Food to go market worth more than £48.2bn

Latest figures from Kantar revealed that British consumers spent more than £48.2bn on food in the out of home market in the 52 weeks ended 9 June 2024 – and increase of 14% year-on-year (YOY).

By 2028, the food-to-go (F2G) is expected to grow in value by almost 40% on 2019 levels. While value growth has been driven by inflation over the last few years, volume growth in 2024 is expected to continue and be a key driver of performance in 2025.

The dramatic change in commuter habits since the COVID-19 pandemic has also played a role in driving up the value of out-of-home meal occasions.

Commuter spend

Those who commute just one or two days a week are seeking indulgence when they do eat out, spending up to 18% more per trip than other commuter groups (Kantar Out-of-home, 52w/e 24 December 2023).

Lunch was the go-to meal for consumers, with 71% of shoppers purchasing food for this occasion in the first quarter of 2024 (IGD research).  

The AHDB found that lunch was well suited for food-to-go, often associated with lower spend than other meal occasions. Meal deals were a big deal when it came to on-the-go lunches, particularly for consumers looking to stick to a budget.

While the meal deal remained the king of out-of-home meal occasions, businesses were advised to think outside of the box if they wish to attract a broader range of clientele.

AHDB retail and consumer insight analyst Charlotte Forkes-Rees said: “It’s important for foodservice providers to demonstrate that food-to-go can mean more than just a meal deal, and we’re seeing quick service restaurants joining the lunch time food-to-go meal occasion, and more and more retailers offering hot options, premium item upgrades and less traditional meal options.  ​

Target markets

“Currently, food-to-go is more likely to be purchased by an older consumer (aged 55+), potentially due to increased disposable income meaning they are able to indulge in on-the-go meals more regularly. To tempt in younger demographics, retailers could target new product releases with food trends and flavours that may appeal to broader demographics and the younger generations.”​

In the 12 weeks ended 9 June 2024, there were 92.2 million food-to-go meal occasions that contained beef, lamb and pork – an increase of almost 24% year-on-year, with pork accounting for almost three-quarters of this growth.

Sandwiches accounted for 41% of all pork-based food-to-go purchases, while pasties proved to be a popular food-to-go option for beef, accounting for almost 13% of volumes purchased (Kantar Out-of-home).

Meanwhile, reduced demand from retail and takeaways sparked a decline in total beef volumes in 2023, according to the Agriculture and Horticulture Development Board’s (AHDB’s) annual beef market outlook.​​