Amid fierce competition and a price war in China’s coffee shops, product innovation and differentiation are the key to standing out. China's coffee culture is thriving, transforming coffee into a daily routine for many consumers. Coffee shops have expanded rapidly into lower-tier cities, fuelled by chain expansions, leading to fierce price competition.
Over 2018-2023, the consumer foodservice industry has grappled with the challenge of eroding profit margins and the need to improve the customer journey experience. Nevertheless, fintech presents transformational opportunities. It not only enhances customer journey satisfaction through payment digitalisation, but also accelerates digital transformation of operations.
Join Emil Fazira, Insights Manager at Euromonitor International, specialising in food research and insights across Asia, as she discusses the factors at play behind Asia Pacific’s foodservice industry hitting its highest growth since the pandemic.
After meteoric growth during the pandemic, the third-party delivery market continued to normalise in 2023, leading to the emergence of new business models. This article explores the evolving industry landscape by reviewing leading players' responses to the inflationary crisis, consumers' revived routines, government scrutiny, and intensified competition.
After the pandemic, despite players' expectations that circulation restrictions imposed during the crisis would stimulate consumers' desire to seek more out-of-home experiences, foodservice on-premises consumption (global value in USD current terms) has not yet returned to the levels seen in 2019 (pre-pandemic).
In 2022, consumer foodservice sales in Mexico recovered to their pre-pandemic levels and growth trend. Understanding channel trends, how competitors are innovating in response, and where growth opportunities lie are all crucial elements in building a well-informed consumer foodservice strategy.