Concern over rising obesity levels has eaten into demand for fast food and slowed down the overall growth of the restaurant market, according to a new report by Key Note.
The amount spent in 2003 on fast food dropped by 3.2% to £3b, although this still accounted for a quarter of consumer expenditure on restaurant meals.
The good news for other operators is that the total restaurant market grew by 2.8% to £12b over the same period.
Key Note predicted that fast-food restaurants would continue to lose market share in 2004 and 2005, although it forecast that the overall restaurant market would grow by between 5.1% and 5.9% from 2006 to 2008 to be worth £15.2b.
Source: Caterer & Hotelkeeper magazine, 2 September 2004