Inflation has impacted many industries, with consumer foodservice amongst them, Accordingly, consumers are getting smarter in their spending and trying to save as much money as possible. Limited-service restaurants brands have been responding to changing in consumer behaviour, with players that are focused on expanding in the country offering promotional activities to attract budget conscious consumers.
Drive-through is growing rapidly in Saudi Arabia, thanks to its ease of access and convenience. Saudi Arabia is well known for its hot weather, which is not very convenient for walking in the streets.
Home delivery continues to expand significantly in Saudi Arabia. Younger consumers proved key to kick-starting growth in delivery sales in the market.
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Limited-Service Restaurants
Limited-Service Restaurants (LSR) combine fast food and 100% home delivery/takeaway outlets. These outlets offer limited menus with items that can be prepared quickly. Customers typically order, pay, and pick up their order from a counter, though some outlets can have limited table service. This also includes 100% Home Delivery/Takeaway which provide no facilities for consumption on the premises. LSR tend to specialize in one or two main entrees such as hamburgers, pizza, or chicken, but they usually also provide drinks, salads, ice cream, dessert, etc. Food preparation is generally simple and involves one or two steps, allowing for kitchen staffs generally consisting of younger, unskilled workers rather than professional chefs. Other key characteristics include: • A standardised and restricted menu • Tight individual portion control on all ingredients and on the finished product • Individual packaging of each item • Counter service • For Chained Limited Service Restaurants, chained and franchised operations which operate under a uniform fascia and corporate identity • Any outlet offering full-service restaurant seating with servers would be excluded, even if delivery service is available.
See All of Our DefinitionsThis report originates from Passport, our Limited-Service Restaurants research and analysis database.
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