DUBLIN, July 28, 2021--(BUSINESS WIRE)--The "Saudi Arabia Food Services Market, By Type (QSR (Quick Service Restaurants), Cafe, Dining Services, Others (Canteens, Lounges, etc.)), By Region, Competition, Forecast & Opportunities, 2026F" report has been added to ResearchAndMarkets.com's offering.
The Saudi Arabian Food Services Market is anticipated to reach USD 26.54 billion by 2026, growing at a CAGR of 7.68%
Growth in the market can be attributed to increasing disposable income, growing tourism industry, increasing urbanization, and rapid expansion of food delivery services in Saudi Arabia. Large base of young adults & working population coupled with social and cultural changes are the major drivers for the Saudi Arabian Food Services Market.
Moreover, the online food services industry has been growing at an exponential rate, with technological advancements facilitating the development of online platform and allowing for a better user experience and convenience.
Restaurants were forced to close their dine-in services during the lockdown in 2020 due to government restrictions, leaving them with no choice but to rely on online delivery services. This increased the overall demand for online food ordering and delivery in Saudi Arabia.
Recognizing a massive opportunity for online food delivery services, the market players adopted the World Health Organization (WHO) guidelines and began to adhere to no contact delivery, which helped them regain customer trust and, as a result, helped the market recover. Furthermore, the pandemic has broadened the customer base of online food delivery market, pushing it beyond typical younger consumer segment.
The Saudi Labor Law requires employers to fill the majority of positions with Saudi nationals, with the remainder filled by expats. Many positions are still unfilled because restaurant owners are not allowed to hire foreigners, thereby, negatively impacting the food service market in the country.
Amongst, Quick Service Restaurants segment leads all the types of restaurant segments in the Saudi Arabian Food Services Market and this segment is expected to continue its dominance over the forecast period on account of changing tastes and preferences of people.
Factors such as increased price consciousness and value-seeking consumer behavior, among others, have contributed to an increase in demand for quick service restaurants. Another reason for this segment's rapid growth is the widespread use of the internet and social media, which divulging large number of Saudis to Western food and culture. Cafes are increasing in number in Saudi Arabia, with international brands, like Applebee's, Outback Steak House, Chili's, and TGI Fridays, marking their presence.
In 2020, the Western Region was the highest revenue-generating region in the Saudi Arabian Food Services Market. Furthermore, due to factors such as increased internet connectivity, modern and changing lifestyles and preferences, and so on, the region is expected to remain the most dominant region during the forecast period as well.
Some of the major players operating in the Saudi Arabia Food Services market are McDonald's, Herfy, AL BAIK, KUDU, KFC, etc.
Years considered for this report:
Historical Years: 2016-2019
Base Year: 2020
Estimated Year: 2021E
Forecast Period: 2022F-2026F
Key Target Audience:
Food Services owners and franchise.
Food Service end-users.
Research organizations and consulting companies.
Saudi Arabia Food Services Market, By Type
QSR (Quick Service Restaurant)
Others (Canteens, Lounges, etc.)
Saudi Arabia Food Services Market, By Region:
Company Profiles: Detailed analysis of the major companies present in the Saudi Arabian Food Services Market.
For more information about this report visit https://www.researchandmarkets.com/r/molq13
View source version on businesswire.com: https://www.businesswire.com/news/home/20210728005805/en/
Laura Wood, Senior Press Manager
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