The Fast Food Global Overview - Part 1: Value or Premium? global briefing offers an insight into to the size and shape of the Consumer Foodservice market, highlights buzz topics, emerging geographies, categories and trends as well as pressing industry issues and white spaces. It identifies the leading operators and brands, offers strategic analysis of key factors influencing the operating environment - be they economic/lifestyle influences, new foodservice concepts, outlet locations, menu innovation or format development. The entire industry is considered, including both chained and independent operators. Forecasts illustrate how the market is set to change and what is the criteria for success.
Product coverage: Consumer Foodservice by Location, Consumer Foodservice by Type.
Data coverage: market sizes (historic and forecasts), company shares, brand shares and distribution data.
Why buy this report?
- Get a detailed picture of the Consumer Foodservice market;
- Pinpoint growth sectors and identify factors driving change;
- Understand the competitive environment, the market’s major players and leading brands;
- Use five-year forecasts to assess how the market is predicted to develop.
- Introduction: What to expect from this briefing
2. Global Overview
- Fast food the world’s second-largest foodservice category
- A historical view highlights these category growth trends
- Burger and Asian fast food lead category by value share
- Performance among the top 10 operators is inconsistent
- Leading fast casuals are also seeing mixed results
- Fast food’s share of global foodservice continues to expand
- Growth is concentrated in two regions with very different conditions
- Key market performances indicates growth is slowing and settling
- Key takeaways: What does this mean for operators?
3. Premium vs Value in Context
- Within this context, even fast casual is facing uncertainties
- Not just value, not just premium - but both at the same time
- The struggle for premium versus value in four k ey c ase s tudies
4. Case Study: The Right Path to Premium
- Case study: Taco Bell finds the “right” way to do premium
- Taco Bell first experimented with fast casual brand spin-offs
- After pivoting to Cantina Bell, Taco Bell found its balance
- As part of its evolution, Taco Bell added value in other ways as well
- Key lessons from Taco Bell’s “Evolution, Not Revolution” strategy
- Summary 1 o Bell’s high-value, premiumisation strategy
5. Case Study: Returning to Value
- Case study: Chipotle experiments with a return to value
- Chipotle’s Tasty Made may suggest a significant shift
- While fast food reaches towards premium, Tasty Made looks to value
- Category labels aside, Tasty Made is a simpler attempt at “better”
6. Case Study: The High Bar for Lifestyle Positioning
- Case study: Tender Greens’s new heights in lifestyle positioning
- Case study: Tender Greens illustrates new fast casual approach
- There is now a very high bar for entry into fast, or “fresh” casual
7. Case Study: Good Food Above All Else
- Case study: Chick-fil-A success proves good food trumps all
- Chick-fil-A’s strategy is simple, but very effective
- Summary 2 - fil -A’s simple but effective fast food strategy
8. Key Lessons
- Key takeaways: How find the balance in value versus premium
The fast food landscape has irrevocably changed
Long-term growth prospects in fast food have changed. Operators cannot rely on unfettered growth in a few major emerging markets, nor on consistent steady returns in core developed markets. New competitors are emerging, new channels are growing and fighting for fast food share, and consumers themselves are changing their habits in ways that may not necessarily benefit major chains. Operators need to find new ways to succeed within this landscape, adopting a strategic balance of value and premium offerings to maximise appeal and maintain an edge on the competition.
Quality and value are equally important
Quality is now a fundamental priority within fast food. Consumers expect high-quality ingredients and preparation methods, and they want to see that operators are taking steps towards improved quality, even at the lowest price tiers. Consumers want better food, but they want better everything else as well: faster, easier, more convenient, more satisfying and more exciting, all at a value-driven price point.
Effective premiumisation is slow, steady, and on-brand
In order to achieve this balance, fast food operators must find ways to upgrade brands without diluting existing appeal. The key to this strategy is to focus on brand strengths instead of weaknesses, improving them further to maximise appeal for core customers. Operators must improve the ingredients in key menu items, make service as quick, seamless, and efficient as possible, and continually invest in new technology to maintain relevance and maximum accessibility.
Strategy is important, but execution wins
As illustrated by Chick-fil-A, great execution appears to solve most problems. Good food delivered with pleasant service, reasonable speed and dependable accuracy may ultimately provide consumers with the best value, even more so than exciting branding, clever positioning or extra premium amenities.