NRA (National Restaurant Assciation Forecast 2010
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The National Restaurant Association is pleased to provide the 2010 Restaurant Industry Forecast, our 41st annual profile of restaurant-industry opportunities and challenges for the year ahead. The......

The National Restaurant Association is pleased to provide the 2010 Restaurant Industry Forecast, our 41st annual profile of restaurant-industry opportunities and challenges for the year ahead. The research and insights are based on analysis of the latest economic data, as well as extensive surveys of restaurateurs and consumers.
The National Restaurant Association will closely monitor incoming industry and economic data in the months ahead and provide updates to this Forecast atwww.restaurant.org/research.
The 2010 RestaurantIndustry Forecast was prepared by the National Restaurant
Association Research and Knowledge Group:
Hudson Riehle
Senior Vice President, Research and Knowledge
Bruce Grindy
Chief Economist
Molly Altman
Research and
Knowledge Specialist
Linda Busche
Denise Roach
Editors
Tim Smith
Art Director
1200 17th St., NW
Washington, DC 20036
(800) 424-5156
www.restaurant.org
© 2010 National
Restaurant Association
ISBN 1-931400-68-7

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  • 1. 2010 Forecast Restaurant Industry Profitability and Entrepreneurship Jobs and Careers Food and Healthy Living Sustainability and Social Responsibility America’s Restaurants Uncovering opportunity in a new economy
  • 2. SHARED VISION of the National Restaurant Association, National Restaurant Association Educational Foundation and State Restaurant Associations: We will lead America’s restaurant industry into a new era of prosperity, prominence and participation, enhancing the quality of life for all we serve. MISSION MISSION We exist to help our members As the philanthropic foundation — the cornerstone of their of the National Restaurant communities — build customer Association, we exist to enhance loyalty, rewarding careers and the restaurant industry’s service financial success. to the public through education, community engagement and the promotion of career opportunities. WE CREATE VALUE for our members in five ways: • Advocacy and representation Building and sustaining positive public opinion and a favorable political environment. • Tools and solutions Helping grow revenues, increase profitability and develop employees. • Education and networking Providing opportunities to connect and learn from each other. • Research and insights Anticipating and preparing for emerging trends that could impact restaurants. • Responsible stewardship Providing thought leadership to inspire community involvement and impact. www.restaurant.org FOLLOW JOIN WATCH CONNECT VIEW www.twitter.com/ www.facebook.com/ www.youtube.com/ www.linkedin.com/ www.flickr.com/photos/ WeRRestaurants NationalRestaurantAssociation restaurantdotorg groups?grid=37937 restaurantdotorg
  • 3. Inside The National Restaurant Association is pleased to provide the 2010 Restaurant Industry Forecast, our 41st annual profile of restaurant- industry opportunities and challenges for the year ahead. The research and insights are based on analysis of the latest economic data, as well as extensive surveys of restaurateurs and consumers. The National Restaurant Association will closely monitor incoming industry and economic data in the months ahead and provide updates to this Forecast at www.restaurant.org/ research. 5 19 23 The 2010 Restaurant 3 5 19 Industry Forecast was prepared by the National Restaurant Association Research and Knowledge Group: Overview Profitability and Jobs and Careers Hudson Riehle Restaurant sales are Entrepreneurship The restaurant industry Senior Vice President, projected to reach a record In an industry where profit bolsters the U.S. economy. Research and Knowledge high in 2010, despite the margins are lower than Its 12.7 million employees Bruce Grindy challenging economic others, operators are represent more than 9 Chief Economist backdrop. Sales are expected concerned about managing percent of the nation’s to total $580 billion, up 2.5 costs, access to credit and workforce. Research shows Molly Altman percent from 2009. other economic pressures. the industry’s workforce will Research and Inventiveness will shape expand by 1.3 million this Knowledge Specialist operators’ success. decade. Linda Busche Denise Roach Editors Tim Smith Art Director 23 Food and Healthy 29 Sustainability and 33 Appendix: Living Social Responsibility State Information Nutrition and food safety Economic challenges haven’t Get data on key economic trends are expected to be stopped restaurants’ phil- indicators for each state, center of the plate this year. anthropic or conservation plus projections for 2010 1200 17th St., NW Restaurants are updating efforts. Restaurants recognize state restaurant sales and Washington, DC 20036 menus to reflect nutrition the vital link between their foodservice employment (800) 424-5156 policy and trends, consumer businesses and communities. over the next decade. www.restaurant.org desires for variety and They participate in commu- © 2010 National quality, and chef innovations. nity service, contribute to Restaurant Association charitable causes and work to conserve the environment. ISBN 1-931400-68-7 www.restaurant.org | National Restaurant Association | 1
  • 4. 2010 Restaurant Industry Forecast Restaurants Small businesses with a large impact on our nation’s economy Sales $580 billion n Restaurant-industry sales are forecast Locations 945,000 to advance 2.5% in 2010 and equal 4% of the U.S. gross domestic product. Employees 12.7 million n Restaurants will provide more than Restaurant-industry 70 billion meal and snack occasions share of the food dollar 49% in 2010. n On a typical day in America in 2010, Restaurant more than 130 million people will be foodservice patrons. Sales n The overall economic impact of the 1970–2010 $580.1 restaurant industry is expected to Food-and-drink sales exceed $1.5 trillion in 2010. (Billions of Current Dollars) $379.0 n Every dollar spent by consumers in restaurants generates an additional $2.05 spent in the nation’s economy. $239.3 n Every additional $1 million in $119.6 restaurant sales generates 34 jobs $42.8 for the economy. n Eating-and-drinking places are mostly 1970 1980 1990 2000 2010* small businesses. Ninety-one percent * Projected have fewer than 50 employees. 2 | National Restaurant Association | www.restaurant.org
  • 5. 2010: Uncovering Opportunity Sales to reach record high amid economic challenges R estaurants are poised to uncover elegant ambience and cuisine at fine- instead of cooking and cleaning up. new business opportunities in dining establishments, the newest latte With nine in 10 adults saying they 2010. Industry sales are projected at the corner coffee shop, the relaxed enjoy going to restaurants, the industry to reach a record high this year, despite atmosphere of a casual-dining concept. over the long term will continue along a the most challenging economic backdrop Indeed, a new Association survey reveals path of growth. in decades. The 2010 sales projection: $580 that nearly four in five consumers believe billion, up 2.5 percent from 2009. going to restaurants with family or friends Challenges ahead However, when adjusted for inflation, gives them opportunities to socialize and It’s evident that challenges remain. restaurant industry sales are expected to is a better way to use their leisure time Managing costs will be important, but the decline 0.1 percent in 2010, according to National Restaurant Association research. This sales projection represents an unprec- edented three straight years of real sales Adding it all up: $580.1 billion declines but an improvement over the Projected restaurant-industry sales in 2010 past two years. The Association estimates that restaurant-industry sales declined 1.2 Commercial Restaurant Services $530.4 billion percent in 2008 and 2.9 percent in 2009, in inflation-adjusted terms. n Eating places*: $388.5 billion The National Restaurant Association’s n Bars and taverns: $18.8 billion 2010 Restaurant Industry Forecast identifies numerous opportunities to n Managed services: $40.9 billion build business, attract and retain customers and control costs, despite the economic n Lodging places: $26.9 billion challenges. n Retail, vending, recreation, mobile: $55.2 billion As the industry increasingly offers consumers options to meet their varying Noncommercial Restaurant Services $47.6 billion desires, restaurants remain essential to American lifestyles. *Eating places include fullservice restaurants and Some things they’re looking for: speedy limited-service (quickservice) restaurants, cafeterias and Military Restaurant Services $2.1 billion buffets, social caterers, and snack and nonalcoholic drive-through at quickservice restaurants, beverage bars. www.restaurant.org | National Restaurant Association | 3
  • 6. FORECAST Overview 2010 Restaurant Industry Forecast Job growth The restaurant industry will employ about Managing costs will be important, 12.7 million people, or 9 percent of the workforce, in 2010. And the industry but the extent of the industry’s upturn continues to grow. depends largely on consumer confidence, Over the next decade, restaurants are expected to add 1.3 million jobs. That which is critical to long-term success. means restaurants could employ 14 million people by 2020. As the industry adds more jobs, recruitment and retention will re-emerge as operators’ No. 1 challenge in the years ahead. Operators also recognize the Restaurant Industry importance of undertaking environmen- What’s ahead Share of the Food Dollar tally friendly practices — not just to This year has its challenges, but the future manage costs but to build business. is positive. Consumers forced to cut back on While the economy might have affected spending in the past two years continue to operators’ abilities to fund new green place a priority on dining out. 25% 49% initiatives, industry intent and consumer Although they say they aren’t dining interest are strong. That shows sustainability out as often as they like, they continue to 1955 Present efforts will remain a long-term trend and patronize restaurants they believe offer not a fad. value for their money. They also show interest in eating locally sourced food extent of the industry’s upturn depends State variations and seek an increasing array of ethnic largely on consumer confidence, which is Demographics is destiny. Sales will cuisines. critical to long-term success. And unsteady improve sooner and more significantly for Consumers’ pent-up demand to dine job growth is expected to further restaurants in some parts of the country. out more often, combined with myriad challenge overall economic growth. Population, employment and income consumer incentives, likely will nudge Until personal disposable income growth vary by region, and changes in consumers into America’s 945,000 increases and unemployment levels fall, those demographics will continue to restaurants and help restaurants begin to economic recovery is expected to be pro- affect restaurant sales. recover and add steam to the economy. longed and patchy. Although the economy shows signs of recovery, improvement isn’t expected until later in the year. To help spur consumer confidence, operators must take steps to provide value Promising trends to guests. Smart operators will look to build sales by marketing healthful menu items and responding to consumer demand for convenience and variety. Growth 65 Percent of adults who say their favorite restaurant foods provide flavor and taste sensations they can’t easily duplicate in their home kitchens. opportunities include delivery and other off-premise options, cooking classes and other interactive activities, and new media to reach new and returning guests. 44 Percent of adults who say restaurants are an essential part of their lifestyle. 40 Social media, such as networking and Percent of consumers who say buying restaurant, take-out and photo/video sharing sites, will become delivery meals make them more productive. more critical to restaurant marketing this year. A good plan and solid understanding of those tools can help operators mitigate the weak environment. It’s clear that “word of mouth” has moved online, and 35 Percent of adults who say they don’t eat on-premises at restaurants as often as they would like on a weekly basis. more consumers use the Web to browse menus, make reservations and get recommendations from other diners. 29 Percent of consumers who say take-out food is essential to the way they live. 4 | National Restaurant Association | www.restaurant.org
  • 7. Profitability and Entrepreneurship Inventiveness will shape operators’ success Overview In an industry where profit margins are lower than others, rising costs and economic pressures are especially challenging for restaurants. According to National Restaurant Association research on quickservice and fullservice trends, operators in all segments are focused on attracting new guests, rising above the competition and providing value. www.restaurant.org | National Restaurant Association | 5
