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China Catering Industry Indepth Research and Investment Strategy Planning Report, 2013-2017

China Catering Industry Indepth Research and Investment Strategy Planning Report, 2013-2017

Last Update:2014-05-08

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Catering industry closely links to people’s daily life, not only relating to people’s living standards and level but also relating to consumption safety and national people’s health, and social harmony and stability. With the fast and steady development of China’s economy and the steady improvement of urban and rural residents’ living standards, catering industry has become an important component of economic prosperity, market active, consumption expanding and absorption employment.

In recent years, China catering industry enters a fast development period, with double-digit growth for 20 consecutive years. According to data China Cuisine Association, the retail sales revenue of China catering industry expanded from 5.48 billion Yuan in 1978 to 1.76 trillion Yuan in 2010, increasing by more than 320 times, and the per capital catering consumption volume increased by 200 times. From January to August 2011, the catering industry realized 1292.3 billion Yuan of sales revenue, with a year-on-year increase of 16.4%. The statistics shows China catering industry still maintain a strong development momentum, becoming one of best investment industries.

After years of reform and development, China catering industry has entered a new phase, and some new changes have taken place in trends of market competition. The competition among corporations ranges from simple price competition and product quality competition to product-corporation brand competition and cultural taste competition; ranges from single shop competition and single business format competition to multi-business format, chain, group and large-scale competition; and ranges from local development to outside development, from small cities to large and medium-sized cities, from eastern costal areas to middle and western areas, or even some from metropolis to small and medium-sized cities, from western areas to eastern areas. The competition among catering corporations becomes increasingly fierce.

Catering industry is an early industry after reform and opening up. Foreign investment, in particular some international well-known brands pouring into Chinese catering market has profound impact on China’s catering operation idea, service quality standard, cultural atmosphere, diet structure, employee quality, etc.

However, Chinese local catering brands develop slowly, with weak competitiveness. Since catering industry’s competition maintains in the future, Chinese food proportion will further decrease; the participation of VC will accelerate the transformation from traditional catering to modern catering, and the chain operation will promote the planning development; meanwhile, the market space of popularization operation keeps expanding, and the feature operation is more and more prominent. The force of creative operation and brand marketing is strengthened, so the importance of management and talents is more outstanding.

The fast development of domestic economy and the supporting of national relevant policies play an great important role in it. The promotion of residents’ purchasing power, the formation of mid and high-income group and the increase of per catering expense bring great development space for catering industry. Based on development directions of catering enterprises, National Industry Policy Department gives key support to central kitchens, food bases, delivery centers, etc. The Ministry of Public Security, State Administration for Industry & Commerce, Ministry of Treasury and State Administration of Taxation have drawn up related policies to lead the health development of catering industry.

In the long term, with the expanding of opening up and the continuing, steady and fast development of economy, the income of urban and rural residents increases and the living standard continues to improve. China catering industry develops extremely fast. In recent years, the growth rate of catering industry is more than 10 percentages higher than other industries. So to speak, China ushers in a great development period for catering industry. The industry has great market potential and prospects for development.

Qianzhan Business Information Co., Ltd. Industry Research Center
Research Team of Catering Industry


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