Singapore is a famous food capital in Asia. The food services industry plays a vital role in our economy. The industry contributed 0.8% of Singapore’s GDP and employed about 180,000 workers in 2016.
At the national level, we launched the Food Services Industry Transformation Map in 2016. You can expect more buzz as local food services become more innovative, appealing and manpower-lean.
The global food and beverages (F&B) market is growing exponentially along with the growth in urban populations worldwide. Besides buying more food, discerning diners are driving demand for better food which are safe, natural and healthy. In addition, automation and artificial intelligence are leaving their mark on the industry.
Competition is rife in F&B industries everywhere. But the industry is also full of potential and opportunities for innovative and nimble players if you can catch the trends.
Increasingly, local food companies are using technology to operate more efficiently. Diners can now order food on mobile devices and tablets, pay for it digitally, among other innovative solutions. Adopting tech will help you level up your services in the highly competitive food industry.
More than one-third of F&B outlets in Singapore are using at least one technology solution to work more productively1. By 2020, at least half of all F&B outlets, including coffee shops and hawker stalls, are likely to adopt digital solutions2. Get step-by-step advice on the digital technologies that are best suited for your business needs in the Food Services Industry Digital Plan.
Advanced technology such as robotics, driven by artificial intelligence3, is also making its presence felt in food services. For example, face scanning technology may one day be used in food ordering. This will impact both front-of-house and backend processes for food preparation and business operations.
1: Speech by SMS Sim Ann at Official Opening of Nook and Learning Journey, MTI, 5 April 2018 2: “Govt aims for half of F&B outlets to go digital by 2020”, 9 May 2017 3: “Examples of AI in Restaurants and Food Services”, Techemergence, 16 September 2018
F&B companies are differentiating themselves with innovative dining concepts, products and services, in order to offer customers better dining experiences.
Singaporeans work long hours. This has driven the demand for fast and convenient meals. This is also happening in cities around the region. Your F&B business can ride on the growing demand to launch ready meals and explore vending machine concepts. Since these service formats are still fairly new, they offer lots of opportunities for F&B players like you to enter the market.
On the other end, a segment of consumers are going for artisan, handcrafted food, or have grown to expect customisation of food to their preferences. You can go beyond mass market appeal to explore niche F&B concepts.
Take your F&B business to the next level by bringing it abroad. More and more Singapore food companies are establishing their brands overseas through joint ventures, franchises or corporate-owned outlets. You could do the same.
Whether you are a budding F&B entrepreneur, or an existing food business owner, Enterprise Singapore has a suite of tools and programmes for you.
Find out how you can boost capability, go global and develop talent to grow your F&B business.