15 Profitable Food Business Ideas in 2024

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If you’ve ever wanted to venture into the food business in Australia but wonder if it’s worth all the hype, then you might want to keep reading.

Not only is the food business very lucrative, but it is also one that will always be high in demand, no matter the shift in business trends.

First of all, you agree that people will always eat, right?

If you answer yes, you have passed the first hurdle blocking you from considering this business venture.

But just so you don’t think we are making this up, how about we check out some numbers and data to see if the food business is truly as lucrative as claimed?

How lucrative is the food business industry in Australia?

Even though it has been witnessing some challenges, yet, the Australian local food industry has been growing and is said to have the potential to become a \$250 billion business by 2030. (Source: Australian Food and Grocery Council)

Looking at the industry from the consumer aspect, the Australian consumer foodservice industry has a market value of US$44 billion (over AUD$67 billion).

This is quite encouraging for anyone wondering if there is a market for the food business. (Source: Food Export)

Need more conviction?

In 2023 alone, the revenue generated from the food market in Australia amounts to US\$87.66 billion.

This figure is projected to increase annually by 4.68 percent. (Source: Statista)

Now that we have backed up this claim let’s take a look at some lucrative food businesses you should consider.

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Baking/Bakery

Baking/Bakery - Profitable Food Business Ideas

When we talk about baking, think of cakes, breads, biscuits, pies, and many other baked goods that find their way to many homes daily.

Bakery owners regularly enjoy patronage, especially from customers who have tasted and confirmed their baked goods.

In many homes and not just homes in Australia, bread is a popular choice for breakfast.

When you also consider that people always have something to celebrate, you will understand why cake makers always smile at the bank.

The bread and bakery products market, with a market size of US$9.12 billion in 2023, is going strong. It is expected to grow yearly by 3.40 percent from 2023 to 2028 (Source: Statista)

You mustn’t have a bakery before delving into this part of the food business.

Considering that social media presents a lot of home business owners’ avenues to connect with customers, you should toe this path too.

We recommend starting from home, growing your customers online and physically, and then expanding from there.

Just make sure you consult all the necessary food agencies to ensure you meet all requirements.

Catering and Rental Services

Catering and Rental Services - Profitable Food Business Ideas

If you have worked in a restaurant before or have a certificate in cooking, you should consider catering. Catering involves handling food and drinks for event owners.

Think about weddings, birthdays, and anniversaries and you will understand better.
You can offer your services out there and if you are good at what you do, you will always be in high demand.

Once you have met all the necessary inquiries from relevant authorities, it’s time for marketing.
Make use of word of mouth and social media to advertise your services.

Just know that you may not find time for a vacation once your business starts.

The industry revenue from this business in 2023 is estimated at $7.4 billion but is projected to increase from 2023 to 2028. (Source: IBISWorld)

Food Truck

Food Truck - Profitable Food Business Ideas

If you don’t have the enormous capital needed to set up a restaurant, then the food truck business should be your next bet.

The food truck business allows you to sample your unique cuisine while enjoying the flexibility of the business.

While new restaurant owners may take some time to gain customers, food truck owners have higher chances of reaching new customers faster.

With your food truck business, you can get to wherever your customers are.

You can quickly move to a cinema, the recreational park, campuses, religious gatherings, the beach, sporting centers, etc, and make sales.

Baby Food

Baby Food - Profitable Food Business Ideas

As long as people keep giving birth, there will always be a market for baby foods. Many parents lead busy lives but still want nutritious meals for their babies.

You can fill this gap and provide them with high-quality home-made meals for their babies.

While you may need more money to delve into the production of baby milk and cereals, you can start with cooked mashed food for babies.

With an impressive revenue rate of US$488.50 million and an annual projection growth of 4. 06 percent from 2023 to 2028, the baby food market sure has a lot of prospects. (Source: Statista)

Ice cream Outlets

Ice cream Outlets - Profitable Food Business Ideas

Who doesn’t love ice cream?

In 2021, the Australian ice cream market value was \$1.9 billion and is projected to grow by more than 1 percent yearly. (Source: GlobalData)

The good thing is that ice cream makers are now aware of the sugar content concerns people have about ice cream and now offer healthier options for their customers to choose from.

So, however, you want to look at it, people love and will always buy ice-creams.

With different options like frozen yogurt, frozen custard, gelato, sorbet, vanilla and chocolate ice-creams, you will always have ice cream flavours to create.
And with minimal equipment, good refrigeration, branding and marketing, you can start one from the comfort of your home.

Coffee Shops

Coffee Shops - Profitable Food Business Ideas

Many people can’t function without their morning coffee.

Because of the fast-paced life many people face, they often rely on coffee shops to grab their daily dose of coffee.

Setting up a coffee shop is profitable, but you can pair it with other desserts to increase sales.

