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Protein Prices Stabilize as Fast-casual, Pizza Segments Outpace Industry


It’s no shock to anybody following the recent restaurant buzz, but the fast-casual and pizza segments are outpacing the overall industry, according to accounting firm BDO’s Q1 2015 Restaurant Benchmarking Update. Even better, protein prices appear to stabilize after significant increases in recent months.

Diving further into the numbers, same-store sales increased across all segments, supported by a strong economy and better weather conditions than early 2014 when much of the country was still smarting from the infamous Polar Vortex.

Decreases in cheese and wheat prices further boosted pizza restaurants by comparison, as cost of sales across other segments remained constant.

The report included a look at commodity price fluctuations (a topic we previously covered HERE) that showed nearly stable beef prices and decreases in the cost of poultry and pork—welcome news for most restaurant operators.

BDO’s report showed same-store sales grew five percent in the quick serve category during the quarter, 6.6 in fast casual, 3.5 percent in casual, three percent in upscale casual and a surprising 8 percent in pizza. Combined, same-store sales were up a combined 4.3 percent, according to the report.

The firm singled out favorable weather and overall macroeconomic conditions, including higher employment. Stabilizing commodity prices will provide the restaurant category with much needed tailwind in the face of ongoing droughts, egg shortages and bird flu outbreaks.

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The latest news, opinions and commentary on what's happening in the franchise arena that could affect your business.

Laura MichaelsLaura Michaels is editor of Franchise Times. She can be reached at 612.767.3210, or send story ideas to lmichaels@franchisetimes.com.
Beth EwenBeth Ewen is senior editor of Franchise Times. She can be reached at 612.767.3212, or send story ideas to bewen@franchisetimes.com.
Nicholas UptonNicholas Upton is restaurants editor at Franchise Times. He can be reached at 612.767.3226, or send story ideas to nupton@franchisetimes.com.
Mary Jo LarsonMary Jo Larson is the publisher of Franchise Times Magazine and the Restaurant Finance Monitor.  You can find her on Twitter at




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