In 2025, the German full-service restaurant (FSR) market is set to grow by 3.8%, reaching an estimated €35.3bn. Much of this momentum is still supported by price increases rather than…
"As diners continue to spend cautiously, highlight the value of rising menu categories like snacks and non-alcoholic alternatives. Integrating them into curated experiences, such as sampling platters, will help boost appeal and sales."
Eliana Riera-McInnes, Foodservice Research Analyst
German Full-service Restaurant Industry – Trends and Insights
In 2025, the German full-service restaurant (FSR) market is set to grow by 3.8%, reaching an estimated €35.3bn. Much of this momentum is still supported by price increases rather than true volume growth.
Social connection and shared experiences remain at the heart of why 83% of Germans ate out at FSRs in the past year, making this sector a cornerstone of Germany’s eating-out culture despite pressure on household budgets.
65% of FSR visitors prefer streamlined, shorter menus over extensive ones, highlighting the importance of curation and expertise in consumer choices. Given prevalent cautious spending behaviours, democratising access to curated dining beyond fine dining is a key opportunity. Formats like accessible entry-level tasting menus, sampling platters and chef-driven menu suggestions hold potential.
The sector continues to suffer the erosion of margins caused by high operational costs and declining alcohol sales as consumers cut back. With the scheduled return of the 7% VAT in 2026 expected to provide a relief, investing in rising categories, like snacks, and convincing consumers of the value of non-alcoholic alternatives will help boost sales.
This Report Looks at the Following Areas:
Impact of inflation, cost of living pressures and VAT changes on FSR performance and margins
Consumer behaviours: cautious spending, demand for curation and preference for mid-range pricing
Evolving menu preferences: rise of snacks, sharing plates and focused offerings
Emergence of experiential dining concepts and the role of social connection
Alcohol moderation’s impact on on-premise beverage sales and how to boost value perceptions of non-alcoholic alternatives
The growing importance of the takeaway/delivery channel in FSRs and interest in loyalty programme perks
Collapse All
EXECUTIVE SUMMARY
What you need to know
Outlook for full-service restaurants
Opportunities
Democratise access to curated dining experiences
Leverage aperitivo hour to unlock the potential of the snacking trend
Promote non-alcoholic alternatives as a way to enhance the dining experience
THE MARKET
Market size and forecast
Consumer confidence is recovering but remains fragile
Lower spenders are more likely to plan to cut back
Graph 1: spending plans at full-service restaurants in the next 12 months, by typical spend per person per visit, 2025
FSR margins are thinner than ever, but the return of the 7% VAT should bring some respite
The experience economy is increasingly shaping FSRs
Market size and forecast
The full-service restaurant market will continue growing in the coming years
Graph 2: market value forecast for full-service restaurants, 2019-30
THE CONSUMER
Full service restaurant usage and preferences
Full-service restaurants are a cornerstone of eating out culture in Germany
Takeaway and delivery are becoming established features in FSRs
Younger consumers lean heavily towards world cuisine FSRs…
…underlining their taste for adventurous dining
Motivations to visit FSRs
FSRs enable valuable quality time with loved ones
Turn everyday moments into a chance for social connection to boost visits
For younger consumers, the thrill of a new food discovery also drives visits…
Graph 3: select motivating factors to factors to eat out at a full-service restaurant in the last 12 months, by age, 2025
…with potential to target them with interactive food and drink experiences
Factors driving repeat visits
Value for money, service, and ambiance are what keep consumers coming back for more
Compete on experience-focused worth, not price
Loyalty programmes struggle to gain traction in FSRs…
…despite showing great potential
The loyalty programme (r)evolution
FSR dining behaviours
Early dining is common in FSRs…
…fuelling the popularity of aperitivo hour
The stigma around solo restaurant visits is fading
Capitalise on the solo-dining market
Menu-related behaviours
‘Less-is-more’ menus strike a chord with diners
Smaller bites and sharing options are in demand….
…as traditional menu categories evolve
‘Zebra-striping’ is a common practice at FSRs…
…driven by a desire for balance
INNOVATION AND MARKETING
International tapas-style concepts bet on the German market
L’Osteria: Where good value and the joy of sharing meet
Peter Pane launches ‘Around the World in 80 Bites’ campaign
Circus Group brings the next generation of kitchen automation
HiddenTable expands to Berlin
APPENDIX
Report scope/market definition
The market
Forecast methodology
Forecast methodology – fan chart
Market size and forecast of full-service restaurants
Market forecast and prediction intervals
The consumer
Consumer research questions
Consumer research methodology
Abbreviations
A note on language – Germany
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