Consumer
Consumer Foodservice

Consumer Foodservice in the United Kingdom

United Kingdom

Euromonitor International's Consumer Foodservice in the United Kingdom report examine stand-alone restaurants and eating establishments in which the consumer can freely choose to eat. The report looks at market trends by sector (cafes/bars, full-service restaurants, fast food, home delivery and street stalls). It profiles the leading companies in the market and analyses factors influencing eating out patterns. Forecasts illustrate how the market is set to change.

Buy online to access strategic market analysis and an interactive statistical database of foodservice value market size, company and brand shares and number of outlets and transactions.

Tables: 192  |  Publication date: Oct 2008
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Product coverage

Consumer foodservice by chained/independent; Consumer foodservice by location; Consumer foodservice by type; Consumer foodservice by type and chained/independent

Executive summary

Macroeconomic decline hurts the market

The largest trend in the UK consumer foodservice (CFS) market has been the fall away in consumer confidence, thanks to a slowdown in the UK economy. Slowing house prices, inflation within the retail channel and rising oil costs leading to higher food costs have all combined to limit market growth.

Smoking ban helps slow the market

Value sales and transactions both slowed markedly in 2007. Growth in outlet numbers also slowed dramatically. The decline was largely driven by increasing consumer concern about recession. However, the smoking ban also helped limit sales – for example, despite the fact that the pub estates expanded their food offerings to pick up the slack from declining alcohol sales in their existing pubs, consumers did not flock to smoke-free pubs as legislators envisaged, and operators have been hit hard. The Federation of Retail Licensed Trade claimed that 7% of Northern Ireland’s pubs and bars had gone out of business since the ban’s introduction.

Private equity surfs the downturn

The market was characterised by large injections of private equity money in 2006 and 2007, which funded aggressive expansion and takeovers, frequently of restaurant groups such as Whitbread Plc which were asset-stripped. However, the UK credit crunch and consumer slowdown, falling share prices, unhappy concept rollouts, food inflation and a harder banking market are making consumer foodservice far tougher in 2008. For some large private equity companies, this represents an opportunity, as the fall in prices paid for commercial property will make deals will more attractive.

Shift to chained outlets slows, but trend remains

The majority of categories within consumer foodservice continued to see a shift towards chained operators over the review period, at the expense of independents whose lack of brand equity, limited marketing ability and financial backing inhibit development. Rising rents, as well as proportionally bigger tax and utility burdens also forced many independents out and created barriers to entry for prospective businesses. However, in 2007 this trend slowed, partly as chained developers started to find suitable locations hard to come by, and partly because of their concerns about incipient recession. Independent operators also rallied, as they developed niches in urban areas where footfall is too low for chains. Nonetheless, the trend for chained operators in the ascendancy will continue over the forecast period.

Limited forecast prospects

Consumer foodservice in the UK is set to see gentle decline in constant value terms over the forecast period, accompanied by a slightly stronger decline in outlet numbers as independents are forced out of the market. Low levels of disposable income will inhibit sales, and the trend for trading up to better quality, more expensive foodservice will freeze, particularly in fast food chains that have developed premium products and prices over the review period; increasingly, convenience and low price will be the drivers in the category. However, the full-service restaurants and other 100% home delivery/takeaway categories, along with all pizza formats, will continue to enjoy growth.

Table of contents

CONSUMER FOODSERVICE IN THE UNITED KINGDOM : MARKET INSIGHT

EXECUTIVE SUMMARY

Macroeconomic decline hurts the market

Smoking ban helps slow the market

Private equity surfs the downturn

Shift to chained outlets slows, but trend remains

Limited forecast prospects

KEY TRENDS AND DEVELOPMENTS

Stalling economy hammers consumer foodservice market

Legislation inhibits consumer foodservice

Consumer trade-up underpinned by health awareness

Diversity of offer continues to characterise market

Retail and consumer foodservice continue to reflect each other

MARKET DATA

Table 1 Units, Transactions and Value Sales in Consumer Foodservice: 2002-2007

Table 2 Units, Transactions and Value Sales in Consumer Foodservice: % Growth 2002-2007

Table 3 Consumer Foodservice by Independent Vs Chained Outlets: Units/Outlets 2007

