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U.S. Restaurant Chain Customer Transaction Declines Remain Relatively Flat
U.S. major restaurant chain customer transactions were down 11% in the week ending July 26 versus year ago, reports The NPD Group. This is a modest improvement from the 12% decline versus year ago in the prior week, and a continuation of the relatively flat pattern seen over the last several weeks, according to NPD’s CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for 75 quick service, fast casual, midscale, and casual dining chains representing 53% of the commercial restaurant traffic in U.S.
Customer transactions at major quick service restaurant chains were down 11% in the week ending July 26 compared to a year ago and were flat from the prior week, week ending July 19. Full service restaurants improved slightly with customer transactions down...
After Steep Declines, U.S. Foodservice Industry Set to Rebound to Pre-Pandemic Levels by 2023
The latest research from Mintel shows that after several years of growth, the foodservice industry is expected to decline by up to 30% from 2019-2020, following nationwide dine-in bans/restrictions, restaurant closures, job losses, and lowered consumer confidence.
Looking ahead though, Mintel predicts total market sales to rebound to pre-pandemic levels by 2023, with limited-service restaurants (LSRs) including fast food and fast casual restaurants, bouncing back more quickly and representing a notably larger share of the market.
While sales declines will be felt across both LSRs and full service restaurants (FSRs), the majority of these declines will be driven by the FSR segment which has been hit the hardest by...
U.S. Full Service Restaurants Struggle as Visit and Transaction Declines Stay in the Double-Digits
Full service restaurants (FSRs) were still recovering from the Great Recession, which ended over ten years ago, when the COVID pandemic hit along with shelter-at-home orders and mandated dine-in closures. With most of FSR business being on-premises dining, these sit down, table service restaurants were hit hard.
Visits to FSRs were down 47% in the April, May, and June quarter, the height of the mandated dine-in closures, compared to same quarter year ago, reports The NPD Group. Quick service restaurants (QSRs), which already have developed off-premises operations like carry-out and drive-thru, realized...
U.S. Restaurant Industry Recovery Stalls with No Improvement in Transaction Declines in Six Weeks
COVID case surges across the country and the subsequent rollbacks in re-opening plans have stalled the U.S. restaurant industry’s recovery, reports The NPD Group. Major restaurant chain customer transaction declines have been between 11% and 14% versus a year ago since the second week of June compared to the steady improvement in declines from the last week in April through the second week in June.
In the week ending July 19, major restaurant chain total customer transactions are down 12% versus year ago, compared to 14% in the prior week, according to NPD’s CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for 75 quick service, fast casual, midscale, and casual dining chains representing...
Consumer Confidence Index Decreased in July
The Conference Board Consumer Confidence Index decreased in July, after increasing in June. The Index now stands at 92.6 (1985=100), down from 98.3 in June. The Present Situation Index – based on consumers’ assessment of current business and labor market conditions – improved from 86.7 to 94.2. However, the Expectations Index – based on consumers’ short-term outlook for income, business, and labor market conditions – decreased from 106.1 in June to 91.5 this month.
The monthly Consumer Confidence Survey, based on a probability-design random sample, is conducted for The Conference Board by Nielsen, a leading global provider of information and analytics around what consumers...
Food and Beverage E-Commerce Sales Growing Rapidly but Still Small
Even prior to the coronavirus pandemic, online sales of food and beverages in the U.S. have been growing rapidly and totaled about $17 billion in 2018. They are forecast to increase 32% per year through 2023, according to Packaged Facts in the report U.S. Beverage Market Outlook 2020: Grocery Shopping & Personal Consumption in the Coronavirus Era.
Yet, while e-commerce sales are growing rapidly, they still represent a very small percentage—about 4%—of total food and beverage sales.
The impact of online sales varies by food category, ranging from less than 1% to 3% of sales. Coffee and tea sell the best, while dairy and juices...
U.S. Quick Service Restaurant Chains Drive Customer Transaction Declines in Week Ending July 12
Total customer transactions at major U.S. restaurant chains declined by 14% in the week ending July 12 versus year ago, compared to 11% in the prior week. Quick service restaurant (QSR) chains drove the decline, decelerating 4-points to 13% year-over-year while full service restaurant (FSR) chains improved declines by 3-points to 26% year-over-year.
A reversal from last week when FSRs drove the declines and QSRs fueled the improvement in declines, according to NPD’s CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for 75 quick service, fast casual, midscale, and casual dining chains representing...
Foodservice Recovery to Continue Amid Rising COVID-19 Cases
The recent surge in Covid-19 cases in the US and the subsequent expansion of dine-in restrictions in many states and cities appear troubling. While they may weigh on consumer behavior for a short period, Rabobank expects US foodservice recovery to continue as initial hotspots (e.g. New York) show no resurgence, and more importantly, the consumer spending trajectory is largely unchanged in new hotspots (e.g. Florida, Texas, California), likely signaling that the delayed onset in these areas has enabled both businesses and consumers to prepare for the ‘new’ normal.
Another Widespread Shutdown Is Unlikely
Though local and state governments have begun to reimpose restrictions in some hard hit areas, there is little appetite among governments, businesses, or consumers for another...
Pork Remains on the Menu in Spain and Italy Even if Tourists Stay Away
Spain and Italy face a miserable summer tourism season. But does this mean a terrible year for pork, too? Remarkably, Rabobank's analysis shows that decreased international tourist activity will have a limited impact on total pork consumption in these countries.
For the full year of 2020, Rabobank expects a decrease in total pork consumption of about 6% in Spain and 2% in Italy due to reduced demand in foodservice and retail. Furthermore, pork exports to Italy from major exporters, such as Germany, Spain and Denmark, are expected to remain largely unaffected by...
Global Consumer Confidence Suffers Record Drop in Q2
Deteriorating job prospects and rising anxieties about personal finances drove a record drop in global consumer confidence in the second quarter of 2020, according to The Conference Board Global Consumer Confidence Survey.
Conducted in collaboration with Nielsen, the survey found that overall global consumer confidence fell to 92 in the second quarter from a near-historic high of 106 early in the first quarter, before the pandemic significantly expanded beyond China. A reading below 100 is considered negative, indicating that consumers were slightly more pessimistic than optimistic globally for the first time since...
U.S. Quick Service Restaurant Chains Fuel Improvement in Customer Transaction Declines
Customer transactions at major U.S. restaurant chains declined by 10% in the week ending July 5 compared to same period year ago, an improvement over last week’s decline of 14%, reports The NPD Group. All of the improvement in the week sources to major quick service restaurant chains (QSRs) where customer transaction declines improved by 4-points from the prior week’s decline of 13% versus year ago.
Full service restaurants (FSRs) continued to struggle in the week with customer transactions down 30% compared to year ago, a 5-point decline from the prior week, according to NPD’s CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for...
Grubhub Releases Second Annual State of the Plate Report
We're officially in the second half of 2020, and it's time to turn the dial back to take a look at how we ate our way through the beginning of a year unlike any other we've seen before. Grubhub, a leading online and mobile food-ordering and delivery marketplace, launched its latest report, "State of the Plate", looking at trends across the more than half a million orders placed a day. Grubhub's mid-year report checks in on the popular food trends to date and what quarantined Americans ordered through contact-free delivery, and predicts what we can expect to see more of in the second half of the year.
