More Consumers Plan to Increase Restaurant Spending
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.Back