Full-service restaurants continued to post stable growth in 2018, yet with no significant leaps. After some turbulent years and new regulations on tax reporting, many smaller players had to close in order to avoid debt and bankruptcy.
There are differences in the performances of various categories within full-service restaurants. An overall decline was seen in the number of European full-service restaurants in 2018, mainly due to the closure of traditional Austrian restaurants, particularly in less frequented rural areas.
The home delivery trend has had a significant impact on full-service restaurants, amongst other consumer foodservice channels. Restaurants collaborate with major delivery companies and benefit from additional exposure to consumers via mobile applications.
The growth of chained full-service restaurants is mainly attributed to the expansion of the furniture giant XXXLutz and its restaurant chain. It is expected that this player will continue to grow in the forecast period – positively impacting the performance of chained players.
Full-service restaurants continues to be dominated by independent players, with just a few well-known chained restaurants, such as L’Osteria, Akakiko, Maredo, XXXLutz and Mömax. Currently, only a handful of chained players are undertaking expansion, with most maintaining their existing number of outlets.
The boom of burgers has been observed for the last couple of years in Austria, with both full-service and limited-service restaurants introducing new outlets and concepts. Well-known chain Le Burger provides an interesting example of a restaurant combining full-service and limited-service features.
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This industry report originates from Passport, our Consumer Foodservice market research database.