Stats Of The Week
The State Of The Industry
According to the NRA’s 2021 State of the Restaurant Industry Report, the association estimates
foodservice sales will increase by 11% in 2021 to $731 billion. Though the restaurant industry is
expected to grow in 2021, it will still come in about 15% below 2019 sales. In 2020, foodservice
industry sales were down approximately 24% to $659 billion compared to $864 billion in 2019. Bars and
taverns were down the most in sales of any segment with 65% followed by full-service sales decreased by
30%. The NRA’s report states that there is still pent-up demand for dining out. They suggest restaurants
focus on catering to diners that are visiting establishments for both on- and off-premise occasions
rather than trying to appeal to all customers.
Survey Estimates When Life Will Return To Normal
A new report from HealthCare Insider gauged when consumers believe normalcy will return through 10
activities, including not wearing a mask in public, family gatherings, and dining indoors. 21% of
consumers expect life to return to normal in the summer, while 18% believe normalcy will return in the
fall. Of those surveyed, 20% think life won’t return as usual until 2022 or later and 13% believe things
will never be normal again. The report also found that comfort levels around dining indoors vary by
demographic. Men are 40% more likely than women to feel comfortable dining indoors by the spring.
Millennials are nearly 30% more likely than baby boomers to feel comfortable dining indoors. It has been
shown that where you live also affects your level of comfortability with indoor dining. Consumers in the
Midwest (29%) and South (27%) are more likely than people in the Northeast (25%) or West (22%) to say
they already feel comfortable dining indoors.
What’s Trending
California Resumes Outdoor Dining
On January 25, California Governor Gavin Newsom announced that the state will be ending all stay-at-home
orders and the most severe business restrictions will be lifted. For restaurants, this means outdoor
dining will be possible across the state. Regional stay-at-home orders that affected most of the state
were announced on December 3 as availability for ICU beds dropped below 15%. As a result, restaurants
could only offer take out and delivery services for the past few weeks. Now, ICU capacity in every
region in the state is at 15% or higher, which has put an end to those orders including the curfew that
banned non-essential activity between 10 p.m. and 5 a.m. According to a report from The Los Angeles
Times, LA officials indicated that they would move to allow outdoor dining later in the week.
NY Gov Announces 2021 Restaurant Relief Program, But Is It Enough?
New York Governor Andrew Cuomo has outlined relief measures for the restaurant industry as a part of his
2021-2022 budget proposal. The budget includes a $130 million pandemic recovery and restoration program,
which allocates $50 million for restaurants to rehire staff. Restaurants can apply for a $5,000 tax
credit for each worker they rehire with a maximum of 10 workers for a total of $50,000, according to New
York Upstate. Though the state has not released eligibility criteria, the funds are geared towards small
businesses, and affected businesses will have to show they’ve lost at least 40% of revenue to apply.
Critics argue that though this assistance could help a number of restaurants, it isn’t enough to support
businesses and suggest opening indoor dining as a better solution. New York City has closed dining rooms
since December while most of the state is allowed to offer indoor dining. Eater also reports these
restaurant funds are contingent upon New York receiving $15 billion from President Biden’s
administration. If the state does not receive that assistance from the federal government, the
restaurant recovery program will be excluded from the budget.
Companies List Incentives For COVID-19 Vaccines
With restaurant workers deemed as ‘essential workers’, operators are beginning to prepare their staff for
eligibility in the next few weeks, following healthcare workers and elders. Darden Restaurants Inc.,
which owns restaurants such as Olive Garden and LongHorn Steakhouse, is going to offer their hourly
workers up to four hours of pay as an incentive to get both COVID-19 vaccines when they become
available. The parent to more than 1,800 casual-dining brands will compensate workers two hours of pay
for each dose of the vaccine they receive, Gene Lee, Darden CEO and chairman, wrote in a memo to team
members. Darden noted that the pay rate will be based on the team member’s total earnings, including
tips, over the most recent 13 weeks with a maximum pay rate of $20.
