Quick Service Restaurant Costs

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A quick overview of the real costs of QSR food.

A quick overview of the real costs of QSR food.

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  • 1. QUICK SERVICE RESTAURANTS LEARNINGS QSR 101
  • 2. The term “franchise” originated from a French word, meaning “free from servitude”.
  • 3. Sandwich, Subs and Wraps Market 20,000,000,000 th w ro G $16.8 billion 0% 15,000,000,000 7 10,000,000,000 $9.9 billion 5,000,000,000 0 1999 2004
  • 4. Costs Average QSR Food costs 26-32% (McDonalds & Burger King 26-27%)
  • 5. Costs Soft Drinks Paper 1¢ per ounce 5% of total sales (10-15% of sale price, add 3-4¢ for cup, lid, straw)
  • 6. Costs Coffee 15-20%
  • 7. Costs Specialty Coffee 12-18% (no free refills)
  • 8. Costs Iced tea 5-10% (highest cost is the slice of lemon)
  • 9. Beverages are very high margin products, Menu should push beverages at every possible opportunity.
  • 10. 38% of foodservice sales are to-go
  • 11. 38% of foodservice sales are to-go
  • 12. Take-out is a $160 billion industry
  • 13. Top 10 Most Popular Foods Men Women 1) Hamburger 1) French fries 2) French fries 2) Hamburger 3) Pizza 3) Pizza 4) Breakfast sandwich 4) Side salad 5) Side salad 5) Chicken sandwich 6) Eggs 6) Breakfast sandwich 7) Doughnuts 7) Main salad 8) Hash browns 8) Chinese food 9) Chinese food 9) Chicken nuggets or strips 10) Main salad 10) Rice
  • 14. QUICK SERVICE RESTAURANTS LEARNINGS QSR 101