Food service equipment market revenues are expected to see more growth for 2016, increasing by 4.4% in 2016 to reach US $28.9 Bn in revenues. The food service equipment market in North America (US and Canada) will continue its upward momentum in 2016, driven by declining unemployment rates and prevailing low crude oil prices. Growing popularity of quick-service restaurants will also create growth opportunities in the region.
Low crude oil prices will also influence demand in Europe and Asia Pacific, with these key regions growing at 3.6% and 7.1% respectively in 2016. Gains from lower shipping costs, combined with higher sales, on account of steadily improving employment rate, will continue to positively influence the market in these two markets.
By product type, cooking and baking equipment will continue to be the leading segments in terms of revenue, whereas food preparation equipment will witness robust growth rate of 6.1% in 2016.
Full-service restaurants will remain the largest end-users, with total demand expected to reach US $19.1 Bn in 2016. Mushrooming of quick-service restaurants will have a favorable impact as far as overall demand is concerned, whereas caterers and hotels & club restaurants will provide additional support to sustain favorable growth for another year.