What might cause peak fast-casual?


There’s almost no doubt that the rise of the fast-casual restaurant has been one of the most economically positive achievements of the restaurants industry in years. But like discussions on peak oil, peak smartphone, and any peak theory, it’s time to take a look at what might happen that will reach the fast-casual restaurant industry to hit a peak (one day).

Meal kit services might drive down restaurant demand.

Currently, there’s no definite answer on whether meal kit services will dominate how we eat. While some might assert that it will change the way we eat, others are more skeptical. While it is likely that such meal kit services will only keep a niche audience, it’s possible that the meal kit service might do otherwise. Imagine that you have all the ingredients and instruction delivered to your with grocery stores already feeling the heat of meal kits, and the ever-rising food prices, the paradigm, however slight the opportunity, might change.

Fast-food could continue to flourish.

While many would have predicted a few years ago that fast food will meet its end with fast-casual, that claim might be hard to believe today, especially with Q4 reports from McDonald’s and Burger King  Assuming this trend continues, it might be a sign for investors to go more towards fast food and less  on fast-casual.

Fast-casual competition might become rampant.

If you even just google “fast casual,” you’ll be bombarded with articles about this fast-casual chain seeing growth and this fast casual chain opening a million new restaurants in this major city. But there’s a hidden meaning to all this explosive growth: Competition.

With the explosion of different brands, especially fast-casual pizza concepts and fast-casual burger concepts, it’s entirely possible that brands will open and close, and open and close, until fast-casual innovation grinds to a halt.


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