New National Restaurant Association Report Highlights Restaurant Industry Recovery
This year will be one of transition in the restaurant industry and labor challenges will continue to plague restaurant operators, according to the National Restaurant Association’s 2022 State of the Restaurant Industry report. The annual report measures the restaurant industry’s continued recovery and examines the status of current and emerging trends across key categories including technology and off-premises business, operations, workforce, food and menus, and more.
“The restaurant and foodservice industry has adapted and is carrying on with absolute resilience, so we’re optimistic about the path toward recovery in the coming year,” said Marvin Irby, interim president & CEO of the National Restaurant Association. “We still have work to do to ensure that those operators struggling the most can survive.”
Key findings in this year’s NRA report include:
- The foodservice industry is forecast to reach $898 billion in sales in 2022.
- The foodservice industry workforce is projected to grow by 400,000 jobs, for total industry employment of 14.9 million by the end of 2022.
- More than half of restaurant operators said it would be a year or more before business conditions return to normal. Food, labor, and occupancy costs are expected to remain elevated, and continue to impact restaurant profit margins in 2022.
- Ninety-six percent of operators experienced supply delays or shortages of key food or beverage items in 2021 – and these challenges will likely continue in 2022.
- Fifty-one percent of adults say they aren’t eating at restaurants as often as they would like, which is an increase of six percentage points from before the pandemic.
- Roughly 50% of restaurant operators in the full-service, quick service, and fast-casual segments expect recruiting and retaining employees to be their top challenge in 2022.
- Between 2023 and 2030, the industry is projected to add an average of 200,000 jobs each year, with total staffing levels reaching 16.5M by 2030.
- Seventy-five percent of operators said they plan to devote more resources to recruiting and retaining employees.
- Fifty-four percent of adults say purchasing takeout or delivery food is essential to the way they live, including 72% of millennials and 66% of Gen Z adults.
- Seventy percent of Gen Z adults (age 21+) and 62% of Millennials say the option of including alcohol with a takeout or delivery order would make them more likely to choose one restaurant over another similar restaurant.
To view the full report click here.
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