The upscale casual segment represents a small but significant slice of the broader U.S. dining landscape, with nearly 20,000 restaurants. That accounts to about 1% of the more than 1.8 million operators nationwide.

Despite its relatively small size, upscale casual dining plays an outsized role in shaping American food culture, offering elevated menus in settings that blend the comfort of casual dining with more polished ambiance, service and experience.

By The Numbers

The segment’s operators also boast outsized revenue compared with their casual dining competitors.

Although the casual dining segment is much larger, with over 206,000 operators, only 7% of those achieve over $2.5 million in annual sales. That’s compared with 13% of upscale casual operators, indicating strong market potential and consumer demand.

The segment is comprised of mostly independent operators, with chains accounting for only 25%. There are nearly 15,000 independent operators that account for 75%.

What Sets Upscale Casual Apart?

Upscale casual restaurants fill a unique niche, catering to consumers who want a more refined experience without the price tag and formality of fine dining.

These venues, including popular chains like The Cheesecake Factory and P.F. Chang’s, tend to have elevated menus, wait service, and often a full bar – or at least a selection of beer and wine. With average per-person checks under $75, they remain accessible while delivering a quality dining experience.

This segment’s growth reflects a broader trend in American dining: a desire for quality and variety without the higher-end price. Diners expect polished service, innovative dishes, and often, a curated selection of beverages — qualities that are hallmarks of the upscale casual dining experience.

Datassential’s Commitment to Industry Insight

At Datassential, we stay attuned to shifts in the foodservice industry to support our customers with timely, nuanced insights. Recognizing the need to track this unique dining category, we’ve introduced the upscale casual segment in our U.S. Chains and U.S. & Canada Operators databases. This addition enables foodservice professionals to understand market positioning with even greater clarity, empowering them to make informed decisions in an evolving landscape.

For industry professionals, the upscale casual segment provides a unique opportunity to attract discerning diners who prioritize quality and atmosphere at a reasonable price.
The segment is also poised to grow from those consumers on both sides of the foodservice ladder: those who want a sophisticated dining experience without the cost of fine-dining, and those who choose an upscale casual operator for a special occasion – a break from the patronage of QSR or fast-casual restaurant.

As the industry evolves, this segment will continue to shape how Americans dine out, meeting the demand for experiences that are as refined as they are approachable.

Samantha Des Jardins is  the Content Marketing Manager at Datassential. 

If you would like to learn more about Datassential’s suite of food and beverage intelligence solutions, reach out to us here.