From grabbing a chorizo burrito (270% more popular) for breakfast, a cheesy breadstick snack (412% more popular), a plant-based burger (291% more popular), or a fit-for-quarantine meal kit (orders of meal kits rose 55%), below are the trends loved so far this year...
Beefing Up Our Coverage: Enhanced Imported Beef Reporting
This week we answered your requests for a show around beef with none other than Urner Barry CEO Joe Muldowney. Laura and Joe discuss international trade and demand impact on the imported beef market, consumer trends related to COVID-19 and...
COVID-19 Case Spikes Continue to Hinder U.S. Restaurant Recovery in Week Ending June 28
The recovery of U.S. restaurant customer transactions has stalled for the second week in a row as COVID-19 cases continue to increase in a number of states, reports The NPD Group. For the week ending June 28, total customer transactions at major U.S. restaurant chains are down 14% versus the same week a year ago.
Last week, week ending June 21, total transactions were down 13% versus year ago, according to NPD’s CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for 72 quick service, fast casual, midscale, and casual dining chains.
The rise in COVID-19 case counts is causing local and state authorities to delay reopening, and in some cases, reinstating on-premise restaurant dining restrictions. In Texas, for example, restaurants may continue to...
Fast Casual Restaurant Market to Reach $209.1 Billion by 2027
According to Allied Market Research, the global fast casual restaurant market garnered $125.6 billion in 2019, and is estimated to reach $209.1 billion by 2027, registering a CAGR of 10.6% from 2021 to 2027.
Drivers, Restraints, and Opportunities:
Increase in popularity of fast casual restaurants, low entry barriers, and high profits resulting drive the growth of the global fast casual restaurant market. However, high cost compared to quick service restaurants hinders the market growth. On the other hand, early adoption of technologies and hygienic cooking environment are anticipated to offer...
After Two Months of Steady Improvements, Restaurant Recovery Hits a Bump as COVID-19 Cases Surge
Customer transactions at major U.S. restaurant chains declined by 13% in the week ending June 21 versus the same week a year ago, which is slightly softer than the 12% decline in the previous week, reports The NPD Group. This is the first time since the week ending April 12 there has not been an improvement in the year-over-year trend. COVID-19 case surges in a number of states contributed to the backtrack in decline improvements. The current period also included Father’s Day, which unlike Mother’s Day, is more of a backyard BBQ occasion than a restaurant dining event.
With new COVID-19 cases suddenly surging across multiple states, some of the states that have been reporting the highest number of new cases experienced steeper declines in major restaurant chain customer transactions in week ending June 21. Arizona, with a well-publicized surge in cases, saw a 5-point decline in...
Seven Lessons Foodservice Can Learn from a Pandemic
As states begin to reopen, restaurants are adapting to a new normal to welcome diners back. These adaptions include providing outdoor seating, incorporating stricter sanitary procedures, and paperless menus. According to a recent report by Datassential, there are seven lessons foodservice operators can learn from the COVID-19 pandemic that will benefit their business going forward.
The first lesson is goodbye fear, hello caution. As more places begin to ease coronavirus restrictions, consumers are feeling more comfortable returning to public spaces if certain safety measures are met. After restrictions are lifted, about 63% of those surveyed feel safe eating at a restaurant with outdoor dining. Around 54% feel safe returning to a convenience store, and the same percentage feel comfortable with...
The Consumer Confidence Index Increased in June
The Conference Board Consumer Confidence Index increased in June, after virtually no change in May. The Index now stands at 98.1 (1985=100), up from 85.9 in May. The Present Situation Index – based on consumers’ assessment of current business and labor market conditions – improved from 68.4 to 86.2. The Expectations Index – based on consumers’ short-term outlook for income, business, and labor market conditions – increased from 97.6 in May to 106.0 this month.
The monthly Consumer Confidence Survey, based on a probability-design random sample, is conducted for The Conference Board by Nielsen, a leading global provider of information and analytics around what consumers buy and watch. The cutoff date for the preliminary results was...
Outlook on the Global Egg Protein Industry to 2027
According to ResearchAndMarkets, the global protein egg market accounted for $28.41 billion in 2019 and is expected to reach $48.09 billion by 2027, growing at a CAGR of 6.8% during the forecast period.
Consumer awareness about a healthy diet and increase in demand for proteins as nutritional and functional ingredients are the major factors propelling market growth. However, the surge in demand for plant-based proteins is hampering the growth of the market.
Based on the type, the egg white powder segment is going to have lucrative growth during the forecast period owing to the increasing consumer attention as they contribute to...
Reopening Regulations Lead to New Formats and Menu Innovations
China has put several parts of Beijing under lockdown following a spike in recent virus infections. The second wave prevention measures include the closure of some bars and the sanitization of restaurants.
South Africa is now allowing restaurants to offer dine-in service after having been under one of the world’s tightest lockdowns since late March.
Wisconsin’s Supreme Court ruled that prohibitions on business reopenings are unconstitutional, opening the door for restaurant dining rooms and bars to welcome guests again.
Governors in both Texas and Florida announced that restaurant dining rooms can reopen at 25% capacity. However, in Florida, stay-at-home orders remain in place for the more...
Spikes in COVID-19 Cases in Open States are Not Yet Impacting Restaurant Recovery
The spikes in COVID-19 cases in states that have reopened restaurant dine-in services haven’t yet impacted the continuing improvement in major restaurant chain transaction declines as more states reopen, reports The NPD Group. Arizona, California, and Florida, three states that reported an uptick in COVID-19 cases, showed several points of improvement in restaurant chain customer transaction declines at full service restaurants — the restaurant segment most affected by dine-in closures — in week ending June 14 compared to the previous week, according to...
While COVID-19 Remains a Focus, Consumers’ Interests have Started to Shift Beyond the Pandemic
Since the beginning of the pandemic, the world has been focused on coronavirus. With the virus impacting just about every aspect of consumers’ lives, stepping away from the news is not always enough to escape the fatigue.
For the first time in three months, the virus is no longer front and center amid recent events surrounding protests. In some ways, Datassential found that this has caused some households of younger generations to relax COVID-19 precautions and take on more risk to get out and reclaim their lives.
More than others, younger generations and households with children are partaking in socializing in larger groups and heading back to dining rooms. While Americans are not ready to completely turn off virus-related news, they are ready to...
Mintel: A Quarter of British Millennials Say COVID-19 has Made a Vegan Diet More Appealing
The prospect of a diet packed with chickpeas, lentils, and quinoa appears to be more tempting as of late, as new research from Mintel reveals that a quarter (25%) of young British Millennials (aged 21-30) say that the COVID-19 pandemic has made a vegan diet more appealing.
These plant-loving Millennials are not alone, as the research reveals that a vegan diet is proving more attractive to over one in ten (12%) of all Brits, rising to almost a quarter (22%) of Londoners, since the start of the pandemic.
This comes as Mintel research indicates there is a strong belief in the healing power of plants, as half of Brits (51%) believe plant/botanical ingredients (eg herbs, spices) can have...
