Most QSRs within the country are generally NOT “Better-for-You,” and while their products have resonated with consumers, consumers are increasingly becoming educated/aware of the health ramifications of their food choices and are increasingly seeking BFY options. BFY tends to be more difficult than non-BFY, due to several factors, including increased input costs (due to sourcing complexities and spoilage), a smaller target market (everyone eats but everyone doesn’t eat BFY), and ongoing need for consumer education / behavior change.
Food and beverage continues to be the number one consumption category in Nigeria, and is expected to constitute the largest share of consumption growth between 2015 - 2025 (~30% annual growth). This is partially driven by rapid urbanization and the increasingly “on-the-go” lifestyles of Nigerians. The vast majority of the consumption growth in Nigeria is driven by consumers earning between $5,000 and $50,000 per year (70%+ of growth). However, COVID-19 has had a negative impact on both incomes and consumption levels in the country, and restaurants have been directly impacted by the lockdowns.
According to the Association of Fast Food Confectioners of Nigeria (AFFCON), the QSR market size in Nigeria was over $3 billion in 2016.
SoFresh is the leading Better-for-You (“BFY”) QSR chain in Nigeria serving healthy meals, smoothies, and juices in store locations and via delivery. SoFresh offers a very clean environment with comfortable seating, wifi and music that enhances the customer experience. The Company also offers corporate catering services and a number of meal kit / replacement options.