Restaurant Payroll Software: 14 Must-Know Launch Tips
Employees play a critical role in the success of your restaurant. Many of the behind-the-scenes operations at your company ensure all staff members...
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Have you overlooked any of these 16 crucial steps for your catering business?
10 min read
Jan 30, 2025
Selling catering services in today’s competitive market can feel like shouting into the void. given the influence of inflation, many clients are cutting back on spending, making it tough for catering companies to sustain their business. While the catering industry is competitive, it’s also full of opportunities for those with the right strategies.
In this guide, we’ll explore actionable tips for how to sell catering services effectively—whether you’re running a home-based catering business or a large-scale catering operation.
How big is the catering market, exactly? The catering services and food contractors market size hit $295.04 billion in 2024, and it’s forecast to grow to $312.23 billion in 2025 at a compound annual growth rate (CAGR) of 5.8% (The Business Research Company). In 2024, the largest region in the catering services and food contractors market was Western Europe, followed by North America.
Given the size and diversity of the catering market, trying to serve everyone at once is simply not possible. Instead, focus on your target clients—the specific demographic segments most likely to benefit from your services. Zero in on their needs to deliver tailored experiences that set your business apart.
To effectively reach your ideal clients, start by identifying who they are and what they value most. For example:
Once you’ve identified your target audience, the next step is to create your unique selling proposition (USP).
In the crowded catering industry, your USP is what sets your business apart and makes potential clients choose you over competitors. Think beyond what you offer and focus on how your services solve specific problems or fulfill unique needs.
Start by asking yourself these key questions:
Here are some examples of compelling USPs:
Once you understand your USP and your key strengths, the next step is to start marketing your catering business. To start off, focus on these three key marketing strategies: optimize your website, set up your social media accounts, and create your email marketing campaigns.
Your catering website is a vital tool for attracting potential clients and turning them into loyal customers. Here are six best practices to make your website a powerful conversion tool:
Social media platforms are powerful tools for promoting your catering business, connecting with potential clients, and building your brand. Here are eight steps to creating an effective social media marketing strategy:
Email marketing is a cost-effective way to stay connected with potential and existing customers, promote your catering services, and drive bookings. Here are eight steps to creating impactful email marketing campaigns:
Strong connections with event planners and venues drive consistent catering opportunities. Start by networking with other local business owners like wedding planners, corporate event organizers, and event venue managers to introduce your catering services.
Offer to collaborate on events or provide exclusive packages tailored to their clientele. Make it easy for planners to recommend you to potential customers by providing detailed service information, sample menus, and testimonials from past events.
On top of connecting with local planners, also partner with social media influencers and local businesses to expand your reach and create mutual opportunities. For example, collaborate with florists, photographers, and space rental companies to offer bundled services for events.
Build relationships with co-working spaces or offices and cater for their meetings or events. This allows you to grow your visibility and strengthen your presence in the community. People love recommending a business they’re already familiar with, especially if they’re a customer themselves.
Selling catering services requires a mix of effective techniques to engage potential clients and stand out in a competitive market. Here are seven techniques to boost your catering sales:
Setting the right price is crucial for attracting clients while ensuring your catering business remains profitable. Here are eight strategies for pricing your catering services:
One common issue catering companies face is using discounts in a way that doesn’t diminish the perceived value of their services. While discounts can be a powerful tool to encourage customers to purchase, they can also give the impression that your services are less valuable, if not applied thoughtfully.
To avoid this, offer discounts strategically, such as for large events or repeat business, rather than across the board. Instead of discounting the core services, add extra value through complimentary items like a free dessert station or upgraded service options.
Also consider offering a slight discount for prompt payment. A growing number of B2B services offer two to five percent off the total invoice if the client pays within one to seven days of receiving it (instead of the usual net 30 terms). This incentivizes customers to save money by demonstrating their own commitment to your service.
You can also create tiered packages where the discount applies to a higher-tier package, making it feel like an exclusive offer rather than a reduction in quality. By framing your discounts as added value or limited-time offers (LTOs), you maintain the prestige of your services while still attracting budget-conscious clients.
Technology can streamline operations, improve client interactions, and improve your catering business's efficiency. Here are six ways to use technology to optimize your catering services:
Client retention is key to building a long-term, sustainable catering business. Here are five effective ways to keep your catering clients coming back:
To improve your catering business's sales, regularly analyze your data and use that data to make informed decisions. By tracking key metrics and gathering client feedback, you can refine your strategies and workflow for better results.
If you’re not already doing so, make sure you track key performance indicators (KPIs) such as conversion rates, average order value, and the number of repeat clients to measure the success of your sales strategies. Additionally, monitor your website traffic, social media presence, and email campaign open rates to assess how well your marketing efforts are attracting potential clients.
Additionally, seek feedback from your clients to understand their experience with your catering services, and use this input to adjust your approach. Pay attention to comments and reviews to identify any patterns or recurring issues, then adjust your sales pitch, pricing, or menu offerings accordingly. This allows you to tailor your services to better align with customer expectations.
Caterers get clients by building a strong online presence through a well-designed website, social media engagement, and online reviews. Networking with event planners, wedding venues, and local businesses is also crucial for securing referrals. Attending local events and offering tastings can create buzz, while leveraging discoverability tools like Google Business Profile and Yelp increase visibility.
Additionally, offering promotions and discounts to new customers or those who refer others builds a loyal customer base. Maintaining strong relationships with existing clients through follow-up communications also leads to repeat business and word-of-mouth recommendations.
Corporate catering and wedding catering are the most profitable segments of the catering industry. Corporate catering typically involves large-scale events such as conferences, meetings, or seminars, where companies often have bigger budgets for high-quality food and professional service.
Wedding catering is also highly profitable due to the demand for customized menus and elaborate service options. While both sectors can demand higher fees, they require careful planning, high-quality ingredients, and professional presentation.
To market a catering business effectively, build a strong digital presence through a user-friendly website and engage with your audience on social media.
Platforms like Instagram and Facebook are ideal for showcasing beautifully presented dishes and happy clients. Post regularly on these platforms, and network with event planners and wedding venues to generate referrals. You should also pay attention to the latest food trends and offer seasonal or themed menus to differentiate your business from competitors.
The four main types of catering are corporate catering, social catering, wedding catering, and mobile catering. Here’s an explanation of each type:
Caterers can make a good income, but profitability depends on factors like service quality, target market, and business management. High-end caterers serving corporate clients, weddings, and upscale events tend to have higher profit margins, especially if they can charge premium prices for specialized services. However, operating costs–including ingredients and food costs, staff, and equipment–impact profits.
While earnings vary significantly, catering has the potential to be a highly profitable industry for those who offer quality service and stay competitive in the market.
If you can’t seem to grow your catering business and attract more customers, return to the basics. Revisit your target market, refine your unique selling proposition, and ensure your digital presence is strong. Focus on building relationships through consultative selling and effective upselling.
Once you've gotten an initial pool of customers, the focus then shifts to retaining them and encouraging repeat business. Provide exceptional customer service, collect feedback, and continuously improve your offerings.
Implement loyalty programs and referral incentives to keep clients engaged and attract new ones. With these foundational steps, your catering business can build momentum and achieve sustainable growth.
Ready to take your catering services to the next level? Book a demo to learn how Paytronix catering solutions helps you streamline operations and improve customer satisfaction.
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