This holiday season will be challenging for many families as they struggle with high grocery store prices. According to the American Farm Bureau Federation, the holiday dinner, sides and all, is expected to cost 20% more this year. The average cost of a meal for ten will increase to $64.05 this year, as opposed to $53.31 last year and $46.90 in 2020.
While consumers have been grappling with high food prices all year, grocery prices have outpaced restaurants by 13% to 8.5%, respectively. Because of this trend, 51% of consumers plan to reduce holiday grocery spending, while 82% are looking for deals and discounts, according to Morning Consult.
This shift in consumer behavior presents a significant opportunity for restaurants. Many are rolling out holiday-themed promotions to position themselves as a better overall value for families. Restaurant owners must convey the value proposition of catering, beyond price, by focusing on convenience (stress-free), time savings (more time to connect with family and friends), and food quality (something you can't make at home). These selling points are essential as inflation is top-of-mind for most consumers.
National chains like Boston Market, Chipotle, KFC, Bob Evans, Macaroni Grill, Ruth's Chris Steakhouse, and Cracker Barrell are promoting their on-site dining options and take-home "catering" specials. The holiday season accounts for up to 20% of small restaurant operators' annual sales, with fine dining operators putting that figure at nearly 50%.
According to a new survey from SpotOn, most restaurant operators are optimistic about this holiday season because they can provide families with an affordable alternative.
Given supermarket price inflation, the need for convenience, and consumer trust in off-premise ordering that grew over the pandemic, now is an opportune time to boost your restaurant's holiday business.
If you'd like to increase sales with catering options and a special holiday promotion, Quikstone Capital can help.
Since 2005, Quikstone has provided thousands of merchants with easy, fast, and flexible working capital for all their business needs. If you accept credit cards, you could qualify for up to $250,000. There's a simple, one-page application, and no collateral is needed. Best of it takes less than five days to go from approval to having funds deposited in your bank.
Looking ahead to the new year, could you use Quikstone Capital to add to your inventory, make business improvements, purchase new equipment, create a unique advertising campaign, or hire additional employees? If you want to grow your business, Quikstone wants to help you succeed.
It only takes a moment to get started, so contact us today for a no-cost or obligation consultation.