U.S. Restaurant Chain Transaction Declines Continue to Soften, Down 14% in Week Ending June 7
U.S. major restaurant chain transactions were down 14% in the week ending June 7 versus the same week a year ago, a 29 point gain from the steepest decline during the COVID-19 pandemic of 43% in week ending April 12, reports The NPD Group. Sixty-nine percent of restaurant units are now in geographies that permit some level of on-premise dining and the number should increase to 74% in week ending June 14.
Major full service restaurant (FSRs) chains are still seeing the most improvement of restaurant segments as more dining rooms open and those already open increase capacity...
A Quarter of Young Millennials Say COVID-19 Has Made A Vegan Diet More Appealing
The prospect of a diet packed with chickpeas, lentils, and quinoa appears to be more tempting as of late, as new research from Mintel reveals that a quarter (25%) of young British Millennials (aged 21-30) say that the COVID-19 pandemic has made a vegan diet more appealing.
These plant-loving Millennials are not alone, as the research reveals that a vegan diet is proving more attractive to over one in ten (12%) of all Brits, rising to almost a quarter (22%) of Londoners, since the start of the pandemic...
Technomic: Recent Protests Resulted in Restaurant Foot Traffic Declines
Major cities where protests were held, including Minneapolis, experienced declines in QSR and overall restaurant foot traffic that overindex national levels.
There is significant concern that the virus will reappear
Driven by the New England region (88%) and consumers ages 55-64 (85%), the vast majority (77%) express concern that the virus will be back before the end of year. On the flip side, 32% of West North Central and 31% of consumers ages 18-24 report that they are not concerned or very concerned.
Employees’ safety and health are top of mind for operators
Healthcare operators are more likely to be concerned with...
Restaurant Transaction Declines Continued to Improve in Week Ending May 31
Nearly three months have passed since most U.S. restaurant dine-in operations were ordered to close to prevent the spread of COVID-19, and this week more than 68% of all restaurant units are in states, counties, or municipalities where they are permitted to reopen their on-premise dining service. This does not mean all restaurants in those areas have reopened, but it is an indicator of loosening regulations.
With a growing number of restaurant dine-in services reopening, major restaurant chain customer transactions have been improving, reports The NPD Group. In the week ending May 31, U.S. restaurant chain transactions declined by 18% compared to same period year ago, a 3%...
Nielsen: Understanding Consumer Sentiment Can Help Companies Adjust as the U.S. Begins to Reopen
Even though the year is almost half over, it’s just now starting to feel like a new year in parts of the U.S., as many states have allowed certain non-essential businesses like restaurants, movie theaters and retail stores to re-open in at least some capacity. We know, however, that many Americans plan to play it safe as businesses come back online rather than immediately jumping back into pre-lockdown behaviors. That’s why companies need to understand evolving consumer sentiment before assuming that open-for-business means business as usual.
The rise in CPG purchases (both on and offline) has been well documented throughout the lockdown period, but we have yet to see how consumers approach visiting non-essential businesses once they’re open again...
Uncertainty Surrounds the Reopening of Businesses
While the reopening of businesses shut down because of the coronavirus pandemic is a significant step forward, the rate at which the economy will recover or consumers will feel comfortable resuming activities such as dining out or shopping remains to be seen.
“Is it possible the worst of the coronavirus pandemic is behind us? Maybe, but we are not out of the woods yet, and uncertainty abounds,” said National Retail Federation Chief Economist Jack Kleinhenz.
Kleinhenz added, “Predicting what will happen is even more challenging than usual. While history often helps guide us, previous downturns offer little guidance on what is likely to unfold over the next six to 12 months. There is no user’s manual in which government, businesses or consumers can find...
U.S. Restaurant Chain Transactions Down 18% Compared to Year Ago but Continue to Improve
With nearly 320,000 restaurant units in the U.S. now allowed to offer some level of on-premise dining, customer transaction declines at major restaurant chains continued to improve in the week ending May 24, reports The NPD Group. Total major restaurant chain transactions declined by 18% in the week compared to same week year ago, a 25 point gain from the steepest decline during the COVID-19 pandemic of 43% in week ending April 12, according to CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for 70 quick service, fast casual, midscale, and casual dining chains.
Major full service chain restaurant transactions declined by 42% versus same time year ago, a 7 point improvement from the prior week’s decline of...
Technomic: Turmoil, Uncertainty and Some Relief Expected for Foodservice Over the Next 18 Months
The foodservice industry will experience significant declines in 2020.
The degree of decline will be dependent upon the timing of lifting restaurant closure restrictions, the status of school and college openings in the fall, the degree of travel return and a possible second COVID-19 wave in the fall.
Healthcare and retail hosts will be the strongest performers
In terms of segments, healthcare will perform at the strongest level in 2020, followed by retail hosts (e.g., c-stores, supermarkets) and limited-service restaurants. Retail and healthcare are less impacted by closures and LSR is strongly positioned for off-premise business. The most affected segments are...
U.S. Restaurants Continue Slow Recovery in Week Ending May 17 as More States Reopen
Customer transactions at major U.S. restaurant chains declined by 21% in the week ending May 17 compared to same period last year, a slight gain from last week’s 23% decline and the fifth consecutive week of improvement, reports The NPD Group. Major quick service chain restaurants, which represent the majority of restaurant transactions, improved transaction declines to 20% in the week compared to a 21% decline in the prior week from year ago, according to CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for 70 quick service, fast casual, midscale, and casual dining chains.
Continued improvement in restaurant chain transaction declines was aided by adding 93,000 restaurant units in states where restrictions to on-premise dining were lifted from the week ending May 10 to the week ending May 17. These openings are more critical for...
Consumer Confidence Index Stabilizes in May
The Conference Board Consumer Confidence Index held steady in May, following a sharp decline in April. The Index now stands at 86.6 (1985=100), up from 85.7 in April. The Present Situation Index – based on consumers’ assessment of current business and labor market conditions – declined from 73.0 to 71.1. However, the Expectations Index – based on consumers’ short-term outlook for income, business and labor market conditions – improved from 94.3 in April to 96.9 this month.
Food E-commerce Market Projected to Reach $498 Million by 2026
Consumer behavior in the food industry is transforming owing to rising e-commerce and technological trends. The food and beverage industry is gradually moving towards e-commerce, that's certain, but its full potential is yet to be exploited.
Infinium global research has recently published a global report on "Food E-commerce Market," the reported study estimated the market for food e-commerce to be USD 138 million in 2019 and is projected to reach up to USD 498 million in 2026, with a Compound Annual Growth Rate of 20.3%, over the forecast period of...
Has the Coronavirus Caused Consumers to Adopt New Eating Behaviors?
Although social distancing measures have forced many people to stay indoors and start experimenting in the kitchen, the verdict is mixed on home cooking. According to Datassential, two in five consumers did not actually start cooking more often. However, about 35% found joy and excitement in discovering new dishes, yet more than a third of Gen X and households with children are sick of having to cook more often for their families.
For the most part, the pandemic has encouraged very few consumers to adopt new shopping and dining strategies, the rest are maintaining their prior routines. Online grocery shopping and grocery delivery have benefited the most from these new trials, with 21% trying grocery pickup for the first time, and...
Technomic: Consumer Perspective on Social Distancing Measures within Restaurants
Following CDC guidelines for safe social distancing, half of consumers would be comfortable dining in at restaurants with a 6-foot distance between tables. However, more than a quarter would be more comfortable with 9-15 feet.
