GITNUX MARKETDATA REPORT 2024

Fast Food Franchise Profitability Statistics

Fast food franchises have high profitability thanks to their consistent customer base and streamlined operations.

In this post, we will explore the profitability and revenue figures of various fast-food franchises based on recent statistics. From Chick-fil-A’s net profit percentage to Subway’s estimated profitability rate, we will delve into key data points that shed light on the financial performance of well-known chains such as McDonald’s, Wendy’s, Domino’s Pizza, and more. Whether you’re curious about annual sales figures or franchisee profitability percentages, this analysis will provide valuable insights into the financial landscape of the fast-food industry.

Statistic 1

"In 2019, the average net profit for Chick-fil-A franchisees was about 5% of sales."

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Statistic 2

"McDonald's revenue totaled approximately $19.2 billion in 2020."

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Statistic 3

"Subway franchises have an estimated profitability rate of 10% to 15%."

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Statistic 4

"The average annual sales per unit of Taco Bell in the United States was $1.5 million in 2019."

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Statistic 5

"The average annual unit volume for KFC in the U.S. was approximately $1.2 million in 2019."

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Statistic 6

"In 2020, Wendy's revenue totaled approximately $1.73 billion."

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Statistic 7

"The average net profit for Domino's Pizza franchisees was roughly 7.98% in 2020."

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Statistic 8

"Starbucks' revenue worldwide in 2020 totaled $23.5 billion."

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Statistic 9

"Popeyes Louisiana Kitchen franchises average profitability is around $100,000 - $400,000 according to Franchise Business Review data."

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Statistic 10

"Subway's annual sales in 2019 were around $10.4 billion."

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Statistic 11

"In 2020, Shake Shack's total revenue amounted to around $594.5 million."

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Statistic 12

"Dunkin' franchisees can expect to earn 15-20% profit on their initial investment in the first 1-2 years."

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Statistic 13

"Burger King's net income in 2020 was approximately $331 million."

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Statistic 14

"Despite the pandemic, Wingstop reported record-breaking annual sales of $1.3 billion in 2020."

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Statistic 15

"Five Guys average sales per unit in 2019 was approximately $1.2 million."

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Statistic 16

"Arby's average unit volume for a traditional restaurant in 2020 was around $1.14 million."

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Statistic 17

"Little Caesars’ marketing cost per store fell to an estimated $4,000 to $6,000 annually, which increases its franchise profitability."

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In analyzing the profitability and revenue statistics of various fast food franchises, it is evident that there is a wide range of financial performance across the industry. Certain well-known chains such as Chick-fil-A, Subway, and Dunkin’ have demonstrated strong profitability percentages, indicating successful business models. Conversely, despite high revenue figures, other franchises like McDonald’s and Starbucks exhibit lower profitability rates. The data also highlights the resilience of certain brands like Domino’s Pizza and Wingstop during challenging times, as they managed to achieve record-breaking sales amidst the pandemic. Overall, the statistics emphasize the importance of not only revenue generation but also efficient cost management to ensure sustainable profitability in the highly competitive fast food sector.

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