Considering it is less physically demanding than a proper restaurant, a coffee shop is a good option for anyone starting small.

Restaurant

Restaurant - Profitable Food Business Ideas

The list of profitable food business ideas will only be complete by mentioning the restaurant.

Restaurants remain one of the top food businesses with promising rewards that any entrepreneur can take advantage of.

When measured by revenue, the market size of restaurants in Australia was valued at $15.8 billion in 2022. (Source: IBISWorld).

That’s quite exciting information for entrepreneurs interested in this business.

Now, before you get discouraged and conclude that restaurants require huge starting and running capital, remember that you can always start small.

If you dream of owning a restaurant where you can showcase your unique culinary skills, then don’t let anything deter you from owning one.

Physical or Online Cooking School

Physical or Online Cooking School - Profitable Food Business Ideas

People are constantly looking for ways to make local and international cuisines. You will be surprised to know the level of demand aspiring chefs and also individuals.

If you are very good at cooking and have the necessary qualifications, why consider offering your knowledge in physical and online classes?

With the suitable packaging and online presence, you will be well on your way to making this a profitable business for you.

Fruits and Vegetable Mart

Fruits and Vegetable Mart - Profitable Food Business Ideas

Another profitable food business you can look into is the fruits and vegetable mart.

Over the last five years, the fruits and vegetable mart business has grown more than 0.8 percent.

It reached an estimated $4.5 billion in 2023 and is projected to record more growth in the next five years. (Source: IBISWorld)

If you live close to a farm, you can conveniently take up this business.

Make sure you have varieties of fruits and vegetables that are fresh and mainly organic. Look for a strategic location to sell your goods and you will be smiling to the bank every day.

It is essential to point out that you need a sound storage system in place because of the perishable nature of fruits and vegetables.

Home-Made Sauces

Home-Made Sauces - Profitable Food Business Ideas

Sauce-making is another option for anyone looking for a profitable food business idea in 2024.

There are indeed a lot of sauces commercially available in stores.

However, a lot of them are loaded with unhealthy ingredients.

Still, on the issue of the rising health consciousness, people are looking for sauces made with healthy and minimal ingredients.

Therefore, if you position yourself correctly as a brand that makes healthy homemade sauces, you will find a market waiting to patronise you.

Popcorn shops

Popcorn shops - Profitable Food Business Ideas

Popcorn is not going anywhere anytime soon.

It is interesting to know that globally, the popcorn business was valued at $11.62 billion in 2022 and is projected to reach $16.64 billion at a growth rate of 7.2 percent by 2027. (Source: YahooFinance)

Just like ice-creams, popcorn is very versatile and therefore allows you to wow your customers with different flavours.

Popcorn is very popular and versatile. And with proper positioning and flavourful options, you can sell out your popcorn every day.

Pizza Shop

Pizza Shop - Profitable Food Business Ideas

Pizza is so famous that people tend to order for pizza more than for takeouts.

The revenue rate of this industry in Australia is estimated at $4.3 billion in 2022 and is projected to increase in the next five years. (IBISWorld)

Unlike many other food options that can easily be replicated at home, pizza requires a unique technique to get it right.

It is, therefore, not surprising that there is and will always be a booming demand for pizza worldwide.

Maybe it’s time to take your pizza-making skills out to the waiting public.

Smoothies and Fruit Juices

Smoothies and Fruit Juices - Profitable Food Business Ideas

Consider the smoothies and fruit juices if you want a simple but profitable food business.

This business is viable because people choose smoothies and fresh fruit juices from canned and processed juices.

You can start on a small scale and sell to health-conscious and weight-watching individuals and companies.

Home-made Herbs and Spices

Home-made Herbs and Spices - Profitable Food Business Ideas

There is only food you can make using spices or herbs. Some spices contain ingredients that can only be gotten from a particular region.

If you come from origins where your food spices are unique and flavourful, consider starting your homemade herbs and spices.

After meeting the regulatory requirements, you only need branding and proper marketing.

Dairy Foods

Dairy Foods - Profitable Food Business Ideas

Milk, cheese, yoghurt, and all foods made from dairy fall under this category.

In 2021, the Australian dairy and soy food market was rated at $9.7 billion and was expected to increase by 6 percent from 2021 to 2026. (Source: GlobalData)

Because there is constant demand for these products, it sure is a promising business for anyone interested.

If you own or have access to an animal farm, then this is a business you should consider venturing into because it is highly lucrative.

Conclusion

Starting a food business in 2024 is the right step in the right direction. From our write-up, this market segment has a lot of potential.

We also made it easy to decide on the one that interests you by providing 15 profitable food business ideas.

However, regarding food, please note that you need licensing and other legal requirements for setting up such a business. (Source: Australian Institute of Food Safety)

Take your time and make the necessary inquiries before starting any business, especially one that has to do with food.

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