United States Restaurants and Cafe's Landscape in 2023
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60% of new restaurants close within the first year of operation, and around 80% do not make it past their fifth year. We discuss the market data in this article
60% of new restaurants close within the first year of operation, and around 80% do not make it past their fifth year. With that rapid change, tracking market dynamics has never been more important for food companies and suppliers to prioritize and plan their go to market strategy.
How Many Restaurants in the United States in 2023
There are 905,000 restaurants/ Cafe's in the U.S as of the 4th quarter of 2023. That's about 1 restaurant / face for every 365 people.
How Many Restaurants Per State in the United States
There are 50 states in the U.S., the distribution varies heavily with California having 101,595 Restaurant / Cafe or over 11% of the total market.
Texas on the other hand contain 102,984 restaurants which is close to California in numbers.
New York State has 57,528 restaurants / cafe establishment or 6% of the market.
An image with a color-coded map of the USA in the background showing restaurant distribution per state
How Many Restaurants Without a website
A website is the digital cornerstone of a restaurant's success, with 70% of diners stating they're more likely to visit an eatery after exploring its website online.
616,451 restaurants out of 905,000 have a website or an online visibility page such as instagram of facebook.
💡68% of restaurants / Cafe's have online presence either as a website of social media profiles
Over 43,000 restaurants use facebook pages without having a website as their branding. For those restaurants without a website, understanding how to redesign a website can be crucial to enhancing their online presence and attracting more customers.
How Many Restaurants In the United States Closed in 2023
47,489 Restaurants / Cafe's closed in the past two months alone, we labeled all those restaurants that closed including their location on the map.
💡5% of restaurants closed in July, Aug. 2023
Who is marketing online and where do they advertise?
💡27,751 restaurants / cafe's (2%) advertise on other websites or local news websites.
How to Use Data to Optimize Food and Beverage Distribution?
Here are our top pick from usecases prespective
Targeted Marketing
Access to restaurant POI data enables precise targeting for marketing campaigns, allowing companies to reach potential clients with tailored messages based on location and cuisine type.
Market Analysis
Analyzing restaurant locations and trends can provide insights into local food preferences, helping companies adapt their product offerings to meet specific regional demands.
Partnerships
Knowing where restaurants, cafes, and bakeries are densely concentrated allows FMCG brands and supply chain companies to establish strategic partnerships with local eateries. These collaborations can take the form of co-branded marketing promotions, localized menu innovations, or targeted supply agreements that align with the specific needs of the region’s food and beverage market. Such data-driven alliances not only enhance visibility but also streamline operations within high-traffic culinary zones.
New Product Launches
POI data helps identify areas with a high density of restaurants, presenting opportunities to launch new products or flavors through collaboration or distribution agreements.
Competitive Insights
Understanding the distribution network of competitors' products can inform companies about market saturation and areas of potential growth.
Supply Chain Efficiency
Mapping restaurant locations aids in optimizing distribution routes, reducing delivery times, and ensuring fresher products reach consumers.
Market Expansion
By identifying underrepresented geographic zones such as low-density food service regions or emerging suburban markets businesses can refine their market expansion strategy, directing efforts toward areas with untapped consumer demand and minimal F&B competition.
Local Trends
Access to restaurant data provides insights into local food trends, enabling companies to align their offerings with popular tastes in different areas.
Demand Forecasting
Studying restaurant density and growth patterns helps companies anticipate demand fluctuations and plan production and distribution accordingly.
Customer Engagement
Collaborating with restaurants based on POI data can lead to interactive marketing campaigns, loyalty programs, and events that engage end consumers directly.
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