Consumer Footfall Traffic in Foodservice Slows down to -1.7% in Q3
Meaningful Vision’s Competitive Intelligence System delves into puzzling insights regarding consumer footfall traffic across the top 100 chains, encompassing fast food outlets, coffee shops, casual dining, and pubs. Notably, there has been a discernible shift, as consumer footfall traffic moved from a positive 2.3% in Q1 to a negative -1.7% in Q3. Despite an overall market growth of 0.2% in Jan-Sep 2023 compared to the previous year, like-for-like traffic witnessed a decline of 1%.
According to our estimates at Meaningful Vision, the average check has seen a modest increase of 6-8%. This stands in contrast to the substantial 17% surge in price growth for individual menu items throughout 2023. In response to economic pressures, consumers are actively seeking savings, gravitating towards Combo Meal Deals and available discounts. This shift is reflected in their behavior, with orders being downsized, omitting less essential items such as drinks, snacks, or sides,” comments Maria Vanifatova, CEO of Meaningful Vision. “In a high-inflation environment, it’s crucial to recognize that consumer footfall traffic is the most accurate metric to analyse a brand’s performance. I discuss the recent data on footfall traffic in my webinar, broadcasted on PropellHospitality and available on our website. ”
Where are the remaining growth opportunities?
The disparity between various city and urban retail environments, influenced by factors like competitor penetration and pricing policies, necessitates a nuanced approach. A detailed examination and thorough understanding of local market dynamics become integral components of any growth strategy.
Maria Vanifatova, CEO of Meaningful Vision, emphasizes the significance of generating customer traffic for authentic growth: “Analyzing traffic data allows a clear understanding of food service chain dynamics, free from inflationary influence. Meaningful Vision’s Competitive Intelligence system facilitates benchmarking performance against competitors in each location and identifies the most promising growth opportunities.”
Comments
Post a Comment