Quick Service Restaurants (QSR) Market

• Growing demand for a variety of fast food items to boost the market growth

The requirement for a wide variety of fast food items and the growth of the market both contribute to the quick service restaurants market expansion globally. The quick-service restaurant IT industry has recently seen a rise in acceptance of technological advancements such as wireless portable devices, digital menu cards, point-of-sale, signage systems, and kiosks, which will ultimately increase market revenue.

Rapid urbanization, an increase in the population with disposable income, and an increase in the number of quick service restaurants all contribute considerably to the worldwide quick-service restaurant IT market's revenue growth. Due to consumer preferences for little to no physical touch following the COVID-19 pandemic, home delivery is predicted to become an increasingly popular trend for market in the near future in the worldwide market in IT sector.

Contrarily, the coronavirus outbreak led to a spike in demand for the sector as customers increased their off-premise purchases through takeout and delivery. 90% of quick-service operators responded to the pandemic, compared to 56% of those in the regular restaurant sector, as opposed to the traditional restaurant market as a whole. The two methods of off-premise dining that have been most widely used are curbside takeout and third-party delivery.

Additionally, the improvement in consumer lives and the growing working population has increased the consumption of fastfood items through quick service restaurants. In addition, In the United States, Canada, and Mexico, various fast food varieties have gained popularity. The Center for Disease Control and Prevention reported that, between 2013 and 2016, 36.6% of people ate fast food at least once a day. Fast food consumers range in age from 20 to 39, 40 to 59, and 60 and above, making up 44.9%, 37.7%, and 24.1%, respectively. These factors are driving the growth of the market revenue.

What is QSR?

QSR (Quick Service Restaurant) is a type of dining establishment characterized by fast and efficient food service, often associated with fast-food chains.

The Global Quick Service Restaurants Market Industry is poised for substantial growth, with projections indicating a market value of 489.0 USD Billion in 2024 and an anticipated increase to 799.8 USD Billion by 2035. This growth trajectory suggests a compound annual growth rate (CAGR) of 4.58% from 2025 to 2035. Such projections highlight the industry's resilience and adaptability in a dynamic economic landscape. Factors contributing to this growth include rising consumer demand for convenience, health-conscious trends, and technological advancements. As the market evolves, stakeholders must remain attuned to emerging trends to capitalize on the opportunities presented by this expanding sector.

The Global Quick Service Restaurants Market Industry experiences a notable surge in demand for convenience-driven dining options. As lifestyles become increasingly fast-paced, consumers prioritize quick and accessible meal solutions. This trend is evident in the growing preference for drive-thru services and mobile ordering capabilities. In 2024, the market is valued at approximately 489.0 USD Billion, reflecting the industry's adaptability to consumer needs. The convenience factor not only attracts busy professionals but also families seeking efficient dining experiences. This shift towards convenience is likely to sustain growth, as the market is projected to reach 799.8 USD Billion by 2035, indicating a robust trajectory.

The expansion of delivery services significantly impacts the Global Quick Service Restaurants Market Industry. With the rise of food delivery platforms, quick service restaurants are increasingly partnering with third-party services to reach a broader audience. This trend not only enhances accessibility but also caters to the growing consumer preference for dining at home. The convenience of delivery options is likely to bolster sales, as evidenced by the increasing number of restaurants offering delivery services. As the market continues to evolve, the integration of delivery services is expected to contribute to the industry's growth, aligning with the projected CAGR of 4.58% from 2025 to 2035.

The Global Quick Service Restaurants Market Industry benefits from the increasing diversity of global cuisine offerings. As consumers become more adventurous in their culinary choices, quick service restaurants are expanding their menus to include international flavors and dishes. This diversification not only attracts a wider customer base but also enhances the dining experience by introducing unique and authentic options. For instance, restaurants that incorporate regional specialties or fusion dishes often see increased patronage. The ability to adapt to diverse culinary preferences is crucial for sustaining growth in a competitive market, as it reflects the industry's responsiveness to changing consumer tastes.

Health-conscious trends significantly influence the Global Quick Service Restaurants Market Industry. As awareness regarding nutrition and wellness increases, consumers are gravitating towards healthier menu options. Many quick service restaurants are responding by introducing salads, plant-based alternatives, and low-calorie meals. This shift is not merely a response to consumer preferences but also a strategic move to capture a broader demographic. For instance, chains that have embraced healthier offerings have reported increased customer loyalty and sales. The industry's ability to adapt to these health trends is crucial, as it positions itself to cater to an evolving consumer base that prioritizes well-being alongside convenience.

