In 2017, it is expected that restaurants will attach more importance to online food sales to bolster their receipts. Given the convenience of online food service with their accompanying deliveries via direct contact with restaurants or their related service providers, we at KResearch project that turnover in the restaurant food delivery business in 2017 could reach perhaps THB26-27 billion, increasing 11-15 percent YoY. However, overall receipts in restaurant business may grow only 2-4 percent YoY.
Chain food service providers with their own online channels have increasingly partnered with food delivery providers to expand their customer base. Such a move has also been undertaken by non-chain restaurants to enhance their competitiveness versus chain food service providers. To expand their reach, non-chain restaurants use online customer data to market their food offerings.
KResearch expects that chain restaurants will continue to expand branches slowly in 2017 by carefully selecting locales that are most suitable for their brands. However, branch expansion may cause turnover at existing branches to decline, since their current patrons might just switch to new branches closer to them, instead. Meanwhile, challenges to restaurant business right now seem to include how to be the first to offer new foods to the market, finding locales that are more competitive and tapping into consumers who like to try new foods.
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