86 • FOODSERVICE EQUIPMENT & SUPPLIES • JUNE 2017
By Lisa White
T
o get a grasp on the popularity of the better-
burger segment, one needs only to look toward
the nearest strip mall or street corner.
Among the ubiquitous quick-service burger
joints like McDonald's, Burger King and Wendy's are now
more upscale counterparts like Five Guys, Shake Shack
and Smashburger. The emergence of these chains comes in
response to finicky diners, many of whom are Millennials,
seeking to trade up from the traditional burger joints.
"America still loves burgers, but the segment is very
saturated, and became even more so in the last five years
with the growth of better burger places," says Bob Goldin, a
partner in Chicago-based Pentallect Inc., a food indus-
try consulting firm. "All the major quick-service burger
chains are stable, flat or up just slightly in sales, as these
are very mature businesses."
According to the 2016 Top 500 Chain Restaurant
Report from Chicago-based market research firm
Technomic, limited-service burger chain performance
increased 3.3 percent from 2014 to 2015, the most recent
year for which data is available. This translates into
$75.5 billion in U.S. sales in 2015, up from $73.1 billion
in 2014. Unit growth was essentially flat during this
period at .5 percent with 43,364 units.
RISING
TO THE TOP
The better-burger segment
continues to expand as
discriminating consumers
seek unique and upscale
versions of a perennial favorite.
e&s; segment spotlight