2021
9
UK Fast Food Restaurants Market Report 2021
2021-09-04T04:19:33+01:00
OX1049469
2195
142129
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Report
en_GB
“The pandemic has changed the way consumers consume fast food. Instead of relying solely on spontaneous visits from consumers seeking a convenient meal solution while they are on the move,…

UK Fast Food Restaurants Market Report 2021

£ 2,195 (Excl.Tax)

Description

The UK Fast Food Restaurants report identifies consumer attitudes towards the fast food market, fast food occasions, and consumer expenditure in the UK. This market report covers the market size, market forecast, market segmentation and industry trends for the Fast Food Restaurants market in the UK. 

Current Market Landscape

Fast food takeaway habits built during the pandemic look set to stick in the next 12 months as most fast food consumers plan to order about the same amount or more takeaways compared to the last 12 months. This suggests that the legacy of the pandemic will see consumers continue to access a greater range of takeaway and home delivery options than they did before.

  • In the last 12 months, 81% of consumers ordered takeaways for home delivery, with 80% ordering drive-throughs and in-person, and 77% for collection.
  • 22% of Britons are spending more on takeaways/home delivery as of 22-29 July 2021.
  • 89% of full-time workers were more likely to have eaten in or ordered takeaway in the last 12 months, compared to 66% of non-workers.

Many are still cautious about dining out, and therefore the percentage of Britons spending more on dining out compared to before the pandemic continues to be in single-digit percentages.

Future Market Trends in Fast Food Restaurants 

The impact of further job losses will result in more polarised consumer behaviour as consumers losing their jobs will be restricted by tighter budgets when it comes to things like eating at fast food outlets.

The heightened awareness of the importance of in-person experiences with family and friends bodes well for fast food outlets as three fifths of fast food consumers enjoy catching up with friends/family over a fast food meal, and therefore operators should tap into consumers’ desire for a treat with a sense of occasion, including shareable feasts as seen in KFC’s range of ‘For Sharing’ meals.

Read on to discover more details or take a look at all of our UK Food and Foodservice market research.

Quickly understand

  • The impact of COVID-19 on the fast food market.
  • Changes in consumer usage of and expenditure on fast food outlets.
  • Ethical issues that fast food outlets must pay attention to.
  • Consumer behaviours relating to fast food, including fast food occasions.

Covered in this report

Brands: Subway, Five Guys, Itsu, McDonald’s, KFC Taco Bell, Burger King, Taco Bell, Pizza GoGo, Domino’s, Chicken Cottage, Barburrito, Wok to Walk, Jollibee, Wendy’s, Popeyes.

Expert analysis from a specialist in the field

This report, written by Trish Caddy, a leading analyst in the Foodservice sector, delivers in-depth commentary and analysis to highlight current trends and add expert context to the numbers.

The pandemic has changed the way consumers consume fast food. Instead of relying solely on spontaneous visits from consumers seeking a convenient meal solution while they are on the move, fast food operators are now meeting consumer demand for a fast food treat with a sense of occasion.
Trish Caddy - Research AnalystTrish Caddy
Senior Foodservice Analyst

Table of Contents

  1. Overview

    • Key issues covered in this Report
    • COVID-19: Market context
    • Economic and other assumptions
    • Products covered in this Report
  2. Executive Summary

    • Impact of COVID-19 on fast food outlets
      • Figure 1: Short, medium and long-term impact of COVID-19 on fast food outlets, burger and chicken fast food outlets and restaurants, 2021
    • The market
    • Burger fast food and restaurant value expected to be 22% short of its 2019 sales level in 2021
      • Figure 2: COVID-19 scenario forecasts for the burger fast food outlets and restaurants market, 2016-26
    • The value of chicken fast food outlets and restaurants still expected to be 16% shy of its 2019 level in 2021
      • Figure 3: COVID-19 scenario forecasts for the chicken fast food outlets and restaurants market, 2016-26
    • Companies and brands
    • Brand awareness high across fast food brands
      • Figure 4: Key metrics for selected brands, 2021
    • Subway leads the fast food market
      • Figure 5: Selected fast food restaurant chains, by outlet numbers, 2019 and 2021
    • Impact of HFSS on fast food advertising
    • The consumer
    • Many are still cautious about dining out
      • Figure 6: Impact of COVID-19 on foodservice expenditure, 2021
    • Takeaway services have held up the fast food market through the pandemic
      • Figure 7: Usage of fast food outlets, 2021
    • Almost half intend to eat in at fast food outlets more often
      • Figure 8: Intentions to use fast food outlets, 2021
    • Older consumers more likely to use fish and chip shops than other types of outlets
      • Figure 9: Fast food outlets used in the last year, 2021
    • Full-time workers most likely to eat fast food dinners
      • Figure 10: Fast food usage, by time of day, 2021
    • Value for money in a polarised consumer environment
      • Figure 11: Approximate spend on an evening meal in the last year, 2021
    • Almost half expect fast food outlets to reduce food waste
      • Figure 12: Ethical priorities expected of fast food outlets, 2021
    • Fast food with a sense of occasion
      • Figure 13: Fast food behaviours, 2021
  3. Issues and Insights

