Foodservice in focus: key trends

A look at the key trends shaping the foodservice sector and how wholesalers can provide the essential tools for operators to stand out from the crowd

The foodservice sector is on the frontline when it comes to battling against economic uncertainty as dining out can be one of the first luxuries to be shelved when money is tight. While the UK Food Council has reported that the UK restaurant sector is predicted to keep recovering from the pandemic at a projected annual growth rate of 6.64% through to 2030, hospitality owners up and down the country are facing increasing pressures as business costs rise. However, the foodservice industry was valued at £104.8bn in 2025 [1], meaning the stakes have never been higher for operators and the wholesalers that supply them.

Flora Merryweather, Wholesale Director, Circana, says: “2026 is a year of cautious optimism. Operators are still navigating a tough trading environment, but the focus is shifting from pure survival to building resilience and finding opportunity.”

Circana confirms that while costs are still rising, revenues aren’t keeping pace.

“Operators continue to face high input costs while footfall and spend lag. This is driving tighter menu engineering and more scrutiny on every ingredient purchased. Operators are making changes such as set menu nights on quieter days, off-peak promotions and tactical offers to drive footfall,” continues Merryweather.

In addition, skilled labour shortages remain a challenge: “The industry has staff – it just lacks experienced staff,” explains Merryweather. “Kitchens are stretched, wages are rising and operators are simplifying menus and ditching labour-heavy dishes. Pre-prepped ingredients, part-prepared components and central production solutions are increasingly common.”

AFFORDABLE INDULGENCE

It’s not just hospitality owners feeling the pinch. A YouGov survey released in October 2025 found that nearly 38% of diners say they are eating out less than they did a year ago, citing rising costs and the need to save money.

Despite the cost of living climbing, one thing hasn’t changed: consumers are still looking for ways to indulge and treat themselves on occasion, and this is where wholesalers have a genuine opportunity to support operators through this challenging time.

“Consumers don’t want ‘cheap’, they want ‘worth it’,” says Circana Insight Director Neya Gwillim. “Value is being redefined. Diners are still going out but only when the experience feels undeniably worthwhile: bigger portions, ingredient storytelling, carb-upgrades and greater transparency around pricing. Mood-boosting small treats and global flavour inspiration are helping operators create value without resorting to heavy discounting.”

Gwillim continues: “The market is splitting in two: ‘cheap & cheerful’ versus ‘worth going out for’. The mid-tier is shrinking as growth moves to both ends of the market: efficient grab-and-go on one side and unique, experience-led dining on the other, while global flavours such as matcha, miso, chipotle, yuzu and gochujang are continuing to go mainstream.”

Wholesalers should target this growth. Grab-and-go operators such as wrap, smash burgers and tacos outlets, and convenience-led brands need reliable, consistent, quick-to-execute solutions and will be looking to their wholesaler for solutions.

Meanwhile, for premium, experience-driven operators, diners want to feel that an occasion is ‘worth it’. Wholesalers can support these foodservice customers with ingredients with a story, speciality global flavours and dishes that feel indulgent but cost-efficient, which are all in demand.

Another big win is offering products that make life easier, such as complete meal solutions and pre-prepared or pre-portioned ingredients, as these will support chefs to create smaller menus with cross-functional ingredients that can drive profits.

By shaping ranges and messaging for these very distinct growth channels – and moving away from a one-size-fits-all approach – wholesalers can unlock meaningful category growth.

CONSCIOUS CONSUMPTION

There is no doubt that consumers are becoming more informed when it comes to the choices they make about the food they eat. From concern around the impact of processed food to demand for functional health benefits, consumers are considering their choices more carefully.

A report by Lumina has revealed that this is no longer a passing trend but a movement that is now becoming ‘embedded across menus, influencing ingredient choices, formats and portion strategies’ [2]. With demand increasing for meals using whole vegetables rather than processed meat alternatives, now is the time for wholesalers to adapt and align ranges accordingly.

Another consideration is how the rapid rise of weight-loss medications (GLP-1s) is transforming the industry, changing how, when and the amount consumers eat. Research has shown that users of GLP-1s are eating out less often and seeking smaller, nutrient-dense portions.

Meanwhile, the focus on sustainability has shifted, says Merryweather. “Rather than headline-grabbing initiatives, operators are now making quieter, more pragmatic choices: turning to frozen to reduce waste, optimising deliveries and sometimes choosing local distributors based on cost competitiveness.”