Table 4 Consumer Foodservice by Eat in Vs Takeaway 2007

Table 5 Consumer Foodservice by Food Vs Drinks Split 2007

Table 6 Sales in Consumer Foodservice by Location 2002-2007

Table 7 Leading Chained Consumer Foodservice Brands by Number of Units 2007

Table 8 Chained Consumer Foodservice Company Shares 2003-2007

Table 9 Chained Consumer Foodservice Brand Shares 2004-2007

Table 10 Forecast Units, Transactions and Value Sales in Consumer Foodservice: 2007-2012

Table 11 Forecast Units, Transactions and Value Sales in Consumer Foodservice: % Growth 2007-2012

DEFINITIONS

Summary 1 Research Sources

LOCAL COMPANY PROFILES - UNITED KINGDOM

BURGER KING HOLDINGS INC - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 2 Burger King Holdings Inc: Key Facts

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 3 Burger King Holdings Inc: Competitive Position 2007

DOCTOR'S ASSOCIATES INC - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 4 Doctor’s Associates Inc: Key Facts

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 5 Subway: Competitive Position 2007

DOMINO'S PIZZA GROUP LTD - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 6 Domino’s Pizza Group Ltd: Key Facts

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 7 Domino’s Pizza Group Ltd: Competitive Position 2007

ENTERPRISE INNS PLC - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 8 Enterprise Inns Plc: Key Facts

Summary 9 Enterprise Inns Plc: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 10 Enterprise Inns Plc: Competitive Position 2007

GREGGS PLC - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 11 Greggs Plc: Key Facts

Summary 12 Greggs plc: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 13 Greggs Plc: Competitive Position 2007

MCDONALD'S CORP - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 14 McDonald’s Restaurants Ltd: Key Facts

Summary 15 McDonald’s Restaurants Ltd: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 16 McDonald’s Restaurants Ltd: Competitive Position 2007

MITCHELLS & BUTLERS PLC - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 17 Mitchells & Butlers Plc: Key Facts

Summary 18 Mitchells & Butlers Plc: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 19 Mitchells & Butlers Plc: Competitive Position 2007

PUNCH TAVERN GROUP LTD - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 20 Punch Tavern Group Ltd: Key Facts

Summary 21 Punch Tavern Group Ltd: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 22 Punch Tavern Group Ltd: Competitive Position 2007

STARBUCKS COFFEE HOLDINGS (UK) LIMITED - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 23 Starbucks Coffee Holdings (UK) Limited: Key Facts

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 24 Starbucks Coffee Holdings (UK) Limited: Competitive Position 2007

WHITBREAD PLC - CONSUMER FOODSERVICE - UNITED KINGDOM

STRATEGIC DIRECTION

KEY FACTS

Summary 25 Whitbread Plc: Key Facts

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 26 Whitbread Plc: Competitive Position 2007

CONSUMER FOODSERVICE BY LOCATION IN THE UNITED KINGDOM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 12 Consumer Foodservice Sales by Location: Units/Outlets 2002-2007

Table 13 Consumer Foodservice Sales by Location: Transactions 2002-2007

Table 14 Consumer Foodservice Sales by Location: Foodservice Value 2002-2007

Table 15 Consumer Foodservice Sales by Location: % Units/Outlets Growth 2002-2007

Table 16 Consumer Foodservice Sales by Location: % Transaction Growth 2002-2007

Table 17 Consumer Foodservice Sales by Location: % Foodservice Value Growth 2002-2007

Table 18 Consumer Foodservice Sales through Standalone: Units/Outlets 2002-2007

Table 19 Consumer Foodservice Sales through Standalone: Transactions 2002-2007

Table 20 Consumer Foodservice Sales through Standalone: Foodservice Value 2002-2007

Table 21 Consumer Foodservice Sales through Standalone: % Units/Outlets Growth 2002-2007

Table 22 Consumer Foodservice Sales through Standalone: % Transaction Growth 2002-2007

Table 23 Consumer Foodservice Sales through Standalone: % Foodservice Value Growth 2002-2007

Table 24 Consumer Foodservice Sales through Leisure: Units/Outlets 2002-2007

Table 25 Consumer Foodservice Sales through Leisure: Transactions 2002-2007

Table 26 Consumer Foodservice Sales through Leisure: Foodservice Value 2002-2007

Table 27 Consumer Foodservice Sales through Leisure: % Units/Outlets Growth 2002-2007

Table 28 Consumer Foodservice Sales through Leisure: % Transaction Growth 2002-2007

Table 29 Consumer Foodservice Sales through Leisure: % Foodservice Value Growth 2002-2007

