RESEARCH
EATING IN/OUT IGD
RETAIL AND FOODSERVICE ‘WILL GROW IN 2021’
IGD’s latest Eating In vs Dining Out report reveals that both retail and foodservice will grow in 2021, taking the entire industry almost back to its pre-Covid levels.
T
he entire UK food and drink market will expand by 12% in 2021 with both retail and foodservice set to grow this year, according to the latest Eating In vs Dining Out report produced by insight and analysis providers IGD, in collaboration with foodservice consultant Peter Backman. The forecasted increase is driven by strong retail growth from January to March and foodservice sales which will begin to strengthen from July onwards as pent-up demand for socialising boosts the sector. Foodservice will grow by 54% (£18.6bn) vs 2020, says the report. Some of this growth will impact retail, but elevated levels of home working, at-home social gatherings and financially
stretched shoppers who are unable to divert spend to eating out, will see the retail sector continue to grow. Nicola Knight, Senior Retail Analyst at IGD, said: “The latest industry growth forecasts, combined with the Office for Budget Responsibility predictions for a slightly quicker than expected economic recovery, are reassuring for both retailers and operators. The reopening of the eating out sector and lifting of social restrictions will increase social dining and give the market as a whole a significant boost. The value of retail is up £1.8bn on 2020 and £14.5bn on 2019. According to the report, the key to unlocking opportunity for both retailers and operators is understanding the K-shaped recovery and its influences on shopper behaviour.
“Some of this growth will impact retail, but elevated levels of home working, at-home social gatherings and financially stretched shoppers who are unable to divert spend to eating out, will see the retail sector continue to grow.” 16 I SLRMAG.CO.UK / ISSUE 54 / WEDNESDAY 5TH MAY 2021
