skip to product information
1 of 1

Food Service Contractors

Food Service Contractors

Regular price $1,000.00
Regular price Sale price $1,000.00
Sale Sold out

Executive summary

Following steady growth since the millennium, the Food Service Contractors industry was served a heaping plate of challenges in 2020. In the past, the industry, which provides food services at institutional, commercial and corporate venues, benefited from an increase in spending of downstream customers on discretionary items, such as live event and travel tickets. Furthermore, the industry also availed from the increased national propensity for outsource food services to increase quality while lowering costs. However, the unprecedented effects of the COVID-19 (coronavirus) outbreak caused industry revenue to fall 28.8% in 2020. Operators reacted quickly: switching to a takeout model, leveraging hospital food demand and minimizing employment costs combined with the recent mass immunization have enabled the industry to rapidly recover. As a result, revenue has managed to increase at an annualized rate of 0.3% to $53.3 billion over the five years to 2022, including growth of 8.6% in 2022.
View full details

Each report includes:

industry revenue;

industry profit;

industry margin;

industry employment;

industry major players;

industry key external drivers;

industry product & structure segmentation;

industry key trends;

industry Life Cycle;

industry Geographic Breakdown;

industry Key Success Factors;

industry Key statistics for previous years;

forecast of industry Key statistics for the next 5 years;

Collapsible content

Reference Wordlist

High barriers to entry mean that new companies struggle to enter an industry, while low barriers mean it is easy for new companies to enter an industry.

Compares the amount of money spent on capital (plant, machinery and equipment) with that spent on labor.
IBISWorld uses the ratio of depreciation to wages as a proxy for capital intensity. High capital intensity is more than $0.333 of capital to $1 of labor; medium is $0.125 to $0.333 of capital to $1 of labor; low is less than $0.125 of capital for every $1 of labor.

The dollar figures in the Key Statistics table, including forecasts, are adjusted for inflation using the current year (i.e. year published) as the base year. This removes the impact of changes in the purchasing power of the dollar, leaving only the "real" growth or decline in industry metrics. The inflation adjustments in IBISWorld’s reports are made using the US Bureau of Economic Analysis’ implicit GDP price deflator.

Spending on industry goods and services within the United States, regardless of their country of origin. It is derived by adding imports to industry revenue, and then subtracting exports.

Colloquial Terminology

A restaurant or refreshment bar provided by an industrial or commercial entity for employees or general consumers.

A technology that quickly freezes preprepared meals to retain flavor and nutritional benefits.

The making, transporting, serving and dispensing of prepared foods, either on the client's premises or via the provision of preprepared meals.

An agreement with a client to supply multiple services, such as catering, security, maintenance and cleaning, in one contract.


Even without the chaos of a global pandemic, the industry is characterized by high turnover, low capital intensity and servicing a range of markets. More than half of industry operators are nonemployers serving niche business markets in small regions. Near-zero barriers to entry at this scale enable nearly anyone to generate revenue. On the other end, three major players dominate serving transportation, tourism, education and health facilities while adding additional venue management services to earn a combined 62.2% of all industry revenue. Even at large scales though, the industry leans heavily temporary employees to cook food and serve customers.

We offer a wide range of reports at an affordable price and make it easy for customers to choose between packages that are tailored to their needs.

Get a comprehensive insight of the US market with these reports.

  • In-depth information on different industries and sectors, such as retail, education, and healthcare.

  • Explore opportunities to enter the US markets with these in-depth reports. Learn more about the market potential before you invest

  • Gives you insights of all aspects of the United States market, from retail to education to healthcare.

Online marketplace for business intelligence and market research reports. We offer a wide range of reports on various industries and countries to satisfy all your business needs.