Table 30 Consumer Foodservice Sales through Retail: Units/Outlets 2002-2007

Table 31 Consumer Foodservice Sales through Retail: Transactions 2002-2007

Table 32 Consumer Foodservice Sales through Retail: Foodservice Value 2002-2007

Table 33 Consumer Foodservice Sales through Retail: % Units/Outlets Growth 2002-2007

Table 34 Consumer Foodservice Sales through Retail: % Transaction Growth 2002-2007

Table 35 Consumer Foodservice Sales through Retail: % Foodservice Value Growth 2002-2007

Table 36 Consumer Foodservice Sales through Lodging: Units/Outlets 2002-2007

Table 37 Consumer Foodservice Sales through Lodging: Transactions 2002-2007

Table 38 Consumer Foodservice Sales through Lodging: Foodservice Value 2002-2007

Table 39 Consumer Foodservice Sales through Lodging: % Units/Outlets Growth 2002-2007

Table 40 Consumer Foodservice Sales through Lodging: % Transaction Growth 2002-2007

Table 41 Consumer Foodservice Sales through Lodging: % Foodservice Value Growth 2002-2007

Table 42 Consumer Foodservice Sales through Travel: Units/Outlets 2002-2007

Table 43 Consumer Foodservice Sales through Travel: Transactions 2002-2007

Table 44 Consumer Foodservice Sales through Travel: Foodservice Value 2002-2007

Table 45 Consumer Foodservice Sales through Travel: % Units/Outlets Growth 2002-2007

Table 46 Consumer Foodservice Sales through Travel: % Transaction Growth 2002-2007

Table 47 Consumer Foodservice Sales through Travel: % Foodservice Value Growth 2002-2007

Table 48 Forecast Consumer Foodservice Sales by Location: Units/Outlets 2007-2012

Table 49 Forecast Consumer Foodservice Sales by Location: Transactions 2007-2012

Table 50 Forecast Consumer Foodservice Sales by Location: Foodservice Value 2007-2012

Table 51 Forecast Consumer Foodservice Sales by Location: % Units/Outlets Growth 2007-2012

Table 52 Forecast Consumer Foodservice Sales by Location: % Transaction Growth 2007-2012

Table 53 Forecast Consumer Foodservice Sales by Location: % Foodservice Value Growth 2007-2012

Table 54 Forecast Consumer Foodservice Sales through Standalone: Units/Outlets 2007-2012

Table 55 Forecast Consumer Foodservice Sales through Standalone: Transactions 2007-2012

Table 56 Forecast Consumer Foodservice Sales through Standalone: Foodservice Value 2007-2012

Table 57 Forecast Consumer Foodservice Sales through Standalone: % Units/Outlets Growth 2007-2012

Table 58 Forecast Consumer Foodservice Sales through Standalone: % Transaction Growth 2007-2012

Table 59 Forecast Consumer Foodservice Sales through Standalone: % Foodservice Value Growth 2007-2012

Table 60 Forecast Consumer Foodservice Sales through Leisure: Units/Outlets 2007-2012

Table 61 Forecast Consumer Foodservice Sales through Leisure: Transactions 2007-2012

Table 62 Forecast Consumer Foodservice Sales through Leisure: Foodservice Value 2007-2012

Table 63 Forecast Consumer Foodservice Sales through Leisure: % Units/Outlets Growth 2007-2012

Table 64 Forecast Consumer Foodservice Sales through Leisure: % Transaction Growth 2007-2012

Table 65 Forecast Consumer Foodservice Sales through Leisure: % Foodservice Value Growth 2007-2012

Table 66 Forecast Consumer Foodservice Sales through Retail: Units/Outlets 2007-2012

Table 67 Forecast Consumer Foodservice Sales through Retail: Transactions 2007-2012

Table 68 Forecast Consumer Foodservice Sales through Retail: Foodservice Value 2007-2012

Table 69 Forecast Consumer Foodservice Sales through Retail: % Units/Outlets Growth 2007-2012

Table 70 Forecast Consumer Foodservice Sales through Retail: % Transaction Growth 2007-2012

Table 71 Forecast Consumer Foodservice Sales through Retail: % Foodservice Value Growth 2007-2012

Table 72 Forecast Consumer Foodservice Sales through Lodging: Units/Outlets 2007-2012

Table 73 Forecast Consumer Foodservice Sales through Lodging: Transactions 2007-2012

Table 74 Forecast Consumer Foodservice Sales through Lodging: Foodservice Value 2007-2012

Table 75 Forecast Consumer Foodservice Sales through Lodging: % Units/Outlets Growth 2007-2012

