Restaurants back on the menu

1 March, 2010

The restaurant sector has coped with the recession better than many industry-watchers had thought. It seems eating out has become more deeply ingrained in the consumer psyche, and less of a discretionary item, than it was during previous downturns, says Algy Hall in Investors Chronicle.

Peach Report's Peter Martin is quoted in the article, observing that the recession has forced the managers of restaurant chains to stick to their knitting and to focus on operational performance, rather than doing deals. "This has been a reality check for the industry,"says Martin. "People are saying: we're in the business of looking after people. It's got the industry to focus on the core of what it's there for.

"It's likely to be another tough year. But at least we know what toughness looks like."

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