​Takeaway Sales Show Resilient Growth Amid Economic Challenges

New research indicates that Britain’s restaurant industry continues to enjoy robust delivery and takeaway sales growth, with a like-for-like increase of 4.8% in October. This marks a slight dip from September’s 6% growth but remains well ahead of the current Consumer Prices Index (CPI) inflation rate, according to CGA by NIQ’s Hospitality at Home Tracker.

October’s figures represent a continuation of the positive trend observed throughout 2024, highlighting consumer appetite for at-home dining experiences. Total delivery and takeaway sales, including contributions from new outlets opened in the past year, rose by an impressive 14.2%.

Karl Chessell, Director for Hospitality Operators and Food at CGA by NIQ, commented on the results: “October’s figures continue a strong 2024 for restaurants’ at-home trading.”

Revival in Pick-Up Orders

A noteworthy shift in consumer behaviour has emerged in modest growth in takeaway and click-and-collect sales. These segments, which have faced declines in recent years as delivery services gained popularity, recorded their third consecutive month of growth, with a 1.4% increase in October.

Despite this resurgence, delivery sales remain dominant, climbing 6.5% during the same period. However, Chessell noted the positive implications of the uptick in pick-up orders: “Momentum for pick-up orders is particularly encouraging. Growth has been running well above the rate of on-site sales throughout the year, which suggests some consumers are seeking to save money by ordering in rather than going out.”

Increased Orders Driving Revenue

While revenue growth is partly attributed to rising prices, the report highlights an encouraging increase in the volume of orders. Delivery orders surged by 9.2% compared to October 2023, while takeaway and click-and-collect orders grew by 11.8%.

Challenges Ahead for Hospitality

Although these figures paint a positive picture for at-home dining, the broader hospitality sector faces significant economic challenges. Consumer confidence remains fragile, further strained by the recent Budget. Chessell expressed cautious optimism, hoping the festive season might boost spending across delivery and pick-up channels during the critical year-end period.

As the hospitality industry navigates a challenging landscape, the sustained growth in at-home dining sales offers a glimmer of hope for businesses adapting to evolving consumer preferences.