More consumers willing to social distance than wear protective gear
More than half of consumers would follow social distancing measures, but less than half would be willing to wear a mask or gloves when in a restaurant. Consumers ages 35-44 are more likely to...
States Reopening and Mother’s Day Help to Continue Improvements in Restaurant Transaction Declines
U.S. restaurant chain transaction declines continued to improve for the fourth consecutive week in the week ending May 10 as more states reopened and America’s mothers were honored with a meal they didn’t need to cook. Large chain restaurant customer transactions were down 23% compared to a year ago, improving from a 26% decline the prior week, reports The NPD Group.
Large full service chain restaurants benefitted from a Mother’s Day lift, with transaction declines up 39% versus the prior week, although still down 58% compared to year ago. Transactions at large quick service chain restaurants declined by 21% in the week ending May 10 compared to year ago, versus...
Still Concerned About COVID-19, U.S. Consumers Will Want More from Convenience Stores
Across the U.S. retail landscape, the convenience channel has been the offline channel to watch over the past year. With the country in the throes of the COVID-19 pandemic, the convenience channel is poised to be even more dominant as stay-at-home restrictions are lifted.
Last November, Nielsen forecasted that the U.S. convenience channel would grow faster than all other offline channels over the next five years. When we look at the importance of proximity to our homes and the desire among many to avoid large crowds, convenience stores have the ability to write their own future. To do so, they need to embrace the opportunity to expand beyond categories traditionally expected from the channel. Baking staples, for example, aren’t common on the shelves at most C-stores, but...
U.S. Foodservice Revenues to Decline 25% from 2019, But are Expected to Rebound by 2024
Although full-service restaurants have slowly been losing share of restaurant spending to less expensive and more convenient fast food and fast casual restaurants, they still made up the largest share of revenues from eating and drinking places in 2019, according to Food Carryout & Delivery, a recently published report market research firm Packaged Facts.
As the coronavirus pandemic sweeps the nation in 2020, foodservice revenues are forecast to decline more than 25% from 2019 as dine-in service shuts down amid decreased consumer spending on restaurants as people stay at home and cook more even as some states slowly begin reopening. Revenues will...
Technomic: Supply Chain Issues Likely to Continue
As news of outbreaks within the food supply chain spread, restaurant operators started to grow wearier of their prospects. Concerns about commodity spikes and/or shortages are compounding the negative outlook operators already had because of the impact of shelter-in-place orders and consumer changes in behavior. Operators are taking extraordinary measures to ensure the health and safety of their staff and customers alike, as many recognize the failure to do so could lead to rebound in contagion rates, put their staff in danger and undermine their growth.
The good news is that curbside, drive-thru and limited takeout appear to be growing to levels that are allowing sustainable levels of sales to occur for...
Consumers Continue to Purchase Meat from Restaurants and Retail Despite Coronavirus Concerns
Fear of the unknown proved to be true when observing consumers’ reaction to the emergence of COVID-19. When the virus first made its way to the United States, panic ensued. Grocery store shelves were depleted, and necessities like toilet paper were nowhere to be found. Consumers have come accustomed to finding resourceful solutions and are willing to be more flexible than ever before.
However, the coronavirus has thrown yet another curveball, with many meatpacking plants either temporarily closing or reducing operations. While consumers have stocked up on meat, there seems to be less panic this time around.
When Datassential asked consumers what best describes the way they eat today, nearly 69% described themselves as...
U.S. Restaurant Chain Transaction Declines Improve for Three Consecutive Weeks
Lingering tailwinds from government relief payments and the lifting of dine-in restrictions in states like Georgia, Florida, and Texas helped to improve U.S. restaurant chain transaction declines in the week ending May 3, reports The NPD Group.
For the week ending May 3 total transactions were down 26% from year ago compared to a 32% decline the prior week and a decline of 43% the week ending April 12, the low point of the COVID-19 disruption, according to CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for...
Mintel: The Current Economic Environment Compared to The Great Recession
Mintel has released new research analyzing the current economic environment compared to that of the Great Recession, including insight on the economic indicators that will play a role in predicting consumer spending in the months and years ahead.
While the economy is in decline today, the factors leading to the last recession, its duration, and lasting impact on consumers are (and will be) very different this time around.
Why this time it’s different
The Great Recession was largely impacted by failures in the housing and banking industries. Today, the crisis is out of human control, and one we can’t yet solve. What’s more, the financial system today is...
The Consumer Perspective on the Potential Meat Shortage
As warnings of a potential meat shortage seem to dominate headlines, consumers may begin to panic buy and stockpile proteins in case supply chain disruptions due to COVID-19 lead to empty meat cases at the grocery store. While retailers did see aisles that include toilet paper, paper towels, and cleaning products wiped out at the height of the pandemic, it is possible that consumers have already purchased meat products in bulk.
According to a recent survey conducted by Datassential, about 77% of consumers have at least one week's supply of meat on hand. This is followed by 26% having enough meat in the home to last about two to three weeks. Only 7% of respondents have run out of meat and will be purchasing more. Additionally, some shoppers purchased enough meat to last...
While Total U.S. Restaurant Traffic Declines by 22% in March, Digital and Delivery Orders Jump
March is supposed to come in like a lion and leave like a lamb, but with 97% of U.S. restaurants impacted by mandated dine-in closures by mid-March, the month left like an angry lion for America’s foodservice industry. Restaurant traffic declined by 22% in the month compared to same month year ago, but a testament to the U.S. consumers’ want for someone other than themselves to make their meals, digital restaurant orders increased by 63% and delivery by 67% in March, reports the NPD Group.
Visits to quick service restaurants (QSR), many of which already had off-premise operations, like carry-out and drive-thru, in place prior to the dine-in closures, decreased by...
Technomic: Foodservice Spending Continues a Slow Rebound
Consumer spending estimates bottomed out at a decrease of 35% of expected sales the week of April 12 and has grown to a level that may be pulling us off the bottom of the market. The cumulative loss in spending has declined for the first week since the start of the pandemic. However, it is important to note that previous weeks showed fluctuations that could foretell more up and down movement in the trends in coming weeks.
Off-premise ordering at FSRs sees high growth this week
Ordering by nondelivery, off-premise methods has increased across all segments this week. For fast-food restaurants, this was driven by drive-thru orders (59%). Growth at FSRs was driven by a mix of drive-thru and takeout orders. Overall, casual-dining and fine-dining restaurants saw the largest jump...
Consumers Remain Skeptical but Hopeful as States Begin to Reopen
Now that states are beginning to reopen non-essential businesses, consumers are once again expressing feelings of excitement, fear, and uncertainty. Often, these feelings are informed by their view on how the health crisis compares to the economic one. According to a recent report by Datassential, restaurants can still find ways to address that tension through service and outreach that emphasizes community building.
The data shows that concern about the coronavirus has plateaued. With cases still growing in some locations and no major breakthroughs have been made on the testing front, almost 60% of Americans are...
U.S. Restaurant Chain Transaction Declines Continue to Ease in Week Ending April 26
U.S. restaurant chain transactions showed improvement for the second week in a row in the week ending April 26 with total industry customer transactions down 32% compared to a 36% decline the prior week, reports The NPD Group.
