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The Restaurant, Fast Food and Catering Industry in South Africa 2016

  • June 2016
  • -
  • Who Owns Whom
  • -
  • 164 pages

Summary

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The South African Restaurant, Fast Food and Catering Industry: This report focuses on South Africa’s restaurant, fast food and catering industry, which generated revenue of an estimated R49.28bn in 2015. It is a sector that promotes entrepreneurship and provides approximately 200,000 jobs throughout the country. The industry covers a broad spectrum of culinary experiences, ranging from fine dining to casual ‘pop-up’ eateries, street food and food trucks. Unlike the majority of independent restaurants, which generally operate from a single location, restaurant and fast food franchise chains have multiple branches.


Under Pressure : The difficult economic conditions have impacted negatively on catering companies with both the public and private sectors having had to tighten their belts. Going forward, insiders warn that a great number of jobs are likely to be shed following the recent ‘OutsourcingMustFall’ protest action that took place at institutions of higher learning across the country.


A Resilient Sub-Sector: In the fast food and restaurant sector local and international food franchises have proved to be more resilient than independent players who have found it difficult to cope with food inflation, increasing operating costs, power outages, dwindling customer numbers, and more recently, water shortages in many areas. Although the local fast food segment is highly competitive, both existing and prospective players believe that opportunities are plentiful, a view borne out by the entrance of numerous mega-brands over the past three years.



Report Coverage:

The Restaurant, Fast Food and Catering Industry report examines current conditions and key trends in the industry, outlines recent developments and corporate activity, and discusses the factors that influence the success of the sector. Local market leaders, Famous Brands, with its 25 domestic and global brands, and Taste Holdings with its newly-acquired Starbucks brand, are just two of the 41 companies profiled. Also profiled are Gold Brands, whose Chesa Nyama brand is currently the fastest-growing brand in South Africa, and Nando’s, generally viewed as South Africa’s most successful food franchise export with a global network of over 1,000 restaurants in 30 countries, across five continents.

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