It doesn’t make sense. Not from my vantage point, anyway. We all know that Fast Food is bad for us. And how it’s taken over the Western diet in recent years. But a recent survey insists Fast Food can and will get even bigger…
Service model innovations, driven by AI, robotics and mobile/digital
ordering tech are shaping the development of the Fast Food sector…
I was shocked when I learned that an official government survey discovered that 75 percent of the food in our supermarkets and restaurants these days is processed or worse…
How could it be worse?
The current size of the Fast Food sector is estimated as somewhere just above (US)$424.90 billion. That’s the official figure for 2019, the last year for which ‘reliable’ numbers are available, before the COVID Crisis threw the world economy into chaos.
Apparently, there’s still room for massive growth in junk/Fast food sector, in spite of Doom’s Day predictions about how global scourges such as obesity, heart disease diabetes and related con-ditions are killing us.
Nevertheless… A new Technavio study suggests that the global Fast Food market will continue to grow at a robust compound annual growth rate (CAGR) of 3 percent between now and the end of this decade. That’s a total of $119.6 billion – almost double its current size.
But why? How?
Technavio cites 4 main factors expected to drive Fast Food Growth:
- “The increasing popularity of coffee and food delivery services has led to a surge in demand for quick service restaurants (QSRs) and cloud kitchens. Consumers’ preference for protein-rich meals continues to fuel the market, with a focus on Mexican food, pasta, pizza, sandwiches, and seafood. […] Additionally, the rise of mobile apps […] is adding to the market’s dynamism.”
- “Health concerns are a challenge, with consumers seeking healthier options and customizable sauces. Overall, the market is poised for continued growth, driven by these trends and the evolving preferences of consumers.”
- “Sustainability and convenience are key trends. […] An increasing number of restaurants [are] adopting online ordering platforms and apps to streamline the customer experience. Automation and contactless delivery have become essential components of business models.”
- “Brand loyalty remains a critical factor, with restaurants investing in advertising strategies and franchise opportunities to expand their reach.”
Where?
Market watchers are particularly interested in what’s going on in the US, Japan, China, Mexico, Ger-many, South Korea, India, UK, France, and Brazil. Some of these markets are already saturated. Others still have room for unrestricted growth.
The area in which there remains the most room for Fast Food growth is defined as APAC – which stands for Asia Pacific, the region that encompasses countries from East Asia to Southern Asia and Oceania. That includes the far eastern realm stretching from Siberia and Mongolia all the way south through China and India to Australia and New Zealand.
My take
Even with all we’ve learned over the past few years about Fast Food situation, and how bad it is for us both individually and collectively, it seems the masses are still hooked on convenience, and giving in to the all-too-human cravings for salt, sugar and fat.
It looks to me as though the global realities of shifting food type availability, sustainability and price are going to be major factors influencing the timing and direction of our collective shift from animal to veggie diets over the coming 20 years or so.
Human nature dictates that the majority of us will have to be dragged kicking and screaming into the plant-based future…
~ Maggie J.