SOURCE: Packaged Facts

Packaged Facts

December 14, 2010 10:18 ET

Sales in K-12 & Higher Education Foodservice Emerge as Industry Bright Spot

NEW YORK, NY--(Marketwire - December 14, 2010) - Bolstered by revenue safeguards such as federal food programs and student loans, K-12 and college foodservice has emerged as an industry bright spot expected to grow steadily over the next several years, according to The Education Foodservice Market in the U.S.: Elementary, Secondary and Higher Education by market research publisher Packaged Facts.

The report forecasts education foodservice sales at primary, secondary, and postsecondary schools will exceed $41 billion in 2010, up almost 3% from 2009. At $22 billion, K-12 foodservice sales comprise 53% of the market, while college foodservice comprises 47%. Though stronger college foodservice sales are expected, both categories have performed relatively well considering the current economic climate. Forecasts for 2011 and 2012 trend similar with growth approaching 3% expected both years, with slightly higher estimates for college foodservice.

Unlike restaurant foodservice and its dependency on discretionary spending, education foodservice remains more shielded from negative swings in consumer expenditure. However, the industry's relative recession resistance may not fully protect it from the sluggish economy, which Packaged Facts expects will likely influence future market growth to some extent due to changes in government funding and the number of students financially able to afford enrolling in college.

"With local, state and federal budgets hit hard by revenue declines and deficit fears, funds earmarked for education are now under severe pressure," says Don Montuori, publisher of Packaged Facts. "As a result the wildcard to near-term growth concerns the extent to which local and state governments may be forced to curtail education revenue, and the effect any potential cuts would have on school foodservice budgets. However, we anticipate that future food-related federal government funding will be secure at the primary and secondary educational levels."

The Education Foodservice Market in the U.S.: Elementary, Secondary and Higher Education provides the insight industry participants need to understand today's evolving educational foodservice market, by mapping key trends and policies shaping the K-12 and university sales growth and by profiling a range of school district programs, college foodservice programs, and educational foodservice contractors. For further information, please visit: http://www.packagedfacts.com/Education-Foodservice-Elementary-2848310/.

About Packaged Facts -- Packaged Facts, a division of MarketResearch.com, publishes market intelligence on a wide range of consumer market topics, including consumer goods and retailing, foods and beverages, demographics, pet products and services, and financial products. Packaged Facts also offers a full range of custom research services. To learn more, visit: www.packagedfacts.com. Follow us on Facebook, LinkedIn and Twitter.

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