China HoReCa Market Research Report By Category Outlook (Single Outlet, HoReCa Chain) and By Service Type Outlook (Hotels, Restaurants, Cafes and Pubs) - Forecast to 2035

China HoReCa Market Overview

China HoReCa Market Size was estimated at 254.59 (USD Billion) in 2023. The China HoReCa Industry is expected to grow from 268.09(USD Billion) in 2024 to 600.0 (USD Billion) by 2035. The China HoReCa Market CAGR (growth rate) is expected to be around 7.599% during the forecast period (2025 - 2035).

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Key China HoReCa Market Trends Highlighted

The China HoReCa Market is rapidly changing due to the evolving needs of the consumer and various social movements. One of the primary factors is the expansive middle class that is increasingly willing to spend money on meals, significantly younger consumers interested in foreign foods and exceptional food value. This shift in population is making older businesses modernize their services, resulting in the mushrooming of fast-casual and even brand restaurants. Additionally, the growth of international and local tourism has increased the need for service hospitality, which has led many hotels and restaurants to change their services and build better facilities to serve sophisticated clients.

Opportunities within the China HoReCa market are abundant, especially as health-conscious dining becomes a priority for many consumers. Establishments that focus on incorporating organic and locally sourced ingredients are likely to capture the attention of this health-aware demographic. Additionally, the growing interest in sustainability presents avenues for restaurants and hotels to implement eco-friendly practices, such as reducing food waste and using sustainable packaging. In recent times, the trend towards digitalization has accelerated in the China HoReCa market, with an increased reliance on online platforms for reservations, food delivery, and contactless payments.This shift towards technology not only enhances consumer convenience but also offers businesses valuable data insights to tailor their services better. Moreover, the influence of social media in shaping dining choices cannot be overstated, as many customers rely on reviews and social platforms to discover and select dining spots. The confluence of these trends indicates a dynamic and rapidly evolving HoReCa landscape in China, offering ample growth and innovation prospects.

China HoReCa Market Drivers

Rising Urbanization and Disposable Income

The rapid urbanization trend in China has led to an increased disposable income among the urban population, which is a significant driver for the China HoReCa Market Industry. According to the National Bureau of Statistics of China, urban disposable income has increased by approximately 8% annually over the past five years, from 26,000 RMB to over 30,000 RMB in 2023. This rising income level allows consumers to spend more on dining and hospitality services, thereby expanding the market footprint of restaurants, hotels, and cafes.Additionally, the government initiatives promoting urban development and infrastructure improvements are attracting more international and domestic investments in the HoReCa sphere, thereby providing a conducive environment for market growth. Industry associations such as the China Hotel Association report a growing trend of new hotel openings in urban centers, which are likely further to enhance the availability and variety of dining services, catering to the evolving tastes of urban consumers.The increase in cities offering better facilities fuels a cycle where enhanced dining experiences prompt higher consumer spending, underpinning a robust growth trajectory for the China HoReCa Market.

Growing Tourism Sector

China's tourism industry has been experiencing phenomenal growth, which significantly boosts the China HoReCa Market Industry. The China National Tourism Administration reported that domestic tourism reached over 6 billion trips in 2022, reflecting a remarkable recovery post-pandemic. With tourists seeking diverse culinary experiences, hotels and restaurants are capitalizing on the influx of visitors to enhance their service offerings. Moreover, the government's focus on promoting tourist attractions, such as the 'Beautiful China' initiative, aims to increase tourism revenue.This has led to ongoing investments in hospitality infrastructures like hotels, restaurants, and recreational facilities, which cater to the growing demand from both domestic and international tourists.

Technological Advancements and Digital Integration

The rapid adoption of technology in the dining experience is transforming the China HoReCa Market Industry. With mobile internet penetration in China reaching over 99% and online food delivery services experiencing an exponential rise, establishments are increasingly integrating technology into their operations. According to the China Internet Network Information Center (CNNIC), over 400 million people in China ordered food online in 2022, which is contributing to the expansion of the digital food ordering market.Companies that utilize technologies like mobile apps and contactless payments are seeing a significant increase in consumer engagement and satisfaction. The growth of platforms like Meituan and Ele.me, which are revolutionizing the food delivery sector, indicates a shift in consumer preferences towards convenience and efficiency in the dining experience. This technological integration not only improves operational efficiency but also caters to the evolving needs of tech-savvy consumers, driving further growth in the China HoReCa Market.

