From the period 2022 to 2028, the Global Fast Food Market is expected to reach USD 675.19 Billion in terms of revenue, growing at a Compound Annual Growth Rate (CAGR) of 4.2%.
The development of this market was prompted by an increase in disposable income and a desire for convenient and affordable food. Most fast foods available today are healthy and can help you lose weight when combined with the right combination and proportions of other foods. The desire for Fast Food has increased in recent years as a result of new product launches in the food industry. The overall increase in the number of quick-service restaurants, hotels, and other similar establishments is also expected to fuel demand in this market. The market also allows small players to capitalize on fast food's global market share by satisfying the tastes of local consumers while maintaining competitive prices. Women's employment rates around the world have risen significantly. As the number of women employed grows, it becomes increasingly difficult to cook, resulting in the rise of fast food. As a result, market participants have included healthier Fast Food options throughout the store, such as hormone-free meat, natural vegetables, hormone-free meat, and organic ingredients.
Key Highlights from the Report
- On the basis of Product, the market is segmented into Pizza/Pasta, Burgers/sandwiches, Chicken, Asian/Latin American, Seafood, and Others. Due to the popularity of burgers and sandwiches among all age groups, the burger and sandwich restaurant segment dominates the market. Burgers and sandwiches are also less expensive than pizza and pasta. This segment is likely to dominate the Fast Food Market share throughout the forecast period due to the availability of these two popular Fast Food chains in numerous nations. The Asian and Latin American food segments account for the world's second-largest market share. Consumers' disposable income is increasing, so they are spending more on food. During the forecast period, this factor is expected to drive the growth of the Asian and Latin American food segments.
- On the basis of End Users, the market is segmented into Quick Service Restaurants, Fast Casual Restaurants and Others. In 2021, the quick service restaurants segment leads the Fast Food Market and is expected to dominate the market for the rest of the forecast period. Quick service restaurants produce processed food in bulk to meet rising customer demand. Furthermore, increased internet penetration and easy access to smartphones have resulted in an increase in online purchases. As a result, several food chains are shifting towards online portals to improve online food ordering for these Fast Food chains, thereby increasing the growth of the quick-service restaurant market.
- Asia Pacific is the fastest regional segment in terms of growth. During the forecast period, the Asia-Pacific region is expected to experience rapid growth in the Fast Food Market. This is primarily due to increased urbanization, increased disposable income, and increased demand for the western lifestyle. Because they prefer Fast Food to traditional restaurant food, India and China are considered attractive markets for fast food. Favorable demographics, increased disposable income and purchasing power, increased urbanization, and rapid adoption of Western lifestyles have significantly improved the developing world market's future.
Some of the key players in the Fast Food Market include Auntie Anne’s Inc., McDonald’s, Domino’s Pizza, Wendy’s International, Doctor’s Associates Inc. and others.
Changing Consumer Behavior and Increased Food Spending to Support Growth
In most regions, rising family income and the development of households with two or more members are the primary factors driving consumers to eat out more. Furthermore, the rapid expansion of a wide range of foodservice outlets is gaining popularity in both developed and developing markets around the world. With Fast Food gaining popularity among younger people, international Fast Food chains are looking to expand into new markets. Growing foreign investment, rising household incomes, an expanding millennial population base, increased tourism and shifting consumer consumption habits are all contributing to the industry's growth.
There is an increase in the number of quick-service restaurants in both developing and developed countries
Convenience is a key factor driving this industry because it allows for the delivery of food quickly and in a short amount of time, which primarily appeals to millennial consumers. Consumer preference for ready-to-eat meals and Fast Food products has altered global market dynamics. Fast Food requires less time and effort, which contributes to the growing demand for these products. Consumers' increasing disposable income is another factor that will help the market thrives in the coming years. The emergence of the fast-casual restaurant category was a major driver of quick-service restaurant growth in urban countries.
With a market share of 27.50% in 2021, North America dominated the global market. This region's dominance can be attributed to an increase in dual-working households, rising household income levels, and the rapid expansion of Fast Food chains. Due to consumers eating out most days of the week, the United States is the largest market for the snack food industry. Meanwhile, Mexico is expected to have the highest Compound Annual Growth Rate (CAGR) between 2021 and 2028 due to changing lifestyles, a large number of younger people, and an expanding tourism sector.