Industry Analysis & Industry Trends
Changing social trends have fuelled strong growth for the Restaurants industry over the past five years. The industry is expected to post annualised growth of 4.3% over the five years through 2015-16, to total $12.0 billion. Busier lifestyles and diminishing leisure time have increasingly led consumers to turn to restaurants as a solution. Restaurants have allowed consumers to combine dining with leisure and avoid spending time on food preparation. These trends are expected to continue in 2015-16, with industry revenue forecast to grow by 2.0% during the year.
Consumer demand for quality food and fine dining experiences has fuelled industry revenue growth over the past five years... purchase to read more
Industry Report - Industry Investment Chapter
The Restaurants industry exhibits a moderate level of capital intensity. IBISWorld estimates that for every dollar spent on capital costs, $7.79 is spent on wages. Restaurants require a significant input of labour across all operations, including food ordering and preparation, cooking, serving and cleaning. Some of these activities require training and experience, while other roles are relatively unskilled. Furthermore, many restaurants choose to lease equipment instead of investing in their own facilities. This can dramatically reduce capital intensity as this initial outlay represents the majority of capital investment in the Restaurants industry... purchase to read more