Food Service Segments

Food Service Segments

1. Commercial

   • establishments referred to as restaurants
     • operates to generate revenue
       • Quick Service/Limited Service
         • provides limited number of food items in a very short period of time
           • customers order at a counter/drive thru, pay for food before consuming it
             • target indivs who are looking for value, have limited amount of time
               • different from casual restaurants because they pay at counter, then consume
                 • ex) Blaze Pizza
       • Casual
         • initially created to cater to middle class
           • for ppl who enjoy the activity of going out to eat, being served without high price associated with upscale or fine dining
             • promotes casual relaxed atmosphere to dine in
               • casual dining restaurants may revolve around a certain theme such as seafood or italian food
                 • sometimes named after celebrities that own the brand
                   • ex) Margaritaville
       • Upscale fine dining
         • someitmes referred to as white tablecloth restaurants
           • high level of service is delivered and expected
             • the restaurant decor itself helps convey the feeling of superior dining experience
               • price associated with upscale dining restaurant is rather expensive
                 • what distinguishes fine dining from casual- dress code, have to make reservations, price, decor
       • Other types of commercial dining
         • hotels, country clubs, airports, cruise ships, convenience stores/grocery stores, tourist attractions at zoos, museums, sporting events etc
           • Hotels
             • hotel food service is slightly different
               • often operate w extended hours
                 • have different types of menus
                   • limited menu for in-room dining
                     • profit margin is typically lower than that of a stand-alone resturant
           • country/golf clubs
             • a grill
               • upscale type restaurant
                 • banquet dept to handle special events
                   • a snack bar/cart
                     • not there to make a profit in most cases- there as an amenity for the members
           • airlines/airports
             • continue to adjust the availability of food service aboard
               • many charge for food options
                 • many interesting options for food in airports, some upscale restaurants
           • cruiseships
             • offer variety in food service choices
               • known for all you can eat option
                 • casual dining/ buffet type restaurant
           • tourist attractions
             • cafeteria style food, food service that rivals the best fine dining establishment int the coutnry
           • convenience stores
             • typically thought of as grabbing a quick bite
               • convenience stores such as Wawa and Sheetz are offering made to order food items
                 • putting them in direct competition w traditional restaurant concepts
                   • differing levels of food service offered at these types of food service establishments can range from simple snack machines to very large stores that offer a restaurant option
                     • may be retail hosts- subway in gas station/ starbucks in target
           • New commercial optinos
             • hybrid- often referred to as the fast-casual restaurant that combines a quick service and casual dining restaurant
               • may be seated by hostess

2. non- commercial

   • establishments that are referred to as either self-operated or contract foodservice
     • provided as a service to an institution that contracts them out (main goal is not to generate revenue)
       • used for education, healthcare, military
         • contract management company is in business to be profitable
           • must find delicate balance to achieve margins needed
             • they provide managment with expertise in food service
               • Military Food Service
                 • seen a change over the past decade
                   • similar trends as in commercial food service
                     • types of presentation and food has changed to make military feel as though they are dining in casual restaurant
                       • partnering with commercial food service to offer more food options
       • Future Trends
         • the food service industry is constantly evolving to keep up with the needs and wants of its consuers
           • product development