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The global aircraft galley equipment market comprises a wide range of products such as galley containers, coffee makers, water boilers, beverage warmers, chillers & coolers, food warmers, and trolley systems that help prepare and serve food and beverages to aircraft passengers. Aircraft galleys help store and prepare airline meals, snacks, beverages, and provide storage space for airlines crew. They assist in providing comfortable dining experiences to the passengers during long-haul flights. The increasing focus of airlines towards enhancing passenger experience is driving the demand for modern and innovative galley equipment.
The Global Aircraft Galley Equipment Market is estimated to be valued at US$ 2.56 Bn in 2023 and is expected to exhibit a CAGR of 6.5% over the forecast period 2023-2030.
Key Takeaways
Key players operating in the aircraft galley equipment are Aerolux Ltd., AVIC Cabin Systems, Boeing, Bucher Group, Diehl Stiftung & Co. KG, Dynamo Aviation, GAL Aerospace Group, JAMCO Corporation, RTX and Safran.
Rapidly growing air passenger traffic across regions is fueling the demand for new commercial aircrafts which is propelling the need for advanced galley equipment. Airline companies are focusing on upgrading existing fleet’s interiors to offer premium in-flight services and cater to the rising expectations of passengers.
Manufacturers are expanding their global footprint by partnering with regional airline companies and caterers. They are also investing heavily in R&D to develop innovative and energy-efficient galley systems in order to meet evolving client needs.
Market key trends
One of the prominent trends in the aircraft galley equipment market is the development of lightweight and compact galley systems. With growing environmental concerns, aircraft manufacturers are under increasing pressure to minimize the overall weight of aircrafts and improve fuel efficiency. This is driving them to invest in lightweight materials for manufacturing galley structures, compartments, and containers. For example, Aerolux recently launched its AXXO Light galley system which reduces weight by up to 30% compared to traditional aluminum units.
Porter’s Analysis
Threat of new entrants: Large capital investments and time needed to enter the aircraft galley equipment market. Manufacturers need to invest heavily in R&D, certifications and other compliance requirements, thus limiting threats.
Bargaining power of buyers: Airliners have strong bargaining power as they buy in high volumes on competing demands. This pushes down prices for buyers.
Bargaining power of suppliers: Few large players dominate the supply market, giving them strong bargaining power over OEMs and buyers. This allows them to influence prices and other trade terms.
Threat of new substitutes: Minimal threat as there are no viable substitutes for aircraft equipment needed for serving inflight meals and drinks. New materials may offer alternatives in future.
Competitive rivalry: Intense competition amongst established companies to gain market share and win new deals from airlines. Players differentiate through technology, certifications, contracts and customer support.
Geographical regions where market is concentrated in terms of value: North America currently holds the largest share of the global aircraft galley equipment market, mainly due to high air passenger traffic and aircraft fleet in the region. Growing demand for new aircraft to replace aging fleets further supports market revenues.
Fastest growing region for the market: Asia Pacific region is poised to grow at the fastest pace during the forecast period. Countries like China and India are witnessing significant rise in air travel and expanding fleets of low-cost and full-service carriers. Major players are targeting opportunities through collaborations, local manufacturing and MRO centers to tap into demand.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
