Why Invest in the Fast-Casual Industry

Freddy’s Franchise Is Well-Positioned to Grow

Fast-casuals are filling a niche market in the restaurant industry. They offer a quick, made-to-order menu prepared with higher quality ingredients than fast-food options, and guests enjoy a more casual dining experience than traditional dine-in restaurants. Freddy’s Frozen Custard & Steakburgers delivers this perfect combination.

Here are some fast-casual restaurant industry statistics, and why now is a great time to invest:

  • In 2019, the fast-casual restaurant market size was valued at $125.6 billion. It is expected to reach $209.1 billion by 2027. This represents a compound annual growth rate (CAGR) of 10.6% from 2021 to 2027. 
  • The burger/sandwich segment led in terms of fast-casual restaurant market share in 2019 and is expected to retain its dominance throughout the forecast period.
  • The takeaway segment of the fast-casual industry is estimated to generate the fastest CAGR of 11.9% from 2021 to 2027.

According to Restaurant Business, Freddy’s is the #8 fastest-growing chain in the U.S. with system sales up 20%. We are ranked #61 overall in the Restaurant Business Technomic Top 500 ranking.

What’s Fuelling the Fast-Casual Industry?

  • Fast-casual restaurants have had a growth rate of 500% since 1999!
  • Consumers want a healthier alternative to fast-food, but they still want convenience and speed of getting a meal.

While fast-casual is the smallest portion of the food service industry at 7.5%, it is the fastest-growing segment.

How Freddy’s Invests in Fast-Casual Restaurant Success

Capitalizing on the growth of the fast-casual industry, Freddy’s has made some investments to make our brand even more attractive to consumers – and it’s working! 

Here’s what we’ve done so far:

  • Digital Ordering
     Customers can access web and mobile ordering.
  • Expanding NA Market
     In 2022, Freddy's signed agreements to entered 9 provinces in Canada.
  • 800 Locations by 2026
    With a robust pipeline, Freddy's is on its way to having 800 locations open by 2026.
  • The Freddy's Way
    We keep up with trends without sacrificing our principles or food quality.
  • Drive-Thru Times
    We take orders to benefit guests and reduce drive-thru times in peak periods.
  • Non-Traditional Footprints
    In 2022, we opened our first airport location at the Will Rogers World Airport in Oklahoma City and in 2023, we opened a Freddy’s in Busch Stadium. In addition to airports and stadiums, other non-traditional locations include college campuses and casinos.
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