Success does leave clues. Foodservice Solutions® Grocerant Guru™ stated that the growth of the Ready-2-Eat and Heat-N-Eat fresh food Grocerant niche is accelerating in large part because “Millennials are attracted to the ease of meal preparation when utilizing fresh prepared Ready-2-Eat and Heat-N-Eat meal components.
This is a growing concern for the restaurant sector as Millennials as a group currently represent about 14.5 billion visits and $96 billion in spending, which is 23 percent of total restaurant spend, but the group has cut back in both visits and spending, according to a new NPD study.
The study pointed out that “older Millennials, ages 25 to 34, who are more likely to have families, have cut back the most on restaurant visits, making 50 fewer visits per person over the past several years” However “Younger Millennials, those who are 18 to 24 years old, made 33 fewer visits per person. Annual per capita restaurant spend for younger Millennials is $1,240, which is down $146 per person compared to their spending in 2007, and older Millennials’ annual per capita spend is $1,369, down $213 per person.”
Here are some of the concerns that the NPD found; “they indicate restaurants can be too expensive and that it’s cheaper to eat at home. Millennials say that they are cooking at home more often as many “don’t at all mind to do so,” and about half actually claim to like to cook. In addition to saving money, they feel better about cooking at home because they consider it healthier and it tastes better than what they can get away from home.”
Consider that fact highlighted many times here in this blog by our own Grocerant Guru™ “The 65 Inch HDTV Syndrome” this NPD study parallels our findings while reinforcing the outcomes. One finding often over looked by many is that Millennials find Grocery store, and C-store Ready-2-Eat and Heat-N-Eat fresh prepared food to be of “Restaurant Quality”.
Bonnie Riggs, NPD restaurant industry analyst stated; “In other words, they not only want to get their money’s worth, they want good food and service”. All things being equal Foodservice Solutions® team see’s the evolving battle for share of stomach accelerating. With new points of fresh food distribution creating industry disruption that has yet to service.
Since 1991 retail food consultancy Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche for more on Foodservice Solutions® Would you like a Grocerant Scorecard? Visit: www.FoodserviceSolutions.us http://www.linkedin.com/in/grocerant, twitter.com/grocerant or Facebook Steven Johnson
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