Spending on food and drink outside the home will hit €8.55 billion this year, up 4.5% on 2018, according to Bórd Bia.
A new report from the food agency says that everyday foodservice occasions continue to drive growth and are less likely to be affected by changes to consumer sentiment. It also identifies new opportunities and says that customers are now looking for “authentic” global flavours from the foodservice sector.
The foodservice market includes all food consumed and prepared out of home — restaurants, pubs, hotels, coffee shops, workplace catering, hospitals, education and vending.
Foodservice specialist Maureen Gahan said: “The Irish foodservice industry has been growing at robust levels for several years, but warning signs are on the horizon and industry operators and food and drink suppliers alike should be examining options and alternative strategic plans in the event of a possible slowdown.
“It is important for food and beverage suppliers to the industry to stay close to the needs of today’s consumers and think about how their product can be part of a final solution that meets those needs.
“Our 2019 report includes detailed feedback from a range of individuals who shared firsthand insights into what is important to them when eating out, and where they feel the industry could be doing better.”
The qualitative aspects of the report were carried out by global food consultancy Technomic, and found that busy lifestyles are driving consumer reliance on everyday foodservice occasions, along with a need for reliable, convenient meals away from home.
The report identifies five key opportunities for the foodservice industry:
• Healthy options for all ages: Respondents across all life stages indicated an increase awareness and desire to eat healthier foods. While there are concepts in the marketplace that satisfy this need, the availability of ‘good tasting and good for you’ options at an everyday affordable price remains a consumer pain point.
• Customisation and choice in meal options: Consumers cite a desire for increased customisation in their foodservice options. The ability to prepare a meal the way they want it represents a level of control that consumers associate with at-home meals.
Consumers also expect greater breadth of choice, including a variety of high quality beverages and more plant-based options. While many operators acknowledge that strict veganism still only accounts for a small proportion of consumers, it is important to cater to consumers who are looking for wider choices when eating out.
• Access to authentic global flavours: Consumers reported a desire to explore global flavours, including newer, more ethnically authentic cuisines, as well as flavours that have been largely normalised to the Irish consumer palate.
• Reliable and competitive delivery services: Although home delivery services have grown rapidly, there is still room for improvement on issues relating to address, pricing and wait times.
• Perceived goodwill among operators: Consumers expressed a desire to visit operators that they feel good about. This good feeling can be the result of elevated hospitality, transparent practices, or a feeling of mutual respect. Consumers say “positive human interaction” provides added value as part of dining out, so foodservice operators should maximise this opportunity for building brand loyalty.
The report is being discussed at Bórd Bia's Food Service Seminar in Kildare today.
Photo: Dave Henkes, Technomic (left), Maureen Gahan, Bord Bia, and David Hughes, Imperial College London (Pic: Chris Bellew/Fennell Photography)