  • 8. FORECAST Operating Environment 2010 Restaurant Industry Forecast percent of adults said they were more concerned about the state of the economy compared to the same time in the previous year. Sixty-four percent of adults said they were more concerned Gradual recovery about the availability of jobs in their communities, while 47 percent expressed more concern about their household expected financial situations. Restaurants felt the brunt not only of a weak domestic economy but also of As economy emerges from recession, restaurateurs weaker international tourism. Spending by cautiously optimistic about 2010 international visitors plunged 16 percent in the first 10 months of 2009 compared to the previous year, according to the Commerce Department. International arrivals to the United States through W ith the worst of the economic ment base between January 2008 and October 2009 dipped 7 percent below downturn behind them, December 2009, and the unemployment year-ago levels. restaurant operators likely rate more than doubled to over 10 percent Travelers and visitors are a key will see a gradually improving operating from 4.4 percent. customer demographic for restaurant environment in 2010. The second half of the Beginning in the first quarter of 2008, operators. They represent an average of year is likely to be stronger than the first. the gross domestic product fell in five 40 percent of fine-, 25 percent of casual- of six quarters. The GDP represents the and family-dining, and 15 percent of 2009 in review value of goods and services produced in quickservice sales, according to Association The nation’s economic slump, the worst the United States. Although GDP grew research. since the Great Depression, continued in modestly in the third quarter of 2009, 2009. More than 7.2 million net jobs were likely marking the “official” end of the Outlook for 2010 eliminated in the “Great Recession” of recession, job losses continued through This year likely will be a period of gradual 2008 and 2009, surpassing the 7.1 million the end of the year — as did consumers’ economic recovery, as the labor market jobs lost in the 1981/82, 1990/91 and uncertainty about the economy. struggles to catch up with rising economic 2000/01 recessions combined. The nation In the National Restaurant Associa- output. Growth is expected to return in lost more than 5.2 percent of its employ- tion’s December 2009 consumer survey, 71 earnest in the second half of 2010. Economic growth Income growth Job growth GDP expected to grow in 2010 Disposable personal income growth Job growth will resume in 2010, but Real growth in GDP to improve in 2010 average employment levels will remain Real growth in disposable personal income below 2009 U.S. job growth 2.5% 4.0% 3.6% 3.3% 3.4% 3.1% 2.5% 2.7% 2.5% 1.2% 2.1% 2.4% 2.2% 1.8% 1.7% 1.8% 1.1% 1.3% 1.1% –0.8% 1.0% 1.1% 0.4% 0.5% 0.0% –0.3% –0.4% –1.1% –2.5% –3.7% ‘01 ‘02 ‘03 ‘04 ‘05 ‘06 ‘07 ‘08 ‘09* ‘10* ‘01 ‘02 ‘03 ‘04 ‘05 ‘06 ‘07 ‘08 ‘09* ‘10* ‘01 ‘02 ‘03 ‘04 ‘05 ‘06 ‘07 ‘08 ‘09* ‘10* *projected *projected *projected Source: Bureau of Economic Analysis, National Source: Bureau of Economic Analysis, National Source: Bureau of Labor Statistics, National Restaurant Restaurant Association Restaurant Association Association 6 | National Restaurant Association | www.restaurant.org
  • 9. 2010 Restaurant Industry Forecast FORECAST Operating Environment • Jobs: The national unemployment rate income — a key indicator of restaurant- thought they would be worse than in will remain high in the first half of 2010 industry performance — is projected to 2009, and 52 percent say they expect their before slowly declining in the second half. increase 1.2 percent in 2010. This would household financial situation to be about The national economy is expected to add be the largest increase since 2007, but a the same. The numbers vary significantly about 750,000 jobs during 2010, mostly in modest gain by historical standards. across age groups, with younger adults the second half of the year. generally more optimistic. Younger consumers • GDP: Building on the momentum estab- more optimistic lished in the second half of 2009, national On the whole, consumers are cautiously Food prices expected output is projected to rise moderately this optimistic that their household financial to resume growth in 2010 year. The Association expects real GDP to situations in 2010 will be better or about Wholesale food costs likely are on their increase 2.5 percent, up from a 2.5 percent the same as they were in 2009. In the way up this year. Food costs are one of decline in 2009. It would mark the Association’s December 2009 consumer the most important line items for res- strongest gain in four years. survey, 32 percent of adults say they taurants, representing roughly 33 cents expect their household financial situations of every dollar in restaurant sales. For • Income: Real disposable personal to improve in 2010. Just 16 percent that reason, fluctuations in food costs significantly impact restaurants’ bottom lines. After six consecutive years Operators expect economic improvement of steady gains in wholesale food prices, average wholesale prices fell Restaurant operators surveyed by the National Restaurant Association in December 2009 were somewhat optimistic about the economy’s direction. nearly 4 percent in 2009. Yet food prices remained elevated, as 2007 and 2008 Restaurateurs’ outlook for general economic conditions in first half of 2010, by industry segment were the largest spikes in nearly three decades. 28% 29% 27% 27% 25% 22% 23% 20% 21% 11% Family dining Casual dining Fine dining Quickservice Fast casual Expect economic conditions in six months will be … n Better than December 2009 n Worse than December 2009 2010 commodity Source: National Restaurant Association, Restaurant Industry Tracking Survey, December 2009 price outlook Projected growth rates for primary market prices (high-low scenarios) International tourism dips 2008 2009 2010 Restaurateurs were likely affected in 2009 by a drop in interna- Beef 1% –10% 4% to 12% tional arrivals to the United States. The dip in international visits was the first decline in six years and the largest since 2002. Pork 2% –15% 5% to 13% Broilers 4% –3% –3% to 5% Percent change in international arrivals to the United States Turkeys 7% –9% –1% to 7% 11% 11% 8% Eggs 12% –22% –1% to 7% 6% 6% 4% Milk –4% –30% 28% to 35% Cheddar 9% –32% 25% to 31% –4% –8% –7% Butter 7% –16% 18% to 27% –12% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 YTD Source: U.S. Department of Agriculture, November 2009 projections Source: U.S. Department of Commerce; 2009: YTD represents year-to-date growth through October 2009 www.restaurant.org | National Restaurant Association | 7
  • 10. FORECAST 2010 Sales Projections 2010 Restaurant Industry Forecast Breaking down the numbers restaurants experiencing sales growth Get a detailed look at sales projections by segment, as of 1.2 percent and quickservice growth well as historical data projected at 3 percent. Although real sales growth (sales adjusted for the impact of inflation) is projected to be -0.1 percent for the industry overall, some segments of the industry will see higher growth rates. T he restaurant industry is expected remaining challenges. The National The charts on the following pages to experience positive sales growth Restaurant Association’s 2010 Restaurant examine the industry’s sales-growth record in 2010. Restaurateurs’ outlook for Industry Forecast projects that industry over the past 40+ years, as well as the 2010 will be boosted by a better operating sales will grow 2.5 percent in 2010 to expected 2010 performance of key environment but tempered by substantial reach $580.1 billion, with fullservice restaurant-industry segments. HISTORY 40 years of restaurant industry sales This chart shows sales growth for the restaurant industry since 1971, when the National Restaurant Association began issuing its annual forecast. The chart shows growth in the number of dollars spent each year in restaurants as well as real (inflation-adjusted) sales growth. 12.8% 12.4% 11.8% 11.5% 12.3% 11.6% 9.9% 10.8% 8.3% 7.7% 9.2% 8.0% 7.9% 8.4% 7.2% 6.6% 6.1% 6.2% 6.9% 5.8% 5.8% 5.3% 5.3%5.5% 5.3% 5.3% 5.1% 5.0% 5.0% 4.7% 4.6% 4.6% 4.8% 4.4% 4.5% 4.4% 4.2% 4.2% 4.2% 4.0% 2.5% 3.8% 3.8% 4.7% 3.4% 3.2% 3.0% 3.0% 3.2% 3.0%2.9% 3.0% 3.0% 2.8% 2.9%2.7% 2.5% 2.3% 2.1% 2.1% 2.0% 2.1% 2.2% 1.6% 1.6% 1.5% 1.6% 1.2% 1.2% 1.2% 1.0% 0.8% 0.5% -0.7% -0.2% -0.1% -0.2% -1.2% -0.1% -2.9% 1971 1975 1980 1985 1990 1995 2000 2005 2010 n Current dollar growth n Real (inflation-adjusted) growth *Growth rates are estimated for 2006 to 2008 and projected for 2009 and 2010. Providing final estimates for restaurant-industry sales from previous years is an ongoing process. The National Restaurant Association’s Restaurant TrendMapper offers updated sales estimates as they become available. Visit www.restaurant.org/trendmapper to learn more. Source: National Restaurant Association 8 | National Restaurant Association | www.restaurant.org
  • 11. 2010 Restaurant Industry Forecast FORECAST 2010 Sales Projections INDUSTRY SEGMENTS Footnotes: What’s in store for 1 Data are given only for establishments with payroll. restaurant industry sales 2 Waiter/waitress ser- vice is provided, and the order is taken while the patron is Restaurant-industry food and drink sales: Projections for 2010 seated. Patrons pay after they eat. 3 Patrons generally or- ‘09-’10 % der at a cash register 2009 projected 2010 projected ‘09-’10 % Real growth or select items from a food bar and pay F&D sales ($000) F&D sales ($000) change change before they eat. 4 Formerly commercial GROUP I COMMERCIAL RESTAURANT SERVICES1 cafeterias. EATING PLACES 5 Food and drink sales for non-payroll Fullservice restaurants2 $181,992,532 $184,176,442 1.2% -1.5% establishments are Limited-service (quickservice) restaurants3 160,035,527 164,836,593 3.0% 0.4% projected to total $13,303,516,000. Cafeterias, grill-buffets and buffets4 7,505,948 7,671,079 2.2% -0.4% 6 Also referred to as Social caterers 6,784,828 7,090,145 4.5% 1.9% onsite foodservice and food contractors. Snack and nonalcoholic beverage bars 24,156,717 24,736,478 2.4% -0.2% 7 Includes drug- and TOTAL EATING PLACES $380,475,552 $388,510,737 2.1% -0.5% proprietary-store Bars and taverns 18,474,870 18,844,367 2.0% -1.1% restaurants, general- merchandise-store TOTAL EATING-AND-DRINKING PLACES $398,950,422 $407,355,104 5 2.1% -0.6% restaurants, variety- MANAGED SERVICES6 store restaurants, food-store restau- Manufacturing and industrial plants $6,685,577 $6,652,613 -0.5% -3.1% rants and grocery- store restaurants Commercial and office buildings 2,520,897 2,565,265 1.8% -0.8% (including a portion Hospitals and nursing homes 4,735,380 5,052,651 6.7% 4.1% of delis and all salad bars), gasoline- Colleges and universities 12,911,951 13,648,985 5.7% 2.9% station restaurants Primary and secondary schools 5,564,018 5,862,847 5.4% 2.8% and miscellaneous retailers. In-transit restaurant services (airlines) 2,046,530 2,061,110 0.7% -2.0% 8 Includes movies, Recreation and sports centers 4,831,185 5,025,324 4.0% 1.3% bowling lanes, TOTAL MANAGED SERVICES $39,295,538 $40,868,795 4.0% 1.3% recreation and sport centers. LODGING PLACES 9 Includes sales of hot Hotel restaurants $25,368,042 $26,534,972 4.6% 1.9% food, sandwiches, pastries, coffee and Other accommodation restaurants 394,970 407,610 3.2% 0.5% other hot beverages. TOTAL LODGING PLACES $25,763,012 $26,942,582 4.6% 1.9% 10 Business, educa- Retail-host restaurants7 29,480,534 30,935,713 4.9% 2.3% tional, governmental or institutional Recreation and sports8 12,212,322 12,517,759 2.5% -0.2% organizations that Mobile caterers 646,363 635,116 -1.7% -4.3% operate their own restaurant services. Vending and nonstore retailers9 10,966,372 11,096,872 1.2% -1.4% 11 Includes indus- TOTAL — GROUP I $517,314,563 $530,351,941 2.5% -0.1% trial and commercial organizations, seagoing and GROUP II NONCOMMERCIAL RESTAURANT SERVICES10 inland-waterway Employee restaurant services11 $417,317 $426,243 2.1% -0.4% vessels. Public and parochial elementary, secondary schools 6,011,356 6,143,606 2.2% -0.4% 12 Includes voluntary and proprietary Colleges and universities 6,169,059 6,083,266 -1.4% -4.5% hospitals; long-term general, TB, nervous Transportation 1,754,173 1,829,948 4.3% 1.7% and mental hospitals; Hospitals12 14,534,908 15,225,316 4.7% 2.2% and sales or com- mercial equivalent to Nursing homes, homes for the aged, blind, orphans and employees in state the mentally and physically disabled13 6,963,721 7,144,778 2.6% 0.4% and local short-term hospitals and federal Clubs, sporting and recreational camps 8,479,792 8,554,233 0.9% -1.9% hospitals. Community centers 2,041,828 2,139,836 4.8% 2.6% 13 Sales (commercial TOTAL — GROUP II $46,372,154 $47,547,226 2.5% -0.1% equivalent) calcu- lated for nursing TOTAL — GROUPS I AND II $563,686,717 $577,899,167 2.5% -0.1% homes and homes for the aged only. GROUP III MILITARY RESTAURANT SERVICES14 All others in this grouping make no Officers’ and NCO clubs (open mess) $1,428,713 $1,481,576 3.7% 1.0% charge for food served either in cash Military exchanges 658,941 679,369 3.1% 0.5% or in kind. TOTAL — GROUP III $2,087,654 $2,160,945 3.5% 0.8% 14 Continental United States only. GRAND TOTAL $565,774,371 $580,060,112 2.5% -0.1% www.restaurant.org | National Restaurant Association | 9