Table 76 Forecast Consumer Foodservice Sales through Lodging: % Transaction Growth 2007-2012

Table 77 Forecast Consumer Foodservice Sales through Lodging: % Foodservice Value Growth 2007-2012

Table 78 Forecast Consumer Foodservice Sales through Travel: Units/Outlets 2007-2012

Table 79 Forecast Consumer Foodservice Sales through Travel: Transactions 2007-2012

Table 80 Forecast Consumer Foodservice Sales through Travel: Foodservice Value 2007-2012

Table 81 Forecast Consumer Foodservice Sales through Travel: % Units/Outlets Growth 2007-2012

Table 82 Forecast Consumer Foodservice Sales through Travel: % Transaction Growth 2007-2012

Table 83 Forecast Consumer Foodservice Sales through Travel: % Foodservice Value Growth 2007-2012

CAFéS/BARS IN THE UNITED KINGDOM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 84 Cafés/Bars by Subsector: Units/Outlets 2002-2007

Table 85 Cafés/Bars by Subsector: Transactions 2002-2007

Table 86 Cafés/Bars by Subsector: Foodservice Value 2002-2007

Table 87 Cafés/Bars by Subsector: % Units/Outlets Growth 2002-2007

Table 88 Cafés/Bars by Subsector: % Transaction Growth 2002-2007

Table 89 Cafés/Bars by Subsector: % Foodservice Value Growth 2002-2007

Table 90 Global Brand Owner Shares of Chained Cafés/Bars 2003-2007

Table 91 Brand Shares of Chained Cafés/Bars 2004-2007

Table 92 Forecast Sales in Cafés/Bars by Subsector: Units/Outlets 2007-2012

Table 93 Forecast Sales in Cafés/Bars by Subsector: Transactions 2007-2012

Table 94 Forecast Sales in Cafés/Bars by Subsector: Foodservice Value 2007-2012

Table 95 Forecast Sales in Cafés/Bars by Subsector: % Units/Outlets Growth 2007-2012

Table 96 Forecast Sales in Cafés/Bars by Subsector: % Transaction Growth 2007-2012

Table 97 Forecast Sales in Cafés/Bars by Subsector: % Foodservice Value Growth 2007-2012

FULL-SERVICE RESTAURANTS IN THE UNITED KINGDOM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 98 FSR by Subsector: Units/Outlets 2002-2007

Table 99 FSR by Subsector: Transactions 2002-2007

Table 100 FSR by Subsector: Foodservice Value 2002-2007

Table 101 FSR by Subsector: % Units/Outlets Growth 2002-2007

Table 102 FSR by Subsector: % Transaction Growth 2002-2007

Table 103 FSR by Subsector: % Foodservice Value Growth 2002-2007

Table 104 Global Brand Owner Shares of Chained FSR 2003-2007

Table 105 Brand Shares of Chained FSR 2004-2007

Table 106 Forecast Sales in FSR by Subsector: Units/Outlets 2007-2012

Table 107 Forecast Sales in FSR by Subsector: Transactions 2007-2012

Table 108 Forecast Sales in FSR by Subsector: Foodservice Value 2007-2012

Table 109 Forecast Sales in FSR by Subsector: % Units/Outlets Growth 2007-2012

Table 110 Forecast Sales in FSR by Subsector: % Transaction Growth 2007-2012

Table 111 Forecast Sales in FSR by Subsector: % Foodservice Value Growth 2007-2012

FAST FOOD IN THE UNITED KINGDOM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 112 Fast Food by Subsector: Units/Outlets 2002-2007

Table 113 Fast Food by Subsector: Transactions 2002-2007

Table 114 Fast Food by Subsector: Foodservice Value 2002-2007

Table 115 Fast Food by Subsector: % Units/Outlets Growth 2002-2007

Table 116 Fast Food by Subsector: % Transaction Growth 2002-2007

Table 117 Fast Food by Subsector: % Foodservice Value Growth 2002-2007

Table 118 Sales of Bakery Products Fast Food by Type 2006-2007

Table 119 Global Brand Owner Shares of Chained Fast Food 2003-2007

Table 120 Brand Shares of Chained Fast Food 2004-2007

Table 121 Forecast Sales in Fast Food by Subsector: Units/Outlets 2007-2012

Table 122 Forecast Sales in Fast Food by Subsector: Transactions 2007-2012

Table 123 Forecast Sales in Fast Food by Subsector: Foodservice Value 2007-2012

Table 124 Forecast Sales in Fast Food by Subsector: % Units/Outlets Growth 2007-2012

