In recent years, foodservice in Europe has returned to value growth. The European out-of-home eating market surpassed $670 billion in 2024, while globally the sector is worth over $3.7 trillion (Source: Fortune Business Insights).
However, the increase in eating-out spending in Europe does not correspond to an equivalent growth in volumes. The number of visits to restaurants and foodservice outlets remains below pre-pandemic levels, while the average ticket size continues to rise (Source: Circana).
The main reason? Rising costs throughout the entire supply chain.
Rising Costs in European Foodservice: The Data
Over the last five years, the foodservice sector in Europe has been strongly affected by inflation. According to Eurostat data, average food price increases in the EU reached +15% in 2022 and +19% in 2023.
At the same time, energy prices increased by up to +40% in 2022, while labour costs in the hospitality sector grew between +4% and +6% annually during the period 2022–2024
(Source: European Commission – Labour Cost Index).
These increases directly affected:
- Raw materials (cereals, dairy, meat, vegetable oils)
- Refrigeration and cooking costs
- Electricity and gas bills
- Transport and logistics
- Staff management
A significant portion of these cost increases has been passed on to consumer prices. As a result, the growth of the European foodservice market is largely nominal, not real.
Fewer Restaurant Visits, but Higher Spend per Visit
In the major European markets (United Kingdom, Germany, France, Italy and Spain), footfall in foodservice outlets remains below 2019 levels, and consumers are more selective and plan their outings more carefully.
The result is a structural shift in consumption behaviour: fewer “routine” meals out and greater attention to the value-for-money ratio. Alongside growing concern over overall household expenditure, there is an increasing uptake of promotions and combo menus.
Eating out in Europe is thus becoming a more targeted and less frequent occasion.
Impact on European Foodservice Trends
Rising costs are reshaping the European foodservice market in two main directions.
1. Functional segment (canteens, QSR, catering)
In this area, margin pressure is driving:
- Cost optimisation
- Format standardisation
- Waste reduction
- Portion control
- Logistics efficiency
Foodservice buyers are looking for reliable products with consistent yield and price stability.
2. Experiential segment (leisure dining)
When consumers decide to eat out for pleasure, attention to perceived quality increases.
The following are gaining strength:
- Territorial identity
- Product storytelling
- Premium specialities
- Distinctive gastronomic experiences
The lower frequency of dining out is offset by higher value expectations.
Opportunities for Producers and Exporters
For agri-food companies operating in the European foodservice market, the key strategic insight is understanding that:
The growth in out-of-home eating spending is driven by cost increases, not volume expansion.
This means:
In the functional segment, competitiveness and efficiency (consistent yield, cost efficiency, waste reduction, format optimization) are decisive, while in the premium segment, quality and differentiation become fundamental (storytelling, perceived quality, territorial identity).
IIn both cases, foodservice remains a central channel for the European food industry and for export.
Conclusion: Nominal Growth Calls for a New Selectivity
If the European out-of-home eating market is growing, it is doing so in a context of structural inflation. The European consumer eats out less frequently, but attributes greater value to each occasion.
For this reason, competitiveness for producers and industry operators now depends on the ability to balance economic efficiency with perceived value — the true strategic lever for presence and growth in the foodservice sector.