“The COVID-19 vaccine will be a critical tool in helping end this pandemic, which will allow us to
welcome more guests and team members back into our restaurants. We recognize getting vaccinated is a
personal decision that you alone can make. While we will not require hourly team members to be
vaccinated as a condition of employment, we strongly encourage you to consider getting vaccinated,” Lee
wrote to employees.
Chipotle’s 1st Super Bowl Ad Highlights Farmers
Chipotle Mexican Grill will make its debut spot in a Super Bowl commercial on February 7. The commercial
titled, “Can a Burrito Change the World?”, showcases the effect of Chipotle’s “Food with Integrity”
standards to help cut carbon emissions, save water, and support local growers. On Super Bowl Sunday,
Chipotle will waive delivery fees on orders through the Chipotle app and website. With each order made
on those platforms and through third-party delivery services, the chain will donate $1 to the National
Young Farmers Coalition, an advocacy group that promotes independent family farms. In a statement,
Chipotle CMO Chris Brandt called the chain’s first Super Bowl appearance a milestone moment for the
brand.
"We want to use this massive platform to help shift attention toward creating positive change for the
challenges our food system faces and educate consumers on how they can make a difference," Brandt said
in a statement.
Dunkin’ Adds Unexpected Menu Items To Target To-Go Customers
Dunkin’ has partnered with Chicago-based Farmer’s Fridge to test out menu items which include Greek
salads, burrito bowls, pesto pasta, Greek yogurt, and chia seed pudding in six restaurants, according to
Food & Wine. Three of the test restaurants are in Chicago and the other three are in New Jersey. The
test will last three months and highlight Dunkin’s focus on creating items for on-the-go and lunch.
These new menu items come more than two years after Dunkin’ dropped “Donuts” from its name to rebrand
and expand both food and beverage offerings. In a statement emailed to Food & Wine, a Dunkin’
representative wrote that the test is designed to gather feedback from customers, franchisees, and
employers to inform future decisions. They also state that the chain is committed to delivering a wide
variety of delicious, convenient menu choices to keep their guests running all day long.
Bright Spots In A COVID-19 World
Chefs Come Together To Host Virtual Fundraiser
Harrisburg University and the Hilton Hotel have teamed up to host the “Just A Taste - The Great
Pennsylvania Cooking Show”. The show will consist of renowned Pennsylvania chefs coming together to help
struggling bars and restaurants during the pandemic. The fundraiser will be held virtually and streamed
live with guest appearances from local chefs and Roy Choi, co-host of the popular Netflix series, “The
Chef”. He will be sharing his talent from California and will participate in a question and answer
session during the show. All donations will be going to the Pennsylvania Restaurant and Lodging
Association’s hospitality assistance program.
“The hospitality industry is hurting desperately and financial support from the government is lacking,
leaving hundreds of businesses and thousands of employees without a safety net. We are grateful to the
organizers of ‘Just a Taste’ for contributing event proceeds to HARP so we can continue providing relief
to frontline hospitality workers who have been impacted by COVID-19, through no fault of their own,”
John Longstreet, President & CEO of the PRLA, said to Local 21 news.
Super Bowl Sunday Gets SOUPier
For the last 15 years, Heritage Baptist Church in Annapolis, MD has raised funds for the local homeless
shelter through soup. The event was held every Super Bowl Sunday with signature soup recipes from local
restaurants that were popular with customers. With COVID-19 discouraging large gatherings and sharing
foods, the fundraiser is going virtual this year. Event Spokesperson Lea Hurt wrote in an email to the
Capital Gazette that though everyone can’t gather around and raise money for the shelter, they can’t
break the 15-year streak. For a week, Heritage Baptist will host a SOUPer Bowl event on their Facebook
page with daily content including featuring soup recipes. 100% of the funds donated will go to the Light
House Homeless Prevention Center. Over the years, the fundraiser has raised over $30,000 for the
shelter.
Quote Of Hope
“Restaurants are the cornerstone of our communities, and our research shows a clear consumer desire to
enjoy restaurants on-premises more than they have been able to during the pandemic.” - Hudson Riehle,
senior vice president of the research and knowledge group at the National Restaurant Association
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