Coronavirus relief checks help ease U.S. restaurant transaction declines

Likely buoyed by the coronavirus relief payments received from the government, consumers increased their restaurant transactions in the week ending April 19 relative to the week ending April 12, easing the previous week’s declines, reported The NPD Group. Although the industry is still at historic lows compared to a year ago, restaurant customer transactions declined by 36% compared with a 43% decline the prior week, according to NPD’s CREST Performance Alerts.

Transactions at quick-service restaurants, which are still the most resilient segment of the industry, declined 34% in the week ending April 19 compared with a year ago. Even the significantly challenged full-service restaurant segment received a little relief, declining 72% in the week versus a 79% decline the prior week. The rate of decline for casual dining full-service chains improved 12 points from a decline of 77% in the week ending April 12 to 65% the week ending April 19, reported NPD.

“Whether the relief monies received can sustain an upward trajectory in restaurant transactions remains to be seen,” said David Portalatin, NPD food industry advisor and author of Eating Patterns in America. “There are also significant concerns for consumers’ overall financial health, with more than 26 million now unemployed.”