Digital Food Management Market

Global Digital Food Management Market Size (2024 to 2029)

The size of the global digital food management market is expected to be worth USD 9.03 billion by 2029 and USD 4.04 billion in 2024 from USD 3.44 billion in 2023, growing at a CAGR of 17.45% from 2024 to 2029.

Current Scenario of the Global Digital Food Management Market

The global digital food management market has had prominent growth in recent years and is expected to be further fueled during the forecast period. Utilizing various digital technologies and applications in food management improves the overall aspects of the food industry, including supply chain management to food delivery and waste. The increased incorporation of advanced technologies such as IoT, data analytics, blockchain, AI, and mobile applications increases the food industry's efficacy and sustainability. The global digital food management market has accounted for significant growth in the past years and is projected to have notable growth during the forecast period. Digital food management helps enhance production methods and advancements in marketing strategies, contributing to increased adoption of digital technologies in food management and propelling the expansion of the global digital food management market. The food industry's digitalization accelerates the supply chain, and the primary aim is to streamline the food journey from farm to consumer table. 

MARKET DRIVERS

Y-o-Y growth in the food services industry drives the digital food management market growth.

The rapid expansion of the food service sector is fuelling the demand for digital solutions in the management of food services. The growing demand for convenience, online food deliveries, and contactless dining services among consumers is augmenting the market growth rate. The rising adoption of advanced technological solutions across various industries positively influences the adoption of digital solutions in the food management market, leading to growth rate expansion growth rate. An increase in the usage of smartphones, the rapid incorporation of IoT, and the enlarging e-commerce sector are further boosting the adoption of digital solutions in food management, resulting in global market expansion. The adoption of digital solutions in food service organizations has experienced a surge in consumer demand owing to their improved efficiency and customer service, which multiplies the global market growth rate.

Technological advancements are further aiding the growth of the digital food management market.

Rising technological advancements such as artificial intelligence, chatbots, and others provide efficient customer service by providing effortless menus, placing orders, and ease of payment. There is a rising demand for cloud-based solutions as they deliver cost-efficient scalability, traceability, and adaptability, providing efficient benefits to consumers. This enhances the adoption of digital solutions among restaurants and cafes to improve their customer services, leading to market share growth. 

MARKET RESTRAINTS

Technical challenges and high investments required to establish digital food management solutions are major restraints.

The rising concerns regarding data security and handling complex integrations will be challenges during the market expansion. The presence of technical challenges and the high initial costs will restrict the adoption of digital solutions among organizations with low or middle-income, low-technical businesses, which hampers the market growth rate. The accessibility of the internet and digital solutions to all consumers as people belonging to underdeveloped regions may face difficulties with IoT applications, which will hinder growth opportunities. The stringent regulations regarding software approval, the efficacy of the solutions, and the high maintenance of digital systems are impeding market growth opportunities. 

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Digital Food Management Market Analysis By Type

The software solutions segment held the most significant share of 63.2% in the global digital food management market in 2023. The software solutions involve a wide range of mobile applications designed to streamline and enhance overall aspects of the food industry, which augments the segment growth. The growing demand for cloud-based solutions, as they provide scalability and accessibility to numerous devices, fuels the segment growth rate. The Cloud systems help food service providers to easily adapt to consumer preferences and health and safety standards, which propels segmental expansion.

The services segment is estimated to witness a considerable CAGR during the forecast period. The requirement for services in digital food management, such as expert guidance, technical support, and consultation in the food service market, is enhancing the growth rate of the services segment in the global market.

Global Digital Food Management Market Analysis By Application

The end-user management segment dominated the global market with a prominent share of 40.4% in 2023 and is expected to maintain the domination during the forecast period. End-user management involves various applications such as kitchen and staff operations, which efficiently process orders and maintain inventory control, leading to market growth in the segment. The increased trend of using kitchen display systems, which display the food preparation and delivery time, leads to optimizing the food preparation, which boosts the segment growth rate.

