quick service restaurant costs

14
QSR 101 QUICK SERVICE RESTAURANTS LEARNINGS

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A quick overview of the real costs of QSR food.

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Page 1: Quick Service Restaurant Costs

QSR 101QUICK SERVICE RESTAURANTS LEARNINGS

Page 2: Quick Service Restaurant Costs

The term “franchise” originated from a French word, meaning

“free from servitude”.

Page 3: Quick Service Restaurant Costs

0

5,000,000,000

10,000,000,000

15,000,000,000

20,000,000,000

1999 2004

Sandwich, Subs and Wraps Market

70% Growth

$9.9 billion

$16.8 billion

Page 4: Quick Service Restaurant Costs

Average QSR Food costs 26-32%

(McDonalds & Burger King 26-27%)

Costs

Page 5: Quick Service Restaurant Costs

Soft Drinks1¢ per ounce

Paper5% of total sales

(10-15% of sale price, add 3-4¢ for cup, lid, straw)

Costs

Page 6: Quick Service Restaurant Costs

Coffee 15-20%

Costs

Page 7: Quick Service Restaurant Costs

Specialty Coffee 12-18% (no free refills)

Costs

Page 8: Quick Service Restaurant Costs

Costs

Iced tea 5-10% (highest cost is the slice of lemon)

Page 9: Quick Service Restaurant Costs

Beverages are very high margin products,

Menu should push beverages at every possible opportunity.

Page 10: Quick Service Restaurant Costs

38% of foodservice sales are to-go

Page 11: Quick Service Restaurant Costs

38% of foodservice sales are to-go

Page 12: Quick Service Restaurant Costs

Take-out is a $160 billion industry

Page 13: Quick Service Restaurant Costs

Top 10 Most Popular FoodsMen1) Hamburger2) French fries3) Pizza4) Breakfast sandwich5) Side salad6) Eggs7) Doughnuts8) Hash browns9) Chinese food10) Main salad

Women1) French fries2) Hamburger3) Pizza4) Side salad5) Chicken sandwich6) Breakfast sandwich7) Main salad8) Chinese food9) Chicken nuggets or strips10) Rice

Page 14: Quick Service Restaurant Costs

QSR 101QUICK SERVICE RESTAURANTS LEARNINGS