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Wednesday, September 5, 2012

McDonald's Still Dominates Fast Food...


A Guest Post from Spots ‘n Dots, The Daily News of TV Sales

...BUT CHICK-FIL-A MAKES MORE MONEY PER UNIT
It’s not surprising that McDonald’s stands above the rest of the quick serve restaurant industry like a Colossus. It has more units than any chain except Subway (14,098 for McDonald’s vs. 24,722 for Subway) and brings in three times more revenues each year than Subway, its closest competitor ($34 billion vs. $11 billion). But there is a category in which it falls short, at least it did in 2011. Its revenues per store were 2.5 million, very good for the industry, but behind the $2.893 million brought in by every Chick-fil-A restaurant--and that chain does not even open on Sundays! Subway makes only $469,000 per store per year.

QSR Magazine takes the pulse of the quick serve industry each year and publishes a breakdown of the 50 top chains. As noted above, Mickey D’s and Subway were on top for last year. Beyond those two chains, the list gives a pretty good snapshot of those brands that were growing and those that were not, at least last year.

For instance, Starbucks, with 10,821 locations, $9.75 billion in revenues and $1.14 million in revenues per store, actually lost 310 locations in 2011. Wendy’s and Burger King were numbers 4 and 5 on the list, having switched positions from the year before. Both trailed McDonald’s in every category. Wendy’s brought in $8.5 billion in 2011, it had 6,594 locations and averaged $1.456 million in revenues per store. BK’s 2011 revenues were $8.4 billion, from 7,231 locations with a take of $1.248 million per store. Burger King has seen a bit of a renaissance this year, but in 2011 it closed 33 units while Wendy’s was opening 18. Taco Bell had fewer locations that BK, 5,670--36 more than in 2010--but it took in more revenues per store, $1.284 million, for a total take of $7 billion in 2011. Also making the top ten for 2011 were Dunkin’ Donuts ($6.5 billion in revenues, $850,000 per store, 7,015 locations, +115 units in 2011); Pizza Hut ($5.5 billion, $875,000, 7,600, +58); KFC ($4.5 billion, $949,000, 4,780 locations, -275 units); and Chick-fil-A ($4.051 billion, $2.893 million, 1,606 locations, + 69 units).

In the top 50, Little Caesars (#23, $1.48 billion, $465,000 per unit) added the most new locations--305--followed by Five Guys Burgers & Fries (#25, $950 million, $1.156 million) with 182. Quiznos (#26, $921 million, $345,000 per store) closed the most units, 334, between 2010 and 2011.

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