The foodservice industry is a dynamic, innovative and huge sector of the Canadian economy. Every day, millions of consumers, tourists and business travellers enjoy the hospitality provided by Canada’s 80,800 restaurant, cafeteria, snack bar, pub or caterer locations – most of which are locally owned and operated by independent entrepreneurs in communities across the country.

Total foodservice sales grew to more than $60 billion in 2010, representing nearly 4.0% of Canada’s gross domestic product. One of the country’s largest employers, the foodservice industry provides jobs for more than one million Canadians.

Click on the categories below for more information:

• Units
• Employment
• Profit Margins
• Provincial Comparisons
• Consumer Spending
• Definitions: Foodservice Industry Segments
• Information for Students

	There are 80,800 commercial foodservice units in Canada, or 24.0 units per 10,000 Canadians. By segment, there are: 36,390 full-service restaurants 31,911 limited-service restaurants 6,447 contract and social caterers 6,096 drinking places Source: CRFA’s Provincial InfoStats and Statistics Canada
	Fully 64% of restaurants in Canada are independent brands. Chain restaurants account for the remaining 36%, and many of these are locally owned and operated franchises. Source: ReCount/NPD Group and CRFA’s Foodservice Facts

	The foodservice industry directly employs more than 1,084,500 Canadians, representing 6.4% of total employment. More people work in foodservice than in agriculture, forestry, pulp and paper, banking and oil and gas extraction combined. Source: Labour Force Survey, Statistics Canada
	The foodservice industry is a major source of entry-level and part-time jobs, and provides nearly 1 in 5 youth jobs in Canada. The industry employs 462,000 young people between the ages of 15 and 24, which accounts for 43% of foodservice employees. Source: Labour Force Survey, Statistics Canada
	According to a survey of 20 national and regional foodservice chains, the average annual turnover rate for an hourly paid employee is 104.8% at a quick-service restaurant and 62.5% at a casual/family dining restaurant. Source: CRFA’s Chain Compensation Survey 2009 (Note: Full survey results are available only to participating chain restaurant companies. For more information contact research@crfa.ca)

	The average profit margin for the foodservice industry is just 4.4%. Food costs (35.5%) and labour costs (34.8%) account for the two largest expenses borne by foodservice operators. Source: CRFA’s Foodservice Operations Report
	The average foodservice operator realized annual sales of $611,143 in 2009 with a pre-tax profit of $26,890. Source: CRFA’s Foodservice Operations Report
	New accommodation and foodservice entrants have a 60% chance of surviving beyond their second year and a 22% chance of surviving beyond eight years. Source: Statistics Canada
	Back to Top

On a per capita basis, commercial restaurant sales are highest in the provinces where consumers have above-average levels of disposable income and where there is no provincial sales tax on meals. Alberta leads the country in annual per capita foodservice sales with $1,736.85, while Manitoba trails at $1,084.54. Source: CRFA’s Provincial InfoStats

	Meals and snacks sourced from restaurants account for 1 in 10 meal occasions. Source: CREST/NPD Group; NPD Group Eating Patterns in Canada Report, and CRFA’s Foodservice Facts
	The average Canadian household spends 23.1% of its total food dollar on foodservice, compared to 41.9% for U.S. households Source: CRFA’s Foodservice Facts, Statistics Canada and the Bureau of Labour Statistics
	The most popular food and beverage ordered at Canadian restaurants are French fries and regular coffee. Source: CREST/NPD Group and CRFA’s Foodservice Facts
	The average check size per person at a restaurant is $6.97 including taxes, but excluding tips. Source: CREST/NPD Group and CRFA’s Foodservice Facts
	On a typical day, Canadians make 17.7 million visits to commercial restaurants, totaling 6.4 billion restaurant occasions on the year. Source: CREST/NPD Group

Market Share Definitions

Commercial Foodservice (79% Market Share)
Operations whose primary business is food and beverage service.

	Full Service Restaurants (35%): Includes licensed and unlicensed fine-dining, casual and family restaurants as well as restaurant-bars.
	Limited Service Restaurants (34%): Includes quick-service restaurants, cafeterias, food courts and take-out and delivery establishments.
	Social and Contract Caterers (6%): Includes contract caterers supplying food services to airlines, railways, institutions and at recreational facilities, as well as social caterers providing food services for special events.
	Drinking Places (4%): Includes bars, taverns, pubs, cocktail lounges and nightclubs primarily engaged in serving alcoholic beverages for immediate consumption. These establishments may also provide limited food service.

Non-Commercial Foodservice (21% Market Share)
Self-operated foodservice in establishments whose primary business is something other than food and beverage service. Branded restaurants in any of these settings are counted in commercial restaurant sales if they are owned by the restaurant chain.

	Accommodation Foodservice (9%): Foodservice in hotels, motels and resorts.
	Institutional Foodservice (6%): Foodservice in hospitals, residential care facilities, schools, prisons, factories, remote facilities and offices. Includes patient and inmate meals.
	Retail Foodservice (2%): Department store cafeterias and restaurants.
	Other Foodservice (4%): Includes vending, sports and private clubs, movie theatres, stadiums and other seasonal or entertainment operations.

Due to the volume of requests, CRFA is unable to assist students with foodservice industry projects. Please browse the CRFA website for information. You may also do the following:

• Purchase a copy of Foodservice Facts magazine at a special student price of $15 per copy (regular price is $30 per copy). Online orders are not eligible for the student discount. To receive the discount on this publication, you must place your order by calling 1-800-387-5649, ext. 4215, faxing your order to 416-923-1450 or emailing research@crfa.ca.
• Purchase commercial foodservice data directly from the CANSIM database on the Statistics Canada website, Tables 355-0006 and 355-0005.
• Visit your school or community library and search food and foodservice industry periodicals.

Back to Top

• Rising Commodity Prices and the Outlook for Canada’s Foodservice Industry (Sept. 2008) (PDF)
• Help Wanted: The Labour Shortage Crisis and Canada's Foodservice Industry (June 2006) (PDF)
• The Impact of Two-Priced Cheese on Canada's Pizza Market (Spring 2003) (PDF)