The casual dining market appears to be growing steadily. However, closer inspection reveals that this growth is primarily related to unit expansion, rather than increased same-store sales. This is not true of all chains, however. Some companies are experiencing growth in units and in sales-per-unit. This report explores who is gaining in sales and why, as well as issues that may be preventing growth in other chains.

Other subjects covered in this report include:

The growing spread in price points

The rise of a new breed of restaurant, “casual-plus”

Demographic strengths and weaknesses of the industry in general, and in leading chains

The ethnic cuisines most desired by the industry’s most loyal clients

Forecasted industry sales through 2010

Why chain casuals are losing sales to independents when it comes to the dining habits of college graduates

Why leading chains may need to rethink menus, atmosphere, marketing, and targeted clientele

Only the best pieces of data from a proprietary survey including 75 attitudinal statements about casual restaurants

Restaurants examined in this report are those that serve alcohol, and where a dinner entrée is usually between $10 and $20. Some examples include Applebee’s, Chili’s, Red Lobster, Outback Steakhouse, TGI Friday’s, Ruby Tuesday, Bennigan’s, The Cheesecake Factory, and the Olive Garden.

The focus of this report is on large chain casual dining, particularly on chains with over $200 million in system-wide sales. However, findings will help smaller companies react to the challenges of the next five years.