INDUSTRY TRENDS routines with 68% of consumers more likely to purchase takeout from a restaurant than before the pandemic, and 53% of consumers who say takeout and delivery is essential to the way they live. Other key takeaways include: • 64% of delivery customers prefer to order directly from the restaurant and 18% prefer to order through a thirdparty service. • 72% of adults say it’s important their delivery orders come from a location that they can visit in person — as opposed to a virtual kitchen space.
2021 STATE OF THE RESTAURANT INDUSTRY REPORT
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he National Restaurant Association recently released its 2021 State of the Restaurant Industry Report to measure the impact of the coronavirus pandemic on the industry. The report also examines off-premises, labor and menu trends based on a survey of 6,000 restaurant operators, and consumer preferences based on a survey of 1,000 adults. Finally, the report provides a look at the year of transition ahead. Key findings regarding the impact of the coronavirus on the restaurant industry include: • Restaurant and food service industry sales fell by $240 billion in 2020 from an expected level of $899 billion. • As of December 1, 2020, more than 110,000 eating and drinking places were closed for business temporarily or for good. • The eating and drinking place sector finished 2020 nearly 2.5 million jobs below its pre-coronavirus level. “While we still have a long way to go, we are confident in the resilience of the industry’s workforce, operators, suppliers and diners. The year ahead will be critical as we continue to advocate for much-needed recovery funds to help get our industry back on track. Working together as one, I am confident in our ability to continue safely serving our guests and supporting our communities,” says Tom Bené, president and CEO of the National Restaurant Association.
Approximately 35% of off-premises customers — with millennials leading the category at 53% — are more likely to choose a restaurant if it offers the option of including alcoholic beverages with the to-go order.
DEVASTATING YEAR FOR THE WORKFORCE The impact of the pandemic caused staffing levels to fall across all restaurant and food service segments with restaurant employment below pre-pandemic levels in 47 states and D.C. Key figures on the restaurant workforce include: • 62% of fine dining operators, and 54% of both family and casual dining operators say staffing levels are more than 20% below normal. • There are nearly 2 million fewer 16- to 34-year-olds in the labor force. • Restaurants were hit harder than most industries during the pandemic and still have the longest climb back to pre-coronavirus employment levels.
STREAMLINED MENUS WITH COMFORT FOOD AND ALCOHOL TO GO While restaurants continue to streamline operations, their menus prove no exception with 63% of fine dining operators, and half of casual and family dining operators saying they have fewer items on the menu than before the pandemic. Consumers are equally influenced to choose one restaurant over another if the restaurant offers a good selection of comfort foods and/or dishes on the healthier side, but the availability of diet-specific fare, such as vegan or gluten-free, plays a lesser role. The availability of alcohol to go with takeout orders, however, is a major influence in restaurant choice.
ACCELERATED ADOPTION OF OFF-PREMISES State and local mandates forced operators to introduce, streamline or enhance off-premises and contactless capabilities. Takeout and delivery became a part of people’s
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Restaurants are meeting these demands with one in five family and casual dining operators adding comfort items, and seven in 10 full-service operators adding alcohol to go since March www.tlw.org