Table 125 Forecast Sales in Fast Food by Subsector: % Transaction Growth 2007-2012

Table 126 Forecast Sales in Fast Food by Subsector: % Foodservice Value Growth 2007-2012

100% HOME DELIVERY/TAKEAWAY IN THE UNITED KINGDOM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 127 100% Home Delivery/Takeaway by Subsector: Units/Outlets 2002-2007

Table 128 100% Home Delivery/Takeaway by Subsector: Transactions 2002-2007

Table 129 100% Home Delivery/Takeaway by Subsector: Foodservice Value 2002-2007

Table 130 100% Home Delivery/Takeaway by Subsector: % Units/Outlets Growth 2002-2007

Table 131 100% Home Delivery/Takeaway by Subsector: % Transaction Growth 2002-2007

Table 132 100% Home Delivery/Takeaway by Subsector: % Foodservice Value Growth 2002-2007

Table 133 Global Brand Owner Shares of Chained 100% Home Delivery/Takeaway 2003-2007

Table 134 Brand Shares of Chained 100% Home Delivery/Takeaway 2004-2007

Table 135 Forecast Sales in 100% Home Delivery/Takeaway by Subsector: Units/Outlets 2007-2012

Table 136 Forecast Sales in 100% Home Delivery/Takeaway by Subsector: Transactions 2007-2012

Table 137 Forecast Sales in 100% Home Delivery/Takeaway by Subsector: Foodservice Value 2007-2012

Table 138 Forecast Sales in 100% Home Delivery/Takeaway by Subsector: % Units/Outlets Growth 2007-2012

Table 139 Forecast Sales in 100% Home Delivery/Takeaway by Subsector: % Transaction Growth 2007-2012

Table 140 Forecast Sales in 100% Home Delivery/Takeaway by Subsector: % Foodservice Value Growth 2007-2012

SELF-SERVICE CAFETERIAS IN THE UNITED KINGDOM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 141 Self-service Cafeterias: Units/Outlets 2002-2007

Table 142 Self-service Cafeterias: Transactions 2002-2007

Table 143 Self-service Cafeterias: Foodservice Value 2002-2007

Table 144 Self-service Cafeterias: % Units/Outlets Growth 2002-2007

Table 145 Self-service Cafeterias: % Transaction Growth 2002-2007

Table 146 Self-service Cafeterias: % Foodservice Value Growth 2002-2007

Table 147 Global Brand Owner Shares of Chained Self-service Cafeterias 2003-2007

Table 148 Brand Shares of Chained Self-service Cafeterias 2004-2007

Table 149 Forecast Sales in Self-service Cafeterias: Units/Outlets 2007-2012

Table 150 Forecast Sales in Self-service Cafeterias: Transactions 2007-2012

Table 151 Forecast Sales in Self-service Cafeterias: Foodservice Value 2007-2012

Table 152 Forecast Sales in Self-service Cafeterias: % Units/Outlets Growth 2007-2012

Table 153 Forecast Sales in Self-service Cafeterias: % Transaction Growth 2007-2012

Table 154 Forecast Sales in Self-service Cafeterias: % Foodservice Value Growth 2007-2012

STREET STALLS/KIOSKS IN THE UNITED KINGDOM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 155 Street Stalls/Kiosks: Units/Outlets 2002-2007

Table 156 Street Stalls/Kiosks: Transactions 2002-2007

Table 157 Street Stalls/Kiosks: Foodservice Value 2002-2007

Table 158 Street Stalls/Kiosks: % Units/Outlets Growth 2002-2007

Table 159 Street Stalls/Kiosks: % Transaction Growth 2002-2007

Table 160 Street Stalls/Kiosks: % Foodservice Value Growth 2002-2007

Table 161 Forecast Sales in Street Stalls/Kiosks: Units/Outlets 2007-2012

Table 162 Forecast Sales in Street Stalls/Kiosks: Transactions 2007-2012

Table 163 Forecast Sales in Street Stalls/Kiosks: Foodservice Value 2007-2012

Table 164 Forecast Sales in Street Stalls/Kiosks: % Units/Outlets Growth 2007-2012

Table 165 Forecast Sales in Street Stalls/Kiosks: % Transaction Growth 2007-2012

Table 166 Forecast Sales in Street Stalls/Kiosks: % Foodservice Value Growth 2007-2012

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