Transactions at quick service restaurants were down 30% in week ending April 26 versus year ago, and full service restaurants improved slightly this week, declining 71% versus a 72% decline last week, according to CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for...
Research and Markets: Global Meat Snacks Market, Forecast to 2025
The global meat snacks market is expected to register a CAGR of 9% during the forecast period, 2019 to 2024.
The market is driven by the increased demand for snacks that are rich in nutrients, such as omega-3s, iron, and vitamin B12. The portable snacks make it a convenient option for consumers requiring healthy meat snacks for on-the-go. The rapid growth of the e-commerce sector will also aid the growth of the market by offering a wide array of meat snacks for online purchase.
Increasing Popularity of Sausages, Globally
Consumers are increasingly purchasing three major varieties of meat snacks, such as jerky, sticks, and sausages. While jerky is popular in North America and Europe, sausages are...
Mintel: UK Online Grocery will Grow by Around 33% in 2020
The latest research from Mintel reveals the online grocery market is forecast to grow by 33% in 2020 to reach an estimated value of £16.8 billion, up from £12.7 billion in 2019. This phenomenal rise follows four consecutive years of slowing growth: in 2019 growth fell to a historic low of just 2.9%. The market is set to be worth £17.9 billion by 2024, growing by 41% over the five year period.
Online shopping behaviour as a whole
This comes as Mintel reveals a dramatic change in online shopping habits over the COVID-19 lockdown period, habits that Mintel believes could prove lasting. In the very early days of the spread of the coronavirus in the UK, before social distancing measures were announced, 7% of Brits...
Technomic: Uncertainty Surrounds How and When to Reopen the Economy
Conflicting opinions between federal, state and local officials
With the publication of federal guidelines, some states have received mixed signals from high-level officials on the proper timing of reopening. There is a vocal segment of the population pushing their states to reopen and a handful of states are moving in that direction, despite public health warnings of a prolonged outbreak in their states.
Public health projections on the timing of the pandemic are a work in progress
Testing protocols have reached their current capacity and there is growing concern that previously reported plateaus reflect a peak in the number of tests being provided as opposed to...
Consumer Confidence Index Weakened Significantly in April
The Conference Board Consumer Confidence Index deteriorated further in April, following a sharp decline in March. The Index now stands at 86.9 (1985=100), down from 118.8 in March. The Present Situation Index – based on consumers’ assessment of current business and labor market conditions – also declined considerably, from 166.7 to 76.4. However, the Expectations Index – based on consumers’ short-term outlook for income, business and labor market conditions – improved from 86.8 in March to 93.8 this month.
“Consumer confidence weakened significantly in April, driven by a severe deterioration in current conditions,” said Lynn Franco, Senior Director of Economic Indicators at The Conference Board. “The 90-point drop in the Present Situation Index, the largest on record, reflects the sharp contraction in...
Coronavirus Relief Checks Help Ease U.S. Restaurant Transaction Declines in Week Ending April 19
Likely buoyed by the coronavirus relief payments received from the government, consumers increased their restaurant transactions in the week ending April 19 relative to week ending April 12, easing the previous weeks’ declines, reports The NPD Group.
Although the industry is still at historic lows compared to year ago, restaurant customer transactions declined by 36% compared to a 43% decline the prior week, according to CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for...
Technomic: Canadian Foodservice View During Coronavirus Pandemic
When news of the coronavirus (COVID-19) outbreak in China first broke, it was impossible to fully comprehend the global devastation that would follow. Canada confirmed its first case of COVID-19 on Jan. 25 and, as of April 15, the country’s surge of confirmed cases had reached 28,364. While a national mandatory stay-at-home order has yet to be enacted, most provinces have ordered nonessential business workers to self-quarantine until virus concerns subside.
For restaurant operators, consumers’ fears of public spaces as well as government recommendations and regulations have been damaging to business. Suspended dine-in service has forced operators to pivot to takeaway, drive-thru and delivery models only, but even those changes haven’t...
COVID-19 Impact on the Plant-Based Meat Market
According to MarketsandMarkets, the global plant-based meat market size is projected to grow from $3.6 billion in 2020 to $4.2 billion by 2021, recording a compound annual growth rate of 17.0% in the realistic scenario during the forecast period.
The pea segment is projected to be the fastest-growing segment in the plant-based meat market during the forecast period.
The use of pea in plant-based meat has gained significant prominence over the past two years, driven by companies such as Beyond Meat (US), R&S Blumos (Brazil), and other regional players who are...
Rabobank: Initial Impacts of Covid-19 on the Brazilian Consumer
The coronavirus pandemic has inflicted significant pain on the Brazilian consumer, with unemployment rising and incomes set to decline in the coming months. Beyond the initial shock of the lockdown period, in which supermarkets and pharmacies have done well, consumer habits are set to change and resemble some of the trends seen during the last recession in 2015-2016.
Initial Shock and Wider Impact Ahead
- A large part of the country remains in social isolation mode, with no clarity as to when and how such measures will be relaxed or lifted. São Paulo state is signalling a continuation of the quarantine period until at least April 22.
- On April 13, Santa Catarina became the first state to announce the reopening of some retailers, with...
Rabobank: China's Gradual Recovery from Coronavirus
As coronavirus eases across China, life is slowly returning to normal. Different sectors are recovering at different paces, but the impact of the disruption to foodservice and food retail will be ongoing. The slow recovery of China’s foodservice industry and the uplift in food retail sales can give other countries a glimpse of what might happen once the worst of the pandemic has passed.
After nearly two months of lockdowns, life in China is slowly returning to normal. Ministry of Commerce data shows 99% of large manufacturing enterprises have resumed operations. However, the coronavirus changed, at least temporarily, some consumer habits, especially where and how to eat. A Nielsen survey indicates 86% of Chinese consumers said they would...
Technomic Forecasts Recovery Process for Foodservice as a New Normal Takes Shape
This information is pulled from Technomic’s Foodservice Impact Monitor, which shares sentiment and behavior tracking to help support the transition from crisis response to near- and long-term planning. View some highlights pulled from the most recent report below, focusing more on recovery than COVID-19 responses, as we continue to enter a “new normal” in the foodservice industry.
The ‘Four S’ Process of Recovery
Survival. The first month of the recovery was focused on containing and minimizing the economic damage that the pandemic was causing. Restaurants scrambled to adjust to off-premise service or closed entirely opting to focus on lobbying efforts to gain...
Technomic Predicts 2020 Will Be the Most Challenging Year For the Top 500 Chain Restaurants
Technomic released the Top 500 Chain Restaurant Report, which ranks each top chain by sales performance for the previous year. This year’s report includes insight into what to expect for 2020. Although uncertainty remains about the toll that COVID-19 will have on performance, the initial forecast predicts overall sales to decrease by 12% to 17% this year.
“While the Top 500 chains saw a relatively solid overall sales increase in 2019, the growth gap between the largest players and midsize chains continues to widen,” explains Kevin Schimpf, senior research manager at Technomic. “The 5.7% sales boost achieved by the top 20 chains significantly...
