Foodservice traffic inches up as deals and QSR drive growth

Lunch drove gains, reversing three quarters of falling traffic and spending.

Foodservice traffic rose for a third consecutive quarter in Q4 2025, lifting full-year growth to a marginal 0.1%, according to Circana.

Quick-service restaurants (QSR) led gains, with spending up 5.5% and traffic up 1%, whilst retail foodservice posted steady increases, with spending rising 3.9% and traffic up 0.9%.

Full-service restaurants recorded the strongest spending growth at 9% but continued to lose traffic.

Lunch was the strongest daypart, with both spend and traffic increasing for the first time after three quarters of declines.

PM snack was the only other daypart to grow traffic, up 0.7%.

Deal-driven occasions continued to outperform, with spend up 13.4% and traffic up 6.4%, well ahead of non-deal occasions.

Deal-based traffic growth remained strongest in delivery, lunch, weekday, and solo dining occasions.

The findings mirror broader Australian market research showing a shift toward lower-cost, convenience-led dining.

FoodService Association Australia research found 62% of Australian consumers regularly visit quick-service restaurants, compared with 47% for casual dining and 33% for cafés, reflecting cost-of-living pressures shaping dining behaviour.

GlobalData data also shows QSR’s structural dominance in the market, accounting for 42.3% of total foodservice sales in Australia, compared with 25.4% for full-service restaurants, with low pricing and discounts supporting QSR growth.

The firm expects Australia’s profit sector to grow at a compound annual rate of 3.6%, with transaction volumes rising 1.2% annually and outlet numbers increasing 0.4%.