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Issue Date: Vol. 53, No. 3, March 2013, Posted On: 2/24/2013

Technomic: Noncommercial Foodservice Shows Signs Of Growth

Emily Jed
TAGS: noncommercial food service sector, foodservice, U.S. foodservice sales, Technomic, foodservice research, vending, food concessions, healthcare foodservice, B&I foodservice

CHICAGO -- The noncommercial foodservice sector is thriving, accounting for 34% of U.S. foodservice sales in 2012 and garnering more than $200 billion in sales, according to Technomic, a research firm.

In 2013, Technomic expects the strongest noncommercial foodservice growth in the healthcare (4.5%) and B&I (4%) subsegments. As a whole, noncommercial foodservice operations are forecast to grow 3.7%.

In addition to healthcare and B&I, Technomic defines the noncommercial foodservice sector as including colleges and universities, K-12 school districts, retail meal solutions, convenience stores, travel centers, hotels, military, corrections, daycare, and foodservice management firms. Recreational foodservice is also included, encompassing movie theaters, bowling centers, museums and zoos, theme and amusement parks, stadiums and arenas and other public venues.

"Noncommercial foodservice players are looking to other segments like fast-casual to adopt best practices," says Darren Tristano, executive vice-president of Technomic Inc. "More consumers want food that is high-quality, fresh and flavorful. Whether they are traveling, attending school or work or just concerned about their children's school lunches, they've come to expect better options, and operators need to deliver them."

Technomic's latest research on the noncommercial foodservice sector found that the 10 largest foodservice management companies saw estimated sales of $7.5 billion in the Business & Industry segment in 2012.

The research firm also reported that just over 50% of the nation's top 100 colleges and universities are served by foodservice management companies.

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