U.S. Restaurant Transaction Declines May Have Bottomed Out at -41% in the Week Ending April 5

Chicago, IL — U.S. restaurant customer transactions declined by 41% in the week ending April 5 compared to same week year ago, following a 42% decline in the prior week ending March 29, which may be an indicator of the industry bottoming out, reports The NPD Group.  The apparent “bottom” is likely due to the full effect of on-premise dining closures throughout the country and the industry’s collective ability to convert to off-premise modes, like carry-out, delivery, and drive-thru.  

“The 41% decline in restaurant transactions is similar to last week and may indicate a bottom, we also need to be aware that further erosion could occur if consumers’ economic situations worsen,” says David Portalatin, NPD food industry advisor and author of Eating Patterns in America. “To date, many consumers have continued to buy restaurant meals through delivery, takeout, and drive-thru to the degree allowed by the restrictive environment; but with rising unemployment, payroll reductions, and temporary furloughs, consumers may begin to think differently about their food budgets overall.”

Quick service restaurants, which historically have more off-premise business than full service restaurants, experienced lower transaction declines (-38%) in the week than total industry, according to NPD’s CREST® Performance Alerts, which provides a rapid weekly view of chain-specific transactions and share trends for 70 quick service, fast casual, midscale, and casual dining chains.  Full service restaurants, which were already challenged prior to the COVID-19 outbreak, experienced transaction declines of 79% in the week ending Aril 5 compared to same week year ago.


About The NPD Group, Inc.
NPD offers data, industry expertise, and prescriptive analytics to help our clients grow their businesses in a changing world. Over 2,000 companies worldwide rely on us to help them measure, predict, and improve performance across all channels, including brick-and-mortar and e-commerce. We have offices in 27 cities worldwide, with operations spanning the Americas, Europe, and APAC. Practice areas include apparel, appliances, automotive, beauty, books, B2B technology, consumer technology, e-commerce, fashion accessories, food consumption, foodservice, footwear, home, juvenile products, media entertainment, mobile, office supplies, retail, sports, toys, video games, and watches. For more information, visit npd.com. Follow us on Twitter: @npdgroup.