Trends in U.S. Military and Correctional Facility Food and Foodservice

24-Sep-2011 | News-Press Release

For food and foodservice manufacturers, suppliers and operators, speaking the language of the military is big business, which Packaged Facts’ Trends in U.S. Military Food and Foodservice helps participants translate into increased sales. In particular, we believe the future of military foodservice contracting is bright, fueled by governmental needs to increase efficiencies and consolidate contracts. Current Marine Corps and the Air Force contracting trends foreshadow significant upside potential for foodservice contractors over the next several years.

More broadly, the U.S. Department of Defense is the nation’s largest employer—and a gateway to more than 3.2 million people. But the scope of military reach extends to the more than 12 million military members, families and retirees who depend on its wide net of retail, military installation, and combat food and foodservice operations, which have an international reach that incorporates everything from food and beverage supply to foodservice management to restaurant franchising.

By mirroring much of what foodservice can mean to people in the civilian world, military foodservice can—and does—play a role beyond just subsistence, providing food via structures, methods and atmospheres that meet—and enhance—lifestyle needs ranging from convenience-driven solutions to increased food variety to emotional uplift.

And with the Armed Services framing “nutritional fitness” as a military services priority, the report provides insight on the significant trends afoot related to soldier health and wellness, including obesity challenges, menu changes, educational initiatives, combat ration modifications, and day part trends.

Browse All: Food Market Research

The report also assesses attitudes toward various on-installation and off-installation foodservice options, and it analyzes off-site foodservice spending among military service members, military spouses, civilians and retirees.

The report covers food and foodservice operations at military installations, including mess halls, exchanges and recreational facilities; and food and foodservice field training and contingency operations. While it focuses primarily on domestic military food and foodservice, the report also presents global U.S. military foodservice sales and trend analysis.

It contains market size estimates for a range of military food and foodservice categories and programs, including military clubs and exchanges; food and foodservice contracts; prime vendor food and foodservice sales; military commissary sales; military exchange sales; and Military Morale, Welfare, and Recreation program sales.

As a bonus, the report also includes an overview of the U.S. correctional facilities foodservice market, including growth drivers, market sizing and forecasting, prison cost trends, state correctional facility budgeting trends, state prison count reduction strategies, foodservice cost analysis, and foodservice cost cutting initiatives.

Market Insights: A Selection From The Report
Foodservice at U.S. Corrections Facilities
In this section, we provide an overview of the U.S. correctional facilities foodservice market,including growth drivers, market sizing and forecasting, prison cost trends, state correctional facility budgeting trends, state prison count reduction strategies, foodservice cost analysis, and foodservice cost cutting initiatives.

Packaged Facts estimates that U.S. correctional facilities foodservice sales reached $1.74 billion in 2010, a 2.2% increase from 2009, and a compound annual growth rate of 2.6% from 2005 to 2010. However, we forecast that the market will decline in 2011 and 2012, driven downward by incremental reductions in the overall prison population and significant budget cutting initiatives at the state level.

Joint Services Prime Vendor Program
The Joint Services Prime Vendor Program (JSPVP) provides quality food and food-related supplies on a pre-negotiated basis to more than 1,000 military (Morale, Welfare, and Recreation) MWR and exchange foodservice operations at 235 installations around the world. The primary customers of the JSPVP are MWR and Naval Air Facility (NAF) foodservice activities from the Army, Navy, NEXCOM, Marine Corps and Coast Guard. Its buying power allows the JSPVP to achieve savings over street pricing and to establish pricing agreements with manufacturers for bulk purchases. In fiscal 2010, program purchases
totaled $147 million.

Military Deli & Bakery Services, Inc.
Incorporated in 1996, Military Deli & Bakery Services, Inc. (MDBS) is the largest operator of deli and bakery departments in military commissaries. Privately owned and managed by Tim Howard, MDBS has revenues exceeding $70 million. Our overall business strategy is to increase sales by attracting more customers and finding more items that our current customers want to buy.

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