The Fast-Casual Industry is Taking Off!
Since 2005, there has been an increase in the number of fresh, fast-casual restaurant concepts and the demand continues to grow, especially in younger demographics. Millennials — the generation born in the 1980s and 1990s — are more likely to eat out at restaurants than older generations. Some 20 percent of millennials dine out at least once a week.
Other Industry Statistics:
- The U.S. full-service restaurant industry, which includes casual restaurants, comprises more than 200,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $230 billion.
- U.S. consumer spending on services, a measure of demand for casual restaurants, rose 3.2% in November 2014.
- IBISWorld estimates that about 56.7% of all dining revenue in 2015 will be spent at limited-service restaurants (including fast food and coffee and snack shops).
- During the past five years, the sandwich and sub store franchises industry experienced consistent and aggressive growth, despite a struggling economy. Over the five years to 2015 IBISWorld expects industry revenue to grow at an average annual rate of 3.5% to $19.6 billion.
- Real disposable personal income is forecasted to grow 3.3% in 2015 compared to 2.4% in 2014.
- Within the franchise restaurant business line, a 2.4% increase in employment and 5.1% sales growth is expected in 2015 – both figures just ahead of the business line’s 2014 performance.
- Statistics show that 44% of Americans consume fast food at least once a week, 20% twice a week, and 14% eat out three times a week or more.