Posted On: 2019-11-14
Contractual services acquired the largest share in Saudi Arabia catering services market-6Wresearch
The number of Hajj pilgrims is expected to increase to 5 million by 2020, while the number of Umrah pilgrims would increase to 15 million due to which the tourism sector of Saudi Arabia is rising rapidly. Additionally, government steered its focus towards the non-oil sectors for the diversification of the economy. This in turn, would boost the demand for catering services in the country over the coming years.
According to 6Wresearch, Saudi Arabia Catering Services Market size is projected to grow at a CAGR of 2.7% during 2019-2025. Increased investment in travel and tourism sector to boost the arrival of pilgrims at Mecca and Madinah would eventually increase the demand for catering services in Saudi Arabia. In addition to this, outsourcing of catering services is gaining popularity as a result of an increase in spending by large corporates which would further propel the demand for catering services during the forecast period.
According to Ravi Bhandari, Manager, Research and Consulting, 6Wresearch, "Contractual Catering Services holds majority of the revenue share in the overall catering services market of Saudi Arabia owing to rising demand for such services in organized sectors such as healthcare, education, corporates and several others.
"The industrial sector acquires the largest revenue share followed by hospitality sector. However, the latter is expected to grow with a higher growth rate during the forecast period. “Ravi further added.
According to Prateek Gupta, Research Analyst, Research and Consulting, 6Wresearch, "The central region of Saudi Arabia including Riyadh has higher demand for catering services owing to high requirement of aforementioned services among large corporates present in the region. However, the western region of the country is expected to register the highest growth rate as compared to the rest of the regions in the country during the forecast period."
Some of the prominent companies in the Saudi Arabia catering services market include Nesma, Algosaibi Services, Tamimi and others.
"Saudi Arabia Catering Services Market (2019-2025)" report provides an in-depth analysis with 32 figures, covered in more than 90 pages. The report estimates and forecast the overall Saudi Arabia catering services market by types, end-users and regions. The report provides an unbiased and detailed analysis of the on-going trends, opportunities/high growth areas and market drivers which would help the stakeholders to device and align their market strategies according to the current and future market dynamics.