  • 12. 2010 Restaurant Industry Forecast MAJOR MARKETS Major markets: projected sales, 2010 This chart offers another way to look at the restaurant industry’s projected sales of $580.1 billion for 2010. While about 70 percent, or $407.4 billion, of the industry’s projected 2010 sales are in the “eating and drinking places” category, the remaining $172.7 billion of sales are driven by other important foodservice markets. This chart provides more detail on the National Restaurant Association’s projections for sales in these other markets in 2010, including foodservice sales at schools, worksites, health-care facilities, lodging places and the military. Educational sales What this category includes: Food-and-drink sales by foodservice companies that manage restaurant services in colleges, universities, primary and secondary schools, as well as food-and-drink sales by schools that operate their own restaurant services. 2009 projected 2010 projected ‘09-’10 % ‘09-’10 % real 2010 projected food-and-drink sales $31.7 billion F&D sales ($000) F&D sales ($000) change growth change Colleges and universities Managed services $12,911,951 $13,648,985 5.7% 2.9% Noncommercial 6,169,059 6,083,266 -1.4% -4.5% Subtotal 19,081,010 19,732,251 3.4% 0.5% Primary and secondary schools Managed services 5,564,018 5,862,847 5.4% 2.8% Noncommercial 6,011,356 6,143,606 2.2% -0.4% Subtotal 11,575,374 12,006,453 3.7% 1.1% TOTAL EDUCATIONAL $30,656,384 $31,738,704 3.5% 0.7% Employee sales What this category includes: Food-and-drink sales by for-profit companies that manage restaurant services for employees at manufacturing and industrial plants and in commercial office buildings, as well as food-and-drink sales by plants and companies that run their own noncommercial employee restaurant services. 2009 projected 2010 projected ‘09-’10 % ‘09-’10 % real 2010 projected food-and-drink sales $9.6 billion F&D sales ($000) F&D sales ($000) change growth change Managed services Manufacturing and industrial plants $6,685,577 $6,652,613 -0.5% -3.1% Commercial and office buildings 2,520,897 2,565,265 1.8% -0.8% Noncommercial employee restaurant services* 417,317 426,243 2.1% -0.4% TOTAL EMPLOYEE $9,623,791 $9,644,121 0.2% -2.4% *Includes sales for industrial plants and office buildings, seagoing ships, and inland-waterway vessels Health-care sales What this category includes: Food-and-drink sales by foodservice companies that manage restaurant services in hospitals and nursing homes, as well as food- and-drink sales by hospitals and nursing homes that operate their own restaurant services. 2009 projected 2010 projected ‘09-’10 % ‘09-’10 % real 2010 projected food-and-drink sales $27.4 billion F&D sales ($000) F&D sales ($000) change growth change Managed services in hospitals and nursing homes $4,735,380 $5,052,651 6.7% 4.1% Hospitals* 14,534,908 15,225,316 4.7% 2.2% Nursing homes** 6,963,721 7,144,778 2.6% 0.4% TOTAL HEALTH CARE $26,234,009 $27,422,745 4.5% 2.0% *Includes voluntary and proprietary hospitals; long-term general, TB, mental hospitals; and sales or commercial equivalent to employees in state and local short-term hospitals and federal hospitals. **Includes homes for the aged, blind, orphans,mentally and physically disabled; sales (commercial equivalent) calculated for nursing homes and homes for the aged only. All others in this group make no charge — either in cash or in kind for food served. 10 | National Restaurant Association | www.restaurant.org
  • 13. 2010 Restaurant Industry Forecast Lodging-place sales What this category includes: Food-and-drink sales at hotel restaurants and other accommodation restaurants. 2009 projected 2010 projected ‘09-’10 % ‘09-’10 % real 2010 projected food-and-drink sales $26.9 billion F&D sales ($000) F&D sales ($000) change growth change Hotel restaurants $25,368,042 $26,534,972 4.6% 1.9% Other accommodation restaurants 394,970 407,610 3.2% 0.5% TOTAL LODGING PLACES $25,763,012 $26,942,582 4.6% 1.9% Military sales What this category includes: Food-and-drink sales at military clubs and exchanges. 2009 projected 2010 projected ‘09-’10 % ‘09-’10 % real 2010 projected food-and-drink sales $2.2 billion F&D sales ($000) F&D sales ($000) change growth change Officers’ and NCO clubs (Open mess) $1,428,713 $1,481,576 3.7% 1.0% Military exchanges 658,941 679,369 3.1% 0.5% TOTAL MILITARY* $2,087,654 $2,160,945 3.5% 0.8% *Continental United States only. Recreational sales What this category includes: Food-and-drink sales at recreation and sports centers, such as movie theaters, sports arenas and bowling lanes. 2009 projected 2010 projected ‘09-’10 % ‘09-’10 % real 2010 projected food-and-drink sales $26.1 billion F&D sales ($000) F&D sales ($000) change growth change Recreation and sports centers Managed services $4,831,185 $5,025,324 4.0% 1.3% Noncontractors 12,212,322 12,517,759 2.5% -0.2% Subtotal 17,043,507 17,543,083 2.9% 0.2% Clubs, sporting and recreational camps 8,479,792 8,554,233 0.9% -1.9% TOTAL RECREATIONAL $25,523,299 $26,097,316 2.2% -0.5% *Includes sales as movies, bowling lanes, and recreation and sports centers. **A portion of food-and-beverage sales in clubs is business-related. Transportation sales What this category includes: Food-and-drink sales at military clubs and exchanges. 2009 projected 2010 projected ‘09-’10 % ‘09-’10 % real 2010 projected food-and-drink sales $3.9 billion F&D sales ($000) F&D sales ($000) change growth change Managed services, in-transit commercial airlines $2,046,530 $2,061,110 0.7% -2.0% Noncommercial transportation 1,754,173 1,829,948 4.3% 1.7% TOTAL TRANSPORTATION $3,800,703 $3,891,058 2.4% -0.3% Other sales 2009 projected 2010 projected ‘09-’10 % ‘09-’10 % real 2010 projected food-and-drink sales $44.8 billion F&D sales ($000) F&D sales ($000) change growth change Retail hosts $29,480,534 $30,935,713 4.9% 2.3% Mobile caterers 646,363 635,116 -1.7% -4.3% Vending and non-store retailers 10,966,372 11,096,872 1.2% -1.4% Community centers 2,041,828 2,139,836 4.8% 2.6% *Includes drug- and proprietary-store, general-merchandise store, variety-store, food-store and grocery-store restaurants (including a portion of delis and all salad bars); gasoline-service-station restaurants; and miscellaneous retailers. **Includes sales of hot food, sandwiches, pastries, coffee and other hot beverages. www.restaurant.org | National Restaurant Association | 11
  • 14. FORECAST 2010 Sales Projections 2010 Restaurant Industry Forecast Demographics are destiny Disposable income, employment, other factors affect state and regional restaurant sales estimates that restaurant-sales growth in the nine Census regions in 2010 will range from a high of 2.6 percent in the Middle Atlantic states to a low of 1.8 percent for the East North Central region. Among G rowth in the restaurant industry population. In 2010, as the economy states, Colorado is expected to lead the typically varies significantly by improves, some regions that were harder nation in 2010 restaurant-sales growth. region of the country, and is hit by the recession will see proportionally (Note: The appendix on page 34 offers most heavily influenced by gains in stronger recovery in restaurant sales. details on restaurant-sales growth in employment, disposable income and The National Restaurant Association each state.) REGIONS Regional Snapshots East North Central East South Central Middle Atlantic Mountain Restaurant-sales growth1 2010 projected growth: 2010 projected growth: 2010 projected growth: 2010 projected growth: projected for 2010 in the nine Regional National Regional National Regional National Regional National U.S. census regions. In general, • Jobs -1.4% -0.8% • Jobs -0.9% -0.8% • Jobs -0.6% -0.8% • Jobs -0.8% -0.8% restaurant-sales growth is strongest in regions where the • Income 0.5% 1.2% • Income 0.8% 1.2% • Income 1.4% 1.2% • Income 1.2% 1.2% three key indicators — jobs, • Population 0.3% 1.0% • Population 0.9% 1.0% • Population 0.2% 1.0% • Population 1.7% 1.0% income and population2 — out- Restaurant Restaurant Restaurant Restaurant perform the national average. Sales 1.8% 2.3% Sales 2.1% 2.3% Sales 2.6% 2.3% Sales 2.4% 2.3% New England Pacific South Atlantic West North Central West South Central 2010 projected growth: 2010 projected growth: 2010 projected growth: 2010 projected growth: 2010 projected growth: Regional National Regional National Regional National Regional National Regional National • Jobs -0.9% -0.8% • Jobs -0.9% -0.8% • Jobs -0.9% -0.8% • Jobs -0.6% -0.8% • Jobs 0.2% -0.8% • Income 1.0% 1.2% • Income 1.2% 1.2% • Income 1.1% 1.2% • Income 1.4% 1.2% • Income 1.9% 1.2% • Population 0.2% 1.0% • Population 1.2% 1.0% • Population 1.2% 1.0% • Population 0.5% 1.0% • Population 1.4% 1.0% Restaurant Restaurant Restaurant Restaurant Restaurant Sales 2.1% 2.3% Sales 2.3% 2.3% Sales 2.4% 2.3% Sales 2.0% 2.3% Sales 2.5% 2.3% 1 Regional restaurant-sales-growth figures are based on current dollars and not adjusted for menu price inflation. For definition of restaurant sales included in this grouping see page 34 footnote. 2 Economic indicators show growth in region’s total employment, real disposable personal income and total population. 12 | National Restaurant Association | www.restaurant.org
  • 15. 2010 Restaurant Industry Forecast P&E: FORECAST 2010 Sales Projections STATES Colorado to post fastest growth in restaurant sales in 2010 Restaurant sales growth in 2010 (projected) See State Information appendix on page 34 for full sales projections for all states. WA 2.4% NH 2.4% ME VT MT ND 1.9% 2.1% 2.3% 2% OR 2% MA ID 2.0% MN WI NY 2.8% SD 2.4% 2% 2.7% RI WY 2.4% MI 2.3% 2.1% 1.6% CT NV IA PA 2% 2% NE 1.6% 2.4% 2.1% OH NJ UT IL IN DE 2.7% 1.9% CA 2.6% CO 1.9% 1.7% WV 2% 2.3% 2.9% KS 0.8% VA MD 1.4% MO KY 2.5% 2.6% 2.1% 2.0% DC NC 2.4% TN 2.7% AZ OK NM 2.3% 2.0% 2.1% AR SC 2.3% 2.4% 2.3% MS 1.9% AL GA 2.2% 2.5% TX 2.7% LA 2% AK FL 2.5% 2.4% Less than 2% n 2% to 2.2% HI 2% n 2.3% to 2.5% n 2.6% or higher *State restaurant-sales figures are in current dollars and not adjusted for menu price inflation. For definition of restaurant sales included in this grouping see page 34 footnote. National sales for this group are projected to increase at a 2.3 percent rate in 2010. Source: National Restaurant Association 2010 restaurant 2010 restaurant Top States Top 10 States sales growth sales volume Projected increase in restaurant sales in 2010 Projected restaurant-sales volume in 2010 Colorado 2.9% ($000) Idaho 2.8% 1 California $58,033,073 New Jersey 2.7% 2 Texas $34,845,154 Texas 2.7% 3 New York $29,023,207 New York 2.7% 4 Florida $27,649,697 North Carolina 2.7% 5 Illinois $18,789,263 Maryland 2.6% 6 Ohio $16,962,377 Utah 2.6% 7 Pennsylvania $16,225,096 Georgia 2.5% 8 Georgia $14,441,619 Alaska 2.5% 9 Michigan $13,449,252 Virginia 2.5% 10 New Jersey $12,856,026 www.restaurant.org | National Restaurant Association | 13
  • 16. FORECAST Fullservice Outlook 2010 Restaurant Industry Forecast Sales Fullservice 1.2% Fullservice nominal $184 $182 growth billion billion -1.5% restaurants 2009* real growth 2010* to post slight *projected Source: National Restaurant Association gains in 2010 Competive pressures to intensify as restaurants seek opportunities to build sales HIGHLIGHTS n Nominal sales to rise slightly in 2010. The National Restau- rant Association projects fullservice restaurant* sales in 2010 to be $184.2 billion, a 1.2 percent increase from 2009. That represents a Business outlook real sales decline of 1.5 percent after accounting for inflation. for fullservice operators in 2010 Percent of fullservice operators, by type of operation, n 2009 recap. The Association estimates that fullservice restaurant who expect business to be better in 2010 than 2009, or down from 2009 sales were $182 billion in 2009, a 3.9 percent decline in nominal sales Business Business down and a 6.2 percent drop in real sales compared to 2008. Nearly six in better than 2009 from 2009 10 casual- and fine-dining operators and 54 percent of family-dining operators say sales were lower in 2009 than 2008. Many operators Family dining 48% 11% reported that customer traffic declined across all three dayparts Casual dining 50 8 (breakfast, lunch and dinner). Fine dining 61 8 Source: National Restaurant Association, operator survey, October 2009 n Competition heats up. Competitive pressures will intensify for fullservice restaurant operators as they compete for limited consumer dollars. Operators in all fullservice segments expect building and maintaining sales to be their greatest challenge behind the economy. No. 1 challenge Attracting new customers is a growing challenge: 50 percent of family-, for fullservice operators in 2010 47 percent of casual- and 38 percent of fine-dining operators expect Percent of fullservice-restaurant operators, by type of bringing in new guests will be tougher in 2010 than it was in 2009. operation, who mention as their top challenge in 2010: Family Casual Fine * Fullservice restaurants provide wait staff service and take orders dining dining dining while guests are seated, and patrons pay after they eat. The Associa- The economy 29% 35% 30% tion’s operator survey categorizes fullservice operators as family-, Building/maintaining sales volume 24 23 28 casual- or fine-dining. Family-dining operations typically have lower Government mandates 15 5 4 per-person check averages than casual-dining restaurants. If they serve Operating costs 7 7 4 alcohol, they frequently limit service to beer and wine. Casual-dining operations tend to register higher per-person check averages and Recruiting and retaining employees 6 3 4 usually offer full alcoholic-beverage service. Per-person check averages Source: National Restaurant Association, operator survey, October 2009 for fine-dining or “white tablecloth” operations generally exceed $25. 14 | National Restaurant Association | www.restaurant.org
