The UK’s food-to-go market has experienced substantial growth in 2024, with spending surpassing £48.2 billion, a significant 14% increase from the previous year. This surge in out-of-home dining highlights a recovery in volume growth, which had been affected by inflation in recent years. According to recent data from AHDB and Kantar, the market’s upward trajectory is expected to continue, with projections indicating a nearly 40% increase by 2028 compared to 2019 levels.
The rise in spending reflects a broader trend in consumer behaviour. Research from IGD reveals that while almost half of food-to-go meals are consumed during daily routines, such as commutes or post-exercise, more than half of these purchases are spontaneous and unplanned. This shift underscores the dynamic nature of the market and the evolving preferences of consumers.
Despite the decrease in daily commuting since the pandemic, out-of-home spending remains robust. Commuters who travel just one or two days a week are notably indulgent, spending up to 18% more per trip than other groups. This trend suggests that even minimal commuting can lead to increased expenditure on food-to-go items.
Lunch continues to be a dominant meal occasion for food-to-go, with 71% of consumers purchasing items for this meal in the first quarter of 2024. The lunchtime market benefits from lower spending habits compared to other meals, with meal deals, including sandwiches and pizza slices, being particularly popular among those on a budget.
In the 12 weeks ending 9 June 2024, there were 92.2 million food-to-go meals featuring beef, lamb, and pork, marking a nearly 24% year-on-year increase. Pork led the growth, accounting for about 75% of the increase. Sandwiches were the most popular choice for pork-based meals, representing 41% of purchases, while pasties were a favourite for beef, constituting almost 13% of volumes.
Charlotte Forkes-Rees, Retail and Consumer Insight Analyst at AHDB, noted, “The food-to-go market shows no signs of waning. Supermarkets and retail chains must adapt to meet changing consumer preferences. AHDB continues to track these trends to ensure that our levy payers’ products benefit from strong market demand.”
Forkes-Rees also highlighted the need for food service providers to innovate beyond traditional meal deals. The rise of quick-service restaurants and retailers offering hot, premium, and unconventional options is reshaping the market. Despite food-to-go being more popular among older consumers (aged 55+), likely due to greater disposable income, targeting younger demographics with trendy and diverse product offerings could capture a broader audience.
The data indicates that food-to-go is not just about convenience but also about evolving tastes and higher expectations. As the market continues to grow, adapting to these changes will be crucial for businesses looking to capitalise on this dynamic sector.
For more detailed insights into the food-to-go market, visit the AHDB website.