The UK’s eating out market is forecast to decline between 60-70% in the full year to December 2020, according to the HIM & MCA Insight UK Recovery Report 2020.
The annual growth rate for spending on out of home food and drink is expected to be -23.1% between 2017-2020, down from +1.2% over the period 2014-2017. In contrast, the rate for in home food and drink spend is set to grow, from 2% between 2014-2017 up to 4.5% for 2017-2020.
The findings also show that consumers have remained cautious with their spending throughout the coronavirus pandemic, with 63% actively trying to save. More positively, 45% of consumers are confident about their financial position over the next 6 months, compared with 21% who are concerned.
However, nearly two-thirds (64%) of consumers are worried about visiting eating out venues. Operators will have to comply with various safety measures, costing them time and money as well as impacting the very essence of socialising pleasurably.
Blonnie Walsh, head of insight at HIM & MCA Insight said, “The UK eating out market has been brought to its knees by the coronavirus pandemic and recovery will not come quickly. Certain channels and locations are certainly better placed to bounce back more quickly from the effects of coronavirus, such as coffee shops and fast food outlets, which are more suited to on-the-go visits and are less experience-led.