    • The impact of COVID-19 on fast food occasions
    • Piggybacking on family and friends time
    • Making less spontaneous fast food decisions
    • Counting on workers to return to the office…
    • …and party-goers to hit the fast food outlets at night
    • The impact of HFSS on fast food usage
    • Doesn’t chime with younger consumers…
    • …but likely to attract older consumers
    • Will force some families to break unhealthy habits
    • Ways to hook younger consumers to fish and chip shops
    • Modernise
    • Diversify
    • Seafood boils
  4. The Market – Key Takeaways

    • Burger fast food and restaurant value expected to be 22% short of its 2019 sales level in 2021
    • The value of chicken fast food outlets and restaurants still expected to be 16% shy of its 2019 level in 2021
    • HFSS restrictions’ impact on drink sales
  5. Market Size and Performance

    • Impact of COVID-19 on fast food
      • Figure 14: Short, medium and long-term impact of COVID-19 on fast food outlets, burger and chicken fast food outlets and restaurants, 2021
    • Burger fast food and restaurant value is still expected to be 22% short of its 2019 sales level in 2021
      • Figure 15: UK forecast for the value of the burger fast food outlets and restaurants market, at current prices, 2016-21
    • The value of chicken fast food outlets and restaurants still expected to be 16% shy of its 2019 level in 2021
      • Figure 16: UK forecast for the value of the chicken fast food outlets and restaurants market, at current prices, 2016-21
  6. Market Forecast

    • Burger sales to return to pre-pandemic level by 2023
      • Figure 17: UK forecast for the value of the UK burger fast food outlets and restaurants market, at current prices, 2016-26
    • Chicken sales to return to pre-pandemic value by 2022
      • Figure 18: UK forecast for the value of the chicken fast food outlets and restaurants market, at current prices, 2016-26
    • Market drivers and assumptions
      • Figure 19: Key drivers affecting Mintel’s market forecast, 2020-25 (prepared on 13 August 2021)
    • Forecast methodology
  7. COVID-19 Scenario Performance

    • Mintel’s approach to predicting the impact of COVID-19
    • Fundamental differences in how COVID-19 is affecting consumer markets
    • A £1 billion sales difference between Mintel’s rapid COVID recovery and extended COVID disruption scenarios in burger segment in 2021 alone
      • Figure 20: COVID-19 scenario forecasts for the burger fast food outlets and restaurants market, 2016-26
    • A £350 million sales difference between Mintel’s rapid COVID recovery and extended COVID disruption scenarios in chicken segment in 2021
      • Figure 21: COVID-19 scenario forecasts for the chicken fast food outlets and restaurants market, 2016-26
    • COVID-19 market disruption: risks and outcomes
      • Figure 22: Summary of Mintel scenario expectations and the impact on the burger and chicken fast food outlets and restaurants market, 2021
  8. Market Drivers

    • Impact of income polarisation
      • Figure 23: Unemployment rate forecast, 2020-25
    • HFSS restrictions’ impact on drink sales
      • Figure 24: Ethical priorities expected of fast food outlets, by socio-economic group, 2021
    • Impact of Natasha’s Law on fast foods
      • Figure 25: Behaviours relating to fast food, by age, 2021
  9. Companies and Brands – Key Takeaways

    • Subway leads the fast food market
    • Impact of HFSS on fast food advertising
    • Brand awareness high across fast food brands
  10. Market Share

    • Subway leads the fast food market
      • Figure 26: Selected fast food restaurant chains, by outlet numbers, 2019 and 2021
    • McDonald’s continues to be a heavily franchised business
      • Figure 27: McDonald’s Corporation Global Revenues, 2018-20
    • YUM! Brands expands outlet numbers by diversifying its portfolio
      • Figure 28: KFC’s global market share, by outlet numbers and system sales, 2020
      • Figure 29: YUM! Brands 2020 Annual Report, 2018-20
    • International fast food players expanding in the UK
      • Figure 30: New fast food restaurant chains, by outlet numbers, 2021*
    • Popeyes eyes UK fast food market
  11. Launch Activity and Innovation

    • Gourmet options encourage diners to trade up
    • Gamification changes how operators promote fast food
    • McDonald’s Monopoly
    • Pizza Hut Gaming
    • Burger Roulette
    • Decide Your Deal
    • Fast food’s new order
    • Calorie information becomes the norm
    • Meat-free becomes a value product
    • Fast food’s race to a zero-carbon future
      • Figure 31: Ethical priorities expected of fast food outlets, by age, 2021
    • Potential for crypto payments at fast food outlets
      • Figure 32: Behaviours relating to fast food, by age, 2021
  12. Advertising and Marketing Activity

    • COVID-19 devastated ad spending in 2020
      • Figure 33: Advertising spending, by selected fast food brands, 2017-21
    • Impact of HFSS on fast food advertising
    • Nielsen Ad Intel coverage
  13. Brand Research