  • 17. 8 2010 Restaurant Industry Forecast FORECAST Fullservice Outlook 2 The social media stratosphere. Fullservice operators are becoming more social-media 4 savvy: Nearly four in 10 of the Interactive activities. operators not on Facebook plan to begin using it in the Fullservice restaurants can 3 next two years, according stand out in the crowd by to the Association’s October focusing on their cuisine and ways 2009 survey of fullservice creativity. By offering private operators. About a fifth of E-mail marketing. tastings and similar events, fullservice fullservice operators in all fullservice restaurants can tap operators segments say they plan to use YouTube or other video-shar- Fine-dining operators know the value of e-mail marketing. into consumer interest in TV cooking shows and celebrity can build ing sites in the next two years. That’s why nearly seven in 10 say they use e-mail marketing chefs. Sixty-four percent of adults surveyed by the sales: or newsletters. But just half of Association say they would casual- and little more than a patronize chef’s table dinners third of family-dining opera- and private tastings, while tors report using such tools. 57 percent say they would Why social media is impor- participate in interactive 1 tant: Consumers increasingly use the Internet to engage Why they should try it: 41 percent of consumers sur- cooking demonstrations. Similarly, 54 percent say they Value-focused with restaurants and other veyed by the Association say would attend cooking classes. options. restaurant-goers. According they choose new restaurants to Association research, about because of e-mail promotions. Consumers will continue to one in five adults posted or Close to 30 percent say they’d demand restaurant value in read restaurant reviews on likely opt to receive e-mail 2010. One-third of fine-dining sites like Yelp! Twenty-six notification of daily specials operators expect guests to be percent of these are likely to if restaurants offered it. But more value-conscious in 2010 use Yelp! or similar consumer- their responses show restau- than in 2009, along with 46 driven sites to find new rants need more of an online percent of family- and 40 per- restaurants, and 59 percent of presence than just electronic cent of casual-dining operators. these adults say a restaurant newsletters. Fifty-six percent Restaurant frequent-dining or manager or owner’s response of consumers visit restaurant customer-loyalty programs likely to a negative review makes Web sites, 54 percent view will become more popular. them less likely to believe the restaurant menus and 54 Twenty-five percent of adults bad review. While only 12 percent use the Internet to participate in those programs, percent of consumers report learn about restaurants they which about a third of restau- visiting Facebook, YouTube or haven’t patronized. Thirty- rants offer. More than half of other restaurant fan pages, one percent went online to all customers say they likely and only 2 percent of respon- get nutrition information would patronize restaurants dents follow restaurants on about restaurant foods, and that offer customer-loyalty or Twitter, those percentages are 25 percent made restaurant reward programs. expected to increase in 2010. reservations online. www.restaurant.org | National Restaurant Association | 15
  • 18. FORECAST Fullservice Outlook 2010 Restaurant Industry Forecast 6 Market green efforts. Forty-seven percent of fine-, 42 percent of family- and 35 percent of casual-dining operators tell the National Restaurant Association they plan to spend more on green initiatives in 2010. Marketing the efforts is equally important. 8 Focus on health. In response to consumer 5 interest in nutrition, tableservice operators are enhancing their produce Off-premise options. More than a third of full- 7 offerings, healthful children’s items and other options. And customers notice: About half Ordering service restaurants upgraded the adults in the Association’s their take-out packaging in and payment consumer survey say table- 2009 as they tried to boost off- innovations. service restaurants make it premise traffic. It’s no wonder: easy for them to choose the demand for curbside take-out Although 65 percent of fine-, portion sizes they want. and delivery service is strong. 36 percent of casual- and Nearly three in 10 adults tell 27 percent of family-dining the Association that take-out operations offer online food is essential to the way reservations, few offer online they live. Forty-six percent ordering. And just 1 percent of adults say they would use to 2 percent in each full- curbside take-out from a service segment offer options tableservice restaurant, and for electronic tableside order- 54 percent indicated a desire ing or payment. Consumers for home or office delivery. The green pull: About four noted their interest in both Operators are responding to in 10 consumers say they’re options, as well as tabletop consumer demand for other likely to choose a restaurant systems that would allow off-premise options. Thirty- because of its conservation them to browse the Internet, four percent of family- and 26 practices. More than half of watch television or play video percent of casual- and fine- adults surveyed by the Associ- games. dining operators say they offer ation say they are more likely packaged food for retail sale. Sixty-three percent of casual-, to visit restaurants that offer food grown in an organic i The National Restaurant Association’s Tableservice 62 percent of family- and 40 or environmentally friendly Restaurant Trends, available in February as a free download percent of fine-dining operators way, and seven in 10 are more to members, provides detail on the research mentioned say they offer merchandise for likely to visit restaurants that here. Visit www.restaurant.org/research. retail sale. offer locally produced food. 16 | National Restaurant Association | www.restaurant.org
  • 19. 2010 Restaurant Industry Forecast FORECAST Quickservice Outlook Sales Quickservice 3% $164.8 Quickservice nominal $160 growth billion billion 0.4% sales expected real growth 2009* 2010* to advance 3% *projected Source: National Restaurant Association in 2010 Operators more optimistic about economy, while challenges remain HIGHLIGHTS n Sales to advance 3 percent in 2010. The National Restau- No. 1 challenge rant Association projects quickservice restaurant* sales to be $164.8 for quickservice operators in 2010 billion in 2010, up 3 percent from 2009. That represents a real sales Percent of quickservice restaurant operators who mention as their top challenge in 2010: increase of 0.4 percent after accounting for inflation. The economy 30% n 2009 recap. The quickservice segment sold $160 billion in food Building/maintaining sales volume 30% and drink in 2009, according to Association projections. That Government mandates 13% represents a 1.5 percent increase in nominal sales from 2008, but Access to capital 5% a 0.7 drop in real sales. While 35 percent of quickservice operators Food costs 4% surveyed by the Association reported their sales were higher in 2009 Operating costs 4% than in 2008, more than half said their sales decreased from 2008. A Source: National Restaurant Association, operator survey, October 2009 significant percentage reported lower traffic in all dayparts. n Challenges ahead. Although quickservice operators are rela- tively optimistic that business conditions will improve in 2010, they expect many challenges to continue. Quickservice operators cite Business outlook attracting new customers, securing financing and controlling costs for quickservice operators in 2010 Most quickservice operators expect business to be better to be among their greatest challenges. Nearly half (47%) expect ob- in 2010 than 2009 taining credit/financing to be more challenging than it was in 2009. Same They also cite government mandates as a top challenge. Operators as 2009 recognize their customers’ increasing demand for value: 79 percent Better think customers will be more value-conscious this year. than 2009 39% 42% * Quickservice restaurants are establishments where patrons generally order at a cash register or select items from a food bar and pay before they eat. (The Association does not compile separate sales data for Worse “fast-casual” or “quick-casual” restaurants but has joined with the Fast than 2009 Casual Alliance to form a new Fast Casual Industry Council to focus on 19% this segment. See more at www.restaurant.org/fastcasual.) Source: National Restaurant Association, operator survey, October 2009 www.restaurant.org | National Restaurant Association | 17
  • 20. 7 FORECAST Quickservice Outlook 2010 Restaurant Industry Forecast 2 6 Capitalize on new media. Cater to guests interested in New media is gaining ground with quickservice operators. 4 conservation. Fifty-eight percent say they Empower customers. More than three in four have e-mail newsletters, and quickservice operators buy 52 percent advertise online. Just 7 percent of quickservice products made from recycled And 26 percent say they mar- operators offer automated, materials, and a majority of ket their businesses through self-serve ordering systems, quickservice operators acted cell phone text messages. according to Association in 2009 or plan to invest more Quickservice operators also research. But consumer input in 2010 in efficient lighting, recognize the value of social indicates a desire for self- kitchen equipment or HVAC media tools. In the next two ordering options. Forty-seven systems. Nearly a third of years, more than half of all percent of adults say they quickservice operators plan quickservice operators without would like the option to to spend more on green a presence on Facebook or order through self-serve initiatives in 2010, which is Twitter say they will add one. terminals at quickservice an opportunity to let guests Fifty-three percent plan to restaurants. For consumers know what they’re doing. offer more text messaging, and between 18 and 44, that ways 38 percent plan to launch blogs for their restaurants. Consumer input confirms the need for such number rises to 58 percent. The ability to order through Web sites also is important to 7 Market healthful quickservice outlets. Twenty-four percent of adults surveyed by the Associa- consumers: Thirty-six percent of all adults say they would options. restaurants tion in November 2009 say they likely would sign up for e-mail order online, compared to 53 percent of those between 18 Nearly two-thirds of quick- service operators say they can stand out notification of daily specials, and 34. Yet just 26 percent of offer more healthful choices and 17 percent for notice by quickservice restaurants offer for children than they did two text message. that option. years ago. And they ranked several health-related foods 6% 5 among their Top 20 trends for 2010. That includes organic, 1 of quickservice operators allow Hit the road. low-calorie and low-fat items, as well as whole grain bread Upgrade operations. customers to order Association research shows that and side fruit. Why it’s im- via iPhone operators can boost sales by portant: 73 percent of adults applications. Forty-three percent of quick- offering convenient delivery in the consumer study say service operators plan to allocate options. Fifty-four percent of they try to eat healthier at more resources for remodeling/ renovation this year than they did in 2009, according to the 3 adults indicated an interest in home and office delivery service from quickservice restaurants. restaurants than they did two years ago. Fifty-six percent of adults in the consumer study Add Wi-Fi. National Restaurant Associa- That figure rises to 72 percent say they’re more likely to visit tion’s survey of quickservice Thirty-five percent of adults for adults between 18 and 34, restaurants that offer food operators. Forty-two percent surveyed by the Association and 64 percent of adults in raised in organically or en- plan to invest more in technol- say they would use wireless households with children. vironmentally friendly ways. ogy. While they focus on exist- Internet access at quickservice ing stores, they appear more conservative about adding restaurants. The figure jumps to 55 percent of 18- to 34-year- i The National Restaurant Association’s Quickservice units: 39 percent say they will olds. And 44 percent of adults Restaurant Trends, available in February as a free download spend less on unit expansion in in households with children to members, provides detail on the research mentioned 2010, compared to 30 percent would use Wi-Fi offered at a here. Visit www.restaurant.org/research. who plan to spend more. quickservice operation. 18 | National Restaurant Association | www.restaurant.org
