Oct. 21 at 3:05 PM
Sales at US bars & restaurants rose +6.5% in the 12 months ended in August, up from +4.3% a yr earlier.
OpenTable: Reservations last week were up +12% y/y
BoA: Credit-card spending at bars & restaurants was up +3.2% y/y in early Oct
NAR: Restaurant business has shown “surprising resilience despite all the headwinds. The good news is I don’t see a recession — consumers are hanging in there.”
What’s keeping restaurants busy?
Changing habits & tastes - Americans cook less — especially younger ones — and takeout has become a bigger source of family meals
The economy is still growing & that’s kept layoffs/unemployment low. Companies see little reason to cut staff when sales are stable & good help is already hard to find
Americans tend to spend more freely when they feel secure in their jobs. Incomes are rising faster than inflation.
Then there’s the boom in the stock market. It’s added a gale-force tailwind to consumer spending, particularly for wealthier households
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