Circana research also reveals that 80% of UK diners are likely to choose dishes featuring seasonal twists or local ingredients, which wholesalers need to reflect with their range. Seasonal produce is naturally abundant and carries a lower cost, allowing chefs to purchase fresher produce, while seasonal specials can create a sense of urgency; when it is gone it is gone.

LET’S GET DIGITAL

Social media plays a huge part in consumer behaviour, especially for Gen Z. In the UK, 41% of 16 to 24 year olds choose restaurants based on viral posts or visually appealing content [3]. Wholesalers can make it easy for operators to create scroll-stopping dishes by stocking trend-led visual ingredients.

Off-premises dining has also had a boost in this digital-first world, with dark kitchens rising in availability and popularity. According to Mintel, the success of dark kitchens’ business model “lies in operational efficiency and scalability, enabling brands to launch new menus and concepts quickly. Dark kitchens also appeal strongly to younger consumers who value variety, speed and convenience” [3].

Wholesalers can support dark kitchen operators by keeping an open conversation going about what they need, as this may well differ from traditional set-ups and may change with time.

Many businesses are running multiple menus out of one kitchen, so smaller pack sizes and case sizes will ensure ingredients don’t go to waste. Caterers might also be looking for ingredients that hold their structure well in transit and solve logistical challenges.

SENSATIONAL SNACKS

A 2025 report has shown that there is a serious appetite for snacks, with 80% of pub-goers buying snacks alongside their drinks.* Snacking occasions in the afternoon and evening are showing double-digit growth, up 13% and 14% respectively YoY,** which provides the opportunity for operators to use fries to up their snack game.

Sarah Jones, National Account Manager, Lamb Weston, says: “Margin is a key factor for operators in making product selections, so by highlighting profitability, wholesalers can help engagement and decision-making.

Offer operators recipe ideas for loaded fries, seasonal potato specials and cross-category pairings, and inspire with flavoursome ideas to encourage upsell opportunities on menu.”

TOP TIPS

STEFAN STROHMER
CEO, Orderlion
One of the biggest shifts we’re seeing in foodservice wholesale is the move from reactive operations to data-led decision-making. Wholesalers are no longer just fulfilling orders; they’re expected to understand their customers and actively drive growth.

“The challenge is that most wholesalers still rely on historic ERP reports, which are often too slow and not actionable day to day. We’re supporting wholesalers by combining ordering, analytics and CRM into one platform, which gives teams real-time visibility into customer behaviour, product performance and revenue trends.

“With that, they can act earlier, spotting customers who are starting to order less, identifying upsell opportunities and focusing sales efforts where it will have the biggest impact. Growth is often already in your customer base and so increasing existing customers’ order frequency and basket size will usually have a bigger impact than chasing new business.”

FLORA MERRYWEATHER
Wholesale Director, Circana
The market will continue to evolve, so wholesalers need to move beyond being just transactional for their suppliers and customers and focus on becoming more technologically agile, data-driven and have the end consumer in mind.

Prioritise savings
With experienced chefs in short supply, anything that reduces prep time or complexity is highly valued. Pre-prepped components and versatile bases are increasingly essential.

Spotlight high-margin opportunities
Sides, desserts, carb upgrades and comfort-led bowls are where operators can boost spend per head without huge investment.

Champion frozen
Frozen supports waste reduction, stabilises cost and ensures consistency, which is all crucial in today’s environment.

Global flavours and mood-boosting mini treats
These trends are shaping consumer decisions and helping operators deliver ‘worth it’ experiences.

Stay insight-led and trend-aware
Understanding the pressures operators face – and what consumers want – is the most powerful commercial advantage wholesalers can have.

(Sources: [1] marketreportanalytics.com/reports/united-kingdom-food-service-market-97421; [2] Lumina UK Top 10 UK Food and Beverage Trends 2026; [3] Mintel 30.10.25); *Snacking in Pubs 2025 Report, CGA by Nielsen IQ; **Circana EU Foodservice Market Data, CREST ® Consumer Data Panel Results)

Circana Flora Merryweather Foodservice Lamb Weston Lumina Intelligence Neya Gwillim Orderlion Sarah Jones Stefan Strohmer trends