    • Brand map
      • Figure 34: Attitudes towards and usage of selected brands, 2021
    • Brand awareness high across all brands
      • Figure 35: Key metrics for selected brands, 2021
    • Higher income groups drive usage
      • Figure 36: Usage of fast food brands in the last 12 months, by socio-economic group and household income, 2021
    • Gen-Zers are core users of the big three
      • Figure 37: Usage of fast food brands in the last 12 months, by generation, 2021
    • Brand attitudes: the big three outrank the others in value and trust
      • Figure 38: Attitudes, by brand, 2021
    • Brand personality: the big three win on accessibility
      • Figure 39: Brand personality – macro image, 2021
    • itsu proves that fast food can be healthy
      • Figure 40: Brand personality – micro image, 2021
  14. The Consumer – Key Takeaways

    • Many are still cautious about dining out
    • Takeaway habits built during pandemic look set to stick
    • Almost half intend to eat in at fast food outlets more often
    • Older consumers more likely to use fish and chip shops than other types of outlets
    • Value for money in a polarised consumer environment
    • Fast food with a sense of occasion
  15. Impact of COVID-19 on Consumer Behaviour

    • Fast food outlets to piggyback off families and friends
      • Figure 41: Impact of COVID-19 on weekly activities, 2021
    • Many are still cautious about dining out
      • Figure 42: Impact of COVID-19 on foodservice expenditure, 2021
  16. Usage of Fast Food Outlets

    • Four in five used a fast food outlet
      • Figure 43: Usage of fast food outlets, 2021
    • Almost half ordered home delivery
  17. Intentions to Use Fast Food Outlets

    • Almost half intend to eat in at fast food outlets more often
      • Figure 44: Intentions to use fast food outlets, 2021
    • Takeaway habits built during pandemic look set to stick
  18. Fast Food Outlets Used

    • Burger and pizza outlets can further diversify menus to reach more older consumers
      • Figure 45: Fast food outlets used in the last year, 2021
    • HFSS restrictions may impact family usage
  19. Fast Food Usage by Time of Day

    • Capitalise on fast food hours to attract office workers
      • Figure 46: Fast food usage, by time of day, 2021
    • Scope to boost usage of fast food breakfasts
    • Night usage likely to pick up with reopening of nightclubs
  20. Approximate Spend on Evening Meal

    • Value for money in a polarised consumer environment
      • Figure 47: Approximate spend on an evening meal in the last year, 2021
  21. Fast Food Outlets’ Ethical Priorities

    • Almost half expect fast food outlets to reduce food waste
      • Figure 48: Ethical priorities expected of fast food outlets, 2021
    • Two fifths expect fast food outlets to use eco-friendly packaging
    • Two ways to attract older consumers to fast food outlets
    • Reduce HFSS
    • Eat local
  22. Fast Food Behaviours

    • Fast food with a sense of occasion
      • Figure 49: Fast food behaviours, 2021
    • The value of British ingredients
      • Figure 50: Fast food restaurants – CHAID – Tree output, 2021
    • Trendy concepts that are taking a backseat
    • Gourmet
    • Plant-based
    • Touchscreens
  23. Appendix – Data Sources, Abbreviations and Supporting Information

    • Abbreviations
    • Consumer research methodology
  24. Appendix – Central Forecast Methodology

    • Market forecast for total burger and chicken fast food outlets and restaurants market
      • Figure 51: Value of the burger and chicken fast food outlets and restaurants market, 2016-26
    • Market forecast and prediction intervals
      • Figure 52: Burger and chicken fast food outlets and restaurants market forecast and prediction intervals, 2021-26
      • Figure 53: Burger fast food outlets and restaurants market forecast and prediction intervals, 2021-26
      • Figure 54: Chicken fast food outlets and restaurants market forecast and prediction intervals, 2021-26
    • CHAID analysis Methodology
      • Figure 55: Fast food restaurants – CHAID – Table output, June 2021
    • Forecast methodology
    • Market drivers and assumptions
      • Figure 56: Key drivers affecting Mintel’s market forecast, 2020-25
  25. Appendix – COVID Scenario Performance Methodology and Assumptions

    • Scenario performance
      • Figure 57: Burger and chicken restaurants scenario performance, 2016-26
      • Figure 58: Burger fast food outlets and restaurants scenario performance, 2016-26
      • Figure 59: Chicken fast food outlets and restaurants scenario performance, 2016-26
    • Rapid COVID recovery, central and extended COVID disruption scenarios outline
    • Scenario methodology

About the report

This market report provides in-depth analysis and insight supported by a range of data. At the same time, introductory and top-level content is provided to give you an overview of the issues covered.

Market

Mintel provides a range of market information, frequently through the category level, including market size and forecasting, complete with market drivers that illustrate the forces that shape a category or market.

Consumer

Mintel’s proprietary consumer research provides our analysts with the attitudinal and behavioral data used to provide valuable insight to topical issues.

Brand/Company

Mintel provides overviews of the top brands and manufacturers, and uses consumer research to explore attitudes and reactions to brands, as well as insight into what will resonate with consumers.

Data

Market reports provide appendices of data to support the research and insight produced. Our databooks* are easily manipulated and downloadable to support your research needs and covers factors from consumer attitudes to market forecasts.

*databooks not available with UK B2B Industry reports.

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