Pubs and restaurants continue to gain market share, driving average spend up

13-Jul-2021 - Last updated on 13-Jul-2021 at 09:28 GMT

Shift in share: ‘As predicted, the increase in on-premise dining has led to a drop in delivery and click and collect occasions,’ insight director at Lumina Intelligence, Blonnie Whist, said.

According to the latest data from Lumina Intelligence Eating & Drinking Out Panel, the proportion of Brits engaging with restaurants and food-led pubs grew to 58%.

The Lumina Intelligence Eating & Drinking Out panel – based on 78,000 surveys across the year and built up from a nationally representative weekly sample of 1,500 shoppers – found that consumer participation in the eating out market increased by two percentage points during the four weeks ending 13 June to 58%.

Visit frequency also increased from 0.7 times per week during the four weeks to 16 May to 1.4 times over the same period.

Changing landscape

The reopening of dine-in hospitality in the past four weeks has yielded a shift in channel share according to Lumina.

Pubs, bars and restaurants have both gained share – 3.5 percentage points and 2.3 percentage points respectively – while quick service restaurants have lost 2.9 percentage points and coffee and sandwich shops have also lost share (-2.5ppts).

This change in channel usage has also led to an increase in average spend, which rose by 7.2% to £9.55 in the four weeks to 13 June.

‘Increase in participation and frequency’

As a result of the reduced restrictions, an increasing proportion of out of home meal occasions were ordered and bought in venue, accounting for almost seven-in-10 occasions, an increase of 4.1 percentage points versus the previous four weeks.

Meanwhile both delivery and click and collect saw share fall by two and three percentage points respectively.

Commenting on the results, insight director at Lumina Intelligence, Blonnie Whist, said: “With the reopening of indoor dining, we’ve seen an increase in participation and frequency of eating out and the shift towards higher spend channels such as restaurants and pubs/bars has also driven up average spend.

“As predicted, the increase in on-premise dining has led to a drop in delivery and click and collect occasions, but these remain an important route to market for those consumers who remain nervous about venturing out to venues and as a continued source of revenue for operators.”

The Lumina Intelligence UK Eating Out Market Report 2021 is the definitive report on the sector, covering the market and competitive landscape, consumer attitudes and behaviours and future outlook. Find out more about the report here.