Mid-Market Restaurant Chains - UK - October 2007

Table of Contents

• Issues in the MarketMain points:
• Definitions
• Abbreviations
• Market in Brief
• Oversupply and excess capacity
• Brands branching out
• A polarised market
• Forceful females
• Conservative diners
• Internal Market Environment
• Key points:
• Eating out -- a near ubiquitous leisure activity
  • Figure 1: UK retail value sales of chilled ready meals, 2001-06
• Attitudes towards eating out
  • Figure 2: Attitudes towards eating out, 2005 and 2007
• Lunch options
  • Figure 3: Frequency of eating out at lunchtime on weekdays in the last month, 2003-07
  • Figure 4: Frequency of eating out at lunchtime on weekdays in the last month, by lifestage groups, 2007
• Negative press coverage
• A highly competitive marketplace
• Broader Market Environment
• Key points:
• PDI and consumer expenditure
  • Figure 5: Trends in personal disposable income and consumer expenditure, 2002-12
• Catering to an ageing population
  • Figure 6: Trends in the age structure of the UK population, by gender, 2002-12
• Rising ABC1s reflect rising affluence
  • Figure 7: Forecast adult population trends, by socio-economic group, 2002-12
• Food, tourism and developing restaurants' positioning
• Competitive Context
• Key points:
• The eating out market
  • Figure 8: The UK eating out market*, by segment, 2002-07
• Rising fresh food costs
  • Figure 9: Indices of retail prices for product categories (food and drink), 2001-07
• Trade Perspective
• Key points:
• Eating out pessimism
• Attracting families
• Healthy sustainable and ethical restaurants
• Expanding consumer choice
• The importance of familiarity in the mid-market
• Increasing importance of the Internet
• Companies and Products
• The principal chains
• Gondola Group Limited (PizzaExpress, ASK, Zizzi)
• Mitchells & Butlers plc (Harvester, Toby, All Bar One, Sizzling Pub etc)
• The Restaurant Group (Frankie & Benny' s, Garfunkel' s, Chiquito, Blubeckers)
• Whitbread Group plc (Brewers Fayre, Beefeater, Costa Coffee)
• Yum! Brands Inc (Pizza Hut, KFC)
• Pizza Hut
• Other companies and brands
• Caprice Holdings
• Carluccio' s
• Clapham House Group
• D&D London
• Giraffe
• Hard Rock Café
• La Tasca
• Leon
• Little Chef
• Loch Fyne
• Moto
• Nando' s Chickenland
• Paramount
• Tragus Holdings
• Wagamama
• YO! Sushi
• Brand Communication and Promotion
• Key points:
  • Figure 10: Adspend of selected restaurant chains, by channel, 1 August 2006-31 July 2007
• Type of Mid-Market Restaurants Visited and How Often
• Key points:
• Type of restaurants
  • Figure 11: Types of restaurants visited in the last three months, day and night, 2003-07
• Daytime -- let' s go down the pub!
  • Figure 12: Type of restaurants visited in the last three months, during the day, 2003-07
• Evening -- fancy a Chinese or Indian?
  • Figure 13: Type of restaurants visited in the last three months, during the evening, 2003-07
• Increasing frequency in eating out
  • Figure 14: Frequency of eating out at restaurants in the last 12 months, 2003-07
• I am woman, hear me roar
  • Figure 15: Frequency of eating out at restaurants in the last 12 months (Day or Evening), by gender, age, socio-economic group, region, ACORN category, marital status, working status and lifestage groups, 2007
• Attitudes Towards Food and Eating Out
• Key points:
• Dietary statements
  • Figure 16: Agreement with selected dietary statements, 2003-07
• Making the link between health and trading up to organic ingredients etc
  • Figure 17: Agreement with selected dietary statements, by gender, age, socio-economic group, region, ACORN category, marital status, working status and lifestage groups, 2007
• Dedicated health chain?
  • Figure 18: Agreement with selected dietary statements, by frequency of eating out at restaurants in the last 12 months (day or evening), 2007
• Family meals
  • Figure 19: Agreement with selected family lifestyle statements, 2003-07
• Grab & go youths
  • Figure 20: Agreement with selected family lifestyle statements, by detailed demographics, 2007
• Death of the dining table
  • Figure 21: Agreement with selected family lifestyle statements, by frequency of eating out at restaurants in the last 12 months (day or evening), 2007
• Attitudes towards food issues
  • Figure 22: Agreement with selected food statements, 2003-07
• Filtering through the changes
  • Figure 23: Agreement with selected food statements, by detailed demographics, 2007
• Time to offer consumers something extra?
  • Figure 24: Agreement with selected food statements, by frequency of eating out at restaurants in the last 12 months (day or evening), 2007