Why The French Love American Fast Food
Summary
TLDRAmerican fast food chains are experiencing significant growth in France, with over 1300 stores opened between 2019 and 2023, generating €19 billion in profits in 2023 alone. Brands like McDonald's and Burger King have adapted to the French palate by offering higher quality, innovative menu items, and sourcing ingredients locally. The popularity of these chains reflects a shift in French society towards convenience and indulgence, despite the country's reputation for fine dining and gastronomy.
Takeaways
- 🌟 American fast food chains like Popeyes and Krispy Kreme are gaining popularity in France, with the French showing a growing appreciation for American fast food over the years.
- 📈 Between 2019 and 2023, over 1300 fast food stores opened in France, generating €19 billion in profits in 2023 alone, indicating a booming market.
- 🍔 Fast food sales in France increased by 61% between 2013 and 2023, with McDonald's and Burger King leading the market with combined sales of €8.3 billion in 2023.
- 🍟 The burger segment plays a significant role, accounting for about half of the country's fast food sales, with the burger becoming an essential item on restaurant menus.
- 🎯 American fast food companies have succeeded in France by leveraging clever marketing and building strong brands around iconic products like the Popeyes chicken sandwich, McDonald's Big Mac, and Burger King's Whopper.
- 🍽️ Despite France's high culinary standards and love for fine dining, the convenience and indulgence of fast food have become increasingly attractive to the French crowd.
- 🌍 American Quick Service Restaurants (QSRs) have adapted to the French market by sourcing ingredients from local farmers and adjusting menu items to cater to French palates.
- 📈 The fast food industry in France has been boosted by societal shifts like digitization, with online orders now constituting a significant portion of sales.
- 🌐 American pop culture influence has played a role in the acceptance of American fast food in France, with younger generations excited about the arrival of these brands.
- 📉 However, the fast food industry faces challenges such as inflation, changing consumer preferences, and environmental concerns, which have led to some backlash and store closures.
Q & A
How has American fast food influenced the French market in recent years?
-American fast food chains have significantly impacted the French market, with over 1300 fast food stores opening between 2019 and 2023, generating €19 billion in profits in 2023 alone. This growth has been fueled by the popularity of brands like McDonald's and Burger King, which have become the largest players in the market, as well as newer arrivals like Popeyes and Krispy Kreme.
What is the French public's perception of American fast food?
-The French public has embraced American fast food, appreciating it more than Americans themselves in some cases. The trend is seen as addictive and bringing happiness, with a significant increase in fast food sales between 2013 and 2023. Despite France's reputation for fine dining, the fast food culture has become trendy, showing a shift in the French palate.
How have American fast food brands adapted to the French market?
-American fast food brands have adapted to the French market by sourcing ingredients from local French farmers, altering menu items to cater to French palates, and ensuring their products meet European Union food standards. They have also focused on building an emotional connection with consumers and presenting a modernized, high-quality image.
What factors have contributed to the growth of the fast food industry in France?
-Several factors have contributed to the growth of the fast food industry in France, including societal shifts like digitization, which has facilitated services like takeaway, drive-thru, and online ordering. High inflation and shortened lunch breaks have also led to a demand for convenient and affordable meal options. Additionally, the influence of American pop culture and the appeal of larger portions have played a role.
How have traditional French culinary values influenced the American fast food offerings?
-Traditional French culinary values have influenced American fast food offerings by encouraging the sourcing of local ingredients and the adaptation of menu items to suit French tastes. This has led to a 'French-friendly' approach where even American fast food chains are seen as part of the local culture, with items like the raclette campaign being particularly successful.
What challenges have American fast food chains faced in France?
-American fast food chains have faced challenges such as boycotts related to international conflicts, pricing backlash, and environmental concerns. For instance, in 2024, McDonald's and Starbucks experienced a sales slump due to boycotts related to the war in Gaza, and there have been protests against fast food chains over their environmental practices.
How has the French fast food market evolved in terms of digital presence?
-The French fast food market has significantly evolved in terms of digital presence, with a shift towards online ordering and digital tools to improve consumer experience. For example, McDonald's has reported that less than 10% of their orders are made at the counter, with 60% being online.
What is the projected value of the QSR market in France by 2028?
-The QSR market in France is projected to be worth about €21.5 billion by 2028, indicating a substantial growth potential for American fast food chains and other quick service restaurants.
Which American fast food chains have recently entered the French market?
