2025 Fast-Food Primer: Where ‘Value’ Took the Restaurant Consumer
December 17, 2024 – Media MentionReal Estate Partner, Craig Coan, participated in a Q&A with QSR to discuss trends and challenges affecting quick-service restaurants.
Excerpts:
Now that 2024 is coming to a close, how would you describe the past year?
2024 was a challenging year with what seemed to be a growing divide between the “haves” and the “have-nots.” There were a lot of bankruptcies, but high-quality brands were able to get the best locations and increase pricing to cover the increased costs of operation. Hiring has been easier in 2024 in states other than California.
What were the biggest takeaways?
A big takeaway was that though food and supply chain costs went down, the fight for sales required more effort than in the past. Consumers spent less money eating out at restaurants—take-out and delivery grew, but in-store eating is down. Another takeaway is that the size of QSRs can actually be 2,000 square feet or less, rather than 3,000 square feet commonly sought in the past. Lastly, consumers seem tired of chains, and they are looking for quality and differentiation.
