Market Research Reports - Ken Research Catering Services Market, Catering Business in KSA

Increasing Number of Religious Tourists and Development in the Education and Healthcare
Infrastructure to Foster Future Growth of Saudi Arabia Catering Services Market: Ken
Research
The implementation of National Transformation Program and Saudi Arabia Vision 2030,
growing construction sector and increasing number of schools, hospitals, corporate offices and
hotels have aided the demand for catering services in Saudi Arabia.
The report titled “Saudi Arabia Catering Services Market Outlook to 2021- Increasing Number
of Religious Tourists and Growth in the Education and Healthcare Sector to Drive Future” by
Ken Research suggested a robust CAGR of 7.5% in revenue of the Saudi Arabia Catering Services
market by 2021 with changing customer preferences and infrastructure investment driving the
revenues of this market in the future.
The Saudi Arabia Catering Services Market has seen major share of demand from the hospitality
sector as Saudi Arabia saw an increase in number of religious tourists and investment in
developing the tourism infrastructure. The industrial and construction sector catering services
demand increased as government took several initiative to revive the economy from the affect
of falling oil prices on different parts of the market. The construction activities are expected to
rise due to growing infrastructure investment. Saudi Arabian Railway Master Plan (2010-2040)
will further augment industrial catering services market for labour camps. Moreover, programs
such as Kafalah Loan Guarantee Program and National Industry strategy G2020 will increase
construction activity. Recent times have seen a shift towards healthy foods and natural
ingredients as lifestyle-related diseases, such as diabetes, cancer and blood pressure problems
have increased. People are becoming sensitive regarding lifestyles and hygiene standards. This
change is expected to re-shape the catering services in channels such as education, health care,
business services, labour camps and hospitality.
The Saudi Arabia education sector is expected to grow exponentially on the back of a rising
population, increasing private sector participation and growing demand for skilled workforce.
This segment is mainly served by the domestic catering companies. They primarily look for good
quality food at competitive prices. Rising number of tourists in the country has also increased
the airline catering industry as the number of passengers increased by 2.6% in 2016 as
compared to 2015. Moreover, Saudi Arabia has a huge number of expatriates dominating the
construction sector. This segment creates significant demand for catering services. Growing
number of divorces has aided the growth of catering services as people remarry. The number of
marriages in Saudi Arabia has increased by 18.0% in 2016.
The catering industry also saw increasing use of technology and modern methods of production
which include online ordering apps, vehicle tracking systems and inventory management