Delivery sales rise at the expense of takeaway orders

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Hospitality at Home Tracker: CGA and Slerp data reveals restaurant and pub groups’ delivery and takeaway sales plateau after Covid lockdowns (Credit: Getty/10'000 Hours)

Delivery sales rose by almost 6% against the same month last year, while takeaway and click-and-collect orders fell by a similar figure.

The latest NIQ Hospitality At Home Tracker shows that delivery sales for restaurants grew by 5.7% in April, versus the same month last year, but that revenue from takeaways and click-and-collect orders fell by 5.9% over the same period.

Overall, combined delivery and takeaway sales across the British restaurant groups tracked, were up by 1.5%.

The figures mark the fourth straight month of below-inflation increases in like-for-like sales, according to the tracker, following pressure on consumer spending that has been further impacted by the war in the Middle East, coupled with the prospect of further rises in households’ energy costs and interest rates.

Deliveries now attract 12.7 pence in every pound spent with restaurants, more than double the value of takeaways at 5.1 pence, according to the tracker.

The roll out of additional delivery operations also means that restaurants are generating further growth on a total sales basis. Adding in new restaurants, or ones where deliveries and takeaways have been launched for the first time, the tracker shows groups achieved year-on-year growth of 10.7% in April.

“In the context of a tough trading environment, stable like-for-like at-home sales is a reasonable performance from restaurants. However, with so many operating costs still rising and the prospect of yet more hikes to come, sustaining profitability is difficult,” says Karl Chessell, director - hospitality operators and food, EMEA at NIQ.

“The football World Cup should boost deliveries in June and July, but the flip side is that many restaurants will be quieter as fans watch games at home or in pubs. Whether eating out or ordering in, consumers are going to be very demanding on both value and quality, and operators will have to work hard for every sale.”