Why are restaurants losing sit-down customers?

Traditional sit-down chain restaurants are seeing fewer sales as customers value convenience and affordability over the tried and true.

The food industry is still growing, but in different sectors than before. Mid-range, sit-down restaurants like Chili’s are struggling, while new food trends take hold, especially among young people, who often want their food quickly and on-the-go, according to industry expert Darren Tristano, president of Technomic. They’re “looking for convenience, quality, portability and healthfulness,” Mr. Tristano told the Associated Press.

Uncertainty is par for the course for new, independent restaurants, but now large chains are showing signs of stress: the chief executive officer of Ruby Tuesday’s has resigned after another quarter of dismal sales, and Darden Restaurants sold off Red Lobster in 2014. Last year, Panera Bread, where customers pick up their order at the counter, overtook Applebee’s, the last sit-down chain in the top 10 restaurant companies by sales. READ MORE.

Advertisements