Higher Guest Spending Offsetting Traffic Decline

Restaurant traffic hit its lowest level so far this year for the week ending June 5, according to Black Box Intelligence, a data and insights provider for the hospitality industry.

The results mark 13 consecutive weeks of lower restaurant traffic levels. However, higher average spending per guest or transaction has so far offset the downturn in traffic, leading to continued sales growth. Notably. the rate of that growth appears to be slowing, as restaurant sales growth experienced its second-lowest growth rate of the year during the week ending June 5. The only daypart that achieved positive traffic growth for the week was breakfast, while dinner is experiencing the most negative growth levels.

The segments seeing the most growth in check averages are those with the lowest price points: quick service, fast casual and family dining. By region, the best performers were New England, California, Mountain Plains and the Mid-Atlantic. The New York-New Jersey and Florida markets were the only two to experience negative sales growth during the week.

For the full Restaurant Performance Pulse report, please click here.