China HoReCa Market Segment Insights:

HoReCa Market Category Outlook Insights

The China HoReCa Market is experiencing significant growth driven by evolving consumer preferences and increasing disposable income among the populace. The overall market is projected to show promising expansion in the coming years, with the revenue growth being fueled primarily by the dynamism within various operational models. Within this vibrant landscape, the Category Outlook reveals critical insights into two pivotal componentsSingle Outlet and HoReCa Chain. The Single Outlet segment serves as a crucial establishment for many small to medium-sized food and beverage providers.

Its significance lies in its ability to provide localized and personalized experiences, which resonates well with the Chinese consumer, who is increasingly gravitating towards unique dining experiences. On the other hand, the HoReCa Chain segment showcases standardized offerings, allowing for scalability and consistency that appeal to a broader consumer base, particularly in urban areas where convenience is highly valued. This chain model benefits from economies of scale, making it a dominant player in the China HoReCa Market as it caters to a growing demographic that seeks quick service and reliable quality.

The competition between these two operational models reflects broader trends in consumer behavior. At the same time, Single Outlets cater to niche markets with specific tastes, HoReCa Chains capitalize on the increasing trend of international cuisines and fast service. As the market evolves, both segments face their unique challenges, such as fluctuating food costs and regulatory pressures. However, they are also presented with ample opportunities for innovation and collaboration, aligning with national initiatives to promote the restaurant industry's growth in China.

For instance, the government has been supportive of the food service sector, aiming to enhance food safety standards and promote culinary tourism, which paves the way for advancements in both operational models. The engaging dynamics between Single Outlet and HoReCa Chain highlight the diverse preferences of the Chinese market and underscore the ongoing transformation of the food and beverage sector. As the market continues to expand, stakeholders in the China HoReCa Market can foresee a fertile landscape defined by both competition and collaboration, presenting multiple opportunities for growth, innovation, and enhanced customer engagement.Overall, understanding the delicate nuances within the China HoReCa Market segmentation sheds light on the evolving landscape of consumer preferences and operational strategies as they adapt to changing trends. This segmentation and resultant insights are vital for stakeholders aiming to navigate the complexities of the market and capitalize on growth opportunities.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

HoReCa Market Service Type Outlook Insights

The Service Type Outlook within the China HoReCa Market entails a diverse landscape characterized by distinct entities such as Hotels, Restaurants, Cafes, and Pubs. Each of these areas plays a pivotal role in the overall framework, contributing to the richness and variety of dining and accommodation experiences in the region. Hotels provide not only lodging but also serve as vital venues for business gatherings and events, enhancing their significance in urban areas. Restaurants continue to evolve, adapting to emerging culinary trends and consumer preferences, thereby catering to the growing demand for diverse dining options.

Cafes, particularly popular among younger demographics, are increasingly being favored not just for coffee but also as social hubs for work and leisure, reflecting shifts in lifestyle choices. Pubs, with their social and entertainment-oriented environments, remain core to the nightlife culture in cities, often serving as primary destinations for social gatherings. Overall, the China HoReCa Market segmentation demonstrates a blend of tradition and modernity, addressing consumer needs while embracing cultural influences, thereby creating numerous opportunities for growth and innovation in the industry.

The rising disposable income and changing consumer behavior are significant growth drivers within these segments, underscoring the dynamic nature of the market.

$IMAGE3_HERE$

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

China HoReCa Market Key Players and Competitive Insights:

The China HoReCa (Hotel, Restaurant, and Catering) market is a dynamic and rapidly evolving sector characterized by intense competition and diverse offerings. The market has witnessed significant growth in recent years, driven by urbanization, an expanding middle class, and changing consumer preferences toward dining experiences and convenience. As local and international players vying for market share, competitive insights indicate a landscape marked by innovation, sustainability, and digital transformation. Companies are increasingly focusing on enhancing their service quality, optimizing supply chains, and leveraging technology to meet the demands of a modern, discerning customer base. The increasing influence of food delivery services and the rise of health-conscious dining are further factors shaping this competitive arena.

Compass Group has established a robust presence in the China HoReCa market, benefiting from its extensive expertise in food service management and support services. The company's strengths lie in its ability to understand local consumer needs and preferences, providing tailored solutions that resonate with various segments. With a focus on quality, sustainability, and operational efficiency, Compass Group has positioned itself as a leader in this space. The company's commitment to culinary innovation and its strategic partnerships with local suppliers have allowed it to deliver high-quality dining experiences across various sectors, including education, healthcare, and corporate environments. Compass Group's adaptability and strong customer relationships have also strengthened its competitive edge within the market.

