by Saeculum Research
For decades, foodservice marketers and advertisers viewed young adults as the holy grail of marketing, often overlooking older consumers in the scramble to attract the busy and social 18- to 34-year-old crowd. New data show that this logic is being flipped on its head.
A report by the market-research firm NPD Group reveals a dramatic reversal in generational dining habits: Millennials are eating out significantly less than they did just five years ago, and Boomers are going out to restaurants more than ever. As NPD notes, this amounts to “a shift of biblical proportions for the restaurant industry.” Rather than being the salvation of the industry, young adults are shrinking from its view.
Bottom Line
- Go long on Boomer-targeting brands that prioritize the dining experience and offer promotions to loyal customers.
- Among brands targeting Millennials, seek out those focusing on accessibility, community, and connection.
- Brace for a cost-driven shakeup in the entire restaurant industry.