NEW
YORK, Oct. 2, 2024 /PRNewswire/ -- Report on how
AI is redefining market landscape - The Global Fast Casual
Restaurants Market size is estimated to grow by USD 302.5 billion from 2024-2028, according to
Technavio. The market is estimated to grow at a CAGR of
15.2% during the forecast period. Demand for innovation
and customization in food menus is driving market
growth, with a trend towards rise in popularity of
chef-driven fast casual restaurant franchises.
However, intense competition from quick-service
restaurants poses a challenge - Key market players include
Chipotle Mexican Grill Inc., DICKEYS BARBECUE RESTAURANTS Inc.,
Erbert and Gerberts Sandwich Shop, EXKi SA, Famous Brands Ltd.,
Five Guys Enterprises LLC, Godfathers Pizza Inc., LYKE Kitchen,
McAlisters Franchisor SPV LLC, MOD Super Fast Pizza LLC, Noodles
and Co., Panda Restaurant Group Inc., PORTILLOS Inc., Potbelly
Corp., Restaurant Brands International Inc., Shake Shack Inc.,
Smashburger Servicing LLC, The Wendys Co., Wingstop Inc., and YUM
Brands Inc..
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Fast Casual
Restaurants Market Scope
|
Report
Coverage
|
Details
|
Base year
|
2023
|
Historic
period
|
2017 - 2021
|
Forecast
period
|
2024-2028
|
Growth momentum &
CAGR
|
Accelerate at a CAGR of
15.2%
|
Market growth
2024-2028
|
USD 302.5
billion
|
Market
structure
|
Fragmented
|
YoY growth 2022-2023
(%)
|
12.85
|
Regional
analysis
|
North America, APAC,
Europe, South America, and Middle East and Africa
|
Performing market
contribution
|
APAC at 40%
|
Key
countries
|
US, China, UK, Germany,
and Canada
|
Key companies
profiled
|
Chipotle Mexican Grill
Inc., DICKEYS BARBECUE RESTAURANTS Inc., Erbert and Gerberts
Sandwich Shop, EXKi SA, Famous Brands Ltd., Five Guys Enterprises
LLC, Godfathers Pizza Inc., LYKE Kitchen, McAlisters Franchisor SPV
LLC, MOD Super Fast Pizza LLC, Noodles and Co., Panda Restaurant
Group Inc., PORTILLOS Inc., Potbelly Corp., Restaurant Brands
International Inc., Shake Shack Inc., Smashburger Servicing LLC,
The Wendys Co., Wingstop Inc., and YUM Brands Inc.
|
Market Driver
The chef-driven fast casual restaurant market is experiencing
significant growth, with Chipotle Mexican Grill and Steve Ells often cited as pioneers. Millennials'
foodie culture and tech-savvy, social media habits contribute to
this trend. Chef-driven fast casuals offer high-quality food at
fast casual prices, with a focus on efficiency and training.
Professionally trained chefs provide innovative menus and
proprietary recipes, appealing to taste- and health-conscious
millennials. Consistency is crucial for success. Established chains
like The Chickery, Slapfish, Bobby's Burger Palace, and
Carla Hall's Southern Kitchen lead
the way in North America. Global
expansion by established chefs is expected to fuel further market
growth.
Fast Casual Restaurants: Trends Shaping the Industry The Fast
Casual Restaurant market is witnessing significant trends. Food
offerings are shifting towards burger or sandwich, pizza or pasta,
with an emphasis on high-quality ingredients, locally sourced
produce, and fresh food. Culinary independence is a key driver,
with many establishments offering organic food and ethnic-inspired
dishes. Dine-in experiences are being complemented by takeaway
services, with standalone and franchised restaurants adapting to
the changing landscape. The Coronavirus outbreak has accelerated
the adoption of online ordering systems, mobile apps, self-service
kiosks, and delivery services. Chicken is a popular choice, with
menu items expanding to include salads, sandwiches, wraps, bowls,
and even alcoholic beverages. Fast food outlets are adding seating
areas, Wi-Fi, and even cloud kitchens to enhance the customer
experience. Internet penetration is driving third-party aggregated
apps and online menu browsing. Automation is also playing a role,
with many restaurants using self-service kiosks and delivery
services to streamline operations and improve customer engagement.
Panera Bread and other players are leading the way in this evolving
market.
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Market Challenges
- Fast-casual restaurants are targeting millennials by offering
healthier food options made from fresh ingredients, as this
demographic prefers nutritious meals with fewer processed and
artificial components. To cater to their customers' busy
lifestyles, quick-service restaurants are also focusing on reducing
ordering and payment time durations. On-the-go food has gained
popularity in North America and is
increasingly preferred in Asia and
the Middle East due to hectic
lifestyles and growing consumer purchasing power in developing
economies like China and
India. However, the increasing
preference for quick-service restaurants could potentially impact
the growth of the market during the forecast period. For instance,
McDonald's has introduced nutritious offerings like Fruit n Yogurt
Parfait and Garden Salad to attract health-conscious consumers and
retain their existing customer base. The global quick-service and
fast-casual restaurant market is expected to grow due to these
trends, offering opportunities for businesses to cater to the
rising demand for convenient, healthy food options.