China National Chemical Corporation has made significant strides in the HoReCa sector, leveraging its extensive portfolio of products and services to cater to the growing demands of the culinary industry in China. The corporation excels in supplying a wide range of food ingredients and additives that enhance flavor and food safety, ensuring that HoReCa establishments can maintain high-quality standards in their offerings. Its strong market presence is bolstered by strategic mergers and acquisitions aimed at expanding its footprint and broadening its product range. China National Chemical Corporation's strengths in research and development have enabled it to innovate continuously, thus meeting the evolving needs of the food service industry. By prioritizing sustainability and efficiency in its operations, the company positions itself as a key player in enabling HoReCa businesses to thrive in an increasingly competitive market environment.

Key Companies in the China HoReCa Market Include

• 
  

  Compass Group

  
  


• 
  

  China National Chemical Corporation

  
  


• 
  

  China National Offshore Oil Corporation

  
  


• 
  

  Coco Fresh Tea and Juice

  
  


• 
  

  Zhongmin Holdings Group

  
  


• 
  

  Sodexo

  
  


• 
  

  Haidilao International Holding

  
  


• 
  

  Beijing Wangfujing Group

  
  


• 
  

  Golden Mile Group

  
  


• 
  

  Meituan Dianping

  
  


• 
  

  China Resources Group

  
  


• 
  

  Dalian Wanda Group

  
  


• 
  

  China National Petroleum Corporation

  
  


• 
  

  Little Sheep

  
  


• 
  

  Daojiao

  
  

China HoReCa Market Industry Developments

Recent developments in the China HoReCa market indicate a dynamic landscape as businesses adapt to post-pandemic recovery. Notably, as of October 2023, Compass Group continues to expand its presence in China, leveraging technology to enhance customer experiences in the catering sector. Additionally, Meituan Dianping has announced strategic partnerships to strengthen its food delivery services amidst increasing consumer demand for convenience. In the realm of M&A activities, Haidilao International Holding has acquired several smaller hot pot chains to bolster its market share, further solidifying its position in the competitive landscape. Meanwhile, recent government initiatives aimed at promoting local food products have benefitted companies like China Resources Group, providing them with opportunities to enhance their offerings. Notably, the valuation of Zhongmin Holdings Group has seen significant growth, reflecting an increased consumer focus on quality dining experiences. Moreover, Beijing Wangfujing Group has reported a noteworthy rise in foot traffic across its retail spaces, indicative of a rebounding market for the hospitality and catering sectors. In summary, the China HoReCa market is evolving rapidly driven by strategic expansions, partnerships, and a focus on improving customer engagement.

China HoReCa Market Segmentation Insights

• 
  

  HoReCa Market Category Outlook

  
  
  
  
  • 
    

    Single Outlet

    
    
  
  
  • 
    

    HoReCa Chain

    
    
  
  
  
  


• 
  

  HoReCa Market Service Type Outlook

  
  
  
  
  • 
    

    Hotels

    
    
  
  
  • 
    

    Restaurants

    
    
  
  
  • 
    

    Cafes and Pubs

    
    
  
  
  
  

Report Scope:,,,,,,,,,,,,,

Report Attribute/Metric Source:	Details
MARKET SIZE 2018	254.59(USD Billion)
MARKET SIZE 2024	268.09(USD Billion)
MARKET SIZE 2035	600.0(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	7.599% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Billion
KEY COMPANIES PROFILED	Compass Group, China National Chemical Corporation, China National Offshore Oil Corporation, Coco Fresh Tea and Juice, Zhongmin Holdings Group, Sodexo, Haidilao International Holding, Beijing Wangfujing Group, Golden Mile Group, Meituan Dianping, China Resources Group, Dalian Wanda Group, China National Petroleum Corporation, Little Sheep, Daojiao
SEGMENTS COVERED	Category Outlook, Service Type Outlook
KEY MARKET OPPORTUNITIES	Rising middle class demand, Increasing health-conscious dining, Expansion of online food delivery, Growing emphasis on sustainable practices, Rapid urbanization and tourism growth
KEY MARKET DYNAMICS	increased consumer spending, growing urbanization, rising tourism, heightened health consciousness, digital transformation and delivery services
COUNTRIES COVERED	China