Restaurant and Foodservice Trends

With the hype around delivery, takeout, curbside and drive-thru innovation continuing to build momentum, supporting off-premises foodservice occasions in today’s ondemand environment is becoming a must for operators, while creating both opportunities and challenges.

Off-Premises Dining Occasions on the Rise. Today’s consumers’ on-the-go lifestyles and need for convenience are driving increased off-premises usage across all formats—takeout, drive-thru and delivery.

• Consumers utilizing drive-thru more often than a year ago 39%

• Consumers utilizing delivery more often than a year ago 34%

• Consumers utilizing takeout more often than a year ago 29%

Drivethru tops the list with 92% of consumers saying they use this offering at least once a month. Takeout is similarly high with 90%, and delivery drops off slightly with restaurant delivery at 79% and third-party delivery at 53%. All of these percentages are higher among 18- to 34-year old versus consumers ages 35 and older.

Operators See Off-Premises Benefits. Operators are quick to point out the benefits they see to incorporating off-premises options. Most notably, operators say making these options available generates additional sales for their business, brings in new customers that would have sought out other restaurants, increases profitability of their operation and increases check averages.

• 78% of operators say off-premises programs are a strategic priority

Consumers Embrace Technology for Orders. For many consumers, technology equals convenience, but when placing takeout orders, consumers still appreciate an in-person experience:

• 59% indicating that they place orders via phone

• 51% ordering in-person and waiting for the order.

• 79% saying they’ve placed orders using a restaurant’s website or app within the last year

• 91% placed orders via a restaurant’s app or website within the past year

• Sixty percent (60%) used a third-party delivery service

Key Takeaways and Implications

1. Operators who have not already expanded into off-premises offerings must consider doing so or risk being left behind.

2. Technology can bring many benefits to an operation and, more specifically, can assist with driving off-premises sales. It’s important to prioritize your strategy and identify your top goals—driving more traffic, creating a better customer experience, increasing check averages.

3. The convenience of online and app-based ordering in other industries has been a key factor in creating demand for the same level of convenience in restaurant occasions. Operators need to consider changing customer expectations and adapt accordingly when it comes to implementing off-premises solutions and the technology needed to support those solutions.

Source: White Paper Study from NRA