UK eating out market growing at slowest rate in seven years

By Joe Lutrario contact

- Last updated on GMT

UK eating out market growing at slowest rate in seven years according to MCA Insight

Related tags: Analyst, MCA Insight, Casual dining, Fine dining

The eating and drinking out market is set to grow 1.3% to £91bn in 2019, the slowest rate of growth in seven years.

That's according to exclusive research from MCA Insight – a leading research insight agency across the eating out markets.

According to the report, lower-ticket, convenience-led channels are outperforming the market, which MCA Insight says highlights the importance of 'price-led value'.

The insight, from MCA’s exclusive UK Eating Out Market Report 2019 that launches today, was conducted through online consumer surveys, analysis of MCA’s market sizing and company tracking databases and assorted operator-specific research.

The results look at the key trends affecting the market, the competitive landscape, the changing needs of consumers and the outlook for future development.

Retail, travel and leisure is the fastest growing sector, growing ahead of the total market with projected growth of 3% in 2019. In comparison, hotels, pubs and restaurants are forecast to grow by just 0.9% this year, to £66.5bn, and contract catering up 1.4% to £4.4bn.

Average consumer spend is up 2%, however this is being driven by menu price inflation, with visit frequency continuing to decline – down 1% – led by a 4.5% fall at lunchtime.

The report suggests that consumers are more selective about how and where they spend their money.

“Declining visit frequencies, rising promotion usage and the growth of home delivery are the key reasons for a slowing Eating Out Market,” says MCA insight manager Katie Prowse. 
“However, the growth of the Retail, Travel and Leisure market highlights a growing demand for more convenient solutions at affordable prices. Strong growth in certain channels indicates that opportunities for success are there for operators, but several basics must be consistently executed first, not least a high quality product, efficient service and a good store environment.”

For more information and to find out how you can access the MCA UK Eating Out Market Report 2019, visit the website. 

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