New restaurant brands fuel the eating out market

Despite the UK’s depressed economy the eating out market continues to see a steady rollout of new restaurant and food takeaway brands, particularly those offering good quality, healthy, food-to-go and those based on Mexican and Japanese cuisines.

In its recently launched Ones to Watch service, foodservice consultancy Horizons charts the progress of small chains of between five and 25 units which have shown at least 20% growth over the past three years combined. It also includes Bubbling Under brands which fall below these criteria, but which show potential as trendsetters.

The first Ones to Watch analysis identifies a clear growth in Mexican and Japanese cuisine-to-go, meeting consumers’ demand for something healthy and different.

The growth of Mexican foodservice brands suggests that the cuisine is finally finding a mass audience in the UK. Tex-Mex specialist Chimichanga has added seven restaurants to its portfolio since 2008, while Tortilla Mexican Grill has opened a further two outlets since 2008 giving it six restaurants in the capital.

Burrito specialist Barburrito now has six units in the North West, Yorkshire and Humberside and bubbling under is Mexican burrito outlet Chilango, which has grown from one outlet in 2008 to four in 2011, albeit with a recent closure.

Japanese chains – both restaurant and quick service – are also on the march, reflecting consumers’ growing preoccupation with eating healthily, particularly at lunchtime. Sushi and bento specialist Wasabi, for example, now has 23 units in London – up from 11 in 2008, while Feng Sushi and Hi Sushi now have seven outlets each.

Delivery and retail chain Itsu, which sells Japanese-style food boxes as well as hot dishes, has now gone beyond the remit of Horizons’ Ones to Watch, with 35 stores in London as well as two flagship restaurants.

Adding the most outlets to its portfolio since 2008 is gourmet burger brand Byron, which in 2007 had just one outlet rising to 19 by the end of 2011. Currently all are in London but brand owner Gondola is likely to expand outside the capital in its stated quest to create a nation of ‘proper’ hamburger lovers. Average spend at Byron is £16.

Outlets offering consumers an alternative to a lunchtime sandwich, particularly those selling freshly prepared, quality food with an emphasis on healthy eating, are also on the increase. Wrapid and Wrap it Up, which specialise in wraps, now have 16 and six outlets respectively.

Bagel stores are another growth area as are frozen yogurt outlets.