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NewsConsumer NewsNew research suggests cash-conscious diners are ditching restaurants for deliveries

New research suggests cash-conscious diners are ditching restaurants for deliveries

CONCERNS are growing regarding the future of restaurants, after research shows a continuous trend of people opting for takeaways.

The findings come from Scots hospitality technology specialist ePOS Hybrid, who say this is showing a clear trend towards people turning their backs on returning to restaurants, despite the end of lockdown restrictions

The business says that shorter delivery times, big improvements in the quality of food options and worries over rising household bills are all factors affecting the move.

This news comes alongside an ongoing period of recovery for the hospitality sector following the pandemic.

Andrew Gibbon, ePOS Hybrid's Head of Growth.
ePOS Hybrid’s Andrew Gibbons says this information “is vital intelligence that the hospitality sector needs to be on top of”.

UKHospitality, the industry trade body, warned in November 2021 that the sector remained “in peril”.

Sales across restaurants, bars and hotels sat 10% below the 2019 figures of the same period of the three months to the end of September.

ePOS Hybrid offers point-of-sale and business management solutions to a wide range of takeaways, bars, restaurants and other hospitality businesses across the UK and Ireland.

The business has reviewed data from nearly three million customers interactions at the sites who use its products.

In December 2021, takeaway and home delivery accounted for 50.73% of all orders placed through the ePOS Hybrid platform compared to 45.66% for eat-in.

In August 2021, eat-in orders had accounted for 51% of all orders.

ePOS Hybrid Head of Growth, Andrew Gibbon, say takeaway and home delivery continues to eat into market share, while there is a clear decline from the highs in eat-in activity seen in August 2021 as Covid restrictions eased.

Andrew said: “The quality of our data allows us to provide this fascinating insight into how consumer behaviour is changing – and perhaps changing for good.

“This is vital intelligence that the hospitality sector needs to be on top of as it looks to recover from the pandemic.

“Online ordering and home delivery have been emerging trends in the last few years, but they have exponentially grown during Covid – and show no signs of slowing.

“Between September 2021 and December 2021, the takeaway and home delivery market increased by 4%, while eat-in experienced a small decline.

“In January 2022, we continued to see online ordering and home deliveries outstrip eat-in orders.

“We predict that we will see continued and substantial growth within online ordering and home delivery throughout 2022 and beyond while eat in will stagnate, even with eat-in options returning back to pre-pandemic operations.”

Andrew added that while more hospitality operators were offering online options, the home delivery market had expanded as availability of menus, cuisines and dietary-related meals had increased – marched by the continued popularity of delivery platforms such as Just Eat and Deliveroo.

Andrew said: “The choice and quality of food available for home delivery is almost unrecognisable compared to a few years ago, when only your local chip shop, Chinese or Indian takeaway would likely be the only ones to offer this service.

“Likewise, any food type is now available at consumer’s fingertips with ever shorter delivery times, with delivery promises as little as 15 minutes.

“Compare this to retail consumers. They want convenience.

“They don’t want the hassle of checking when a shop is open, arranging to go into town, parking the car, browsing products on a Saturday when stores are really busy – they want their product delivered to their house, hassle free and on demand.

“This resonates with home delivery consumers, particularly the on-demand element when you can get a quality meal on your doorstep within the hour.

“And when you factor in the current economic climate with ever-rising living costs, home delivery is now clearly established as a cost effective way for a couple or family to have an enjoyable treat.”

Since its launch in January 2020, ePOS Hybrid’s tech has processed in excess of £90million in transactions, with 6.5 million people having used the firm’s products to buy a food or drink item.

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