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The QSR IT industry's future is both competitive and rosy, report finds

August 24, 2016

The QSR IT market is getting crowded according to a Transparency Market Research report released this week. The abundance of software companies offering services to the QSR industry has made competition the norm and is forcing them to come up with progressively more innovative solutions to common quick-service problems, according to the report. Still, the top five vendors made up only 25 percent of the overall 2015 market, the report found. 

The cause for this increase in this market? Transparency Market Research said their research shows that raising the U.S. minimum wage is the chief causative factor. As the price to hire employees grows for QSR employers — the U.S. Bureau of Labor Statistics said the hourly rate has grown almost $2 — IT is increasingly being used to curb the cost of human labor needed for manual insertion or re-insertion. Software is increasingly being used to enhance the speed and efficiency order entry and payment for quick-service restaurants.

Still, hardware continued to dominate the U.S. IT market last year, with an estimated $1.9 billion taken in, according to this research. The market's future looks promising with an expected 7.4 percent compound annual growth rate from 2016 to 2024. In fact, by 2024 the market is expected to increase to an estimated value of $6.22 billion.