Industry Analysis & Industry Trends
A dramatic health kick has transformed the Fast Food Services industry, with revenue expected to grow by an annualised 3.0% over the five years through 2013-14. This change in the industry has been largely driven by increased consumer awareness about the nutritional content of fast food and a conscious effort by consumers to choose healthier options. Industry operators have responded with the introduction of a range of healthier choices with lower fat, sugar and salt contents. This change in consumer preferences has also led to an influx of new operators offering healthier fast-food options. Industry revenue is forecast to post solid growth over 2013-14, rising by 2.8% to $15.3 billion... purchase to read more
Industry Report - Industry Investment Chapter
The Fast Food Services industry has a low level of capital intensity. For every dollar spent on wages, $0.08 is spent on capital. Labour costs are the most significant part of daily operations and players require employees to undertake a range of tasks including customer service, production and assembly of food, handling and storage of food in accordance with health and safety regulations, inventory control and clearing tables. Wage costs are influenced by employee numbers, the wage rate and the company's trading hours.
The capital requirements for ongoing businesses are minimal and include the cost of depreciable assets such as refrigerators, freezers, ovens, food warmers and display cabinets... purchase to read more