-Popeyes and Krispy Kreme opened their first French stores in February 2023 and February 2024, respectively, marking their recent entry into the French market.
What are some of the unique campaigns that have been successful in the French market?
-One of the most successful campaigns in the French market has been the raclette campaign, which has been running annually for the past six years and is particularly loved by the French consumers.
Which American fast food chains are planning to expand further in France?
-Several American fast food chains are planning to expand further in France, including Wendy's, which is supposedly planning a move, and Carl's Jr, which broke ground on its first French location in 2023.
Outlines
🍔 American Fast Food's Success in France
American fast food chains like Popeyes and Krispy Kreme are gaining popularity in France, with a significant increase in the number of stores and profits. The French have developed a taste for American fast food, with KFC being a favorite. Between 2019 and 2023, over 1300 fast food stores opened in France, contributing to €19 billion in profits in 2023 alone. Despite France's reputation for gastronomy, the country has become McDonald's and Burger King's second-largest market outside the US. American fast food brands have adapted to the French market by offering iconic products and clever marketing, making their offerings an affordable indulgence. The French palate is changing, with a high propensity for American brands and a demographic that supports restaurant success.
🥗 Adapting to French Palates and Market Strategies
American fast food brands have tailored their offerings to cater to French tastes, creating new products or modifying menu items. Pizza chains have introduced French-friendly campaigns, such as the raclette, which has been highly successful. These chains are now seen as much French as American by consumers. Brands like McDonald's and Burger King have a strong presence due to their early entry into the market and rapid expansion. The industry has adapted to societal shifts like digitization, with a focus on online orders and delivery services. The influence of American pop culture and the appeal of larger portions and convenient meals have also contributed to the success of American fast food in France.
🌿 Environmental and Social Challenges in Fast Food Expansion
While the American fast food industry continues to expand in France, not all expansions are welcomed. There have been protests against new outlets due to environmental concerns, and new laws have been implemented to reduce waste and packaging. Despite these challenges, the market still has room for growth, with several major American brands yet to fully enter the French market. The industry is projected to be worth about €21.5 billion by 2028, and there is a focus on expanding chicken offerings and exploring alternative distribution methods. The unique touch that French restaurants bring to American fast food concepts is highlighted as a key factor in their continued success.
Mindmap
Keywords
💡American fast food
💡French palate
💡Quick Service Restaurants (QSR)
💡Marketing strategies
💡Adaptation to local tastes
💡Cultural influence
💡Digital age and convenience
💡Economic factors
💡Environmental concerns
💡Market growth and potential
💡Industry challenges
Highlights
American fast food chains like Popeyes and Krispy Kreme are gaining popularity in France, with the French showing a greater appreciation for American fast food than Americans themselves.
Between 2019 and 2023, over 1300 fast food stores opened in France, generating €19 billion in profits in 2023 alone.
Despite France's reputation for gastronomy, the French palate is changing, with the country becoming McDonald's and Burger King's second-largest market outside of the US.
American fast food brands are capitalizing on France's high propensity to consume American brands and the right demographics, leading to increased sales.
Fast food sales in France increased by 61% between 2013 and 2023, with McDonald's and Burger King being the biggest players in the market.
American fast food companies have succeeded in France by building their brands behind iconic products and clever marketing.
Even with high gastronomy standards, France has embraced fast food as a trendy indulgence, showing a balance between fine dining and fast food.
American QSRs have adapted to European Union food standards, resulting in healthier and less processed products than their US counterparts.
American fast food chains have integrated into French culture by sourcing ingredients from local farmers and adjusting menu items to cater to French palates.
The success of American fast food in France is also attributed to the country's young population, high immigration, and high GDP per capita.
American pop culture influence has played a role in the acceptance of fast food among the younger French population.
The convenience of fast food, including takeaway, drive-thru, and delivery options, has flourished due to societal shifts towards digitization.
High inflation and shortened lunch breaks have made affordable, convenient American fast food options more appealing.
McDonald's and Starbucks experienced a sales slump in Q4 2023 due to boycotts related to the war in Gaza, particularly in countries with a high Muslim population, including France.
Subway has closed over 100 of its French storefronts since 2015, indicating volatility and susceptibility to market changes in the restaurant industry.
Environmental concerns have led to protests against new fast food establishments in France, and new laws targeting fast food companies over waste.
