Market research firm The NPD Group on Tuesday released a report stating that restaurants are dealing with shifting consumer demographics as parents leave their kids at home and young adults, ages 18 to 24, cut back on restaurant visits.
According to NPD's Crest, which tracks consumer purchasing and consumption patterns, restaurant visits by parties with kids declined 3 percent in 2008, and restaurant visits by young adults dropped from 254 in 2007 to 233 last year.
Both quick-service and full-service restaurants experienced traffic reductions in 2008 with kids under 13.
Young adults, who are among the heaviest restaurant users, have been scaling back on restaurant visits the past five years, with the decline from 2007 to 2008 being the steepest. In 2008, the age group accounted for nearly 7 billion visits and USD 42 billion (EUR 31.7 billion).
According to an NPD report, young adults' food preferences are changing. Health and food quality is a major concern for them, and they feel restaurant food is often too high in calories and healthy options are limited.
"Considering the cost of adding kids' meals to a restaurant check, it's not surprising that adults are deciding to keep the kids at home, and I believe we'll see more kids in restaurants once the economy improves," said Bonnie Riggs, NPD restaurant industry analyst. "It's a different situation with the 18- to 24-year-olds. Their restaurant preferences have been changing over the last few years, and it will be important for restaurant operators to understand these preferences in order to get them back in."
One group that has increased its visits to restaurants over the past year is baby boomers, ages 50 to 64. In 2008, the number of restaurant visits by this demographic was 209, up from 204 in 2007 and 201 in 2003.
March 30, 2009
