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Full-Service Restaurants in Germany - Market Research Report (2014-2029)

Melanie Katz Melanie Katz Frankfurt, Germany Last Updated: September 2024 WZ I56.11DE

Revenue

€30.6bn

2024

€30.6bn

Past 5-Year Growth

Profit

€X.Xbn

Employees

698k

Businesses

76,357

Wages

€X.Xbn

Full-Service Restaurants in Germany industry analysis

The restaurant sector with conventional service has developed positively up to 2019, primarily in urban centres. Due to rising income levels and the willingness of many city dwellers to experiment with culinary concepts, many new restaurants, including some restaurant chains, have opened there in recent years. In 2020 and 2021, restaurants had to temporarily close their businesses due to the coronavirus pandemic and were only able to sell food and drinks for takeaway or delivery. This led to a sharp drop in sales in 2020. After industry sales have risen significantly again since 2021, sales are only expected to grow by 0.7% to €30.6 billion in the current year. This means that industry turnover fell by an average of 2.9% per year in the period from 2019 to 2024.The driving force behind the industry's sales growth up to 2019 was the stable economic development, which was reflected in the continuous increase in net monthly household income. Income growth meant that consumers had more money available to spend on restaurant visits. Due to the negative economic consequences of the coronavirus pandemic, growth in net household income slowed in 2020, which in turn had a negative impact on consumers' restaurant visits. In contrast, the increasing health awareness of the population has had a consistently positive impact on the industry over the past five years. As restaurants can charge higher prices for healthier, vegetarian and vegan dishes, which diners are also willing to pay, this trend has increased industry turnover. However, the time constraints of consumers pose a risk for the sector. As self-service restaurants prepare their dishes much faster than restaurants with conventional service, which suits consumers with little time, the competitive pressure exerted by self-service restaurants has increased significantly over the last five years.For the period from 2024 to 2029, IBISWorld is forecasting average sales growth of 1.2% per year and industry sales of EUR 32.5 billion in 2029 due to the normalisation of consumer behaviour. The number of industry players is also likely to increase slightly during this period.

Trends and Insights

  • Due to the pandemic-related infection control measures, restaurants and other catering establishments had to close temporarily in 2020 and 2021. In some cases, however, catering establishments were still allowed to sell takeaway food.
  • Restaurants that offer their guests dishes that are typical of Germany generate the largest share of industry sales. As the variety of restaurants has steadily increased over the last five years, particularly in large cities, the proportion of German restaurants has fallen.
  • The Süd region has the largest proportion of classic restaurants. This proportion is particularly high in Bavaria.
  • The industry is highly competitive. Within the industry, restaurants compete in terms of price and quality of food, location, ambience and service.

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  • Market estimates from 2014-2029
  • Critical performance data and rankings
  • Detailed analysis of competitive forces and the external environment
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Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has declined at a CAGR of 2.9 % over the past five years, to reach an estimated €30.6bn in 2024.

Trends and Insights

Competition from self-service restaurants has increased due to new restaurant concepts

  • The turnover of self-service restaurants, including fast food restaurants, has risen in recent years.
  • Additional trends and insights available with purchase
Full-Service Restaurants in Germany
Revenue (2014-2029)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

Biggest companies in the Full-Service Restaurants in Germany

Company
Market Share (%)
2024
Revenue (€m)
2024
FR L’Osteria SE
254.5
Hans im Glück Franchise GmbH
175.0
Eugen Block Holding GmbH
99.4

To view the market share and analysis for all 3 top companies in this industry, view purchase options.

Products & Services Segmentation

Full-Service Restaurants in Germany
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including German restaurants, Italian restaurants and Asian restaurants. German restaurants is the largest segment of the Full-Service Restaurants in Germany.

Trends and Insights

German restaurants' share of sales is falling

  • German restaurants often serve dishes such as schnitzel or regional specialities.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

The traditional restaurant sector includes restaurants with seating facilities where food is brought to the table for immediate consumption. Self-service restaurants, restaurant-like establishments such as cafés and catering services on a licence basis, for example in stadiums, are not included in this sector.

What's included in this industry?

German restaurantsItalian restaurantsAsian restaurantsGreek restaurantsMexican restaurantsSpanish restaurants

Companies

FR L’Osteria SEHans im Glück Franchise GmbHEugen Block Holding GmbH

Purchase this report to view all 3 major companies in this industry.

Related Terms

CLASSIC RESTAURANTSKITCHENFAST FOODFAST CASUAL DINING

Industry Code

WZ 2008

WZ 56.10.1 - Full-Service Restaurants in Germany

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Due to the pandemic-related infection control measures, restaurants and other catering establishments had to close temporarily in 2020 and 2021. In some cases, however, cater...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Restaurants that offer their guests dishes that are typical of Germany generate the largest share of industry sales. As the variety of restaurants has steadily increased over...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The Süd region has the largest proportion of classic restaurants. This proportion is particularly high in Bavaria.

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

Detailed analysis

  • Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

The industry is highly competitive. Within the industry, restaurants compete in terms of price and quality of food, location, ambience and service.

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

There are no major players in this industry. The largest companies in the industry together account for less than 5% of industry turnover.

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of FR L’Osteria SE's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Hans im Glück Franchise GmbH's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Eugen Block Holding GmbH's performance by revenue, market share and profit margin from 2018 through 2024

Detailed analysis

  • Description and key data for FR L’Osteria SE, and factors influencing its performance in the industry
  • Description and key data for Hans im Glück Franchise GmbH, and factors influencing its performance in the industry
  • Description and key data for Eugen Block Holding GmbH, and factors influencing its performance in the industry

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Companies in the industry must comply with the labelling requirements of the European Union, which are contained in the Food Information Regulation (FIR). The FIR has been bi...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

The industry's profit margin is at a moderate level. The industry's profit margin has fallen in recent years.

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Full-Service Restaurants industry in Germany in 2024?

The market size of the Full-Service Restaurants industry in Germany is €30.6bn in 2024.

How many businesses are there in the Full-Service Restaurants in Germany industry in 2024?

There are 76,357 businesses in the Full-Service Restaurants industry in Germany, which has declined at a CAGR of 0.3 % between 2019 and 2024.

Has the Full-Service Restaurants industry in Germany grown or declined over the past 5 years?

The market size of the Full-Service Restaurants industry in Germany has been declining at a CAGR of 2.9 % between 2019 and 2024.

What is the forecast growth of the Full-Service Restaurants industry in Germany over the next 5 years?

Over the next five years, the Full-Service Restaurants industry in Germany is expected to grow.

What are the biggest companies in the Full-Service Restaurants market in Germany?

The biggest companies operating in the Full-Service Restaurants market in Germany are FR L’Osteria SE, Hans im Glück Franchise GmbH and Eugen Block Holding GmbH

What does the Full-Service Restaurants in Germany include?

German restaurants and Italian restaurants are part of the Full-Service Restaurants industry.

Which companies have the highest market share in the Full-Service Restaurants in Germany?

The company holding the most market share in Germany is FR L’Osteria SE.

How competitive is the Full-Service Restaurants industry in Germany?

The level of competition is high and increasing in the Full-Service Restaurants industry in Germany.

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Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Germany include:

  • German Federal Statistics Office (Destatis)
  • European Statistics Office (Eurostat)
  • United Nations Comtrade

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.