Coronavirus Takes European Food Delivery on a Bumpy Ride
Food delivery platforms were expected to be one of the few winners of the ‘corona crisis.’ However, platforms seem to have had a rough start, due to both supply and demand developments. Although recovery is seen in some cases, it remains to be seen whether this bumpy ride will get smoother.
Food Delivery Platforms Swell With New Entrants
For foodservice companies, business has drastically changed these last few weeks. Restaurants and bars across Europe were told to shut down and resort to food delivery. Many restaurants have made this shift, from fast-food chains to Michelin-star restaurants.
Even though some restaurants decided to take on the task of delivery themselves, many see the added value of teaming up with delivery platforms such as...
Pantries Padded with Produce as North Americans Prepare for the COVID-19 Long Haul
Much like the sentiment felt among European consumers, many North Americans expect the impact of the novel coronavirus (COVID-19) to last for quite some time. That means the inordinate rise of in-home food and beverage consumption we’ve seen this year will likely continue for the foreseeable future. While the health and immune-boosting properties of fresh produce have brought growth to the category, many consumers have sought frozen and pantry-friendly fruits and vegetables much more than they did before the outbreak.
But many pre-outbreak behaviors and tendencies will likely stay in the rearview mirror as communities hunker down at home in efforts to mitigate further spread of COVID-19. Overall, it’s left many consumers fearful that the worst has yet to come in terms of...
Technomic Projects Foodservice Sales for March to Fall Between a 31% to 48% Drop from February
The first two months of the year were shaping up well for the foodservice industry, with a roughly 4% increase in sales year over year for the months of January and February—months which are typically slower historically. Typically, March sees 12% higher sales than February—the lowest month of the year. Right now, our preliminary projections for March fall between a 31% and 48% drop in sales from February—a net loss of 43% to 60% from the expected monthly sales gain typically seen in March.
Sales and traffic declines more extreme for beyond restaurant operators
More than half (57%) of beyond restaurant operators report a sales decrease of more than 70% over the prior year, and 63% report a traffic decrease of more than...
U.S. Restaurant Transaction Declines May Have Bottomed Out in the Week Ending April 5
U.S. restaurant customer transactions declined by 41% in the week ending April 5 compared to year ago, following a 42% decline in the prior week ending March 29, which may indicate the industry is bottoming out, reports The NPD Group. The apparent “bottom” is likely due to the full effect of on-premise dining closures throughout the country and the industry’s collective ability to convert to off-premise modes, like carry-out, delivery, and drive-thru.
“The 41% decline in restaurant transactions is similar to last week and may indicate a bottom. We also need to be aware that further erosion could occur if consumers’ economic situations worsen,” says David Portalatin, NPD food industry advisor and author of Eating Patterns in America. “To date, many consumers have...
Consumer Concerns Increase After Two-Week Stabilization
The coronavirus crisis continues to explode and dominate headlines. Nearly one-third of the world is now living under COVID-19 restrictions. Most of the United States is under stay at home orders, but few states remain holdouts and some people are still not following social distance guidelines. While health is a major concern, the potential economic impact from the virus is as well.
With social distancing forcing non-essential businesses to close their doors until further notice, over 6 million initial unemployment claims were filed in the past week. That is double from the week prior. Layoffs are likely to continue, but as an initial step...
Survey: Coronavirus Transforms Americans' Grocery & Cooking Habits
The COVID-19 pandemic is having a profound impact on Americans' grocery shopping and cooking habits, according to a March 23 survey of more than 3,000 consumers by meal planning service eMeals. Shoppers were unable to find 40% of the grocery items on their shopping list as the gravity of the COVID-19 outbreak sent them flocking to grocery stores to stock up on food from March 18-23. Respondents also reported a 55% increase in weekly shopping spend, cooking dinner at home six nights a week, and surging online grocery use that has caused fulfillment delays because of the high demand.
"Shopping and cooking habits have clearly been impacted by the coronavirus outbreak. Short supplies at grocery stores, restaurant closings, and the need to...
Restaurant Customer Transactions Declined by 42% in Week Ending March 29
The majority of U.S. restaurants are now impacted by mandated dine-in closures, reports The NPD Group. Restaurant customer transactions dropped by 42% in the week ending March 29 compared to same week year ago, according to NPD’s CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for 70 quick service, fast casual, midscale, and casual dining chains.
While steep transaction declines are being seen industry-wide, some restaurant models are better suited than others to retain existing off-premise business, like drive-thru, carry-out, and delivery. Quick service restaurants, which historically have more off-premise business, realized transaction declines of...
Consumer Confidence Index Declined Sharply in March
The Conference Board Consumer Confidence Index declined sharply in March, following an increase in February. The Index now stands at 120.0 (1985=100), down from 132.6 in February. The Present Situation Index – based on consumers’ assessment of current business and labor market conditions – decreased from 169.3 to 167.7. The Expectations Index – based on consumers’ short-term outlook for income, business and labor market conditions – declined from 108.1 last month to 88.2 this month.
“Consumer confidence declined sharply in March due to a deterioration in the short-term outlook,” said Lynn Franco, Senior Director of Economic Indicators at The Conference Board. “The Present Situation Index remained relatively strong, reflective of an economy that was on solid footing, and prior to the recent surge in unemployment claims. However...
U.S. Restaurant Chain Transactions Drop by 36% as Mandated Restaurant Dine-In Closures Take Effect
The mandated restaurant dine-in closures that took effect in most states beginning the week ending March 22 took a toll on U.S. restaurant transactions, reports The NPD Group. Total restaurant customer transactions declined by 36% in the week ending March 22 compared to same week year ago, according to NPD’s CREST Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for 70 quick service, fast casual, midscale, and casual dining chains.
Customer transactions at quick service restaurants, which represent the bulk of restaurant industry transactions and have more off-premise business than full service restaurants, decreased by...
Asian Consumers Are Rethinking How They Eat Past COVID-19
Consumers across Asia have signaled their eating habits may change permanently once the world moves beyond the impact of the novel coronavirus (COVID-19). In an exclusive Nielsen study of 11 Asian markets, only Japanese consumers say they are less likely to change their eating habits as a result of the global pandemic.
The study, the first in a wave of Nielsen explorations underway across 74 markets, indicates that consumers in Chinese mainland, Hong Kong, South Korea, Malaysia and Vietnam will rethink and re-prioritize the place eating at home has in their lives. In Chinese mainland, 86% said they would eat at home more often than before the outbreak. In other markets, a similar trend was observed with 77% of consumers in Hong Kong planning to eat at home more often than...
Coronavirus Cases Continue to Impact Foodservice and Retail
Cases of COVID-19 are continuing to surface as the virus spreads and more tests become available. States across the country are still enforcing restrictions and guidelines, encouraging people to social distance.
Retailers have gone from limiting hours to closing completely until further notice. Grocery stores are struggling to keep shelves stocked as consumers continue to panic buy and stockpile essentials. Amid all the hysteria, restaurants are creatively finding new ways to serve guests and generate income.
As of March 18th, the National Restaurant Association predicts that the foodservice industry could lose up to $225 billion and 7 million jobs. Mandatory restaurant closures have caused...
Protein Alternatives Market Outlook to 2025; Dominated by Cargill
According to ResearchAndMarkets, the global protein alternatives market is projected to grow with a CAGR of 7.4% during the forecast period (2020-2025).
