'Signs of normality' as average spend in hospitality increases

07-Sep-2021 - Last updated on 07-Sep-2021 at 09:48 GMT

The average spend per consumer per visit in hospitality settings increased by 3.9% in the 12 weeks to 11 July, according to new data from Lumina Intelligence.

In a sign of consumers 'returning to normality', the first quarterly update over half of the UK adult population had an eating or drinking out occasion as restrictions eased across the UK during July.
The proportion of UK consumers who had an eating out occasion increased to a peak of 52.2% over the 12 weeks to the 11 July, with the average spend per consumer per visit increasing from £9.01 to £9.36.

Pubs and bars saw its share of UK eating out occasions rise from 3.8% to 12.5% during the period compared to the 12 weeks to 18 April when much of the sector was still locked down, while restaurants grew from 9.7% to 11.5%.

In contrast, quick service restaurants decreased in channel share by 10 percentage points from 41.3% to 30.9%. This comes as on-premise purchasing was no longer limited to takeaway as lockdown restrictions eased.

The easing of restrictions also had a notable impact on delivery and click and collect.

Delivery declined in share by 9.8% and click and collect fell by 5.7% as more consumers ate and drank out of home, with increasing consumer confidence and sporting events including the Euros bolstering occasions.

“Positively for the UK hospitality industry, the easing of restrictions has shown signs of consumers returning to normality," says Katherine Prowse, senior insight manager at Lumina Intelligence. "Pubs, bars and restaurant are driving participation and spend, with delivery playing less of a pivotal role. This is something that we expect to continue to grow, particularly now that all restrictions have eased.”

Prowse adds that the data shows more spontaneity from consumers, with ‘I was out and about (e.g. shopping)’ now put down as the second biggest reason for eating or drinking out.

"As town and city centres continue to open up, operators should see this as a great opportunity to generate incremental footfall and inspire consumers that may have not been considering eating out.”

For more information about Lumina Intelligence’s report click here