Fast food outlets thriving on the back of rising middle class

Many investors enter the fray to take a slice of the growing market.

FAISALABAD: Following years of continuous success for the textile industry, the emerging middle class is providing impetus for another growing business, the fast food restaurants and chains, in the third largest city of the country, which has seen phenomenal growth in the past few years.

According to market players, Faisalabad is fast adopting modern trends after facing resistance earlier because of dominance of rural culture in the city. In the changing lifestyle, fast food outlets are zeroing in on the expanding middle class and are growing at a healthy pace.

With the middle class becoming the priority for many outlets, a significant number of local entrepreneurs have entered the fray to seize this opportunity.



These entrepreneurs, encouraged by the growing presence of multinational fast food franchises, have received prompt response from consumers.

Hundreds of restaurants have opened up over the last few years and the boom came two years ago. The fast food market is becoming more and more mature with every passing year.

Talking to The Express Tribune, Hamayun Zahid, who runs a fast food restaurant, said that with low investment he was getting good returns.



In the beginning, fast food was considered a luxury and a thing that only the high-income class could afford. At that time, multinational franchises were operating only in and around posh localities. “Now the trend has changed and outlets have opened and are doing business in middle and upper middle class localities,” said Zahid.

In his view, fast food is the best business for those who cannot make a big investment. According to estimates, the city’s population has crossed 10 million, making it the perfect place for the eatery business.

“Entrepreneurs are seeing their businesses grow and profits surge as fast food gets increasingly popular in the middle class because of a variety of deals and products as well as a pleasant environment,” said Zahid.

In Faisalabad, not only are multinational fast food chains attracting consumers but local outlets are also receiving a good response and are catering to the high demand from consumers.

Entrepreneurs should be focusing on emerging markets, say market experts. These markets are the prime area of focus for the fast food industry, yielding double-digit growth in revenues.

Published in The Express Tribune, September 25^th, 2013.

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