Quick Service Restaurants (QSR) Market Trends

Global Quick Service Restaurants Market Overview

Quick Service Restaurants Market Size was valued at USD 450.56 billion in 2023.The quick service restaurants industry is projected to grow from USD 488.98 billion in 2024 to USD 710.65 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.02% during the forecast period (2024 - 2032).The demand for quick service restaurants (QSRs) is expected to increase as a result of changing consumption patterns, people's busy schedules, and increasing e-commerce channel penetration in the market are the key market drivers enhancing the market growth.Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Quick Service Restaurants Market Trends

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  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?

Quick Service Restaurants Market Segment Insights

Service Type Insights

The quick service restaurants market segmentation, based on service type, includes self-serviced, assisted self-serviced, and fully serviced. The self-serviced segment held the majority share in 2021, contributing around ~53-55% with respect to the quick service restaurants market revenue. Customers can place their own orders through self-service, which also boosts the restaurant's profitability by lowering ancillary expenses like table service unlike in quick service restaurants. Self-ordering gives customers control over their orders and lowers labor a cost, which boosts income rates of the market. To minimize human mistakes, the quick service restaurants also make extensive use of self-service apps. The self-service of quick service restaurants reduce order errors, improve customer satisfaction, expedite order processing, and make order modification simple. During the forecast period, all of these variables will accelerate the segment of the market.

Figure 2:  Quick Service Restaurants Market, by Service Type, 2021 & 2030 (USD Billion)Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

April 2020: During the coronavirus outbreak, Domino's Pizza, a quick service restaurant, partnershiped with FMCG business ITC Foods to assist consumers in delivering daily grocery requirements. This approval has further broadened the growth opportunity for the quick service restaurants industry.

January 2020: As its payment partner for North America, Subway, one of the biggest fast-service restaurants, teamed with e-commerce firm Adyen.

Quick Service Restaurants Category Insights

The quick service restaurants market segmentation, based on category, includes a single outlet and quick service restaurants chain. The chain segment dominated the market in 2021 contributing to around ~65-67% in respect to the quick service restaurants market data. Due to their geographic location, varying cultural and traditional practices, and the popularity of local and regional cuisine, quick service restaurants chains are growing in popularity. For the Indian population, taco bell, for instance, introduced a variety of cuisine items to the menu of quick service restaurants. The service, cleanliness, and flavor drive the market growth.

Additionally, the most well-known international quick service restaurants chains include Subway, McDonald's, Starbucks, KFC, Burger King, Pizza Hut, Domino's, Dunkin', Baskin-Robbins, Hunt Brothers Pizza, Wendy's, and Taco Bells. A key technique driving the success of these restaurant chains has been the adaptation of the menu based on the nations that they have been entering in the market.

Quick Service Restaurants Regional Insights

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, MRFR 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.

Quick Service Restaurants Key Market Players & Competitive Insights

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.

Key Companies in the Quick Service Restaurants Market include

• Domino's Pizza Inc. (US)


• The Wendy's Company (US)


• Subway IP LLC (US)


• Restaurants brand International Inc. (Canada)


• Inspire Brands Inc. (US)


• Papa John's International Inc. (US)


• The cola-cola company (US)


• Wallace Fujian food co. Ltd (China)

Quick Service Restaurants Industry Developments

May 23, 2024: The executive chairman of Restaurant Brands International Inc. Patrick Doyle, will take part in a fireside discussion on May 30, 2024, at 8:00 am Eastern Time, at the Bernstein Annual Strategic Decisions Conference. This announcement was made today.

April 30, 2024: Today, Restaurant Brands International Inc. released its first quarter financial results, which concluded on March 31, 2024. "I am proud of the hard work our teams and franchisees are doing to deliver high-quality products, great service, and a compelling value proposition for guests every day," said RBI Chief Executive Officer Josh Kobza. Our outcomes are a direct result of their work as well as the solid foundation we have established, which enables us to support ongoing increases in franchisee profitability and meet our long-term goals."

July 2021: In order to expand Starbucks Ready-to-Drink (RTD) coffee beverages into target countries spanning Southeast Asia, Oceania, and Latin America, Nestlé and Starbucks Corporation have established a new partnership. Starbucks Frappuccino and Starbucks Doubleshot are anticipated to be the two RTD products that Nestlé and Starbucks will concentrate on as they continue to build a robust pipeline of innovations.

Quick Service Restaurants Market Segmentation

Quick Service Restaurants Service Type Outlook

• Self-serviced


• Assisted self-service


• Fully serviced

Quick Service Restaurants Category Outlook

• Single Outlet


• Quick Service Restaurants Chain

Quick Service Restaurants Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America