The restaurants are recovering from the major setback they had to face due to the covid-19. Restaurant owners had to come up with new ways of delivering their food through no-contact food delivery services and maintain high standards of hygiene. Online presence and reviews by customers of restaurants are becoming a major source of information that drives the restaurant’s success rate along with good quality food.
- In 2020, the restaurant industry’s projected worth was adjusted to $659 billion in sales from an initial projection of $899 billion.
- This loss of $240 billion was due to the COVID-19 pandemic. (Restaurant Dive)
- As a result of the COVID-19 pandemic, in the U.S., there was a 65.91% year-on-year decline in consumers dining in restaurants as of January 2021. (Statista)
- The restaurant industry has a projected annual sale of $863 billion, which is 4% of the country’s gross domestic product (GDP). (NRA 2019 Restaurant Industry Factbook)
- As of May 2019, the Restaurant Performance Index (RPI) was 101.6. An RPI above 100 is considered as the period of growth for restaurants.
- 95% of restaurant owners say that the overall efficiency of their establishments is improved by the use of technology. (Toast)
- 56% of consumers want to know how their personal information is being used by restaurants. (Technomic)
- By 2025, digital channel sales are expected to account for 30% of total sales for U.S. restaurants. (Facebook)
- Compared to dine-in traffic, digital ordering and delivery have grown 300% faster since 2014. (Nation’s Restaurant News)
- When choosing a restaurant, 72% Of diners place food quality over everything else. (Toast)
- The biggest food/beverage trend right now is CBD-infused drinks according to 75% of surveyed chefs. (Netwaiter)
- There were more than 1 million restaurants in the US in 2020.
- The restaurant industry employs 9.9 million workers.
- 90% of guests check out a restaurant online before eating there.
- A one-star increase on Yelp can drive a restaurant’s profit by up to 9%.
- The average cost of replacing a restaurant employee is $5,864.
- 27% of people who order food are willing to pay extra for fast delivery.
- 51% of restaurateurs say hiring, training, and retaining staff is the biggest challenge they face.
- 95% of restaurant owners say using technology improves the overall efficiency of their eateries.
- Table service restaurants make approximately $300 billion in sales annually.
- The restaurant performance index was at 97.5 in November 2020
- 33% of people read other guests’ reviews before selecting a place to eat.
- 91% of restaurant operators use Facebook to promote their business, while 78% use Instagram as well.
- 75% of people would stay away from a restaurant that has negative reviews about its cleanliness. (Business Wire)
- A one-star increase on Yelp can boost a restaurant’s profits by up to 9%. (Harvard Business School)
- 33% of Americans would never eat at a restaurant with a rating lower than four stars.
- 79% of customers trust online reviews as much as they trust personal recommendations. (Bright Local)
- 50% of consumers only trust online reviews that have been left in the past 14 days. (Bright Local)
- 69% of millennial diners will take a picture of their food for Instagram before eating it.
- Almost six in 10 adults have worked in a restaurant at some point in their lives.
A few facts to consider
- 90% of guests research a restaurant online before dining—more than any other business type.
- 57% of those guests viewed restaurant websites before selecting where to dine.
- 52% of all worldwide online traffic was generated through mobile phones, up from 50% in the previous year.
- Digital channel sales are on pace to reach 30% of total sales for US restaurants by 2025.
- 60% of U.S. consumers order delivery or takeout once a week.
- 34% of consumers spend at least $50 per order when ordering food online.
- 20% of consumers say they spend more on off-premise orders compared to a regular dine-in experience.
- Digital ordering and delivery have grown 300% faster than dine-in traffic since 2014.
- 70% of consumers say they’d rather order directly from a restaurant, preferring that their money goes straight to the restaurant and not a third party. This makes the value of a native online ordering solution much stronger for restaurants.
- 45% of consumers say that offering mobile ordering or loyalty programs would encourage them to use online ordering services more often.
- 63% of consumers agree that it is more convenient to get delivery than dining out with a family.
- 60% of restaurant operators say that offering delivery has generated incremental sales.
- Orders placed via smartphone and mobile apps will become a $38 billion industry in 2020.
- Delivery sales could rise an annual average of more than 20% to $365 billion worldwide by 2030, from $35 billion.
