Fast food is expected to grow over the forecast period, driven by urbanisation and the increasingly rapid lifestyles of Nigerians, which encourages them to choose a quick fix for their meal requirements. This is especially so, given that the average age of Nigerian consumers is below 30 years.
Whilst most fast food consists of indigenous local meals, consumers are increasingly interested in Western foods such as pizza and chicken and chips offered by major chains, although even these are more preferable when they are hot and spicy in line with Nigerian tastes. Therefore, chained chicken, ice cream, and pizza fast food are expected to be the most dynamic channels over the forecast period, led by chained pizza fast food.
For fast food, eat-in remained the preferred option in 2017. Generally, Nigerian consumers prefer to go out to eat rather than order a takeaway or delivery.
UAC Restaurants’ Mr Bigg’s led a fragmented channel in 2017. It was one of the first brands to operate chained fast food in Nigeria, revolutionising the sale of indigenous fast food in a modern environment.
All the major chained fast food operators lost value share in 2017 as consumers moved to cheaper options as incomes dwindled. Previously quite successful brands were forced to close outlets, including Mr Bigg’s and KFC, the international chicken fast food chain, as profitability dipped.
Traditional indigenous brands such as Mr Bigg’s, Tantalizers and Sweet Sensation, which traditionally led other fast food (and overall fast food) in Nigeria, have become less competitive as newer fast casual operators introduce a larger range of foods, including innovative ones. These are led by Kilimanjaro, The Place, and Domino’s Pizza.
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This industry report originates from Passport, our Consumer Foodservice market research database.