Chain Restaurants on the Rise?

Chain Restaurants on the Rise?

The total number of U.S. restaurants dropped last fall by 2 percent, and the ratio of eateries to people is at the lowest point since the recession, research and consulting firm The NPD Group said Tuesday. The makeup of the remaining eateries is changing at a rapid pace too, as the number of independent restaurants…

Back to Insights

Chain Restaurants on the Rise?

The total number of U.S. restaurants dropped last fall by 2 percent, and the ratio of eateries to people is at the lowest point since the recession, research and consulting firm The NPD Group said Tuesday.

The makeup of the remaining eateries is changing at a rapid pace too, as the number of independent restaurants is falling while the number of chain restaurants is climbing.

 

NPD, which measured commercial restaurants open as of Sept. 30, 2016, counted a total of 620,807 restaurants. Independent restaurants fell by 4 percent compared with fall 2015, while the number of chain restaurants rose by 1 percent compared with a year earlier.

Independent restaurants are highly concentrated in sit-down dining, which has seen a slowdown in visits as more Americans choose to grab food on the go. The so-called fast-casual segment, which includes chains like Chipotle and Panera, is still growing rapidly. Restaurants in that segment rose by 7 percent, NPD said.

 

The number of restaurant closures is expected to continue in response to lower demand, said Greg Starzynski, NPD’s director of product management for the group’s food service segment. Americans have been eating out less for some time now, as economic worries like student loan debt and rising rents keep wallets tight, while meal kits and grocery store hot bars give consumers an alternative to eating out.

 

 

Related posts

  • In The News: Nearly Century-OId Steakhouse Pacific Dining Car

  • The Shoppes at Hamilton: Permanent Closure and Tear Down leads to Equipment and Furniture Auction

  • Pacific Dining Car in Santa Monica Closes Due to COVID-19

  • Santa Monica’s Pacific Dining Car closes permanently after 30 years due to pandemic

  • Destination on the Left Podcast Interview with Neal Sherman

  • Nashville Restaurant Radio Podcast Interview with Neal Sherman

  • O’Charley’s Nationwide Closures

  • Wendy’s Breakfast, Foreign Expansion, and Past Mistakes

  • Iowa Gives Opportunities in the Restaurant Industry to Thousands

  • “What If’s” of the Restaurant Industry Going Into 2020

Related posts

  • In The News: Nearly Century-OId Steakhouse Pacific Dining Car

  • The Shoppes at Hamilton: Permanent Closure and Tear Down leads to Equipment and Furniture Auction

  • Pacific Dining Car in Santa Monica Closes Due to COVID-19

  • Santa Monica’s Pacific Dining Car closes permanently after 30 years due to pandemic

  • Destination on the Left Podcast Interview with Neal Sherman

  • Nashville Restaurant Radio Podcast Interview with Neal Sherman

  • O’Charley’s Nationwide Closures

  • Wendy’s Breakfast, Foreign Expansion, and Past Mistakes

  • Iowa Gives Opportunities in the Restaurant Industry to Thousands

  • “What If’s” of the Restaurant Industry Going Into 2020

The latest from our blog

  • Restaurant Closing for Fast Casual Chain Operators: A Strategic Guide to Equipment Liquidation

    Closing a restaurant is always a complex process, but a fast casual chain restaurant…
    Read More
  • A Strategic Facility Closure Plan for Los Angeles Restaurants

    Closing a restaurant in the hyper-competitive Los Angeles market is a uniquely challenging task….
    Read More
  • Your Guide to a Strategic Restaurant Facility Closure Plan in Arlington, TX

    Closing a restaurant in the bustling and competitive Arlington, Texas market presents a unique…
    Read More