  • 21. Jobs and Careers Strong restaurant workforce, long-term growth bolster U.S. job base Overview The restaurant industry adds vitality to U.S. employment. Its 12.7 million employees represent more than 9 percent of the nation’s workforce. And restaurant jobs are growing. Over the next 10 years, restaurants are expected to add 1.3 million jobs. In that time, the indus- try’s demand for employees is expected to outpace the growth of the U.S. workforce. Research shows a need for restaurateurs to refocus their human resources strategies to compete. www.restaurant.org | National Restaurant Association | 19
  • 22. FORECAST Jobs and Careers 2010 Restaurant Industry Forecast 3 Jobs will grow across all occupations. 5 12.7 million strong Restaurants will add jobs across all occupations in the next 10 years. The strongest gains are Restaurants are a driving force in the U.S. economy and expected among positions that will provide 14 million jobs by 2020 combine food preparation and service. By 2020, the number of these positions is expected to grow to 3.1 million, a 15 percent increase representing 408,000 new jobs. A boost in management ranks: Management jobs in restau- rants are expected to grow 2 about 8 percent by 2020, the Association estimates. Jobs for 1 Restaurants will add 1.3 million new jobs in the next decade. chefs and head cooks should grow by 11 percent. The num- ber of first-line supervisors and Job growth is managers of food prepara- expected to restart Despite the recent job losses, tion and serving workers is in 2010. the restaurant industry is expected to grow more than The restaurant industry lost projected to post steady 12 percent by 2020. jobs in 2009, but job growth growth well into the future. By factors is expected to resume in 2010, the National Restaurant Asso- ciation projects. The industry is 2020, the industry is projected to employ 14 million people — an increase of 1.3 million jobs 4 Head West and South expected to employ about 12.7 over 10 years. shaping the million people this year. for restaurant jobs. restaurant Outperforming the economy: Restaurants employ nearly one in 10 working Americans: The heaviest restaurant recruiting could take place in workforce Despite the employment dip in 2009, the restaurant industry Restaurants remain one of the nation’s largest private-sector western and southern states, fueled by expected gains in outperformed the economy. employers. The restaurant population, jobs and dispos- Eating-and-drinking places industry’s 12.7 million employ- able income in those areas. shed jobs at a 0.9 percent rate ees represent more than 9 in 2009, compared to the 3.7 percent of the nation’s job base. Top 3: Restaurants in Texas, percent job loss posted for the Florida and North Carolina economy overall. Eating-and- are expected to expand their drinking places are the primary Total Restaurant workforces by about 16 component of the restaurant Industry percent over the next decade, industry, which accounts for Employment compared to the industry’s roughly three-fourths of the 14 overall job growth of 10 12.7 11.2 million million restaurant and foodservice million percent. Job gains in the workforce. The job losses in restaurant industry over the 2009 marked only the second next decade also will be high year the industry lost jobs since in Georgia and Alaska, where 1958, when the government 2000 2010* 2020* restaurant workforces will began collecting the data. * Projected increase about 15 percent. 20 | National Restaurant Association | www.restaurant.org
  • 23. 2010 Restaurant Industry Forecast FORECAST Jobs and Careers 5 strategies to reflect a changing workforce. 24 percent the U.S. workforce in 1978, ac- cording to the Bureau of Labor Statistics. Long-term labor challenges At issue — young workers: One key em- By 2008, that group accounted for just 14 will re-emerge. ployee source for the restaurant industry percent of the labor force. By 2018, the per- might not be as available in the future. centage is expected to drop to 13 percent. While the soft economy made recruiting Teens and young adults historically make In contrast, people age 55 or older made and retaining employees somewhat less up the bulk of the restaurant industry up 14 percent of the labor force in 1978 and difficult over the past year, long-term workforce, with employees under age 25 18 percent of the workforce in 2008. By 2018, demographic shifts suggest that challenge accounting for about half of the industry’s that group is projected to comprise nearly will re-emerge in the near future. Depending staffing. But that demographic is declining one-quarter of the nation’s labor force. Older on their employee mix, restaurateurs might as a proportion of the total labor force. employees will be a critical source of employees want to adjust their human-resources Employees between 16 and 24 represented for the restaurant industry. CAREERS Restaurant workforce expected to reach 14 million by 2020 Growth in foodservice occupations, 2010 to 2020 ––– EMPLOYMENT CHANGE, 2010-2020 ––– 2010 2020 Jobs Total % Avg. annual employment employment added change % change TOTAL RESTAURANT-INDUSTRY EMPLOYMENT 12,680,000 14,003,000 1,323,000 10.4 % 1.0 % Foodservice managers 339,000 365,000 26,000 7.7 0.7 Food preparation-and-serving-related occupations 11,554,000 12,848,000 1,294,000 11.2 1.1 Supervisors, food-preparation-and-serving workers 942,000 1,056,000 114,000 12.1 1.1 Chefs and head cooks 109,000 121,000 12,000 11.0 1.0 First-line supervisors/managers of food-preparation- and serving workers 833,000 935,000 102,000 12.2 1.2 Cooks and food-preparation workers 2,958,000 3,231,000 273,000 9.2 0.9 Cooks 2,066,000 2,259,000 193,000 9.3 0.9 Cooks, fast food 566,000 625,000 59,000 10.4 1.0 Cooks, institution and cafeteria 392,000 432,000 40,000 10.2 1.0 Cooks, private household 5,000 5,000 0 0.0 0.0 Cooks, restaurant 914,000 1,002,000 88,000 9.6 0.9 Cooks, short order 171,000 175,000 4,000 2.3 0.2 Cooks, all other 18,000 20,000 2,000 11.1 1.1 Food-preparation workers 892,000 972,000 80,000 9.0 0.9 Food-and-beverage-serving workers 6,308,000 7,094,000 786,000 12.5 1.2 Bartenders 509,000 560,000 51,000 10.0 1.0 Fast food and counter workers 3,227,000 3,707,000 480,000 14.9 1.4 Combined food-preparation-and-serving workers, including fast food 2,702,000 3,110,000 408,000 15.1 1.4 Counter attendants, cafeteria, food concession, and coffee shop 525,000 597,000 72,000 13.7 1.3 Waiters and waitresses 2,382,000 2,615,000 233,000 9.8 0.9 Food servers, nonrestaurant 190,000 212,000 22,000 11.6 1.1 Other food-preparation-and-serving-related workers 1,346,000 1,467,000 121,000 9.0 0.9 Dining room and cafeteria attendants and bartender helpers 421,000 452,000 31,000 7.4 0.7 Dishwashers 523,000 584,000 61,000 11.7 1.1 Hosts and hostesses, restaurant, lounge, and coffee shop 351,000 376,000 25,000 7.1 0.7 All other food-preparation-and-serving-related workers 51,000 55,000 4,000 7.8 0.8 Other eating-and-drinking-place occupations* 787,000 790,000 3,000 0.4 0.0 *Includes operational, business, financial, entertainment, sales, administrative and transportation occupations Source: National Restaurant Association projections, based on historical data from the Bureau of Labor Statistics www.restaurant.org | National Restaurant Association | 21
  • 24. FORECAST Jobs and Careers 2010 Restaurant Industry Forecast jOBS BY STATE Texas, Fla., N.C., to lead in restaurant job growth Projected growth in restaurant industry employment* from 2010 to 2020 ––– EMPLOYMENT CHANGE, 2010-2020 ––– 2010 2020 Jobs Total % Avg. annual employment employment added change % change Alabama 169,800 194,400 24,600 14.5 % 1.4 % Alaska 26,100 30,100 4,000 15.3 % 1.4 % Arizona 256,200 293,000 36,800 14.4 % 1.4 % Arkansas 109,100 124,500 15,400 14.1 % 1.3 % California 1,410,400 1,545,300 134,900 9.6 % 0.9 % Colorado 226,400 260,000 33,600 14.8 % 1.4 % Connecticut 143,000 151,300 8,300 5.8 % 0.6 % Delaware 38,500 41,200 2,700 7.0 % 0.7 % District of Columbia 49,900 56,100 6,200 12.4 % 1.2 % Florida 804,400 931,200 126,800 15.8 % 1.5 % Georgia 385,100 443,600 58,500 15.2 % 1.4 % Hawaii 76,600 80,100 3,500 4.6 % 0.4 % Idaho 58,600 65,500 6,900 11.8 % 1.1 % Illinois 507,500 552,400 44,900 8.8 % 0.9 % Indiana 293,100 314,200 21,100 7.2 % 0.7 % Iowa 145,100 155,400 10,300 7.1 % 0.7 % Kansas 127,400 139,000 11,600 9.1 % 0.9 % Kentucky 182,100 199,300 17,200 9.4 % 0.9 % Louisiana 178,100 195,200 17,100 9.6 % 0.9 % Maine 58,400 62,700 4,300 7.4 % 0.7 % Maryland 226,900 245,700 18,800 8.3 % 0.8 % Massachusetts 297,900 320,100 22,200 7.5 % 0.7 % Michigan 386,500 408,200 21,700 5.6 % 0.5 % Fastest restaurant Minnesota 249,900 274,400 24,500 9.8 % 0.9 % Top 10 states job growth Mississippi 112,300 122,100 9,800 8.7 % 0.8 % Missouri 276,100 303,200 27,100 9.8 % 0.9 % Expected growth in restaurant-and- Montana 46,900 50,200 3,300 7.0 % 0.7 % foodservice jobs, 2010 to 2020 Nebraska 84,500 92,300 7,800 9.2 % 0.9 % 1 Texas 16.4% Nevada 185,000 204,800 19,800 10.7 % 1.0 % 2 Florida 15.8% New Hampshire 60,800 66,400 5,600 9.2 % 0.9 % 3 North Carolina 15.7% New Jersey 304,100 327,500 23,400 7.7 % 0.7 % 4 Alaska 15.3% New Mexico 83,000 90,900 7,900 9.5 % 0.9 % 5 Georgia 15.2% New York 673,800 744,200 70,400 10.4 % 1.0 % 6 Colorado 14.8% North Carolina 393,500 455,300 61,800 15.7 % 1.5 % 7 Alabama 14.5% North Dakota 35,800 39,700 3,900 10.9 % 1.0 % 8 Arizona 14.4% Ohio 531,900 559,700 27,800 5.2 % 0.5 % 9 Arkansas 14.1% Oklahoma 146,700 160,500 13,800 9.4 % 0.9 % 10 Utah 14.0% Oregon 165,200 187,900 22,700 13.7 % 1.3 % Pennsylvania 532,900 560,500 27,600 5.2 % 0.5 % Top restaurant Rhode Island 52,500 57,800 5,300 10.1 % 1.0 % Top 10 states workforces South Carolina 186,600 210,200 23,600 12.6 % 1.2 % South Dakota 42,900 46,800 3,900 9.1 % 0.9 % Number of restaurant-and-foodservice Tennessee 271,400 296,000 24,600 9.1 % 0.9 % jobs in 2010 Texas 996,300 1,159,800 163,500 16.4 % 1.5 % 1 California 1,410,400 Utah 94,600 107,800 13,200 14.0 % 1.3 % 2 Texas 996,300 Vermont 26,600 28,700 2,100 7.9 % 0.8 % 3 Florida 804,400 Virginia 330,900 355,600 24,700 7.5 % 0.7 % 4 New York 673,800 Washington 279,000 308,500 29,500 10.6 % 1.0 % 5 Pennsylvania 532,900 West Virginia 71,300 75,700 4,400 6.2 % 0.6 % 6 Ohio 531,900 Wisconsin 261,000 278,600 17,600 6.7 % 0.7 % 7 Illinois 507,500 Wyoming 27,400 29,400 2,000 7.3 % 0.7 % 8 North Carolina 393,500 *Includes employment in all eating-and-drinking-place occupations, plus employment in foodservice positions that are not 9 Michigan 386,500 located at eating-and-drinking places 10 Georgia 385,100 Source: National Restaurant Association projections, based on historical data from the Bureau of Labor Statistics 22 | National Restaurant Association | www.restaurant.org
  • 25. Food and Healthy Living Nutrition, food safety training to be center of plate Overview Restaurants constantly update menus to reflect nutrition policy and trends, consumer desire for variety and quality, and chef innovations. Look in 2010 for more healthful options for children and adults; abundant produce; and locally sourced items on restaurant menus. Operators also will be look- ing for resources to help them enhance training to improve nutrition and food safety for everyone’s benefit. www.restaurant.org | National Restaurant Association | 23
