Taiwan's restaurant sector crossed a symbolic milestone in 2025, recording annual revenues of over 1 trillion New Taiwan dollars for the first time — but a closer look at the data tells a more complicated story. Strip out inflation and real revenues actually contracted by 1.58%, even as the headline figure climbed 2.9%, according to the Ministry of Economic Affairs (經濟部). For an industry already squeezed by labor shortages, climbing rents, and surging ingredient costs, the record offered little comfort.
That gap between gross turnover and actual profitability has pushed Taiwan's food and beverage operators toward a new playbook: collective action over individual competition.
Revenue Records Mask A Profit Crisis For Taiwan Restaurants
Rising costs and a saturated market have made it increasingly difficult for yakiniku (Japanese-style grilled meat) and hot pot restaurants — two of Taiwan's most popular dining formats — to carve out meaningful advantages on their own. Lin Gang-yu (林剛羽), head of Teamwork Consulting (天帷企管顧問) and a veteran advisor to Taiwan's department store dining sector, has argued that the next frontier of competition will not be fought between individual brands, but between the entire supply chains and marketing ecosystems behind them. Product differentiation alone, he said, is no longer enough.
Food Power Team Bets On A Festival Model To Change The Math
Food Power Team (食在力量), a food industry exchange association with 2,500 member businesses. The group this month announced a cross-brand promotional campaign called the "Yakiniku and Hot Pot Festival," a two-phase initiative designed to cut marketing costs for participating restaurants while expanding their combined reach.
The model is deliberately low-barrier. Brands that sign on need only offer a promotional deal; in exchange, they gain access to ingredient resources from supply chain partners, plus pooled coverage across media outlets, social media influencers, and digital platforms — infrastructure that most individual operators could not afford alone. Food Power Team estimates the combined effort could generate over NT$100 million in market impact.
The yakiniku phase runs August 1 through September 30, with the hot pot installment following October 1 through November 30. Early participants include Chien-Yen Catering Group (千葉餐飲集團), IRU Yakitori (一鷺炭火燒鳥工房), Broth Master (雞湯大叔), Want Hotpot (撈王), and Jiaotangfeng (焦糖楓).
Association chairman Hsu Chun-kai (許淳凱) said the initiative is designed to evolve into something more durable than a seasonal promotion. Food Power Team has spent recent years consolidating brand networks, supply chain relationships, distribution channels, and professional services under one umbrella, with the long-term aim of giving restaurant operators a direct line to consumers while enabling deeper business-to-business cooperation.
From Vietnam To Japan, Brands Eye Regional Expansion
For several participants, the festival doubles as a platform for broader international ambitions. Chien-Yen Catering Group, which has operated in Taiwan for 22 years, said it is already active in the Vietnamese market and intends to carry Taiwan's hot pot culture further across Asia. Alpha Restaurant Group (阿爾法餐飲集團), whose portfolio includes Broth Master and Want Hotpot, outlined a more aggressive regional strategy targeting Singapore, Malaysia, Vietnam, and Japan, with digital operations management and supply chain scale as its competitive levers.
Other brands framed their participation in softer terms. IRU Yakitori said the collaboration would help deepen consumer trust and build a more mutually beneficial restaurant ecosystem, while Jiaotangfeng cited the opportunity to promote Taiwan's grilling culture and strengthen its brand identity.
Supply Chain Partners Lower The Bar For Smaller Operators
Supply chain companies are joining as structural partners rather than passive sponsors. Laurel Corporation (桂冠實業) will supply hot pot ingredients and frozen desserts to help venues draw foot traffic, while Lucky Royal Koukuzan (皇家可口讚岐急凍熟麵), a frozen pre-cooked noodle brand, aims to standardize output and relieve the pressure of running restaurants with lean staffing.
Food Power Team described the festival as the opening move in a longer campaign. The association said it intends to roll out additional themed food events beyond yakiniku and hot pot, building what it hopes will become a permanent cooperative infrastructure for Taiwan's dining industry — one capable, eventually, of helping local brands compete across the region. （Related： Michelin's 2026 Bib Gourmand List Adds 13 Taiwan Eateries ｜ Latest ）
