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Gen Z Driving Restaurant Resurgence Amid Cost of Living Crisis
3 min read
Jun 30, 2022
3 min read
Jun 30, 2022
Research from SevenRooms shows younger generations are driving the restaurant resurgence as the biggest spenders for restaurant and bar visits. SevenRooms is working with Inception Group – the name behind Bunga Bunga, Cahoots and Mr Fogg’s – to enhance its unique, immersive experiences for diners.
LONDON (30 June 2022) – As the cost of living crisis worsens, a new study from SevenRooms has found that the hospitality industry continues to recover as the majority of UK consumers (58%) are spending the same or more on restaurants and bars than they were pre-pandemic, swapping out clothes, shoes and even holidays in their budget to fund meals and nights out. This restaurant resurgence is being driven by younger consumers aged 16-24, who spend an average of £68.02 a week in restaurants, pubs and bars. This spending then drops with age, with 35-44s spending an average of £45.75 and those aged 55+ spending just £21.52 per week.
Top 5 expenses being cut in favour of restaurant visits
The research from SevenRooms, which polled over 2,000 UK adults, looked at Brits’ new priorities and expectations around dining two years on from ‘Eat Out to Help Out’.
What’s more, the research suggests that there is a growing trend to cut back on other items in favour of going out: over 1 in 8 are cutting back on takeaway and new clothes and over 1 in 9 are even sacrificing holidays in favour of restaurant visits.
Top 5 most popular elements of ‘eatertainment’ experiences
As people look to return to restaurants after a difficult two years, the data shows that “eatertainment” experiences that go beyond ‘just food and drink’ are highly popular. The concept has largely been driven by Millennials and Gen Z looking to spend on experiences rather than ‘things’:
SevenRooms found that over two-thirds (71%) of 16-24s have been to a themed restaurant or bar concept, with musicians, unique locations, and themed food and drink the most popular inclusions. This is compared to just 25% of those over 45 having visited a themed restaurant or bar experience.
And while the research found average weekly spend in restaurants, pubs and bars across the UK is £40.38, increasing to a whopping £66.91 in London, additional data has shown that “entertainment” has the potential to boost spend even further in this crucial time for the hospitality industry. SevenRooms found that establishments that developed themed menus and activities around the Platinum Jubilee, for example, were expected to draw in an additional £221 million (£11.67 per head).
Inception Group, experts in creating unique, immersive food and drink experiences, are no strangers to the eatertainment concept. The company behind experiences such as the Pizza-Making Party at Bunga Bunga and Bootlegger Breakout at Cahoots has long partnered with SevenRooms to enhance its guest experience and operations with market-leading technology. The SevenRooms platform is used across all 13 of Inception Group’s properties.
Mischka Fogel, Head of Sales, Associate Director at Inception Group, says: “The most important thing to us at Inception Group is making every guest feel like a VIP with unique, memorable food and drink experiences. We always look to go above and beyond to create something dynamic and innovative to draw guests in and wow them with an incredible experience.
Partnering with SevenRooms, our customer journey has really come together. We store and share guest preferences and information across venues. If someone with a long history at Mr. Fogg’s shows up to Bunga Bunga for the first time, for example, the maître d’ knows exactly who they are so they can recommend their favourite type of cocktail, avoid known allergens or remember their birthday. When we’re able to tailor each experience to our guests, it adds something a little special to each and every visit.”
Danilo Mangano, Managing Director International at SevenRooms, comments:“Our data shows that visits to restaurants and bars are still a priority for UK consumers. In times when we’re having to think carefully about where our money goes, it’s interesting to see that many are looking to swap shopping excursions for drinks with friends or holidays for a night out at their favourite restaurant. Given these sacrifices, restaurants must ensure that they’re providing a dining experience that’s going to wow diners. Our research found almost 1 in 7 (13%) Brits would rather stay at home unless a restaurant experience is going to be outstanding.
As the summer heats up, success for hospitality venues will rely on operators’ abilities to deliver exceptional and meaningful experiences to guests, through ‘eatertainment’ focused trends and concepts and the right technology in place to facilitate them. Restaurants and bars that are willing to go the extra mile are sure to capitalise on guests’ appetites for special and memorable experiences.”
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About SevenRooms
SevenRooms is a guest experience and retention platform that helps hospitality operators create exceptional experiences that drive revenue and repeat business. Trusted by thousands of hospitality operators around the world, SevenRooms powers tens of millions of guest experiences each month across both on- and off-premise. From neighbourhood restaurants and bars to international, multi-concept hospitality groups, SevenRooms is transforming the industry by empowering operators to take back control of their businesses to build direct guest relationships, deliver exceptional experiences and drive more visits and orders, more often. The full suite of products includes reservation, waitlist and table management, online ordering, review aggregation and marketing automation. Founded in 2011 and venture-backed by Amazon, Comcast Ventures, Highgate Ventures and PSG, SevenRooms has dining, hotel F&B, nightlife and entertainment clients globally, including: MGM Resorts International, Mandarin Oriental Hotel Group, The Cosmopolitan of Las Vegas, Jumeirah Group, Wolfgang Puck, Michael Mina, LDV Hospitality, Zuma, Altamarea Group, AELTC, D&D London, JKS Restaurants, Marcus Wareing Restaurants, Dishoom, The Wolseley Hospitality Group, Live Nation and Topgolf.
Research Methodology
All figures, unless otherwise stated, are from Censuswide Plc – a third-party, professional research and consulting organization. Total sample size was 2,008 adults. Fieldwork was undertaken between 18th – 20th May 2022. The survey was carried out online. The figures have been weighted and are representative of all GB adults (aged 16+).
Media contact
SevenRooms
Bianca Esmond | Director, Brand Marketing