  • 26. FORECAST Food and Healthy Living 2010 Restaurant Industry Forecast More than three in 10 consumers have gone online to get Giving the people nutrition data about restaurant foods. what they want Source: National Restaurant Association, consumer survey, November 2009 Restaurants respond to demand for safe, nutritious food 2 5 Healthful options are in demand. Seventy-three percent of C onsumers are more interested than ever in nutrition and food safety. They want to be certain the adults say they try to eat food they eat is safe — from its origins to its presentation on the plate. They also want the ability to healthier at restaurants than order healthful options, for themselves and their families, or have an occasional splurge. Restaurants they did two years ago, overwhelming are responding to consumer demand for healthful menu choices. Results of the National according to Association Restaurant Association’s 2009 operator and chef surveys and its July 2009 study with the Produce Marketing consumer research. The Association confirm that operators increasingly focus on providing healthful options and safe food. restaurant industry provides increasing options. More than 1 half the items in the Associa- tion’s annual “What’s Hot” survey are health-related, Children’s health matters. including produce, gluten- Nutritionally balanced kids’ dishes scored sixth on the list of free and other allergy-friendly nearly 215 hot culinary trends for 2010, according to 1,800 chefs options, and super fruit/food surveyed for the Association’s annual “What’s Hot” list (see page (such as acai, goji berry, 27). Fruit and vegetable side dishes for kids ranked 20th. The mangosteen and purslane, hottest 2010 food trend in the quickservice segment is healthful a salad green). children’s meals, cited by nearly three in four quickservice opera- tors surveyed by the Association. In the quickservice category, several health-related foods Nearly two-thirds of quickservice operators say they offer more trends also ranked in opera- healthful choices for children than they did two years ago. In the tors’ Top 20 trends for 2010: fullservice segment, about half of family-dining operators (47 percent) Organics, low-calorie food, report that they offer more healthy choices for children than they whole grain bread, low-fat healthful did two years ago, along with about two in five casual- dining and a third of fine-dining operators. items, and side fruit. restaurant trends 24 | National Restaurant Association | www.restaurant.org
  • 27. 2010 Restaurant Industry Forecast FORECAST Food and Healthy Living 7 C hefs constantly are looking for new ingredients and flavors to entice their increasingly sophisticated guests. They liter- ally travel around the world to find and create new tastes. So it’s no surprise that ethnic cuisines and flavors ranked high in the Association’s “What’s Hot” survey of 1,800 American Culinary Federation chefs. The Association’s September 2009 ethnic cuisine 4 survey with NPB of more than 1,900 consumers also points to a strong interest in ethnic food. What the numbers show: Local is hot. Chefs in the Association’s “What’s Hot” survey ranked locally grown produce, locally sourced meat and seafood and sustainability as the top three culinary trends for 2010. Locally produced beer and wine ranked fifth, farm/ estate-branded ingredients 2 ranked eighth and sustainable Entrée variation. seafood ranked 10th. Seventy percent of adults are more While meat and seafood likely to visit restaurants that trends dominate the top 3 offer locally produced food, according to the Association’s five entrées for 2010 in the “What’s Hot” survey, chefs are Fresh produce helps operators stand consumer survey. trends that broadening how they serve their entrees. In addition to out from the competition. 5 show a ‘world of flavors’ offering new and traditional cuts or species, they also look for new ways to serve entrees. Food safety is a Chefs responding to the priority. For example, ethnic-influenced Association’s “What’s Hot” small plates, such as tapas/ survey rated locally grown Roughly four in 10 fullservice mezze/dim sum, remain a top produce as the top food trend operators plan to spend more entrée trend as well as Asian- 1 for 2010. According to the Pro- on food safety this year than inspired entrée salads. duce Marketing Association/ they did in 2009, according to National Restaurant Associa- tion research, nearly three of four restaurant operators (72 the Association’s operator sur- vey. That represents 50 per- cent of family-, 37 percent of A move beyond the mozzarella stick. 3 Sweet-tooth percent) say emphasizing fresh casual- and 33 percent of fine- Two of the top seven appe- temptations. produce in their marketing dining operators. Of quick- tizer trends for 2010 will be efforts drives more custom- service operators, 38 percent Asian- and Mexican-inspired Chefs ranked traditional ethnic ers to their restaurant. Two in plan to spend more on food starters, according to the sweets as the eighth most five operators say they expect safety this year. Furthermore, “What’s Hot” survey. Chefs popular dessert trends for to serve more fresh produce the PMA/National Restaurant expect such foods as tempura, 2010. Such desserts include in the next two years, the Association research shows spring rolls, satay and dump- flan, a creamy Latin American produce research shows. And that 89 percent of operators lings to be popular, as well pie made of eggs and milk they go beyond garden-variety say they would pay more for as tamales, quesadillas and and baked in a pastry crust; produce: 46 percent of op- fresh produce if suppliers can taquitos. That will make diners delimanjoo, a South Korean erators say they look for fresh guarantee its safety. And 76 happy: Mexican and Chinese sponge cake; and qatayef, a produce items their customers percent are willing to pay are two most popular ethnic Middle Eastern pastry that can’t buy at supermarkets, more for fresh produce if cuisines, according to the NPD/ resembles a small pancake including 78 percent of fine- they can trace it all the way National Restaurant Associa- folded into a crescent and dining operators. through the supply chain. tion ethnic cuisine survey. stuffed with cream and nuts. www.restaurant.org | National Restaurant Association | 25
  • 28. FORECAST Food and Healthy Living 2010 Restaurant Industry Forecast 4 6 Coffee accompaniment. Variety is the spice of life. 7 Chefs expect ethnic-inspired items to be among the hot- Dishes from the Old World, 5 test breakfast/brunch trend New World and every point for 2010. Think Asian-flavored on the globe will influence Authenticity is syrup, chorizo-scrambled restaurant menus this year. everything. eggs, coconut-milk pancakes. Into the mouths of Chefs expect regional ethnic They expect the next most babes. cuisine to be the hottest Consumers are more likely to popular trend to be tradi- trend, followed by ethnic fu- eat less familiar ethnic food, tional ethnic breakfast items. Expect to see ethnic influ- sion, North African/Magrebi, such as Brazilian, Indian or Look for huevos rancheros; ences on every part of the Latin American/Nuevo Latino, Thai at restaurants, according shakshuka, a Middle East- menu this year, including kids’ Southeast Asian, Peruvian, to the ethnic cuisine survey. ern egg dish; and ashta, the meals. Chefs ranked ethnic- Cuban, Mediterranean, They’re more likely to order homemade clotted cream inspired dishes as the fifth Himalyan, Spanish, Korean, pizza, Chinese, Greek and used to fill those qatayef and most popular trend in 2010 sushi and French, according more familiar foods for other Middle Eastern pastries. for children’s meals. to the “What’s Hot” survey. delivery/take-out. Furthermore, Consumers are interested in consumers say it’s important trying French, Spanish, Japa- for restaurants to specialize in i Visit www.restaurant.org/foodhealthyliving for more nese (other than sushi), Thai, Cajun/Creole, soul food and the type of cuisine they serve, particularly for food they’re details on the food and beverage trends summarized here. sushi, according to the ethnic less familiar with, such as cuisine consumer survey. Ethiopian, Vietnamese or Thai. Beverage Trends 2010 T he National Restaurant Association’s “What’s Hot” survey Alcohol of more than 1,800 professional chefs and its quickservice- operator survey reveal that restaurants are getting creative and cocktails in the beverages they serve, both alcoholic and non-alcoholic. 1 Locally produced wine and beer Locally produced wine and beer is the fifth hottest trend on 2 Culinary cocktails (e.g., savory, fresh ingredients) restaurant menus in 2010, and culinary cocktails and artisan liquor both rank in the top 20, according to the chef survey. The 3 Microdistilled/artisanal liquor Association’s International Wine, Spirits & Beer Event at the NRA 4 Organic wine/beer/liquor Show, May 23-24, 2010, in Chicago, will feature these and other 5 Food/beer pairings trends. See www.winespiritsbeer.org for more information. Nonalcoholic Quickservice beverages beverage trends 1 Specialty iced tea (e.g., Thai-style, 1 Energy drinks Southern/sweet, flavored) 2 Espresso/specialty coffees 2 Organic coffee 3 Flavored/enhanced waters 3 Agua fresca 4 Sports drinks 4 Green tea 5 Smoothies 5 Flavored/enhanced water Culinary cocktails: a top alcoholic beverage trend for 2010 Sources: National Restaurant Association “What’s Hot” chef survey, October 2009; quickservice operator survey, October 2009 26 | National Restaurant Association | www.restaurant.org
  • 29. 2010 Restaurant Industry Forecast FORECAST Food and Healthy Living Food Trends 2010 K Top trends eeping up with food and beverage trends is crucial to develop the right menu mix. That’s why restaurateurs turn to the National Restaurant Association to help them stay abreast of the hottest menu trends. The Association each year surveys professional chef members of the American Culinary Federation. The latest by category survey, conducted in 2009, was based on the input of more than 1,800 chefs. Appetizers/starters 1 Amuse bouche 2 Mini-burgers/sliders 3 Appetizer combos/platters 4 Appetizer salads 5 Asian appetizers (e.g., tempura, spring rolls/ egg rolls, satay, dumplings) Main dishes/ center of the plate WHAT’S HOT: TOP 20 TRENDS 1 Locally sourced meats and seafood 2 Half-portions/smaller portion for a smaller 1 Locally grown produce 12 Organic produce price 2 Locally sourced meats and seafood 13 Culinary cocktails (e.g., savory, fresh 3 Sustainable seafood ingredients) 4 Non-traditional fish (e.g., branzino, Arctic 3 Sustainability char, barramundi) 14 Micro-distilled/artisanal liquor 5 Newly fabricated cuts of meat (e.g., Denver 4 Bite-size/mini desserts steak, pork flat iron, Petite Tender) 15 Nutrition/health 5 Locally produced wine and beer 16 Simplicity/back to basics 6 Nutritionally balanced children’s dishes 17 Regional ethnic cuisine 7 Half-portions/smaller portion for a smaller price 18 Nontraditional fish (e.g., branzino, #4 Barramundi Arctic char, barramundi) Whole roasted barramundi courtesy of National Fisheries Institute member Australis Aquaculture 8 Farm/estate-branded ingredients 19 Newly fabricated cuts of meat (e.g., 9 Gluten-free/food-allergy conscious Denver steak, pork flat iron, Petite 10 Sustainable seafood Tender) 11 Superfruits (e.g., acai, goji berry, 20 Fruit/vegetable children’s side items mangosteen, purslane) The hottest trend in restaurant concepts in 2010: gardens Chefs predict restaurants with gardens — rooftop, backyard, community or other types of gardens — will be the top trend in new restaurant concepts for 2010. Other hot concepts in the top five, according to chefs: Sides/starches 1 Restaurants with gardens Download the full results 1 Quinoa 2 Cooking classes/demonstrations of the National Restaurant 2 Braised vegetables Association’s 2010 “What’s 3 Street food and mobile food trucks/carts Hot” survey at 3 Brown/wild rice www.restaurant.org/ 4 Restaurants on farms 4 Steamed/grilled/roasted vegetables foodtrends. 5 Gastropubs 5 Buckwheat items www.restaurant.org | National Restaurant Association | 27
  • 30. FORECAST Food and Healthy Living 2010 Restaurant Industry Forecast Kids’ meals 1 Nutritionally balanced children’s dishes Top trends 2 Fruit/vegetable children’s side items 3 “Kid cuisine”/gourmet children’s dishes by category continued 4 Children’s entrée salads 5 Ethnic-inspired children’s dishes #4 Produce Flatbreads #3 1 Locally grown produce Dessert 2 Superfruits (e.g., acai, goji berry, flights mangosteen, purslane) 3 Organic produce 4 Exotic fruit (e.g., durian, passion fruit, dragon fruit, paw paw, guava) 5 Micro-vegetables/micro-greens Other food items/ ingredients 1 Artisanal cheeses #1 2 Black garlic Locally grown 3 Ancient grains (e.g., kamut, spelt, produce amaranth) 4 Flatbreads (e.g., naan, papadum, lavash, Desserts pita, tortilla) 1 Bite-size/mini desserts 5 Flower syrup/essence 2 Artisanal/house-made ice cream 3 Dessert flights/combos Preparation methods 4 Savory desserts 1 Liquid nitrogen chilling/freezing 5 Gelato/sorbet 2 Braising 3 Sous vide Breakfast/brunch 4 Smoking 1 Ethnic-inspired breakfast items (e.g., 5 Oil-poaching/confit Asian flavored syrups, chorizo scrambled Ethnic cuisines eggs, coconut milk pancakes) and flavors 2 Traditional ethnic breakfast items (e.g., 1 Regional ethnic cuisine Culinary themes huevos rancheros, shakshuka, ashta, 1 Sustainability Japanese) 2 Ethnic fusion 2 Farm/estate-branded ingredients 3 Fresh fruit breakfast items 3 North African/Maghreb 3 Gluten-free/food allergy conscious 4 Seafood breakfast items (e.g., smoked 4 Latin American/Nuevo Latino salmon, oysters, crab cake) 4 Nutrition/health 5 Southeast Asian (e.g., Thai, Vietnamese, 5 Prix fixe brunches Burmese, Malaysian) 5 Simplicity/back to basics Source: National Restaurant Association “What’s Hot” chef survey, October 2009 Quickservice top food trends 1 Healthy options in kids meals 6 Flatbreads 11 Wraps/pitas/tortillas 16 Japanese/sushi items 2 Snack-sized items 7 Organic items 12 Whole-grain bread 17 Breakfast wraps 3 Locally sourced items 8 Value meals 13 Low-fat items 18 Vegetarian entrees 4 Spicy items 9 Build-your-own items 14 Mexican/Latin American items 19 Entrée salads 5 Gluten-free items 10 Low-calorie items 15 Side fruit 20 Soups Source: National Restaurant Association, quickservice operator survey, October 2009 28 | National Restaurant Association | www.restaurant.org
