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Under-34 crowd values restaurants' proximity to work, extended hours
January 28, 2010
Restaurants and foodservice establishments serving up convenience are poised to do well in this post-recession economy, according to a release by research company Mintel. Its new report suggests that although value has become the mantra of many contemporary diners, convenience still resonates with the out-to-eat crowd, especially for those under age 34.
Over half of younger adults rank a restaurant's proximity to their workplace as very important/important when selecting where to dine (62 percent of 25–34 year olds and 55 percent of 18–24 year olds, versus 41 percent of all respondents). The younger demographics also rank extended hours (i.e. late-night) and speed of service highly in their restaurant selection processes. The ability to order online ahead of time also is essential to young, time-strapped consumers (31 percent of 25–34 year olds and 24 percent of 18-24 year olds, vs. 19 percent overall).
"Though value remains important to diners in this economy, our survey reveals convenience may be equally as important," said Chris Haack, senior analyst at Mintel. "Young adults and young families, especially, are pressed for time, making restaurants an easy and often necessary solution for meals. As foodservice establishments struggle for revenue, improving convenience may help them get diners in the door."
While the economy has caused a decrease in spending on delivery and takeout in 2009, with 43 percent of respondents reporting they've cutting spending on these convenience services, younger diners are spending more compared to 2008. In the past three months, 18-34s were twice as likely as the general population to have ordered delivery. Approximately 30 percent of them picked up food from a restaurant, compared to 20 percent of all respondents.
Restaurants make mealtime easier, especially for 25 to 34 year olds, many of who work full-time or have young children. Nearly half (49 percent) say they dine at casual restaurants because they're too tired to cook, while 40 percent do so because they have no time to prepare a meal. (This compares to 40 percent and 30 percent of all respondents, respectively.)
But special occasions, food quality and socialization remain top reasons that younger adults go to restaurants. "Restaurant usage is truly integrated into the lifestyles of adults under age 34. Many people value the fact that they can get quality food with minimal effort at a restaurant. As a bonus, they can spend that meal time with friends or family," said Haack.
Foodservice research group NPD also highlighted the importance of convenience in areportreleased earlier this week, which determined that 72 million adult consumers — nearly one in three adults — are "Convenience Consumers," with varied needs depending on their life stage and other characteristics.
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