The top 5 most shocking restaurant stats we've seen latelyAuthor: MOBI
There’s a lot going on in the hospitality industry at the moment. The good news is, most of what we’re seeing is optimistic and points to an exceptional year ahead. As we stay on the pulse of what’s happening, we thought it would be a perfect opportunity to shed light on the most shocking stats we’ve seen in recent months.
Regardless of whether the stat is good or bad, there’s a way to turn this information into an opportunity to grow your brand in 2022 and beyond.
The global food and beverage services market is expected to grow from $3,232.94 billion in 2021 to $3,678.61 billion in 2022 at a compound annual growth rate (CAGR) of 13.8%. (SOURCE)
Starting on a very high note, after the impacts of COVID-19, we are thrilled to see the hospitality industry making a well-deserved comeback. The expected growth comes as companies begin to rearrange their operations to suit the new age of hospitality, and as COVID-19 restrictions continue to lift around the globe. According to this study, the market is expected to continue to see steady growth, with 2026 predictions looking as though the industry will reach $5,235.52 billion, a CAGR of 9.2% - wow!
“Mature delivery markets, including AU, CA, UK & US, are now 4-7x larger than they were in 2018” (SOURCE)
It’s no surprise to see the delivery market has grown, but when you think about it being upwards of 7x bigger than in 2018 - that’s an astounding change. Although the pandemic has influenced this behaviour, it shows very little signs of reverting back to where it was.
Some brands have become reliant on third party delivery apps, such as DoorDash and Uber Eats, to meet this new demand. On the contrary, many other brands saw the opportunity to reconnect with their customers by providing their own digital ordering platform. QSR brands providing their own digital ordering noticed it strengthened their customer relationships and gave them better access to customer data, all while allowing them to own a higher percentage of order profits by cutting out the middleman.
“Prices for food away from home, which include places like restaurants, bars and cafeterias, increased 6.4% in January over the past year. That was the highest rate since 1982, according to the U.S. Bureau of Labor Statistics.” (SOURCE)
Inflation is upon us, and it’s evident we’re all just trying to do our best to navigate changes in the costs of goods while maintaining relationships with suppliers. Despite restaurants and bars having to increase their prices by 6.4%, big league brands have said the change in pricing hasn’t resulted in any major pushbacks from consumers.
This article in particular mentions that big block brands Starbucks and McDonald’s have raised prices by a whopping 8%. McDonald’s CEO, Chris Kempczinski, said so far so good when it comes to customer responsiveness, however he does acknowledge the importance of staying on the pulse and monitoring any changes in the near future.
“Chipotle’s Digital Sales Grew over 200% During COVID-19” (SOURCE)
And we’re guessing they’re not the only ones. We’re past the point of discussing “going” digital, because let’s be honest, surf’s up when it comes to the digital wave, and most brands are already riding it. The latest focus is keeping the digital momentum, and ensuring you’ve created a strong omnichannel experience that meets your guests where they want to be met.
One of the biggest changes restaurant brands are facing, is the changes to guest expectations when it comes to the in-store experience. With many brands going head to head with today’s labour shortage, and guests increasingly wanting to own their dine-in experiences, QR code ordering such as Table Ordering and Skip the Queue have become key to success.
“Coupon fraud costs U.S. businesses anywhere between $300 million and $600 million per year.” (SOURCE)
And last but not least, this is an important reminder why brands need to be on the pulse of discounts across their business, to ensure any potentially fraudulent activity is caught early on. Having access to data is extremely important for success, but did you know a lot of companies suffer from data silos? This results in them not having the right information to see how the business is performing across the board, and can impact business performance in the short and long term.
MOBI Analytics gives you the full picture to see how your brand is performing. It’s fantastic for people working in all avenues of the business, from finance to marketing to operations and beyond. Track overall performance, repeat guest rate, discounts (coupon fraud - be gone!), menu performance, and more.
Stay on the pulse
Change is happening all the time, including customer behaviour, trends in digital, hospitality products, and more. It’s important to keep your ear to the ground and understand what’s happening in the market.
If any of these stats piqued your interest or made you question how well your brand is set up to ride the digital wave, we encourage you to reach out to a MOBI expert today.
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