Full up: Overcapacity has limited performance, although growth is anticipated to persist

The Full-Service Restaurants industry has been recovering strongly over the past five years. The industry's performance has been largely influenced by trends in consumer preferences. As disposable income and consumer confidence recovered, consumers returned to full-service dining, which supported the industry as consumer tastes became more adventurous. Nevertheless, an influx of new restaurants and the expansion of casual dining chains has led to saturation in the market, limiting profit opportunities. Industry revenue is forecast to grow at a compound annual rate of 3.5% over the five years through 2018-19, including a forecast rise of 2.5% in the current year, to reach £21.3 billion.Changing consumer tastes have shaped industry growth over the past five years...read more.

Industry Statistics & Market Size
Annual Growth 14-19
Forecast Growth 19-24
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • The industry’s growth has been checked to an extent by oversaturation and competition
  • Significant overcapacity has caused the numberof closures to increase rapidly in recent years
  • Increased focus on diet and nutrition is expected to support the popularity of vegetarian restaurants
  • Industry Report - Industry Key Buyers Chapter

    The Full-Service Restaurant industry has a low level of market share concentration, with the top four companies accounting for 12% of revenue in 2018-19. Although the top global brands have a strong presence in the industry, independent establishments vastly outnumber them. Low barriers to entry in the industry allow operators to enter the market relatively freely when there is profit to be made. In areas like central London and leisure parks where rent is most expensive, concentration levels are higher because the largest industry operators outbid small independent businesses. However, in smaller towns and cities there is often a wide variety of smaller operators competing with large chain restaurants. ...purchase to read more.

    Additional Insights for the Full-Service Restaurants Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Full-Service Restaurants Industry are

  • Access to niche markets
  • Effective quality control
  • Access to multiskilled and flexible workforce
  • IBISWorld analysts also discuss how external factors such as Real household disposable income and Expenditure by household income- highest quintile in the Full-Service Restaurants industry impact industry performance..

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    What's in this report

    What is the Full-Service Restaurants Industry?

    This industry is composed of sit-down restaurants where customers are served while seated or serve themselves at a kiosk. This industry includes both licensed and unlicensed restaurants, but not cafes and takeaway establishments.

    Industry Products
  • Meals for consumption on the premises
  • Alcoholic beverages
  • Non-alcoholic beverages
  • Private functions
  • Industry Activities
  • Providing sit-down meals
  • Serving alcoholic beverages
  • Serving non-alcoholic beverages
  • Hosting private functions
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Real household disposable income
  • Expenditure by household income- highest quintile
  • Demand from takeaway and fast-food restaurants
  • Average weekly hours of work
  • Consumer confidence index

  • Current Performance
  • New tastes
  • Feeling full
  • Delivery method
  • Profit pressure
  • Chart: Revenue Growth

  • Industry Outlook
  • Consumer preferences
  • Cost pressures
  • Table: Full-Service Restaurants Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Full-Service Restaurants Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Alcoholic Beverage Wholesaling
  • Fruit & Vegetable Wholesaling
  • Meat Wholesaling

  • Products & Services
  • Meals for consumption on the premises
  • Alcoholic beverages
  • Non-alcoholic beverages
  • Private functions
  • Chart: Full-Service Restaurants Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Highest 30% income households
  • Middle 40% income households
  • Lowest 30% income households
  • Chart: Major Market Segmentation for the Full-Service Restaurants Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesRent and utilitiesDepreciationOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Full-Service Restaurants

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Full-Service Restaurants Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Full-Service Restaurants Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Full-Service Restaurants Industry
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
  • A licensed restaurant is allowed to sell alcohol for consumption on the premises. Takeaway alcohol sales are prohibited.
  • Sit-Down Meals
  • Meals that are ordered with a waiter who serves the table.
  • Wet-Led
  • A pub that derives most of it sales from drink, rather than food.
  • What Our Customers Say

    Why buy this report?

    The Full-Service Restaurants market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Full-Service Restaurants:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Full-Service Restaurants market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Full-Service Restaurants, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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