  • 31. Sustainability and Social Responsibility Economy won’t hamper philanthropy, conservation efforts Overview Restaurants recognize the vital link between their businesses and communities. They participate in commu- nity service, contribute to charitable causes and work to conserve the environ- ment — inside and outside the restaurant. Despite economic pressures, expect to see restaurants continue their community involve- ment and philanthropy and adopt more environmentally practices that help boost the bottom line. www.restaurant.org | National Restaurant Association | 29
  • 32. FORECAST Sustainability 2010 Restaurant Industry Forecast 2 HVAC. Family dining operators were Green efforts take root the most likely of all fullservice operators to upgrade energy- efficient refrigeration, air Operators respond to consumer demand for sustainable practices conditioning and heating systems. About half of family-, 5 40 percent of casual- and 34 percent of fine-dining opera- tors invested in more efficient R estaurants increasingly are taking steps to conserve resources: investing in energy-efficient refrigeration, heating and equipment and fixtures, using recyclable materials and experimenting with locally grown cooling systems. This year, 32 produce. Green initiatives not only help save money, but they boost traffic. Four in 10 percent of family-, 28 percent consumers say they choose restaurants based on their conservation practices. Restaurants are getting of casual- and 27 percent of the message: Four of 10 fullservice and 31 percent of quickservice operators plan to devote more fine-dining operators plan resources to green initiatives in 2010 than they did the previous year. to invest in more efficient systems. In quickservice, 32 percent invested in energy- efficient systems in 2009, and 1 30 percent plan to do so this year. Lighting. 3 Back of the house. In 2009, about six of 10 fullservice and 43 percent of quickservice operators Forty-five percent of family-, bought energy-saving lighting fix- 41 percent of casual- and 28 tures. In the fullservice arena, family percent of fine-dining opera- dining operators were most likely to tors invested in energy-effi- invest in more efficient lighting (69 cient kitchen equipment last percent), followed by casual dining year. About a third of fullser- ways (66 percent) and fine-dining (52 per- cent). This year, 46 percent of casual, vice operators in all segments plan to buy more efficient restaurants 41 percent of family and 38 percent of fine-dining operators plan to invest kitchen equipment this year. Thirty-four percent of their help the in environmentally friendly lighting. quickservice colleagues Thirty-two percent of quickservice installed more efficient environment operators plan to do so this year. kitchen equipment in 2009. Sustainability steps Proportion of restaurant operators, by type of operation, who took the following energy-saving actions in 2009 or who plan to in 2010 Family dining Casual dining Fine dining Quickservice Did in Plan to Did in Plan to Did in Plan to Did in Plan to 2009 in 2010 2009 in 2010 2009 in 2010 2009 in 2010 Purchased energy-saving light fixtures 69% 41% 66% 46% 52% 38% 43% 32% Purchased energy-saving kitchen equipment 45% 34% 41% 34% 28% 32% 34% 31% Purchased energy-saving refrigeration, air conditioning or heating systems 50% 32% 40% 28% 34% 27% 32% 30% Installed water-saving equipment and/or fixtures 27% 26% 27% 23% 27% 24% 23% 23% 30 | National Restaurant Association | www.restaurant.org
  • 33. 2010 Restaurant Industry Forecast FORECAST Sustainability 4 Water. Twenty-seven percent of conserve.restaurant.org fullservice operators in all three segments installed water-saving equipment in 4 ways to save money by conserving resources 2009. The numbers of those who plan to invest to do so this year falls slightly: 26 per- Restaurant operators understand that environmentally friendly practices affect their cent of family-, 24 percent of bottom line. They save money in water and energy costs, and they attract consumers fine- and 23 percent of casual- who choose restaurants that care about sustainability. The National Restaurant Associa- dining operators. As part of tion works with Pacific Gas & Electric’s Food Service Technology Center to help operators fullservice operators’ efforts find energy- and money-saving solutions through the Association’s Conserve Initiative. to conserve water in 2009, Through its Conserve partnership, the Food Service Technology Center shares helpful a significant portion offer resources with restaurateurs, such as these low-cost opportunities to save money: water from on-site filtration systems. That represents 35 percent of fine-, 31 percent 1 LED exit signs. of casual- and 30 percent of The exit signs in hallways or above restaurant doors zap more energy than most family-dining operators. In operators realize. The typical 40-watt incandescent exit sign costs about $30 to the quickservice segment, 23 install and has a lifespan of 750 to 1,000 hours. For example, at New York City or percent of quickservice opera- San Francisco electricity rates, the yearly energy cost would be about $53. In com- tors invested in water-saving parison, a five-watt LED exit sign costs $40 to install and has a lifespan of 7,500 to equipment in 2009, and the 10,000 hours. Not only does it last longer, it costs less to run: just $7 a year. same percentage plans to do so this year. 2 Compact fluorescent light bulbs. A 23-watt compact fluorescent lamp produces as much light as a 75-watt incan- descent bulb. Incandescent bulbs in exhaust hood and walk-in refrigerators and freezers waste 85 percent of their energy through heat, while only 25 percent of a compact fluorescent bulb’s energy is wasted as heat. Although compact fluores- cent bulbs cost about $10 each (compared to about 50 cents for incandescents), in exhaust hoods and walk-ins, they use only $160 in energy annually. In comparison, incandescent bulbs represent about $525 of a restaurant’s annual energy costs. 3 Faucet repairs. 5 A leaky faucet costs operators money in three areas: water, sewer and water heat- ing. A small leak can waste up to 100,000 gallons of water a year. By fixing the leak, Recycled material. operators can save $700 a year. If the faucet is leaking hot water, operators save another $700 a year by fixing the faucet. Fixing larger leaks saves even more money. Of fullservice operators, fine- dining restaurants were most likely to buy products made from recycled goods (81 per- 4 Heat water to proper temperature. cent), followed by 74 percent Many operators don’t realize how much money and energy they waste by setting of casual- and 72 percent of their water heaters higher than they need. Water heater temperatures should family-dining operators. In be set according to specific tasks, which means either 110 degrees Fahrenheit or quickservice, 77 percent of 140 degrees Fahrenheit, depending on the dishwasher. In a small casual-dining operators say their restaurant operation, a heater set 10 degrees too high costs an extra $650 a year; one set 20 buys products made from degrees too high costs an extra $1,500 a year. recycled materials. www.restaurant.org | National Restaurant Association | 31
  • 34. FORECAST Social Responsibility 2010 Restaurant Industry Forecast Cornerstones 3 of communities Team players. About nine in 10 quickservice Charitable activities are a key ingredient in successful operators and three in four 4 restaurant businesses fullservice restaurant operators sponsor community events. They’re also boosters of local teams, with 88 percent I n creating a recipe for a successful business, it is clear that most restaurateurs consider charitable of quickservice operators and activities a key ingredient. Ninety-four percent of National Restaurant Association members about seven in 10 family- said their restaurant made a charitable contribution in 2008, according to the Association’s and casual-dining operators “Who Is the American Restaurateur?” survey. Charitable activities are so integral to the restaurant sponsoring local sports teams, industry that Sustainability and Social Responsibility is one of four industry imperatives included in according to the Association’s the Association’s strategic plan. October 2009 operator survey. That’s important to consumers: 57 percent of adults in the Association’s consumer survey Of the National say they’re likely to choose a 1 Restaurant Associa- tion members who restaurant based its support made charitable of community and charitable Source of contributions, activities. nourishment. 98 percent supported local It’s no surprise that hunger relief is a priority for most organizations, 28 percent contributed to national charities, and 4 percent sup- 4 ported international causes. People people. operators, and results of the American restaurateur survey National Restaurant Association, It takes more than business “Who Is the American Restaura- confirm it. Of the restaurants acumen for a restaurant to teur?” August 2009 that made charitable contri- become established as an butions in 2008, 73 percent institution in a community. ways donated food. Others contrib- uted by making cash contri- butions (70 percent), making 2 It takes people skills. Nearly a quarter of all operators (22 percent) say they chose a restaurants other in-kind contributions Generosity. restaurant career because of show social (48 percent) and donating space (30 percent). As a proportion of sales, the total value of charitable the people. Nearly as many (21 percent) work in the responsibility contributions represented 0.5 percent of survey respondents’ restaurant industry because it’s a family business. And total sales in 2008; an operator’s family businesses make a income before taxes is typically community into a family. 4 percent to 6 percent of total sales. The survey found that — on average — charitable contributions totaled $226 per i Visit www.restaurant. employee at survey respon- org/sustainability for more. dents’ restaurants in 2008. 32 | National Restaurant Association | www.restaurant.org
  • 35. Appendix: State Information Population, income, jobs set the stage for restaurant success Overview Three key factors — growth in population, employment and disposable income — can have a major impact on restaurant spending. The data in this appendix pro- vide a snapshot of economic indicators in each state. Regions of the country with the most favorable economic conditions and the stron- gest population growth are expected to fare the best in restaurant sales and long- term job growth. www.restaurant.org | National Restaurant Association | 33
