NEW YORK – A study conducted by Allied Market Research found that the Philippines’ fast food service restaurants market continues to improvise in product offerings, number of outlets, hospitality, and other perks regarding prices that attract a higher number of customers.
The Philippines’ fast food market was estimated at $4.7 billion in 2019 and is expected to hit 7.9 billion by 2026, registering a Compound Annual Growth Rate (CAGR) of 6.9 percent. A rise in demand for convenience food, key promotional strategies of fast food restaurants, and implementation of effective pricing strategies fuel the market’s growth.
The report said that over the years, Filipinos, particularly millennials, have been open to different types of innovative food products due to the increase in the influence of Westernization among the target customers. Considering this customer perception, some of the key players in the Philippines’ fast food service restaurant market have been strategizing on innovating their existing product offerings.
For instance, the report mentioned the U.S. fast food giant Kentucky Fried Chicken which specializes in preparing fried chicken, added new flavors in Spanish Salpicao, Japanese Teriyaki, and Spicy Gangnam Chicken for its Filipino customers.
The key market players analyzed in the study include Army Navy Philippines, McDonald’s, YUM Brands, Shakey’s Pizza Asia Ventures Inc., Goldilocks, Chooks-to-go, 3M Pizza Philippines, Jollibee, BonChon Chicken Philippines, and Wendy’s. These market players have incorporated several strategies to brace their stand in the industry, including partnership, expansion, collaboration, joint ventures, etc.
The Allied Market Research report analyzed fast food businesses’ product type and nature. Based on product type, the burger/sandwich segment accounted for nearly two-fifths of the total market share in 2019 and is expected to retain its dominance by 2026. On the other hand, the seafood segment would showcase the fastest CAGR of 9.1 percent throughout the forecast period. The other segments studied in the report include pizza/pasta and chicken.
Based on nature, the franchised segment held the lion’s share in 2019, garnering more than half of the global market.
Simultaneously, the independent segment would manifest the fastest CAGR of 7.5 percent during the study period.
The Allied Market Research is a market research, consulting, and advisory firm offering high-quality syndicated and customized market research reports, consulting services, and valuable insights to leading market players, startups, investors, and stakeholders.