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Insight of the Day: Decoding Channel Preferences in Consumer Foodservice

The post discusses the evolving consumer foodservice landscape post-pandemic, highlighting changes in consumption patterns and channel preferences, particularly among younger generations. Here are the key points highlighted in the post:

- Current State of Foodservice Industry:

- Despite expectations that post-pandemic restrictions would drive consumers back to on-premises dining, on-premises consumption has not yet returned to pre-pandemic levels seen in 2019. However, off-premises channels like delivery, takeaway, and drive-through have shown recovery and expansion from 2019 to 2023.

- Impact of Younger Generations:

- Younger generations, including Gen Z and Millennials, are influencing foodservice sales as they spend more time online, engage in remote work, and prioritize convenience and value for money.

- Characteristics of these younger consumers include increased online activity, socialization, and decision-making based on information and comparisons.

- Consumer Preferences and Trends:

- The preference for convenience is evident as consumers opt for off-premises options like delivery, takeaway, and drive-through.

- Global trends indicate a shift towards omnichannel consumption, combining various foodservice options such as eat-in, takeaway, and delivery.

- Ordering food online provides benefits such as access to discount coupons, savings on commuting costs, and competitive prices from virtual restaurants/dark kitchens with leaner operations.

- Future Outlook:

- Eat-in dining is expected to remain a significant foodservice channel, accounting for approximately 55% of total industry sales in 2028.

- The concept of omnichannel dining is likely to grow, offering consumers a blend of in-person and digital foodservice experiences.

The evolving landscape of the foodservice industry reflects changing consumer behaviors, especially among younger generations, who are driving the shift towards digital tools, convenience, and value-driven dining experiences both online and offline.

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