The market studied has witnessed a significant growth due to the increasing intolerance toward animal protein, thereby leading to the shift in preference of the meat-consuming population toward meat substitutes made of vegan protein, therefore, driving the market studied.
Consumers in developing regions, like Asia-Pacific and Africa, have started to incorporate more protein in their daily diets. Many companies operating in the market place have started to initiate...
Technomic: Foodservice Growth Projected to Decline 11-27% in 2020 Due to Coronavirus
COVID-19 continues to disrupt the entire foodservice industry and will only continue to have significant consequences. Using our current understanding of the crisis, we modeled out numerous scenarios to understand the scope of its impact. Presently, the expected foodservice impact ranges from a decline of 11% to 27% in year-over-year growth for 2020.
But while most of the changes seem grim, there are also signs of hope, specifically from the operators who are adapting their service model in response to the new environment.
It’s no surprise that travel and leisure will take the biggest hit. The business and industry sector is being severely impacted by office closures and...
U.S. Restaurant Customer Transactions Decline by 8% in Week Ending March 15
With the COVID-19 pandemic spreading throughout the country, more people working from home, and social distancing guidance in place, U.S. restaurant customer transactions declined by 8% in the week ending March 15 compared to year ago, reports The NPD Group.
In the prior week ending March 8, the quick service restaurant chain “breakfast wars” helped to drive a 4% increase in total U.S. restaurant customer transactions compared to year ago, according to NPD’s CREST Performance Alerts, which provides...
Rabobank: Coronavirus' Impact on the U.S. Beverage Landscape by Channel
Rabobank breaks down how coronavirus so far has impacted the US beverage landscape by channel: off-premise and on-premise.
Off-Premise: The Storm Before the Quiet?
The most up-to-date IRI data (through March 8) shows that consumers started to boost food and beverage spending as early as mid-February. Rabobank's sources, however, indicate that there was a drastic shift in consumer behavior starting on March 11 and March 12, at which time consumers really started stocking up on essentials (in fact, the CDC recommends having at least a two-week supply of “essentials”). Reportedly, one major supermarket chain saw record, single-day sales on...
Coronavirus Outbreak Leads to Rise in Concerns Among Consumers
Datassential has released its latest wave of coronavirus research, and as the virus continues to dominate headlines, consumers' concerns have grown. Retail shelves have been wiped clean of food and supplies, gatherings have been discouraged or cancelled, and restaurants are facing mandatory closures.
In just the past four days, concerns have risen significantly among consumers. With the acceleration of the coronavirus news cycle, about 71% of Americans now consider themselves “very familiar” with the situation, which is a jump of 13 points in half a week. Americans' personal concern for exposure is up by 8 points. As of this past weekend, 49% of consumers are “very concerned” about the risk and expressed huge concern for...
Emerging Consumer Demands Lead to Increasing Role of In-Store Technology
According to Nielsen, brick and mortar retail may be preparing for a resurgence. Consumer demands are pointing to an increasing role of technology in stores. Investments in in-store technology spiked nearly 60% to $3.7 billion in 2019. Research also forecasts that digital natives will open another 850 physical stores by 2023.
Trends for fast-moving consumer goods may follow, as consumers have never been more receptive to technology than they are currently. Approximately 64% of consumers claim their lives are getting busier, providing...
Coronavirus to Impact Eating Behaviors Across Multiple Sectors
According to recent research from Datassential, the coronavirus will impact consumers' eating behaviors across multiple sectors. While it is impossible to predict precisely how the virus will spread, insights can be shared as to how consumers will react.
Restaurants are vulnerable to dramatic traffic declines. Coronavirus has led to nearly 60% of consumers expressing concern about eating out, with one in five "definitely" avoiding doing so. The fear is most significant among parents, urban dwellers, and higher earners. Datassential predicts that if the situation worsens, family dining and kids meals will be the most impacted, particularly for restaurant brands located in city centers. About 20% of those surveyed would...
Quick Service Breakfast Wars Help Drive Transactions Up Despite Coronavirus
The 24/7 news cycle around the coronavirus (COVID-19) didn’t deter consumers from sampling an array of breakfast promotions offered by quick service restaurant (QSR) chains last week. The QSR chain “breakfast wars” helped to drive a 4% increase in total U.S. restaurant customer transactions for the week ending March 8 compared to same period year ago, reports The NPD Group.
QSR chains, which represent the bulk of U.S. restaurant customer transactions, also grew transactions by 4% in the week ending March 8, the highest gain in...
Restaurant Chains Grappling with Coronavirus as Consumer Fear Grows
Restaurant chains across America are already preparing for what could be one of the industry’s biggest challenges in recent memory, COVID-19 (coronavirus).
Consumer concern surrounding the virus is growing daily and with news of professional sports leagues suspending play and celebrities coming down with the virus, the panic will only grow.
As the Wall Street Journal’s Charley Grant explained, skipping a night out when times are tough financially is natural, but when consumers fear picking up a deadly pathogen when going out to eat, it could mean even more empty...
Rabobank: Impact of Coronavirus on European Foodservice
Coronavirus is rapidly spreading across Europe. The travel & tourism (T&T) industry, including domestic and international visitors and business travel, is one of the most affected by the situation. Since travelers represent a significant portion of foodservice demand, revenues for restaurants and bars will decline. The magnitude of this decline will depend on the duration of the crisis, the weight of travel-related demand on total foodservice revenue, and the impact of coronavirus on economic growth.
Travel-Related Demand Under Pressure
Although disruptions to daily life outside Italy (under quarantine) are limited, event cancellations, corporate policies banning business trips, and changes in consumer behavior are...
Rabobank: China's Growing Appetite for Meat Alternatives
‘Meat alternative’ has become a global buzzword since Beyond Meat conducted its stellar Nasdaq IPO. Since then, many meat alternative startups began looking into the Chinese market. The rise of the numerous Chinese startups, such as OmniPork and Zhenmeat, hinge on the belief that China will be a potential consumption market for meat alternatives.
Meat alternatives have been discussed a lot by the public media in the past year. The global frontrunners are US-based companies making beef-like burgers with plant-based ingredients, like Beyond Meat and Impossible Foods. Since Beyond Meat’s IPO, China has witnessed nearly 100 plant-based brands emerge in cities like...
Alternative Proteins See Impressive Growth on Menus
According to a recent webinar by Datassential, trending dishes are driven by a variety of factors, including global influences, mash ups, and plant based. Among these factors, plant based is especially driving several growing dishes. The research found that 44% of consumers are trying to increase their intake of vegetable-based protein. Meanwhile, vegan items have seen an increase of 621% in menu penetration over the past decade. However, consumers stated that plant-based or vegetarian diets are loved the most, while vegan diets are hated the most.
Products that attempt to mimic the texture and taste of meat are growing on menus as alternative proteins. The research found that 69% of consumers would at least occasionally order a plant-based meat if available. In the past four years, the plant-based burger’s menu penetration has increased by...
