5.0% increase over 1999.
* In 2000, the restaurant industry will post its ninth consecutive year of real sales growth.
* Menu prices are projected to increase at a rate of 2.8% in 2000, up from a 2.6% gain in 1999.
* Menu-price inflation is expected to remain above the nation's overall inflation rate for the fourth consecutive year.
* Within the Commercial Restaurant Services Group, sales at full service restaurants are projected to total $128.1 billionùa 5.9% increase over 1999.
* Sales at quickservice restaurants are expected to reach $114.7 billion, which represents a 4.4 percent gain over 1999.
* The Mountain region is projected to register eating-place-sales growth of 6.3% in 2000áù slightly above the 5.9% sales gain expected in the Pacific region (Forecast, 2000, Online).
The food service business is the third largest industry in the country, and the independent restaurant accounts for 15% of total revenues. The average American spends 15% of his/her income on meals away from home. This number has been increasing for the past seven years. In the past five years the restaurant industry has out-performed the national GNP by 40%. The reasons given by various research studies are:
There are 600 new restaurants opening every month and over 200 more needed to keep pace with increasing demand. The predicated growth trend is very positive both in short and long-term projections. As modern living creates more demands, people will be compelled to eat more meals away from home.
CS Projects has drawn the following industry assumptions from the available research.
1. Consumers will spend a greater proportion of their food dollar away from home.
2. Independent operators and entrepreneurs will be the main source of new restaurant concepts.
3. Nutritional concerns, convenience and economy will be critical at all types of foodservice
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