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While Restaurant Delivery gets All the Buzz, Digital Orders Overall Grow by Double-Digits
The growing access to foodservice delivery has garnered lots of attention from the marketplace and media, but while delivery grabs the spotlight, digital restaurant orders overall steadily grow by double-digits, reports The NPD Group. Restaurant digital orders, which are defined by meals or snacks ordered via mobile app, internet, or text message, have grown by 23 percent over the past four years and now represent 3.1 billion visits and $26.8 billion dollars. NPD forecasts digital orders to continue to grow by double-digits through 2020 with growth across all service modes including delivery, on premises, and carryout, according to NPD’s Delivering Digital Convenience report.
Although convenience is understandably the top reason consumers choose digital ordering, other top reasons include: no waiting; the ability to order, pay, and have it ready; ordering at my “own” pace; and earning rewards/feeling valued. In addition to these reasons...
Indulgent Snack Food is Making a Comeback by Walking the Line Between Health and Enjoyment
U.S. consumers are giving themselves permission to enjoy indulgent snacks, reports The NPD Group. Their permission to enjoy savory and sweet snacks is the result of the wellness-driven acknowledgement that balance is the key. Brands are supporting their consumers’ quest for balance by offering snacks that walk the line between health and indulgence, like portion-control packs, thinner versions, or nutrient-enhanced savory and sweet snacks, finds NPD’s recently released Future of Snacking report.
“The role of snack food is changing in different ways in reaction to Americans’ desire for balance, portable snack foods, and holistic wellness,” says David Portalatin, NPD food industry advisor and author of Eating Patterns in America. “It’s no longer about depriving yourself of...
Which Rules the Roost When it Comes to Restaurant Orders: Burgers or Chicken Sandwiches?
Burgers have been a top item ordered at U.S. restaurants for decades but chicken sandwiches have come on strong over the last several years. There are more chicken sandwich restaurant concepts and chicken sandwiches are appearing on more menus. So have burgers been knocked off their perch by chicken sandwiches? “No,” says The NPD Group, which daily tracks U.S. consumers use of restaurants and other foodservice outlets. Burgers still rule the roost and are the top sandwich ordered overall.
By the numbers, the average number of times a customer purchased a burger at a restaurant over the 12-month period ending February 2019 was 14.7 times and the customer purchase frequency of chicken sandwiches was 8.7, according to NPD’s receipt harvesting service, Checkout, which tracks...
U.S. Consumers Return to the Convenience of Frozen Foods
After years of being in the shadows of the health-focused “fresh” movement that kept more consumers in the perimeter of the store where fresh produce is merchandized, consumers are returning to the frozen foods aisle, reports The NPD Group. Last year frozen foods were included in 9.8 billion eating occasions in home, up 2 percent from a decade ago, an increase that represents billions of meals, according to NPD’s daily tracking of U.S. consumers’ eating behaviors.
“Demographic shifts, like Millennials moving into the busiest times of their lives juggling spouses, kids, and a career, are fueling a greater need for the convenience that frozen foods offer,” says David Portalatin, NPD Food Industry Advisor and author of Eating Patterns in America. “Manufacturers are also doing their part in...
U.S. Fast Casual Restaurant Chains Still Growing in Units and Customer Visits
Fast casual restaurant chains have been growing both in units and customer visits for the last decade, finds The NPD Group. The number of fast casual chain restaurants rose by 1 percent to 25,312 total units, based on NPD’s Fall 2018 ReCount® restaurant census, which includes restaurants open as of September 30, 2018. In the year ending February 2019 compared to year ago, fast casual customers increased their visits by 3 percent while the total quick service restaurant category, under which the fast casual category falls, were up 1 percent and total U.S. foodservice traffic remained flat, according to NPD’s ongoing foodservice market research.
The top five city metro areas with the most fast casual chain units based on the Fall 2018 ReCount are in rank order ...
Millennials with Kids Are a Growth Group for U.S. Restaurants
Millennial parents, just like parents from the generations that preceded them, are increasingly looking to restaurants to take on the task of cooking for their families. Millennials with children increased their restaurant visits by 5 percent in 2018 compared to prior year, reports The NPD Group. Their visit increase is in comparison to flat traffic growth for the total foodservice industry in 2018, according to NPD, which tracks on a daily basis U.S. consumers’ use of restaurants and other foodservice outlets.
Millennials overall make the most restaurant visits per capita although their visits have been slowing. As teens and young adults they influenced the growth of the fast casual category, the “fresh” movement, and were early adopters of the hottest sauces and an assortment of ethnic flavors. Now as parents with hectic lives they’re turning to restaurants for ...