Restaurant Employment Statistics
- There are 15.1 million restaurant industry employees in the United States.
- 1.6 million new restaurant jobs will be created by 2028.
- The restaurant workforce makes up 10% of the overall U.S. workforce.
- 3 in 10 restaurateurs cite staffing as a challenge.
- 9 in 10 restaurant managers started at entry-level.
- 8 in 10 restaurant owners started their industry careers in entry-level positions.
- 9 in 10 restaurants have fewer than 50 employees.
- 76 percent of restaurateurs are looking for labor-management tools in their restaurant point of sale.
- The average base salary for a restaurant employee in the U.S. is $11.54 per hour.
- Chefs earn an average of $15.08 per hour in the U.S.
- Restaurant management makes a median salary of $55,516 per year in the U.S.
- Restaurant workers in the UK earn an average of £25,161 annually.
- UK chefs earn an average of £10.16 per hour.
- In the UK, restaurant managers earn an average base pay of £32,517 per year.
- Canadian restaurant staff earns $20.46 on average per hour.
- Chefs in Canada earn an average of $19.72 per hour.
- Restaurant managers in Canada earn an average of $47,343 annually.
Customer Service Restaurant Statistics
- On average 90% of people surveyed said they read restaurant reviews prior to going out.
- 77% of guests search out their restaurant’s menu first.
- 95% of guests report that good customer service is key to their brand loyalty.
- Customers are 63% prefer to order through your website than through a third party vendor.
- 70% of guests have reported they became discouraged from visiting a restaurant’s website.
- 35% of customers say they are only looking for restaurants with high review ratings.
- Even a one-star increase on Yelp can increase your profits by 2%.
- The most common complaint is food quality, with 19% of guests disappointed with their meal.
- 91% of restaurateurs said they want to invest in kitchen automation in 2021.
- 56% of consumers have expressed concern with how their data is used.
- 88% of restaurants are reported as switching exclusively to contactless digital menus.
Loyalty Programs Restaurant Statistics
- Over 90% of all companies have a customer loyalty program.
- In the U.S. there are 3.3 billion loyalty programs.
- Paytronix reports that loyalty programs increase guest visits by 20% and that those guests spend 20% more.
- A Paytronix survey showed that loyalty memberships along with geo-fencing increased restaurant sales by 50%.
- 72% of U.S. consumers say they are part of a loyalty program.
- 62% of Gen-Z are influenced by loyalty programs.
- The U.S. was forecasted to net $26.5 billion in off-premise revenue in 2020.
- Off-premise delivery revenue is projected at $28b by 2023.
- The UK was expected to earn £8.5 billion in off-premise revenue in 2019.
- Off-premise dining accounts for 70.74 billion around the world.
- Millennials order 59% of off-premise orders.
- Americans order delivery or takeout at least once per week.
- Off-premise dining channels are forecast to grow to $470b annually by 2025.
- Percentage of restaurant guests who believe off-premise dining is important to their lifestyle
- In the U.S. 110,000 restaurants have closed temporarily or permanently due to the pandemic.
- Prior to the pandemic, the restaurant industry was projected to earn $889 in 2020.
- The U.S. restaurant industry netted $659 billion, $240 shy of their projected goal.
- The pandemic drove 163% of restaurant job losses in the UK.
- From 2019 to April 25, 2021, the UK industry saw a decline in seated restaurants of 36.14%.
- The UK restaurant industry lost £80.8bn or around £9m every hour due to pandemic lockdowns.
- Percentage of restaurant guests who say that off-premise dining is essential during the pandemic more than before.
- 55% of U.S. restaurant guests are eating at home, rather than on-premise.
- 59% of Americans feel comfortable going out to eat.
- Consumers are 68% more likely now to order off-premise than prior to the pandemic.
- eMarketer reports that in 2021, smartphone restaurant delivery app users will fall to 44.1 million as people return to restaurants.
- 33% of guests report that they will continue ordering off-premise dining post-pandemic.
- 44% of customers are tipping more than before.
The covid pandemic will shift the course of how people dine and order food. The above mentioned depict that the restaurant industry is making a healthy recovery. Restaurant owners will need to re-think their marketing strategies and focus a lot more on maintaining a good online presence to remain profitable with the unpredictable times.