Technological advancements play a pivotal role in shaping the Global Quick Service Restaurants Market Industry. Innovations such as mobile apps, self-service kiosks, and AI-driven customer service enhance the overall dining experience. These technologies streamline operations, reduce wait times, and improve order accuracy, thereby increasing customer satisfaction. The integration of technology is not merely a trend but a necessity in a competitive landscape. Restaurants that leverage these advancements are likely to see improved efficiency and profitability. As the market evolves, the adoption of technology will continue to be a driving force, enabling establishments to meet the demands of a tech-savvy consumer base.

By region, the study provides quick service restaurants market insights into North America, Europe, Asia-Pacific, and the Rest of the World. North America quick service restaurants market accounted for USD 207.42 billion in 2021 and is expected to exhibit a significant CAGR growth during the study period. The industry is growing significantly in North America. The market is expanding owing to the rising popularity of ready-to-eat meals and consumers' growing need for quick, affordable, fast food from quick service restaurants.

In addition, changing eating habits, a rise in the popularity of eating out and less time spent cooking are the main forces behind the regional expansion of the quick-service restaurant industry.

Further, the major countries studied in the market report are: The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3:  QUICK SERVICE RESTAURANTS MARKET SHARE BY REGION 2021 (%)

Source: Secondary Research, Primary Research, Market Research Future Database, and Analyst Review

Europe quick service restaurants market accounts for the second-largest market share. The market is expanding as a result of factors like the increase in casual dining establishments, the addition of new products to the menu, and the addition of value meals by quick service restaurants and fast-food operators. Further, the Germany quick service restaurants market held the largest market share, and the UK quick service restaurants market was the fastest growing market in the European region

The Asia-Pacific quick service restaurants market is projected to grow at a significant CAGR from 2024 to 2030. The market for quick service restaurants is being driven by the expanding millennial population and rising demand for fast food. The growing popularity of online food ordering, as well as the expanding partnerships between quick service restaurants and a variety of online meal delivery services, have favorably impacted the industry expansion. Moreover, China quick service restaurants market held the largest market share, and the India quick service restaurants market was the fastest-growing market in the Asia-Pacific region.

Major market players are investing a lot of money in R&D to broaden their product offerings, which will aid in the further expansion of the market. The market players are also undertaking a number of strategic measures to expand their reach in the market, with key quick service restaurants market developments such as contractual agreements, mergers and acquisitions, new product launches, increased investments, and collaboration with other organizations. Competitors in the quick-service restaurant industry must offer cost-effective items to expand and survive in an increasingly competitiveness and rising market environment.

One of the primary business strategies adopted by manufacturers in the quick service restaurants industry to benefit clients and expand the market sector is to manufacture locally to reduce operating costs. In recent years, the quick service restaurants industry has provided medicine with some of the most significant benefits. The quick service restaurants market major player such as Domino's Pizza Inc. (US), The Wendy's Company (US), Subway IP LLC (US), and others are working on expanding the market demand by investing in research and development activities in market.

Domino's Pizza Inc. (Domino's) is a chain of Pizza restaurants. It offers a variety of toppings based on Region and culture. The UK, Mexico, Australia, Turkey, Japan, South Korea, Canada, France, China, Germany, and other overseas markets through a network of company-owned and franchise locations around the US. Additionally, for instance, in December 2022, the company made the announcement to dramatically expand its retail shop network in India as it counts on increased demand for its items in its largest market outside of the US by store count.

As part of the strategy, Jubilant FoodWorks Ltd, the Domino's franchise in India, would expand its network of outlets by 1,300 more in 371 cities.

Also, Wendy's is a quick-service hamburger restaurant chain owned by The Wendys Co. The business runs both company-owned and franchised eateries. In addition to an eating area, Wendy's free-standing restaurants have a pick-up window. For instance, in August 2022, Wendy's introduced ground-breaking ideas that aided in revolutionizing the fast service restaurant sector as a whole.  The corporation has introduced Next Gen, a modernization programmer aimed at improving the caliber of digital experiences for both employees and clients.