Despite another jump in the national unemployment rate and conflicting economic indicators released last month, a new survey shows that consumers’ plans to spend at restaurants are only improving as confidence in the economy grows. Looking out over the next 90 days, 16 percent of respondents said they planned to spend more on dining out, up from the 13 percent in May and just 8 percent in February who responded similarly. A reduced 33 percent of respondents said they planned to spend less on dining out during the next 90 days, down from 39 percent in May and 50 percent in February who answered that way.
“Confidence in the economy is improving, as those planning to spend more at restaurants cited better job security and less need to save money,” said the report from RBC restaurant securities analyst Larry Miller. “Value is driving consumers to eat out more, as are having less time to cook and an uptick in workers per household.”
Brands that stand to benefit, according to survey respondents, include Red Lobster, Chipotle, Olive Garden, Maggiano’s Little Italy and Panera Bread. Concepts that respondents said they would not frequent more often included Denny’s, Golden Corral and Morton’s, The Steakhouse.
“The increased value restaurants have been offering has not gone unnoticed; it’s the No. 1 incremental reason for eating out more,” Miller noted.
This was a Breaking News story in Nations Restaurant News today. It seems there are several news articles weekly now proclaiming the hospitality industry is on the rise. This is great for everybody as the hospitality industry is the largest employer in the country, second only to the Federal Government. As long as the restaurants are growing everyone benefits. This industry employs over 12 million people and it’s growth means job opportunities for many more.
The growth of restaurant chains also means true career opportunities as it is one of the few industries I know of where someone can be promoted from a dishwasher, through the ranks to Area Supervisor with only a GED. It’s nice to find an industry where someone can have a real career opportunity based on skill and hard work.
This is truly one of the reasons I love recruiting in the hospitality industry. Every restaurant manager I talk to has a story of how they worked their way up through the ranks to their current position and are proud of their accomplishments.
September 10th, 2009 at 12:42 PM
This is great news. I keep seeing articles like this myself. As a restaurant General Manager I feel like I have job security that friends of mine don’t have in other industies.
September 10th, 2009 at 12:44 PM
I wish I had gotten into this business instead of manufacturing. Although I am a supervisor, my plant is closing and I cannot find a job. Switching to another industry is starting over in pay and I cannot afford to do that as my family with lose everything. Maybe it would be worth it over the long term to get started in the restaurant business. I love people and the restaurants are always hiring. Just wish I had done it 20 years ago.
September 29th, 2009 at 1:10 PM
This is good news. I support any company that promotes from within. That’s how it should be. I would think its easier for an employer as well, the person is already familiar with the employees and probably knows the best way to deal with each of them.
October 1st, 2009 at 1:40 PM
I think in the economy people cannot afford vacations or weekend get aways. But they still need an outlet and going out to dinner is a nice and cheaper way to have fun.
November 1st, 2009 at 10:32 AM
I always see lots of people eating in restaurants. Guess that is the one industry that is recession proof. Spoiled, fat americans will always eat and eat! lol