With a Labor Force Participation Rate of 62.6% that keeps inching lower and is at an near all time low of 62.6% as of August 2015 in the United States.
It is no wonder that foodservice industry icon Bonnie Riggs found a major “deviation from today’s Millennial-driven marketplace—Boomers have surpassed the Millennial segment in restaurant meal consumption, as the younger, frugal group cuts back on meals out.
Riggs stated “that while the 50+ segment is driving industry growth now, this older population will dine out less frequently as they age over the next decade. Accordingly, the restaurant industry will become increasingly reliant on the lighter Millennial buyers, and must offer the freshly prepared and customizable menu items that Millennials demand.”
So, here is what is interesting NPD found that “The U.S. commercial foodservice industry experienced sales of $440.1 billion in the 12 months ending in June 2015—a YOY increase of 3.1 percent. Though offline expenses predominantly account for these figures (98.1 percent), online sales have increased by 11 percent—threefold the rate of offline growth. This is a reflection of the increasing role of online delivery services.”
Riggs continued, “Consumers decreased their visits to independent, midscale/family dining, and quick service hamburger restaurants, but thanks to increased visits at quick service and fast casual restaurants, overall foodservice traffic hit its highest level in six years.”
The Ready-2-Eat and Heat-N-Eat fresh prepared food niche continues to attract customers both young and old as the economy picks up and the labor force participation rate increases hand held marketing, digital ordering and payment will increase as well. Most important consumer expectations of sustainable ‘better for you’ food, meal delivery options, and messaging are evolving with both groups as well.
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