Is The Restaurant Industry Going To Rebound?

When the pandemic slammed through the United States in the spring of 2020, the eye of the hurricane settled on the hospitality industry. Restaurants were some of the hardest-hit businesses and have tried for the past 16 months to right their ships. Honestly, many were able to adjust their sails (and sales)? relatively quickly when they were forced to shut their dining rooms, and they pivoted to takeout. Now that many restaurants have opened up their dining rooms, they are still utilizing takeout options, playing around with outdoor seating, and changing menus to deal with slow supply chains. So where do we go from here? Time will tell how the restaurant industry ultimately rebounds, but restaurants will definitely have to put on their big girl pants as they continue to weather the changing winds.?

When the restaurant dining rooms were shuttered in March 2020, many of them stayed afloat on the backs of their takeout business. And if it ain’t broke, don’t fix it!? Many people have grown used to sitting on their couches letting Ubereats bring them a meal, so we would expect the restaurant industry to continue in this vein. Forbes magazine reported, “Before Covid-19, 69% of consumers ordered delivery, but that number has grown to a staggering 88% during the pandemic. Even if customers aren’t ready to dine in person, 82% of them will still order delivery or takeout from a restaurant.” If restaurants are smart, they will continue to beef up their takeout options, because, with the Delta variant, Covid 19 has not closed the curtain.?

Even after the pandemic subsides, curbside pickup is here to stay, for a myriad of reasons. Justin Hill, principal at Seattle-based architecture firm MG2, said his organization’s research showed that “75% of people plan to continue using curbside pickup after the pandemic and that 31% were less willing to use communal seating.” Not even one-third of the respondents are ready to belly up to a bar yet and sit next to a stranger. This implies the restaurant industry has an awful long way to go to get back to “normal.”

Supply and demand also has a lot to do with restaurant recovery. Unfortunately, the pandemic has weeded out some of the glut of restaurants in the industry, but this is good news for the remaining restaurants, who should be able to hang on. Barry McGowan, CEO of the Brazilian steakhouse chain Fogo de Chao, said in an interview that the “supply imbalance” will help companies emerge from the pandemic in a strong position. “The demand is there. A lot of that is unfortunately due to supply imbalance. We’ll be in a position to recover in the second half of the year.”

And speaking of supply chains, restaurants will continue to need to get creative to battle continuing supply chain problems. This has affected the food they are able to serve, takeout packaging, and so many other elements of the restaurant industry. There is even a supply chain shortage of workers!? Dishes have been tweaked or eliminated altogether in this business, serving methods have been altered, and restaurants have really had to change their game. It seems like every time one leak in the ship is fixed, another one springs up, but for those restaurants who have stayed open, the creativity remains and the ship is staying afloat.??

There are a few other things that customers are thinking about that they may have never considered before. Now more than ever, if customers are going out to eat in public, they are going to want transparency. This includes knowing how a restaurant is cleaning and sanitizing, and customers will not take this lightly.? Additionally, the options for seating will also continue to be important for patrons. Odds are that tables will stay far apart for the time being, and patrons will have options for eating indoors or outdoors. If restaurants want to make it, they will need to listen to customer preferences and make sure that customers’ voices are heard.?

After 16 months of being tossed on the wild seas of the pandemic, it also stands to reason that customers are ready for a stiff drink. Many states have changed their liquor laws so that restaurants could offer take-out drinks, ?and that is where Harlem Standard and Barterhouse come into play. We do the hard work for you, and you can enjoy some of the best wine and whiskey the world has to offer, even if it is in a take-out cup!? Barterhouse locates fine and rare wines overseas and brings them to restaurants. If you are willing and able to enjoy them on location, then you will be duly impressed with our selection. But don’t underestimate the power of the to-go cup where Barterhouse is concerned! Likewise, Harlem Standard is a Harlem-based whiskey brand that we also sell to restaurants, or you can order your own bottle to be delivered to your home.?

No matter how you get your Barterhouse or Harlem Standard, it will certainly help you weather the storm of the pandemic. As far as the future of restaurants, that remains to be seen.