The QSR market in France is projected to be worth about €21.5 billion by 2028, with room for growth and new entries like Chipotle and Taco Bell.
American fast food chains in France are focusing on chicken and younger consumer-oriented products for future growth.
The unique touch and adaptation of American fast food to the French market have changed perceptions and increased acceptance.
Transcripts
American fast food is taking over France.
From recent arrivals like Popeyes and Krispy Kreme.
We appreciate more American fast food than Americans
themselves.
To established favorites.
Kfc, of course, because I love chicken.
It's like the hype.
It's the trend now.
It's addictive, I think, and it brings very much of a
happiness to people.
Between 2019 and 2023, more than 1300 fast food stores
opened in France, bringing in €19 billion in profits in
2023 alone.
Despite its reputation for gastronomy, the French
palate is changing.
France is McDonald's and Burger King's second largest
market outside of the US.
A lot of brands want to come in France because France is
an Eldorado. You do 2 or 3 times sales more than the
other country.
It's a country that has a high propensity to eat, eat
American brands and has the right demographics as well,
that restaurants have found success there.
So how did American fast food companies win over the
culinary conscious, fine dining, Michelin star loving
French crowd? CNBC visited Paris to find out.
It's lunchtime in the Lille neighborhood in Paris.
I take this menu today because I love fries and,
uh, I love nuggets.
Between 2013 and 2023, fast food sales increased a
whopping 61% in France.
McDonald's and Burger King are the biggest players.
Their combined sales climbed to a total of €8.3
billion in 2023.
Burgers play a big role.
Quick service restaurants that served burgers
accounted for about half of the country's sales that
year.
The burger has taken a growing share of the market
over the last 30 years, and has become an essential item
on every restaurant menu.
But it's not only burgers.
American fast food companies, helped by clever
marketing, built their brands behind iconic
products.
People in France went to discover, uh, other tastes.
And when you explain that with a good story with an
iconic burger, you succeed.
For Popeyes is a chicken sandwich.
For McDonald's, it's a Big Mac for Burger King it's a
Whopper. We are the country of the Michelin, the
Michelin restaurant. It's like gastronomy, very high
standards. And still, QSR fast food is very trendy.
What that shows is that even though we appreciate
food, we still understand that we love treating
ourselves.
In a five year span, the country's top performing
fast food chains, excluding subway, opened nearly 500
stores across France.
Total profits for the category increased about 10%
during that time.
In the most recent decade has really heated up from
other newer concepts, more fast casual, that have gone
over to France.
I think American concepts have done a great job of
making their offerings an affordable indulgence.
The potential of France is huge given the appetite for
the customer, for both for pizza and for American
brands. So you think that you have a great
combination.
France is a global leader in culinary excellence and
boasts more Michelin starred restaurants than any
other country.
It's home to esteemed culinary institutions like
the Cordon Bleu, producing some of the best chefs in
the world. In 2022, the country claimed 157,000
eateries. More than half were traditional full
service restaurants.
Because of this, legacy, American Quick Service
Restaurants, or QSRs, took a specialized approach when
entering the French market.
But I can tell you about French people is that we
don't get fed, we eat, and actually we treat food with
emotion. So whenever you bring an American brand, you
can't just bring an American brand.
You need you need to bring emotion with your product.
You need to bring connection.
Just given the cliché that France is a fancier place to
eat, the concepts have really led with their best
foot forward, really focused on modernized
images, higher quality, higher price point, more
innovative offerings as well.
That includes sourcing most or all ingredients from
French farmers, like the potatoes used for McDonald's
French fries and the chicken in Popeyes
sandwiches.
It's very important to build this relationship.
They have strong partnership with the
farmers. That's why the QSR, American brands have
succeeded.
American QSRs have adapted to European Union food
standards, and as a result, those products are healthier
and less processed than the US offerings.
These brands also cater to French palates by altering
menu items or creating new products.
But if we speak specifically about pizzas, you know what
it takes is that you need to become French friendly
when it comes to the product that you are
offering. The one campaign that we've been running
every year for the past six years, it is the raclette
and people love it.
Our most successful campaign every year was the
raclette.
And it's paid off.
Many consumers now consider the chains to be just as
much French as they are American.
It feels like it's part of us now.
It's American based, but we don't really see the
difference. There's KFCs McDonald's everywhere.
McDonald's has the strongest foothold, in part because of
its first-mover advantage.