Nielsen: "Pandemic Pantries" Pressure Supply Chain Amid Coronavirus Fears
Consumers around the world are actively stockpiling emergency supplies as concerns grow that the Novel Coronavirus (COVID-19) could become a worldwide pandemic. They’re also starting to think beyond emergency items, such as basic foodstuffs, including canned goods, flour, sugar and bottled water. Concerns are having a ripple effect into non-food essentials as well. In the U.S., sales of supplements, fruit snacks and first aid kits, for example, are all on the rise.
Nielsen’s initial investigation across major countries around the world has found significant spikes in the hoarding of emergency supplies is occurring in China, the U.S. and Italy, where consumers are rushing to...
Solo Diners Represent the Largest Share of U.S. Restaurant Visits Among Party Sizes
Over the last five years, solo diners, or parties of 1, have increased their share of restaurant visits while other party sizes have declined, reports The NPD Group. Last year solo diners represented 35% of restaurant visits whereas parties of two represented 27% of visits, parties of three, 14%, parties of four, 12%, and parties of 5 or more, 13%. Solo diners made 15.4B restaurant visits in the year ending December 2019, an increase of 1% compared to year ago, with the exception of parties of 4, visits from all other party sizes declined, according to NPD’s ongoing foodservice market research, CREST.
Quick service restaurants (QSRs) get the bulk, 89%, of solo diners’ visits and 10% of their visits go to full service restaurants. Their use of QSRs is about 10% higher than...
Packaged Facts: Global Meat Consumption On the Rise
While meat-eaters are increasingly trying plant-based protein options, meat consumption worldwide is expected to increase 1.4% per year through 2023, according to data published in the new Packaged Facts report Global Meat & Poultry Trends.
Meat and poultry consumption in the U.S. is expected to increase less than 1.0% per year through 2023, but greater gains are projected in other parts of the world. Most notably, nations in Africa and the Middle East are forecast to register the fastest increases in meat consumption, as rising living standards and income levels allow more people to incorporate meat into their regular diet.
"In many parts of the world, meat is among the least affordable food options. It is generally pricier than locally available grains, beans, vegetables, and fruit. However, as average incomes rise, more people to eat meat, first as...
Consumer Confidence Index Increased Slightly in February
The Conference Board Consumer Confidence Index improved slightly in February, following an increase in January. The Index now stands at 130.7 (1985=100), up from 130.4 in January. The Present Situation Index – based on consumers’ assessment of current business and labor market conditions – decreased from 173.9 to 165.1. However, the Expectations Index – based on consumers’ short-term outlook for income, business and labor market conditions – increased from 101.4 last month to 107.8 this month.
“Consumer confidence improved slightly in February, following an increase in January,” said Lynn Franco, Senior Director of Economic Indicators. “Despite the decline in the Present Situation Index, consumers continue to view current conditions quite favorably. Consumers’ short-term expectations improved, and when coupled with solid employment growth, should be...
Nielsen: It's Time to Think Omnichannel Shopper, Not Just Omnichannel
There’s no shortage of omnichannel chatter across the retail landscape, and that chatter has been building for quite some time. But now that 44% of American households are actively buying food both on- and offline, the industry needs to focus more on the consumer and less on the physical channel.
As online capabilities have grown, the industry has largely concentrated on developing capabilities to facilitate shopping from all angles. The companies that now have those infrastructures in place are well-poised for success. That’s because at the end of 2019, more than 54 million U.S. households had transitioned to true omnichannel shoppers. That’s up 14% from just two years earlier, and it means that it’s time to put the consumer—not the channel—at the center of the equation.
It’s possible that some market observers might have—not too long ago—believed that shopping would largely migrate online. Today, that mindset would most certainly be...
January Retail Sales Grew 2.7 Percent Over Last Year
Retail sales in January increased 0.2 percent seasonally adjusted over December and were up 2.7 percent unadjusted year-over-year, the National Retail Federation said.
“The strength of consumer spending continues to be the anchor of the current economic expansion,” NRF Chief Economist Jack Kleinhenz said. “January’s retail sales results reflect a confident consumer supported by solid wage growth and job gains. While the business sector continues to weigh significant uncertainties, consumers are providing staying power for...
Technomic Releases Foodservice Technology Program and Consumer Trend Study
Recent research as part of Technomic’s foodservice technology program sheds a light on the fast-paced and evolving influence technology has on consumers’ dining experiences. Brands must balance leveraging technology to foster a greater connection with guests and maintaining their trust in terms of privacy and control over personal data.
“Technology is becoming more ingrained in the foodservice industry and is rapidly evolving,” explains Anne Mills, senior manager of consumer insights at Technomic. “Operators will need to work with their partners to...
Foodservice Participates in Valentine’s Day with Tempting Offers
Whether consumers plan to dine out or stay in on Valentine’s Day, another record is expected to be set this year. According to the National Retail Federation, consumers plan to spend an average of $196.31, up 21 percent over last year’s previous record of $161.96. Spending is expected to total $27.4 billion, up 32 percent from the previous year’s record of $20.7 billion. Of that total, $4.3 billion is expected to be spent on an evening out.
Romantics looking to get ahead of the rush to book a reservation at a restaurant for Valentines’ Day should have done so before February 4th. According to data released by OpenTable, majority of diners wait until ten days or less in advance to reserve a table, despite this being...
U.S. Restaurant Customer Transactions Increased in January Compared to Year Ago
Customer transactions at U.S. restaurant chains were up in January, a benefit of milder weather compared to a year ago when extreme weather conditions, including a polar vortex and above average precipitation, hit many areas of the United States.
For the retail weeks ending January 6 through February 2, total restaurant transactions increased by 2% over same time last year and quick service restaurant (QSR) chains were the primary contributor to these gains, according to NPD’s CREST Performance Alerts, which provides...
Poll: 40% of Americans Have Tried Plant-Based Meats
Headlines surround plant-based meats and alternative proteins daily, but how much impact has it really had on the average consumer. A recent Gallup poll may provide some insight into how seriously consumers are taking plant-based meat.
According to the poll, 40 percent of Americans have tried plant-based meat. Age was the primary factor in whether alternative proteins end up on their plate. About 50% of adults younger than 50 gave plant-based meats a try, while only 26% of the 65 and up crowd tried it.
Women are slightly more likely to try plant-based options at 43 percent, compared to men at 39 percent.
Household income was also a significant factor in plant-based meat consumption. The majority of households with...
Rabobank: Foodservice 2020 Global Outlook
The global market outlook is for foodservice sales to continue to grow, although some tempering is expected due to macroeconomic uncertainties across most geographies. This report explores the foodservice market in various regions and looks at the four main issues for foodservice executives: the macroeconomic and geopolitical environment, delivery, input costs, and sustainability.
The Foodservice 2020 Global Outlook explores the issues that are top of mind for foodservice executives. The first of these is the uncertain macroeconomic and geopolitical environment. Consumer confidence, a key driver for foodservice, may be under increased pressure in 2020 as economic growth slows down and geopolitical events add uncertainty and an overall...
Update: Current List of Plant Closures Due to COVID-19
Aramark Prepared to Welcome College Students Back to Campuses Across the Country
Beyond Meat Reports Second Quarter 2020 Financial Results
Under HEALS Act, Over Half of Restaurants Ineligible for PPP Loans
After Steep Declines, U.S. Foodservice Industry Set to Rebound to Pre-Pandemic Levels by 2023
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