The customer engagement segment is estimated to grow at the fastest CAGR during the forecast period. The increasing focus of the market players on the enhancement of customer dining experiences is demanding improvement in features such as menu browsing, contactless ordering, and loyalty programs, which is creating growth opportunities for the segment.

Global Digital Food Management Market Analysis By End-User

The restaurant and cafe segment accounted for the largest share of around 46% in the digital food management market in 2023. The domination of the restaurant and café segment is likely to continue during the forecast period owing to the growing consumer demand for contactless dining convenience, which has contributed to the segmental growth. The increasing number of restaurants and café outlets across the world is fuelling the segmental expansion. The continuous change in consumer preferences and rising adoption of table management enhance the demand for digital management solutions in the food industry, expanding market growth.

The catering services segment is projected to have considerable growth during the forecast period. The caterers are utilizing digital solutions to streamline various processes such as ordering, managing menu choices online, event logistics, and others, propelling the segment with growth opportunities.

REGIONAL ANALYSIS

North America held the largest share of 48.2% in the digital food management market in 2023.

North America is estimated to witness the highest CAGR during the forecast period in the global market. The continuous change in consumer preferences, the presence of a well-established food service industry, and the escalating demand for contactless dining experiences among consumers are major factors driving the regional market growth. The growing mobile applications for ordering food, the expansion of food delivery services, and the increasing demand for online food delivery platforms among people are accelerating the growth opportunities in the global market.

The Asia Pacific region is expected to grow fastest in the global market during the forecast period.

The increasing population across the region, the growing adoption of online food deliveries, the busy lifestyles of the people, and the increasing emphasis on food safety are all enhancing the adoption of digital solutions among food services, which augments the market growth opportunities. The rising incorporation of AI technologies in the food service industry creates growth opportunities for the regional market.

Europe is likely to play an important role in the global market in the coming years.

The European region is estimated to have stable growth during the forecast period owing to its focus on sustainability and eco-friendly practices. The presence of stringent regulations by the European government authorities regarding food safety and labeling fuels growth opportunities.

KEY PLAYERS IN THE DIGITAL FOOD MANAGEMENT MARKET

Agilysys Inc., Apicbase NV, FlexiBake Ltd., SweetWare, Computrition Inc., Omega POS Inc., Oracle Corporation, The CBORD Group Inc., Kitchen Brains and SmartSuite Holdings LLC are a few of the noteworthy players in the global digital food management market.

RECENT HAPPENINGS IN THE GLOBAL MARKET

• In April 2024, South Korea and Vietnam launched a new digital food safety management system in collaboration. This digital system is designed to escalate the monitoring of food poisoning outbreaks across the region.
• In April 2024, According to the report produced by the Vanguard, Martins and Joshua Udotai, co-founders of Dinesurf, discussed the platform’s transformative impact on restaurant discovery and management in Africa through digital innovation.
• In April 2024, Yum Brand’s Chief Digital and Technology Officer announced the drive of the fast-food conglomerate’s substantial investment in AI technologies to optimize every aspect of its operations, enhancing the customer and franchise experiences across the major brands.
• In March 2024, The Static Media announced the acquisition of TheTakeout.com, a digital platform for food enthusiasts. This initiative is expected to enhance the food brand portfolio and expand its reach to 38 million monthly visitors.  

DETAILED SEGMENTATION OF THE GLOBAL DIGITAL FOOD MANAGEMENT MARKET INCLUDED IN THIS REPORT

This research report on the global digital food management market has been segmented and sub-segmented based on type, application, end-user and region.

By Type

• Software Solutions
• Hardware Solutions
• Services

By Application

• End-User Management
• Inventory Management
• Ordering and Delivery
• Menu Planning
• Customer Engagement
• Others

By End-User

• Restaurants and Cafes
• Fast Food Chains
• Catering Services
• Hotels and Hospitality
• Food Trucks
• Others

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa