Limited-service restaurants may increasingly incorporate robotics and automation into their operations over the forecast period, either through automated order-taking systems, robotic food preparation, or even robotic delivery mechanisms, to enhance efficiency and reduce human labour requirements. This type of development is likely to become increasingly evident, with the United Arab Emirates often at the forefront of technology.
Increasing labour and operating costs, including rising minimum wages, employee turnover, and technology investments, can constrain profitability for limited-service restaurants in the United Arab Emirates over the forecast period. Additionally, volatility of food prices and supply chain disruptions, along with a complex regulatory environment encompassing health codes, labour laws, and licencing requirements, can further impact profitability.
Many brands of limited-service restaurants in the United Arab Emirates will want to expand their customer reach beyond having a physical store presence. This will enable them to gain greater traction and reach new demographics.
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Limited-Service Restaurants
Limited-Service Restaurants (LSR) combine fast food and 100% home delivery/takeaway outlets. These outlets offer limited menus with items that can be prepared quickly. Customers typically order, pay, and pick up their order from a counter, though some outlets can have limited table service. This also includes 100% Home Delivery/Takeaway which provide no facilities for consumption on the premises. LSR tend to specialize in one or two main entrees such as hamburgers, pizza, or chicken, but they usually also provide drinks, salads, ice cream, dessert, etc. Food preparation is generally simple and involves one or two steps, allowing for kitchen staffs generally consisting of younger, unskilled workers rather than professional chefs. Other key characteristics include: • A standardised and restricted menu • Tight individual portion control on all ingredients and on the finished product • Individual packaging of each item • Counter service • For Chained Limited Service Restaurants, chained and franchised operations which operate under a uniform fascia and corporate identity • Any outlet offering full-service restaurant seating with servers would be excluded, even if delivery service is available.
See All of Our DefinitionsThis report originates from Passport, our Limited-Service Restaurants research and analysis database.
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