Inflight or airline catering is a service provided by companies during air travel and at the airports. Catering becomes a very critical part of the business, especially for Network Carriers serving long distances. Meal design and meal planning are important processes of catering services. According to International Air Transport Association (IATA), catering planning and catering operations are important areas of activities of inflight services. Various organizations and groups are formed in order to regulate and organize inflight-catering activities. For instance, Inflight Catering Work Group was established in 2004, to bring together airlines and caterers in order to discuss issues of mutual concern and of special interest of the catering community, identify potential areas of cooperation, as well as implement concrete solutions. Moreover, Inflight RFID Task Force, focuses on catering trolley tracking and its maintenance history. Both these groups work with IATA.

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Meals segment is expected to show a significant growth in the global inflight catering market in 2018. This is attributed to increasing number of international passengers and long air travel. Key players are opting various marketing strategies to attract customers’ attention such as mini-meal and healthy snacks provision. For instance, OTG, which operates over 300 restaurants and retail concepts in 10 airports across North America, provides local foods for global passengers. It uses locally sourced ingredients from local farms straight to the airport.

Players operating in the global inflight catering market are adopting various growth strategies such as technological advancements, buy on board food, ordering and paying via tablets and mobiles. For instance, in May 2013, OTG installed around 7,000 of food-ordering iPads, at half-dozen of the U.S. airports. OTG made a strategic partnership with renowned chefs and restaurants to showcase locally sourced ingredients and seasonal menus.

Major players operating in the global inflight catering market include, SATS ltd., Gate Gourmet, LSG Sky Chefs, DO & CO Aktiengesellschaft, NewrestInternational Group, Emirates Flight Catering, Flying Food Group, Journey Group plc, and DubaiNational Air Transport Association.

An inflight catering, airline food, or in-flight meal is a meal served to passengers on board a commercial airliner. These meals are prepared by specialist airline catering services and normally served to passengers using an airline service trolley. The quality and quantity of the meals served in flight differs by the airline companies and the classes of travel.

Rising number of airline passengers is fueling growth of the inflight catering market. For instance, according to Bureau of Transportation Statistics, in the U.S. total passenger enplanements in 2010, was 720.5 million which was increased to 763.2 million in 2014.

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Market Dynamics

By aircraft class, economy class is gaining traction in the market. Rising number of passengers traveling through economy class is fueling growth of economic services in the inflight catering market. In economic class, the focus is more on affordable meals, beverages, and shelf-stable food for purchase in both long-haul and short-haul flights.

Europe held a significant market share in 2017, due to increasing number of people travelling to European countries and high number of domestic players in inflight catering services market. For instance, one of the important player in the inflight catering services market, LSG Group, headquartered in Germany, served 205 airports with 696 million number of meals by 2017.