Michael Schaefer, consumer foodservice industry analyst at Euromonitor International, explains how more fast casual brands are starting to delve into outlets, or small versions of their stores designed to cater to different aspects of the dining experience.
For instance, McDonalds and Burger King have created kiosk-style outlets to sit along the Mexico City metro. They are small and sell beverages, ice cream, and other snacks appealing to the bustling commuter. Schaefer expects to see more of these outlets as brands look to reach out to every type of consumer.
On the other end of the spectrum, Starbucks and Costa Coffee have begun to develop outlets that cater to more of a “high-end” consumer. Costa Coffee has developed a ‘metropolitan’ outlet concept in the London area that is smaller than their usual store and geared towards take-out service. In a slightly different vein, Starbucks has built several outlets, each with a unique ‘high-end’ design. Schaefer speculates that this kind of outlet design will continue in coffee brands due to the fact that almost all foodservices are selling coffee. Therefore, there will be a need for coffee-specific brands to set themselves apart.
Grocery retailers are also paying special attention to CFS. Schaefer makes an example of Wegmans , a regional chain in the eastern US, which has started “The Pub“. The Pub is just as the name suggests; a working pub inside of the grocery store. Schaefer believes the special attention paid to CFS by grocery stores will intensify moving forward, mainly because it brings more money into the stores through costumers that would already be shopping.