McDonald's was the first quick service concept to go
to France and found tremendous success there.
And I think as a result of that, you've seen that a lot
of folks have wanted to replicate that success.
Burger King, on the other hand, reentered after a 15
year hiatus in 2012.
Now, it boasts the second highest number of American
QSR franchises in the country.
Pizza hut arrived in 1987, KFC in 1991, Subway in 2001,
and Domino's in 2006.
But their rapid expansions happened mostly in the past
decade. Popeyes and Krispy Kreme opened their first
French stores in February 2023 and February 2024.
It's a new brand in France and it's very, very
fantastic for the French people.
Shifts in French society like digitization have
allowed the fast food industry to flourish.
Takeaway, drive thru, click and collect delivery.
All the QSR restaurants can do that.
It's a perfect match for today's needs, with the
hybridization of concepts accelerating even further in
the wake of Covid.
We have a very small part, for instance, now of our
customers coming at the counter to order.
I mean, like it's less than 10% of our orders, 60% are
online.
1 in 5 meals in France is eaten outside the home.
Experts predict that number will increase.
It's a young population, uh, high immigration population,
as well as the fact that high GDP per capita country
that leads to strong unit economics across the
industry.
America's pop culture influence is another
powerful tool.
For young people, they grew up watching series or movies
where in America, you know, they were eating fast foods.
So I think now, uh, when we saw fast food coming in
France, all the young people were pretty excited
about that.
Bigger portions and modest presentations appeal to even
the most delicate palate.
High inflation and shortened lunch breaks have
contributed to a need for convenience.
The American food is tasty, big.
You know that you will be...
Lunchtime today is around 42 minutes.
This prevents people from going home and therefore
encourages out of home consumption.
The QSR American brands respond perfectly to this
problem with the development of digital tools
to improve consumer quality of life.
I really like good food, but you need a budget for that.
So when I want to have a really good French food, I
take my time. It's usually on the weekends.
During my working time, i prefer to go to fast food.
But the restaurant industry is volatile and highly
susceptible to domestic and global changes.
In 2024 McDonald's and Starbucks executives said
that boycotts related to the war in Gaza caused Q4
2023 sales to slump in countries with a high Muslim
population. That includes France, which holds the
largest Muslim population in Europe.
After all, France accounts for 7% of the fast food
chain's total revenue.
McDonald's also blamed its overall weaker performance
on pricing backlash, acknowledging a sales drop
in the US but not commenting on international
markets.
Something I don't like is the string inflation.
They reduced the size of the burger and they raise
the price.
Subway has closed more than 100 of its French
storefronts since 2015.
I think the more near-tum risk is going to be more
macro oriented, that France seems to be the first
European market that's really succumbing to
restaurant industry traffic and restaurant industry
traffic softness.
Staying competitive in the new digital age can be
tricky even with decades of experience.
We come from a world where before 2016, the only people
that were delivering were pizzas and sushi.
I compete with pizzas on one hand, so I need to be
the best in class in that universe.
But I also need to be the best in class on the
delivery business because again, in front of me, I do
have sure actors like McDonald's and BK that are
between 7 and 12 times bigger than me.
Not everyone has welcomed the expansions.
A neighborhood collective in Paris's 20th
arrondissement protested against a new Burger King in
2023 over, quote, outdated environmental practices.
France implemented new laws that same year targeting
fast food companies over waste.
Now, Qsrs are required to offer reusable cutlery and
cut down on single-use packaging.
We have created dishes especially for the brand
restaurants and their sustainability seems better
than the others.
The QSR market in France has a lot more room to grow
still. Chipotle, for example, has only six
locations so far.
Taco Bell has not entered at all.
The burger, the beef, the chicken, and maybe the tacos
in the future.
Steak n shake now boasts 37 locations.
Carl's Jr is playing catch up after breaking ground on
its first French location in 2023.
Wendy's is supposedly planning a move to.
The next push is going to be more of a focus on chicken,
which we know in the United States to be higher margin
as well as more younger consumer focused.
One of the missions was always to make our product
broadly available.
That's in the next five years. We already have close
to 500 stores.
There is a big potential, but there are other ways to
distribute our products. And that's where also like
we're looking at alternatives. We have the
pizza distributor.
The industry is projected to be worth about €21.5 billion
by 2028.
And so far, the French palate seems ready for it.
The taste is really different in front of the
other restaurants.
I think they have a special touch and that changes
everything.
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