Food inflation and rising costs have increased the price of a foodservice meal over the past few years, up 9% in April compared to April 2019, contributing to a 4% decline in consumer visits to U.S. restaurants this April compared to a year ago, reports The NPD Group.
CHICAGO, May 26, 2022 /PRNewswire-PRWeb/ -- Food inflation and rising costs have increased the price of a foodservice meal over the past few years, up 9% in April compared to April 2019, contributing to a 4% decline in consumer visits to U.S. restaurants this April compared to a year ago, reports The NPD Group. Restaurant traffic in April was 11% below the pre-pandemic level in April 2019. The 1% increase in consumer spending at restaurants in April versus a year ago was more a reflection of higher prices than increased use of restaurants, according to NPD's daily tracking of the U.S. foodservice industry.
Online and physical visits to quick service restaurants (QSRs) declined by 4% in April compared to a year ago and is 6% below the April 2019 pre-pandemic baseline. Traffic to full service restaurants (FSRs), which had the steepest declines during the pandemic, was down 3% this April compared to a year ago, which is 31% below April 2019 visits.
Rising restaurant prices have had the most impact on lower-income households and households with kids. For consumers in households with annual incomes under $50K, their restaurant visits declined by 11% in April 2022 compared to the same month a year ago. Traffic from households with kids under age 6 was down 8% and decreased by 9% for households with kids ages 6 to 12 in April compared to a year ago. Visits from groups with kids, from the same home or not, were down 14% from a year ago, while traffic from adult-only groups was up 1% this April compared to April 2021.
"Rising prices put pressures on consumers that contribute to the restaurant industry slowdown. For many consumers, it's more affordable to eat at home," says David Portalatin, NPD food industry advisor and author of Eating Patterns in America. "This is when operators need to demonstrate their value to consumers struggling with inflation and be solutions-oriented to help consumers meet needs across life stages."
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About The NPD Group
NPD is a global market information company offering data, industry expertise, and prescriptive analytics to help our clients understand today's retail landscape and prepare for the future. Over 2,000 companies worldwide rely on us to help them measure, predict, and improve performance across all channels, including brick-and-mortar, e-commerce, and B2B. We have services in 21 countries worldwide, with operations spanning the Americas, Europe, and APAC. Practice areas include apparel, appliances, automotive, beauty, books, B2B technology, consumer technology, e-commerce, fashion accessories, food consumption, foodservice, footwear, home, home improvement, juvenile products, media entertainment, mobile, office supplies, retail, sports, toys, and video games. For more information, visit npd.com. Follow us on Twitter: @npdgroup.
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SOURCE The NPD Group
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