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QSR or FSR Franchise – How to decide?

Dec 7, 2021 Franchise Information

Looking to invest in a restaurant franchise opportunity? Are you a QSR type or FSR type? Let’s break down what these two franchise types are to help you decide.

 

What is a Quick Service Restaurant (QSR)?

QSR stands for Quick Service Restaurant, though they are more commonly known as fast-food restaurants. Examples include New York Fries and Harveys.

If you are a passionate entrepreneur who wants to grow your business with various types of revenues, then a “Quick-Service Restaurant” (QSR) is a great choice.

“Fast casual restaurants are well positioned to capitalize because quality and menu innovation are at the forefront of everything that we see in fast casual, be it from coffee to burgers.” – Mark Dempsey, Restobiz

Here are some more reasons a QSR might be the right business model for you:

What QSRs Offer You

  • Fast delivery of the product
  • Huge market size
  • Least investment
  • Easy to market and replicate
  • Branded graphics
  • Easy to maintain design and furniture
  • No need to hire for table service
  • No need to take reservations

What a QSR Offers To Guests

  • Fast food at a reasonable price and minimum time
  • Limited menu, fixed food to order
  • Some seating provided
  • Functional ambiance and design
  • Take out options
  • Meals are paid for before eaten and can be taken away

Things To Consider Before Investing In a QSR


Millennials 

When it comes to millennial spending habits, quick service restaurants (QSR) are in a strong position. According to Shopkick, Millennials are more willing than other generations to eat out and eat on the go.


The Lunch Market 

According to QSR Magazine, consumers visit fast-food and fast-casual restaurants for lunch more often than FSRs, largely due to time pressures.

What is a Full-Service Restaurant (FSR)?

Full-Service Restaurant franchises are also known as FSR. FSRs are characterized as restaurants that do provide table service to their customers. Examples include Kelseys, and Montanas.

This form of dining has price points of approximately $15 per meal and offers menus with a much wider range, appealing to diverse, more sophisticated palates.

Therefore, these business opportunities are best suited to those with deep experience in the industry, who are looking to step things up.

Some other reasons an FSR might be the right business model for you:

What a FSR Offers You:

  • Larger target market
  • Bill size per table is higher (more expensive, more options)
  • Chef quality food
  • Branded materials
  • Aesthetically pleasing restaurant

What FSRs Offer To Guests

  • Seated by a host
  • Longer menus with more variety
  • An elevated dining experience with ambiance
  • Server takes order
  • Lots of seating (indoor/outdoor)
  • Beautiful interior design; wood and millwork, custom lighting, etc.
  • Professional service
  • Take out options
  • Meals are paid for after they are eaten (unless taking out)
  • Live events and music

Things To Consider Before Investing In a FSR


Delivery Service

Many full-service restaurants have been reluctant to use delivery platforms due to high commission fees, however, at Recipe, we absorb this cost on our franchisee’s behalf.


Health & Wellness

People have become more concerned about the nutritional value of their food and their children’s food. Therefore, having diverse food options is an asset.

So, what’ll it be? QSR or FSR?

Contact us today to find your answer.

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