  • 36. FORECAST 2010 State Outlook 2010 Restaurant Industry Forecast THE WORKS State economic data and the outlook for restaurant sales and jobs Job, population and disposable-income growth are important indicators for restaurant-industry growth. Here’s where key economic indicators are headed in each state in 2010, as well as the National Restaurant Association’s projections for 2010 restaurant sales and foodservice employment over the next decade. STATE ECONOMIC INDICATORS1 GROWTH IN RESTAURANT SALES2 FOODSERVICE EMPLOYMENT3 % Change, 2009-2010 2009-2010 ($000) 2010-2020 ‘09-’10 ‘10-’20 Average Total Real Total 2009 2010 percent 2010 2020 ‘10-’20 percent annual % employment DPI4 population sales sales change employment employment jobs added change change Alabama -0.7% 1.0% 1.0% $5,452,688 $5,572,648 2.2% 169,800 194,400 24,600 14.5% 1.4% Alaska 0.0% 1.4% 1.1% $1,161,695 $1,190,604 2.5% 26,100 30,100 4,000 15.3% 1.4% Arizona -1.0% 0.8% 2.8% $8,449,733 $8,618,727 2.0% 256,200 293,000 36,800 14.4% 1.4% Arkansas -0.7% 1.2% 0.7% $3,176,363 $3,252,816 2.4% 109,100 124,500 15,400 14.1% 1.3% California -1.1% 1.0% 1.1% $56,706,149 $58,033,073 2.3% 1,410,400 1,545,300 134,900 9.6% 0.9% Colorado 0.4% 1.8% 1.4% $8,517,830 $8,764,847 2.9% 226,400 260,000 33,600 14.8% 1.4% Connecticut -1.4% 0.5% 0.2% $5,223,446 $5,330,501 2.0% 143,000 151,300 8,300 5.8% 0.6% Delaware -1.5% 0.4% 1.0% $1,371,477 $1,398,298 2.0% 38,500 41,200 2,700 7.0% 0.7% District of Columbia 0.5% 1.8% 0.5% $2,302,033 $2,357,282 2.4% 49,900 56,100 6,200 12.4% 1.2% Florida -1.2% 1.0% 0.8% $27,001,657 $27,649,697 2.4% 804,400 931,200 126,800 15.8% 1.5% Georgia -1.2% 1.0% 2.0% $14,084,267 $14,441,619 2.5% 385,100 443,600 58,500 15.2% 1.4% Hawaii -1.2% 0.9% 0.5% $3,082,951 $3,143,938 2.0% 76,600 80,100 3,500 4.6% 0.4% Idaho 0.0% 1.2% 1.4% $1,618,359 $1,663,197 2.8% 58,600 65,500 6,900 11.8% 1.1% Illinois -1.4% 0.5% 0.6% $18,441,233 $18,789,263 1.9% 507,500 552,400 44,900 8.8% 0.9% Indiana -1.5% 0.4% 0.6% $8,532,149 $8,673,232 1.7% 293,100 314,200 21,100 7.2% 0.7% Iowa -0.9% 1.0% 0.3% $3,236,381 $3,287,877 1.6% 145,100 155,400 10,300 7.1% 0.7% Kansas -0.8% 1.1% 0.8% $3,500,310 $3,548,339 1.4% 127,400 139,000 11,600 9.1% 0.9% Kentucky -0.9% 0.8% 0.9% $5,524,621 $5,635,432 2.0% 182,100 199,300 17,200 9.4% 0.9% Louisiana -0.8% 1.3% 0.3% $4,763,592 $4,859,139 2.0% 178,100 195,200 17,100 9.6% 0.9% Maine -0.8% 1.0% 0.1% $1,815,589 $1,853,067 2.1% 58,400 62,700 4,300 7.4% 0.7% Maryland -0.2% 1.6% 1.2% $8,479,342 $8,699,805 2.6% 226,900 245,700 18,800 8.3% 0.8% Massachusetts -0.7% 1.1% 0.3% $12,195,352 $12,435,071 2.0% 297,900 320,100 22,200 7.5% 0.7% Michigan -1.9% 0.0% 0.0% $13,236,851 $13,449,252 1.6% 386,500 408,200 21,700 5.6% 0.5% Minnesota -0.4% 1.5% 0.7% $7,746,840 $7,933,301 2.4% 249,900 274,400 24,500 9.8% 0.9% Mississippi -1.1% 0.6% 0.7% $2,943,395 $3,000,787 1.9% 112,300 122,100 9,800 8.7% 0.8% Missouri -0.8% 1.2% 0.3% $8,485,518 $8,659,974 2.1% 276,100 303,200 27,100 9.8% 0.9% Montana 0.0% 1.4% 1.1% $1,199,019 $1,226,597 2.3% 46,900 50,200 3,300 7.0% 0.7% Nebraska 0.2% 1.5% 0.5% $2,243,475 $2,290,724 2.1% 84,500 92,300 7,800 9.2% 0.9% Nevada -1.8% 0.2% 1.6% $4,312,495 $4,398,745 2.0% 185,000 204,800 19,800 10.7% 1.0% New Hampshire -0.4% 1.2% 0.6% $2,182,257 $2,234,783 2.4% 60,800 66,400 5,600 9.2% 0.9% New Jersey -0.7% 1.4% 0.4% $12,518,039 $12,856,026 2.7% 304,100 327,500 23,400 7.7% 0.7% New Mexico -0.9% 1.1% 1.1% $2,699,229 $2,761,490 2.3% 83,000 90,900 7,900 9.5% 0.9% New York -0.6% 1.5% 0.2% $28,265,327 $29,023,207 2.7% 673,800 744,200 70,400 10.4% 1.0% North Carolina -0.4% 1.4% 1.6% $12,518,426 $12,853,649 2.7% 393,500 455,300 61,800 15.7% 1.5% North Dakota 0.7% 1.9% 0.4% $697,628 $711,581 2.0% 35,800 39,700 3,900 10.9% 1.0% Ohio -1.2% 0.8% 0.1% $16,647,735 $16,962,377 1.9% 531,900 559,700 27,800 5.2% 0.5% Oklahoma -0.8% 1.3% 0.4% $4,578,621 $4,675,050 2.1% 146,700 160,500 13,800 9.4% 0.9% Oregon -0.4% 1.4% 1.7% $5,559,595 $5,673,011 2.0% 165,200 187,900 22,700 13.7% 1.3% Pennsylvania -0.5% 1.3% 0.2% $15,844,820 $16,225,096 2.4% 532,900 560,500 27,600 5.2% 0.5% Rhode Island -0.9% 1.0% 0.1% $1,877,182 $1,919,967 2.3% 52,500 57,800 5,300 10.1% 1.0% South Carolina -0.7% 1.2% 1.1% $6,134,190 $6,275,684 2.3% 186,600 210,200 23,600 12.6% 1.2% South Dakota 0.5% 1.8% 0.5% $991,068 $1,015,079 2.4% 42,900 46,800 3,900 9.1% 0.9% Tennessee -0.9% 0.8% 1.0% $8,514,306 $8,706,431 2.3% 271,400 296,000 24,600 9.1% 0.9% Texas 0.6% 2.1% 1.8% $33,930,268 $34,845,154 2.7% 996,300 1,159,800 163,500 16.4% 1.5% Utah -1.2% 0.9% 1.2% $3,069,310 $3,147,803 2.6% 94,600 107,800 13,200 14.0% 1.3% Vermont -1.1% 0.7% 0.2% $822,255 $837,923 1.9% 26,600 28,700 2,100 7.9% 0.8% Virginia -0.2% 1.6% 1.0% $11,336,152 $11,618,101 2.5% 330,900 355,600 24,700 7.5% 0.7% Washington -0.1% 1.6% 1.2% $9,267,417 $9,493,542 2.4% 279,000 308,500 29,500 10.6% 1.0% West Virginia -1.6% 0.4% 0.0% $2,005,759 $2,021,981 0.8% 71,300 75,700 4,400 6.2% 0.6% Wisconsin -1.1% 0.9% 0.4% $6,803,735 $6,942,591 2.0% 261,000 278,600 17,600 6.7% 0.7% Wyoming -0.5% 1.4% 1.1% $719,921 $734,793 2.1% 27,400 29,400 2,000 7.3% 0.7% 1 National growth rates for these indicators for 2010 are expected to be –0.8 percent for total employment; 1.2 percent for real disposable personal income; and 1.0 percent for total population. 2 State restaurant-sales figures are in current dollars, and are not adjusted for menu price inflation. Restaurant sales include sales at eating places and managed-restaurant-services providers (contract foodservice). Sales at hotel- and casino-owned restaurants are not included in this grouping. National sales for this grouping are projected to increase at a 2.3 percent rate in 2010. 3 Includes employment in all eating-and-drinking-place occupations, plus employment in foodservice positions that are not located at eating-and-drinking places. 4 Real disposable personal income. Source: Economic indicators and restaurant sales: National Restaurant Association; industry employment: National Restaurant Association projections, based on historical data from the Bureau of Labor Statistics 34 | National Restaurant Association | www.restaurant.org
  • 37. 2010 Restaurant Industry Forecast FORECAST State Directory State Restaurant Associations The National Restaurant Association will work closely in 2010 with its state restaurant association partners. Visit your state restaurant Kentucky Restaurant Association Ohio Restaurant Association association online. www.kyra.org www.ohiorestaurant.org Oklahoma Restaurant Alabama Restaurant Association Louisiana Restaurant Association Association www.alabamarestaurants.com www.lra.org www.okrestaurants.com Alaska Cabaret, Hotel, Maine Restaurant Association Oregon Restaurant Association Restaurant & Retailers Association www.mainerestaurant.com www.ora.org www.alaskacharr.com Restaurant Association of Pennsylvania Restaurant Arizona Restaurant Association Maryland Association www.azrestaurant.org www.marylandrestaurants.com www.parestaurant.org Massachusetts Restaurant Puerto Rico Restaurant Arkansas Hospitality Association Association Association www.arhospitality.org www.massrestaurantassoc.org www.asorepr.net Rhode Island Hospitality California Restaurant Association Michigan Restaurant Association Association www.calrest.org www.michiganrestaurant.org www.rihospitality.org Minnesota Restaurant Hospitality Association of South Colorado Restaurant Association Association Carolina www.coloradorestaurant.com www.hospitalitymn.com www.schospitality.org Connecticut Restaurant Mississippi Hospitality & South Dakota Retailers Association Restaurant Association Association, Restaurant Division www.ctrestaurant.org www.msra.org www.sdra.org Tennessee Hospitality Delaware Restaurant Association Missouri Restaurant Association Association www.delawarerestaurant.org www.morestaurants.org www.tnhospitality.net Restaurant Association Montana Restaurant Association Texas Restaurant Association Metropolitan Washington www.mtrestaurant.com www.restaurantville.com www.ramw.org Florida Restaurant & Lodging U.S. Virgin Islands Tourism Nebraska Restaurant Association Association Association www.nebraska-dining.org www.frla.org www.virgin-islands-hotels.com Georgia Restaurant Association Nevada Restaurant Association Utah Restaurant Association www.garestaurants.org www.nvrestaurants.com www.utahdineout.com New Hampshire Lodging & Hawaii Restaurant Association Vermont Hospitality Council Restaurant Association www.hawaiirestaurants.org www.vtchamber.com www.nhlra.com Idaho Lodging & Restaurant New Jersey Restaurant Virginia Hospitality & Travel Association Association Association www.idahohospitality.net www.njra.org www.vhta.org New Mexico Restaurant Washington Restaurant Illinois Restaurant Association Association Association www.illinoisrestaurants.org www.nmrestaurants.org www.wrahome.com New York State Restaurant West Virginia Hospitality & Indiana Restaurant Association Association Travel Association www.indianarestaurants.org www.nysra.org www.wvhta.com North Carolina Restaurant & Wisconsin Restaurant Iowa Restaurant Association Lodging Association Association www.restaurantiowa.com www.ncrla.biz www.wirestaurant.org Kansas Restaurant & Hospitality North Dakota Hospitality Wyoming Lodging & Restaurant Association Association Association www.krha.org www.ndhospitality.com www.wlra.org www.restaurant.org | National Restaurant Association | 35
  • 38. 2010 Restaurant Industry Forecast ABOUT THE NATIONAL RESTAURANT ASSOCIATION 2010 RESTAURANT INDUSTRY FORECAST The National Restaurant Association’s 2010 Restaurant Industry Forecast projects nominal and real growth rates for all sectors of the restaurant industry. Real growth is calculated separately for each market segment. To calculate real sales growth at eating-and-drinking places, the projected increase in menu prices (including projected price increases for alcoholic beverages served) is subtracted from the percent increase in sales. For other industry sectors where food costs are the biggest determinant of expenses—such as colleges and universities—a modi- fication of the Producer Price Index for food (which measures changes in wholesale food prices) is used to calculate the sector’s real growth. Modifications to the PPI for food are based on historical patterns for each industry sector. The food-cost component constitutes the base percent increase, which is adjusted to reflect population changes and other pertinent factors, such as labor and overhead costs. To arrive at 2010 real sales figures for the total restaurant industry, as well as for the Commercial and Noncommercial Restaurant Services groups, revised 2009 sales were multiplied by the respective 2009 real growth factors. The real sales figures for each of the industry sectors were added and compared with 2009 sales to obtain real growth for the industry overall and the industry’s two major segments. A word of caution The National Restaurant Association’s projections for 2009 industry sales are based on the best data available in mid-December 2009. If the outlook for general conditions or the food situation changes significantly in 2010, those projections will require adjustment. The latest developments are posted at www.restaurant.org/research. In addition, the performance of individual companies or sales in local market areas may differ substantially from the U.S. outlook. Sales data for previous years Getting final estimates for restaurant-industry sales in previous years is an ongoing process. The National Restaurant Association’s Restaurant TrendMapper offers updated sales estimates as they become available. Subscribe at www.restaurant.org/trendmapper. ABOUT THE STATE AND REGIONAL FORECAST State restaurant-sales data is arranged according to the nine U.S. Census Bureau regions. Included for each state are revised restaurant-sales data for 2009, projected 2010 restaurant-sales figures and percent-change calculations for population, employ- ment and disposable personal income. Much of the historical economic data in this report are based on information obtained from such sources as the Bureau of Economic Analysis, which is part of the U.S. Department of Commerce, and the Bureau of Labor Statistics, which is part of the U.S. Department of Labor. A few reminders • Sales projections for 2010 are based on the best available data in mid-December 2009. If the outlook for general economic conditions or the food situation changes significantly in 2010, those projections will require adjustments. • Adjustments were made to arrive at a predetermined U.S. total. • Sales figures for each state are subject to a larger margin of error than the national projections. • Actual sales figures represent an overall allocation of total sales in the United States. Although percent changes are subject to more variation, they have been shown here as a convenience to 2010 Forecast readers. • “Restaurant sales” includes sales in foodservice operations with payrolls that fall under the North American Industry Clas- sification System definition of Food Services and Drinking Places (NAICS Code 722). Sales totals also cover managed services (contract foodservice). The information in this report was prepared in consultation with the research firm Malcolm M. Knapp Inc. National Restaurant Association, 1200 17th St. NW, Washington, DC 20036 | (202) 331-5900 | www.restaurant.org 2010 Restaurant Industry Pocket Factbook These wallet-sized fold-out cards filled with vital restaurant facts and figures are perfect for handing out to employees, potential investors, lawmakers and others. Retail price: $19.95* | NRA member price: $9.95* * Packaged in quantities of 50 To order by phone: (800) 424-5156 or (202) 331-5959 To order online: www.restaurant.org/store 36 | National Restaurant Association | www.restaurant.org
  • 39. 2010 LEARN THE NEW RULES TO WIN • Drive Sales • Control Costs • Innovate Your Menu • Attract and Retain Guests with Word of Mouth Marketing & Social Media • Build Your “Green” and Sustainable Strategy • Increase Guest Satisfaction • Train and Motivate Employees • Improve Efficiency • ...and much more at NRA Show 2010 and IWSB! Attend the world’s largest restaurant and hospitality event. Register today! MAY 22-25, 2010 MAY 23-24, 2010 McCORMICK PLACE, CHICAGO McCORMICK PLACE, CHICAGO www.restaurant.org/show www.winespiritsbeer.org National Restaurant Association | 150 N. Michigan Avenue, Suite 2000, Chicago, IL 60601 | PH: (312) 853-2525 | nraregistration@restaurant.org