2025 Quick Service Restaurant Industry Trends and Statistics

Quick-service restaurants (QSRs) are an integral part of America's food industry. The market is valued at 406.17 billion USD in 2024 and is expected to reach 662.53 billion USD by 2029.

QSRs, characterized by their fast service, limited menu items, and (typically) no-table service, are perfect spots for those looking for a bite to eat at an affordable price.

McDonald's remains the most popular QSR chain in the U.S. and shows no signs of slowing down. Market growth is set to see a big climb, with plans for an additional 50,000 McDonald's locations to open globally by 2027.

What's driving this consistent popularity? Well, about 37% of adults and 36% of kids (aged 2-19) eat fast food every day. Trends and statistics such as these show that the quick service industry is experiencing continued growth and rising demand.

With these numbers in mind, it makes sense why someone would want to enter the quick-service restaurant sector. It's lucrative, but it's essential that you know about the industry, its ups and downs, and how to predict the best course of action for your business.

In this article, we'll share some of the most important insights into consumer behavior and market trends regarding the QSR industry in 2024 and beyond.

Why Global Quick-Service Restaurants Show Rapid Growth

The market value of global quick-service restaurants is expected to reach a whopping figure of 1,930.14 USD billion by 2032. There are various reasons why the QSR industry is so successful.

It's also important to note that since 2023, Gen Z and millennials have used QSRs much more than older generations. Fast food chains have mastered the art of convenience and speed, catering to modern customers' fast-paced lifestyles.

Affordable Consumer Prices and Running Costs

One of the key players in QSR's growing demand is its ability to maintain affordable prices for consumers while managing lower operational costs compared to full-service restaurants.

Although 47% more expensive than in 2014, food from QSRs is still cheaper than businesses in the full-service restaurant industry. This is a huge advantage, especially as economic pressures continue to shape consumer behavior and spending habits.

Inflation trends have played a big part in preserving the cost advantage of QSRs. While full-service restaurants experienced inflation peaks of 10.1% in April 2022, QSR inflation peaked at a lower rate of 7.2%.

As of 2024, inflation of full-service establishments has eased to 4.3%, but QSRs have managed to keep a lower rate of 3.6%. Lower inflation rates allow fast food chains to avoid steep price increases, keeping their service accessible to a wider audience.

Since 2017, labor costs for full-service restaurants have grown by 73.9%, compared to a 60.2% increase for QSRs. Restaurants like Burger King and Taco Bell don't need as many staff members compared to traditional restaurants. Also, due to the focus on fast food items being cooked and prepared as quickly as possible, the whole operation is streamlined.

Pricing strategies are one of the major factors behind QSRs' success all around the world. Think combo deals and value menus; these are effective ways to stay competitive and appeal to those seeking affordability.

Quick-Service Restaurants Industry Trends

With a focus on staying relevant and competitive, it’s exciting to witness how the quick-service restaurant industry evolves. Technology and consumer trends change day by day, so it’s important to have your ears on the ground to stay at least one step ahead. Here is what we found especially fascinating from 2024. 

Brand Marketing

About 82% of restaurants in the U.S. use social media to market their brand. Instead of focusing only on product promotions, brands like Wendy's have nailed humor and reliability on social media, making them resonate with younger audiences.

Wendy's company director, Kristin Tormey, discusses how social media attracts new customers: "We're making friends, we're inviting them to lunch; we're not just pushing ads and products..."

Cloud Kitchens and Delivery

The complete dining experience has taken a backseat; the global food delivery market is estimated to reach $1.79 trillion by 2028. Cloud kitchens (also known as ghost kitchens) let restaurants cater to online food orders without paying expensive overheads to facilitate traditional indoor spaces.

65% of consumers prefer ordering food through a drive-thru or collection over dining in person. To meet the increased demand, cloud kitchens focused exclusively on handling online orders are becoming more popular.

Loyalty Programs

Things are getting personal in the restaurant industry. Research methodology using customer data allows restaurants to offer personalized reward programs and promotions. For example, Subway has a tiered system that unlocks rewards as customers spend money.

Creating loyalty programs not only increases revenue but also provides the restaurant with valuable insights into customer behavior. This information helps tweak promotions and discounts later to be more effective.

New Technologies

Technology is a powerful tool that every restaurant type should embrace, not just quick-service ones. A POS (Point of Sale) system like Toast's is an example of how technology can benefit customer experience. Devices such as this improve order accuracy, service speed, and communication between team members.

Brands like Taco Bell use AI-powered drive-thru to save on labor costs and improve speed and accuracy. By the end of 2024, the company plans to implement this technology in hundreds of U.S. locations. South Korea also uses automated kiosks and even robot chefs in some Seoul QSR spots.

Contactless payment remains essential for quick-service restaurants, especially as younger generations make up a significant share of their customer base.

Smartphones are not only used to pay for food but also to order it. Recent research found that 71% of customers prefer restaurant-specific apps and websites to third-party solutions. The main reasons for this include convenience and lower costs.

Healthier Menu Items

Many businesses are seeing an increased demand for plant-based items, even in fast-food restaurants. In fact, the vegan fast-food market was worth 5,971.23 million USD in 2023 and is projected to reach 11,163.92 million USD by 2032.

As more consumers turn to plant-based diets to benefit the environment and their health, menu items in quick-service restaurants need to adapt. However, healthier options don't have to be exclusively plant-based. 44% of consumers say they would order from fast food spots if there were healthy options.

What's Next for Quick Service Restaurants?

Despite having been rough the past few years, the QSR industry has definitely bounced back from COVID-19, likely surpassing pre-pandemic levels. The global market is booming, but it's no coincidence.

Keeping up with what customers want while balancing the ever-growing challenge of inflation and operational costs aren't new concepts, but the way QSR brands are handling them has evolved.

From embracing new technology to offering healthier menu items, fast-food chains have become major players in the restaurant industry. So, if you're looking to get involved in this sector, 2024 statistics and trends prove that now is a great time.

FAQs

Who is the target market for quick-service restaurants?

The quick service industry is most popular with Gen Z and millennials. This trend is due to multiple factors, including the fact that you can often order food from a QSR via a mobile app or through a drive-thru, making it very convenient. It's an affordable alternative to a full-service restaurant.

What is the largest quick-service restaurant chain?

McDonald's is the largest fast-food restaurant in the world, serving over 69 million customers every day.

Why have quick-service restaurants increased in popularity?

Convenience is a huge reason why quick-service restaurants have climbed in popularity. You can quickly stop by a drive-thru on the way home from work or order it on your smartphone. It's also cheaper and often has loyalty programs that offer discounts and meal deals.

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