New Report Analyses Key Trends In Eating Out

The high level of competitiveness in the UK’s restaurant & bar sector means that eateries need to be prepared to change with the times in order to stay relevant to consumers, according to a new report analysing trends in the sector.

Produced by national law firm Irwin Mitchell and the Centre for Economics and Business Research (Cebr), the Consumer Powerhouse special report provides an estimate of GVA* growth and job creation within key cities across the UK with a specific focus on the retail, leisure, tourism and food and drink industries.

Boosted by growth in the restaurant and bar sector, the report found that Exeter is expected to see its consumer economy grow the fastest this year, followed by Bristol and Edinburgh.

Published this month, the report also features specific analysis of the restaurant and bar industry, with it revealing that people in London are the biggest spenders in the UK when it comes to eating out as they spend on average £15 each per week. Expenditure was also highest among those aged between 50 and 64 and lowest among the over-74s.

Eating out is generally popular across the UK, with the latest figures revealing that two-thirds of Britons eat out once a month and expenditure on food and non-alcoholic drinks consumed outside the home growing by 6% to £10.40 per person per week in 2016/17.

Looking ahead, the report urged restaurants and bars to consider a range of factors in order to stay relevant to consumers. These include providing a strong customer experience and ensuring food looks good in the age of Instagram. Collaborating with retail is also another growing trend, while eateries are also advised to embrace technology and let consumers pay or order via apps.

Expert Opinion

“As we have seen throughout this report, the bar and restaurant sector is a key driver for economic growth here in the UK and across the world. The sector is however facing significant disruption, but it’s not Armageddon as some commentators have suggested, rather a case of re-invention.

“There are plenty of reasons to be optimistic. The sector is growing at a steady rate and consumer confidence is generally on the rise and people generally having more disposable income to spend on themselves. However, consumer businesses must constantly invest and innovate to remain relevant and adapt to the new consumer.”
Victoria Brackett - Group Chief Commercial Officer

Josie Dent, Economist at Cebr said: “Our research highlights the importance of innovation within the highly competitive bars and restaurants sector. Appealing to the under 30s age group is a key strategy businesses should pursue, as they spend more on eating and drinking out than their 30-39 year old counterparts.”