Who are the major players in Saudi Arabia’s fast-food industry, and is there room for further expansion? A recent report on the fast-food and quick-service restaurant (QSR) sector in Saudi Arabia has identified the key players and potential areas for growth. This new report has analyzed the most popular fast-food and QSR chains in Saudi Arabia, shedding light on the brands with the largest number of outlets.
In GapMaps’ Fast Food and Quick Service Restaurant Retail Network Report for Saudi Arabia in 2023, the study encompasses store counts and market presence of leading QSR and fast-food brands. This bi-annual report examined 15 brands at almost 2,300 locations throughout the Kingdom, with a specific focus on store networks and growth opportunities. The report not only showcases the dominant players in the market but also unveils potential areas for expansion.
Leading the way is Herfy, a prominent Saudi Arabian fast-food brand, which currently boasts the largest network of stores in the country. Herfy has established a significant presence with over 362 locations in most cities with a population exceeding 100,000 residents, including a stronghold in the 34 cities with populations exceeding 500,000 residents. McDonald’s secures the second-largest store network in Saudi Arabia, with 351 locations nationwide, closely trailing Herfy in terms of store count. Notable brands such as Domino’s, Kudu, and Burger King have also built substantial store networks, each with over 200 locations.
Andrew Smith, the Director of Economics and Research at GapMaps, emphasized that the report offers valuable insights that will inform future growth strategies in the country. He stated, “Our report provides valuable insights into the competitive landscape of the fast-food and QSR sector in Saudi Arabia, as brands continue to expand their networks across the nation.” Smith also noted, “We believe that ongoing urban development in major cities presents opportunities for growth across the assessed brands. Furthermore, many brands have yet to fully expand their networks in major and smaller cities.”
The report underscores that only the top five brands have ventured into Tier 5 cities, which are cities with populations ranging from 50,000 to 100,000 residents. Smaller cities with populations below 50,000 typically only feature fast-food outlets if there are additional sales drivers, such as major highways, tourist hubs, or other significant factors.
GapMaps’ inaugural report highlights the potential for growth and expansion in the sector within the region. With a favorable economic climate expected to boost this growth, it is anticipated that more brands will emerge and thrive in the country. This report serves as a valuable resource for businesses seeking to make well-informed decisions regarding network expansion and optimization strategies.
GapMaps is an Australian-owned and operated company that equips businesses with the necessary tools to make informed location decisions. The GapMaps Live platform integrates the latest socio-demographic, economic, customer, and competitor data, streamlining the process of market planning and location intelligence strategies. Serving clients across 23 countries and catering to more than 500 businesses, the company offers comprehensive solutions for various sectors, including fast food, cafes, health and fitness, and more.
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