NPD Group: Millions of US Adults have Yet to Use a Meal Kit but are Interested in Giving Them a Try
The meal kit market is quickly evolving from nearly exclusively online and subscription-based, home delivery services to on-demand availability in-store and online. Consumers are trying out the different ways to purchase meal kits, with over a quarter of recent users purchasing kits both in-store, including restaurants, and online, finds The NPD Group. While meal kit marketers and meal kit users are experimenting to find the right fit, there is a large group of consumers, 93 million, who have never tried a meal kit but are interested in giving them a try, which points to a market opportunity, according to NPD’s What’s Next for Meal Kits report.
“There is an untapped market for meal kits and it’s up to meal kit providers and retailers to find out ...
British Foodservice Industry Falls as Consumers Increasingly Prefer ‘Off-Premise’ Dining Options
Based on recent NPD research, after reaching its peak of 11.35 billion visits in 2017, we’re expecting the out-of-home or eat-out foodservice market will fall over the next two years in Britain. The pressures affecting on-premise eating and drinking is a big theme in British foodservice. The old habit of going shopping and finding a place to sit down is waning as more people shop online and opt for faster and more convenient ways of dining.
All of the meaningful growth in foodservice will be ‘off-premise’, which is where the industry will address the decline on the high street. The modest growth in the large takeaway and grab ‘n’ go channel, supported by the continuing delivery revolution, is enough to provide a significant majority of the growth in spend over the next two years for the entire British foodservice industry ...
U.S. Realizes Double-Digit Growth in Case Shipments of Plant-Based Proteins to Foodservice Operators
Case shipments of plant-based protein from broadline foodservice distributors to foodservice operators increased by 20 percent in the year ending November 2018 compared to year ago with all Census regions showing double-digit growth, reports The NPD Group. The West Census Region represents the most plant-based protein volume and case shipment growth followed closely by the South Census region, according to NPD’s SupplyTrack®.
About a quarter of the U.S. population, many of whom aren’t vegan or vegetarian, say that they eat and drink plant-based beverages and foods as well as animal protein on a regular basis. Among the reasons why plant-based proteins have ...
An Increasing Number of Restaurant Meals Are Being Eaten At Home, Where U.S. Consumers Want to Be
U.S. consumers are staying home and eating more meals at home, and an increasing number of those meals eaten at home are purchased from restaurants and foodservice outlets, reports The NPD Group.
For a variety of reasons — streaming media, working from home, the need to find comfort and shelter from the maddening crowd, or practicing Hygge, the Danish art of coziness — U.S. consumers are staying home. Staying home also means eating more meals at home and an increasing number of those meals are purchased from restaurants and foodservice outlets. In the year ending September 2018 dining at a restaurant represented 37 percent of all visits and remained flat compared to last year and restaurant meals consumed in-home accounted for 32 percent of all traffic and increased visits by 2 percent, reports The NPD Group.
Proof that U.S. consumers are homebodies is that 71 percent of those who chose to eat at home were at home prior to eating the restaurant meal. Adult, single person parties with higher incomes of $100K or above are driving ...
Chicken Fight: Are Chicken Strips Cannibalizing Chicken Nugget Servings At Foodservice?
Product innovation and new fast casual chicken concepts reinvent chicken strips
Not since the classic why did the chicken cross the road? question has there been such a puzzling chicken question as this: Are chicken strips cannibalizing chicken nugget servings at foodservice? Chicken strip servings at restaurants and foodservice outlets increased by 16 percent in the quarter ending September 2018 compared to same period last year whereas chicken nugget servings declined by 3 percent, reports The NPD Group. The logical answer is that fans of breaded chicken are swapping out nuggets for strips. The correct answer: No they’re not.
Chicken nuggets lost buyers but these buyers were not...
Aging Consumers Slow Down U.S. Food & Beverage Consumption Making It A Battle for Market Share
While our economy is improving, the aging population and corresponding changes in life stage will contribute to the decline in total eating occasions on a per capita basis in the U.S., according to The NPD Group’s recently released Eating Patterns in America. Modest population growth will result in a less than one percent annual increase in total food and beverage demand, which isn’t significant enough to stop the decline in consumption occasions per capita.
The number of annual eating occasions per capita in the U.S. has been on a steady decline, reports NPD, which continually tracks all aspects of U.S. consumers’ eating attitudes and behaviors. U.S. consumers will average 1410 eating occasions per capita this year, or over 461 billion occasions for the total U.S. population, compared to 1453 occasions in 2009.
“Food and beverage consumption in the U.S. is perhaps the clearest definition of a ‘mature market,” says David Portalatin, NPD food industry advisor and author of Eating Patterns in America. “The balance between consumers eating in home or away from home has been...
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