Foodservice is a good business
Good business attracts competition.
Foodservice units in Canada grew 7.9% in the last three years!
That $5B in sales from new entrants alone…. and another $1.5B in new jobs payroll.
Low unemployment is good
Where there is employment there are restaurants; Canada’s unemployment rate is falling.
What is good for sales makes it harder to keep talent.
Well trained employees who stick around can be paid more than ones that run for the next 25 cents an hour.
Innovation, quality and convenience are a winning formula
Foodservice operators have regained market share they lost to grocery stores since 2006.
This despite most foodservice customers outside of BC and Alberta paying a sales tax on their food.
Raising the bar on Innovation, quality and convenience have been a big part of the “return of restaurants.”
For a good location follow the money
Households are 70% of all foodservice sales, tourists and business spend are the rest and can make or break a restaurant location.
An old formula for locating a restaurant is close to dinner guests at home while also being near a good business lunch.
Tourists are unique; where location can often be the biggest driver for these guest.
Alberta and Saskatchewan are a unique opportunity
While it is tough in Alberta and Saskatchewan, the two economies are still the largest per capita in the country.
Not surprisingly these two provinces have the highest average unit sales for foodservice in the country.
Busy operators in these markets can use this period to gain advantage over operators who take a cost cutting view on the world.
Hungry for more?
Restaurants Canada’s Foodservice Facts 2017 delves into these insights and more. Watch for the full report, coming soon! Sign up here and we’ll notify you once it’s released!