Market Size of nigeria foodservice Industry
| Icons | Lable | Value |
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Study Period | 2017 - 2029 |
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Market Size (2024) | USD 10.01 Billion |
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Market Size (2029) | USD 17.24 Billion |
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Largest Share by Foodservice Type | Quick Service Restaurants |
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CAGR (2024 - 2029) | 11.49 % |
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Fastest Growing by Foodservice Type | Cloud Kitchen |
Major Players |
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*Disclaimer: Major Players sorted in no particular order |
Nigeria Foodservice Market Analysis
The Nigeria Foodservice Market size is estimated at 10.01 billion USD in 2024, and is expected to reach 17.24 billion USD by 2029, growing at a CAGR of 11.49% during the forecast period (2024-2029).
10.01 Billion
Market Size in 2024 (USD)
17.24 Billion
Market Size in 2029 (USD)
3.93 %
CAGR (2017-2023)
11.49 %
CAGR (2024-2029)
Largest Segment by Foodservice Type
50.01 %
value share, Quick Service Restaurants, 2023
Because of the increased consumption of pastry, cakes, pies, and other baked goods in the country, the bakery segment is expected to be Nigeria's fastest-growing QSR segment.
Largest Segment by Outlet Type
79.39 %
value share, Independent Outlets, 2023
The huge demand for traditional and local cuisines among residents and visitors is one of the main proponents for the growth of this sector in the country.
Fastest-growing segment by Foodservice Type
21.62 %
Projected CAGR, Cloud Kitchen, 2024-2029
The demand for cloud kitchens in Nigeria has been driven by several factors, such as the rise of e-commerce, changing consumer preferences, and the convenience of food delivery.
Fastest-growing segment by Outlet Type
11.72 %
Projected CAGR, Chained Outlets, 2024-2029
Quick service restaurants dominate the segment, which is majorly boosted by the expansive network of international franchise outlets of KFC, Domino's Pizza, and Subway.
Leading Market Player
1.65 %
market share, Eat & Go Limited, 2022
The company holds master franchises of Domino's Pizza, Cold Stone Creamery, and Pinkberry, and in recent years, it heavily invested in expanding these brands in Nigeria.
Increased tourist arrivals from Asia led to great exposure to diverse Asian cuisines
- Quick service restaurants (QSRs) held the highest market share by foodservice type. With the increasing frequency of dining out in pivotal cities like Lagos, there has been an expansion in domestic and international fast-food chains. Residents in Lagos spent USD 125.4 per capita in dining out in 2022, representing 34% of total food expenditure. Fast-food consumption is popular among the residents owing to the affordability of the menu options and the convenience of consumption. The growth of online delivery services has also helped in improving the QSR landscape of the country by assisting the newly opened fast-food franchises in spreading their brand name to a wide base of customers. As of 2021, almost 97% of residents declared that they had ordered food via Jumia, one of the leading online food delivery services in Nigeria.
- FSR holds the second major share of the market. In the full service restaurants (FSRs) segment, Asian cuisine is expected to be the second most popular cuisine by market value. It is projected to register a CAGR of 10.91% by value over the study period. South Africa is a diverse country with a multicultural population. This exposure has led to a greater appreciation and demand for Asian flavors and dishes. In 2022, Nigeria witnessed the most tourist arrivals from Niger and India, with 9% and 5% of the total arrivals that year, respectively, followed by China, accounting for 4%. Also, owing to its close proximity to top tourist destinations in Africa, Morocco, Egypt, and Kenya, Nigeria is expected to attract more visitors from the Asian continent in the future.
- Cloud kitchens are projected to register a CAGR of 21.80% by value during the study period. Hephie's Cloud Kitchen and Hearth Cloud Kitchen and Cafe are some of the prominent cloud kitchens operating in Nigeria.
Understand The Key Trends Shaping This Market
