Full-Service Restaurants NAICS 722511
Unlock access to the full platform with more than 900 industry reports and local economic insights.
Get access to this Industry Profile including 18+ chapters and more than 50 pages of industry research.
Industry Summary
The 224,700 full-service restaurants in the US provide food services to patrons who order and are served by waitstaff while seated and pay after eating, a practice known as “table service.” Firms may also offer catering services, food and beverage for off-premise consumption, and non-theatrical entertainment. The full-service restaurant industry includes chains, franchises, and independent operators.
Uneven Demand
Customer traffic at full-service restaurant can vary by day of the week and time of day.
High Turnover
Full-service restaurant operations are labor intensive, and the quality of service is highly dependent on staff.
Recent Developments
Oct 14, 2025 - Restaurants Challenge Seafood Import Ban
- A coalition led by the Restaurant Law Center, along with the National Fisheries Institute and various seafood suppliers, is suing the National Oceanic and Atmospheric Administration (NOAA) over a new import ban tied to the Marine Mammal Protection Act (MMPA). The rule, slated to begin January 1, 2026, would ban imports from certain fisheries critical to the US restaurant supply chain. The coalition argues NOAA implemented the ban hastily, without adequately assessing the economic consequences to more than one million restaurants, especially seafood-focused ones. Because US fisheries can’t match the volume or variety of imports, restaurants risk menu cuts, price hikes, contract disputes, and even closures. The suit, filed in the US Court of International Trade, asks the court to void the ban and force NOAA to reconsider in a way that balances conservation goals with industry realities.
- Taking a page from the limited-service restaurant playbook, full-service restaurants are offering lower-priced menu items and small portions to boost traffic in a challenging environment, Restaurant Dive reports. Full-service Asian chain P.F. Chang’s, which has seen traffic decline this year, launched a new nationwide menu in September featuring $8.99 cocktails, half-sized appetizers, and a choice between medium or traditional entree sizes, according to a company press release. Chang’s is the latest full-service casual chain to focus on value, joining Olive Garden, Chili’s, and IHOP, which have all expanded their menus to include lower-price entrees and smaller portions. In September, Olive Garden announced it’s testing various entrees in smaller portions at reduced prices, while IHOP made its $6 value menu available daily. Chili’s value proposition, including menu items like 3 for Me, has helped drive record-breaking sales and traffic the past few quarters, according to Restaurant Dive.
- New tariffs on food and beverages imposed by the Trump administration threaten to drive menu prices higher, according to a recent statement from the National Restaurant Association. The trade association called out coffee and hamburgers as examples of menu items under pressure from tariffs, notably a 50% tax on imports from Brazil, a major provider of coffee and beef. “Operating a restaurant is becoming increasingly difficult due to economic and regulatory pressure and a nearly 5% increase in wholesale food costs since last year,” NRA CEO Michelle Korsmo said in a statement, adding “These new tariffs on food and beverage items will exacerbate the situation,” leaving many restaurants with no choice but to raise prices. The NRA said tariffs disrupt supply chains, drive up costs for restaurant operators, and ultimately lead to higher menu prices for consumers, already discouraged by the rising cost of dining out.
- Full-service breakfast chains Waffle House and Denny’s have removed egg surcharges from their menus that were added earlier this year when prices soared, US News reports. Denny’s eliminated its egg surcharge in May, while Waffle House, which serves up 272 million eggs per year, dropped its 50-cent surcharge in June. Bird flu outbreaks in January and February caused the egg prices to rise to record highs. Since then, wholesale prices have fallen 64% and retail prices have declined by 27% from their peak. Actions taken by the USDA to combat bird flu on poultry farms and egg imports have helped drive down the price of eggs. However, Agriculture Secretary Brooke Rollins warned that the fall could be “potentially challenging” for egg producers as wild birds often spread the avian flu virus during their migrations.
Industry Revenue
Full-Service Restaurants
Industry Structure
Industry size & Structure
The average full-service restaurant operates out of a single location, employs about 24 workers, and generates nearly $2 million annually.
- The full-service restaurant industry consists of about 224,700 firms that employ about $5.4 million workers and generate about $424.4 billion annually.
- The industry is highly fragmented; the top 50 companies account for 15% of industry revenue.
- The full-service restaurant industry includes chains, franchises, and independent operators. The largest chains include Olive Garden, Buffalo Wild Wings, and Chili’s. The largest franchises include Denny’s, IHOP, and Applebee’s. Larger firms may operate both company-owned and franchised locations.
Industry Forecast
Industry Forecast
Full-Service Restaurants Industry Growth
Vertical IQ Industry Report
For anyone actively digging deeper into a specific industry.
50+ pages of timely industry insights
18+ chapters
PDF delivered to your inbox