- Fast Casual Restaurants face several challenges in today's Food
Service Industry. Menu diversity, including Salads, Sandwiches,
Wraps, Bowls, and Alcoholic Beverages, caters to various customer
preferences. Seating areas and Wi-Fi are essential for Dine-in
segments. Cloud kitchens and Online ordering, including
Door-to-door delivery services, cater to Takeaway and Franchised
segments. Customer engagement through Automation, Scheduling
software, Digital inventory tracking, and Automated purchasing
tools are crucial for Inventory management and Customer
Satisfaction. Economic recession impacts Chicken segment and
Premium product sales. Franchise opportunities in Quick Service
Restaurants require careful planning. Challenges include Health
consciousness among Millennials and Generation Z, Plant-based
offerings, Sustainable food alternatives, and International
flavors. Self-service and Fast-food locations require efficient
operations. Food delivery services, Organic, natural, and
clean-labeled foods add to the complexity. Culinary traditions and
culinary innovation continue to shape the market.
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Segment Overview
This fast casual restaurants market report extensively covers
market segmentation by
- Channel
- Product
- 2.1 North American
- 2.2 Italian
- 2.3 Mexican
- 2.4 Others
- Geography
- 3.1 North America
- 3.2 APAC
- 3.3 Europe
- 3.4 South America
- 3.5 Middle East and
Africa
1.1 Dine-in- The global fast casual
restaurants market is experiencing growth due to the increasing
population of adults aged 25-49 years. This demographic prefers
dining out for convenience, helping them maintain a work-life
balance. Consumers seek menu flexibility and variety. Quick-service
restaurant operators respond by offering multi-cuisine dishes,
attracting customers and boosting sales. Vendors also provide
promotional offers and discounts, enhancing customer experience and
providing valuable customer feedback for future product
development. These factors positively impact the eat-in service
segment, contributing to market growth during the forecast
period.
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dynamics
Research Analysis
Fast casual restaurants offer a unique dining experience,
blending the convenience of fast food with the quality and variety
of a sit-down restaurant. Menus feature a range of options
including salads, sandwiches, wraps, and bowls, often with
international flavors and culinary traditions. Alcoholic beverages
may also be available. Seating areas provide a comfortable space to
enjoy your meal, and many locations offer Wi-Fi and self-service
kiosks for added convenience. Premium products, fresh food, and
high-quality ingredients are key, with an emphasis on health
consciousness and catering to the preferences of millennials and
Generation Z. Food delivery services have also become increasingly
popular, allowing customers to enjoy their favorite fast-casual
meals from the comfort of their own homes. Fast-food outlets
continue to evolve, offering organic food, locally sourced produce,
and fine dining options like ethnic-inspired dishes and Panera
Bread's artisan breads and pastries.
Market Research Overview
Fast Casual Restaurants: A Thriving Market of Salads,
Sandwiches, Wraps, Bowls, and More! The Fast Casual Restaurant
market is a vibrant and ever-evolving segment of the Food Service
Industry. This sector offers a diverse menu, including Salads,
Sandwiches, Wraps, Bowls, and Alcoholic Beverages, catering to
various dietary preferences and cultural palates. Fast Casual
Restaurants provide a unique blend of Quick Service and Seating
Areas, offering customers the convenience of Fast Food Outlets with
the ambiance of a traditional Dine-In experience. Wi-Fi
availability, Cloud Kitchens, Online Ordering, Delivery Services,
and Customer Engagement tools add to the appeal. Franchise
Opportunities, Scheduling Software, Digital Inventory Tracking, and
Automated Purchasing Tools are essential elements of this market's
infrastructure, ensuring efficient Inventory Management and high
Customer Satisfaction. The Chicken segment, Dine-In segment,
Takeaway segment, Franchised segment, and Standalone segment all
contribute to the market's growth. Digital platforms, Plant-Based
Offerings, and Sustainable Food Alternatives cater to the evolving
preferences of health-conscious consumers, particularly Millennials
and Generation Z. Fast-Food Locations, Self-Service, Premium
Products, International Flavors, and Culinary Traditions continue
to drive innovation in this sector. Organic, Natural, Clean-Labeled
Foods, Burger or Sandwich, Pizza or Pasta, Dine-In, Takeaway,
Standalone, Franchised, or Culinary Independence – the Fast Casual
Restaurant market has something for everyone! However, the market
faces challenges, such as Economic Recession, Coronavirus Outbreak,
and the increasing dominance of Food Delivery Services. Adaptation
to these changes through Online Ordering Systems, Mobile Apps,
Self-Service Kiosks, and Door-to-door Delivery Services is crucial
for survival and growth. Internet Penetration and Third-Party
Aggregated Apps are transforming the way customers interact with
Fast Casual Restaurants, making it essential for businesses to stay
updated with the latest trends and technologies. In conclusion, the
Fast Casual Restaurant market is a dynamic and exciting space,
offering a wealth of opportunities for innovation, growth, and
customer satisfaction. Whether you're a business owner, investor,
or consumer, this sector is sure to provide an engaging and
delicious experience!
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
- Channel
-
- Product
-
- North American
- Italian
- Mexican
- Others
- Geography
-
- North America
- APAC
- Europe
- South America
- Middle East And Africa
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
Technavio is a leading global technology research and advisory
company. Their research and analysis focuses on emerging market
trends and provides actionable insights to help businesses identify
market opportunities and develop effective strategies to optimize
their market positions.
With over 500 specialized analysts, Technavio's report library
consists of more than 17,000 reports and counting, covering 800
technologies, spanning across 50 countries. Their client base
consists of enterprises of all sizes, including more than 100
Fortune 500 companies. This growing client base relies on
Technavio's comprehensive coverage, extensive research, and
actionable market insights to identify opportunities in existing
and potential markets and assess their competitive positions within
changing market scenarios.
Contacts
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
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