2021
8
Canada Dining Out Market Report 2021
2021-08-21T04:11:31+01:00
OX1047831
3695
141776
[{"name":"Foodservice","url":"https:\/\/store.mintel.com\/industries\/foodservice"}]
Report
en_GB
“Restaurants have faced unprecedented challenges since March 2020. Not only were they directly impacted by government restrictions, but more time at home for consumers meant less overall demand for foodservice.The…

Canada Dining Out Market Report 2021

£ 3,695 (Excl.Tax)

Report Summary

Providing the most comprehensive and up-to-date information and analysis of the Canada Dining Out market including the behaviors, preferences, and habits of the consumer.

Dining out – or ordering in – is an emotionally driven activity for consumers. For as many practical reasons as there are to order restaurant food, most diners acknowledge that they opt for foodservice as a treat. That indulgence is an underlying factor in what they look for from restaurants – tasty food, good value, great service – because if they are going to treat themselves, they do not want to be disappointed.

Unfortunately, the pandemic has interrupted that behaviour – perhaps for the long term. Aside from the obvious pandemic-related challenges (restaurant closures, unemployment), the longer-lasting concern is the risk of permanent behaviour changes. With more time spent at home and improved cooking skills, it will take more effort to encourage consumers to treat themselves to a restaurant meal.

The industry will also face difficult decisions in the near future. Even once COVID-19 becomes less of a health concern, some consumers will want to see some health measures continue in restaurants – while others will want everything to return to normal. Restaurants will need to find ways to implement measures that are responsive to those who are still concerned, while not acting as a barrier for those who want to enjoy a dining experience that reminds them of pre-pandemic times.

There are opportunities for stakeholders, though. Localism is a foundational part of the restaurant industry – and with the Canadian economy a focal point as the country looks to rebound from the pandemic – local messaging should resonate even more than usual. Locally-owned restaurants – both independents and franchised chain locations – and locally-sourced menu items can respond to that demand and give consumers an enjoyable, indulgent way to support their communities.

Read on to discover more about the Canada Dining Out consumer market and eating out trends, read our Ethics in Food & Drink – Canada – 2021 report, or take a look at our other Food and Foodservice research reports.

Quickly understand

  • The proportion of Canadians who have used a restaurant recently.
  • The access modes diners use to get their meals.
  • The dayparts when diners use restaurants.
  • Reasons why consumers order out and why they dine in.
  • What pandemic-related measures diners expect after COVID-19 is no longer a threat.
  • Demand for locally-sourced menu items and support for independents over chains.

Covered in this report

Brands include: Uber Eats, Skip the Dishes, Recipe Unlimited, Pizza Pizza, Montana’s, East Side Mario’s, The Burger’s Priest, Swiss Chalet’s, Starbuck’s, Tim Horton’s, McDonald’s, Azkoyen, Box’d by paramount, Not UberEats, Boston Pizza, KFC/Popeye’s, Dairy Queen, Wendy’s, Restaurants Canada, Falcon Products, Moz Designs, Poynt, Harvey’s, Toujours Mike’s.

Expert analysis from a specialist in the field

This report, written by Scott Stewart, a leading analyst in the Food and Foodservice sector, delivers in-depth commentary and analysis to highlight current trends and add expert context to the numbers.

Restaurants have faced unprecedented challenges since March 2020. Not only were they directly impacted by government restrictions, but more time at home for consumers meant less overall demand for foodservice.
The industry is now looking ahead to the future. They will need more tactical messaging to encourage diners to visit as frequently as they did pre-pandemic, while also navigating a post-pandemic world where some consumers will still want health protocols in place. 2020 is now in the past, but this industry will continue to be challenged for years.

Scott Stewart, Senior Research Analyst
Scott Stewart
Senior Research Analyst

Table of Contents

  1. Overview

    • What you need to know
      • Key issues covered in this Report
        • Definition
        • Executive Summary

            • Top takeaways
              • Market overview
                • Impact of COVID-19 on dining out
                  • Figure 1: Immediate, short and longer-term impact of COVID-19 on dining out, July 2021
                • Opportunities
                  • Restaurants need to be targeted and tactical
                    • Dining out is inherently local
                      • Challenges
                        • The problem is frequency
                          • Exiting the pandemic will be delicate
                          • The Market – Key Takeaways

                            • The industry’s struggles are exacerbated by a lack of control
                            • The Market – By the Numbers

                              • Restaurant sales remain below pre-pandemic levels
                                • Figure 2: Monthly foodservice sales (dollars), April 2019-April 2021
                              • Pessimism and concern within the industry
                              • Market Factors

                                • Foodservice labour market is posing challenges for restaurants
                                  • Labour shortages make re-opening more difficult
                                    • Commercial rent rates decreased, but not at the rate of restaurant sales
                                      • Figure 3: Commercial rents services price index: retail buildings, Q1 2019-Q1 2021
                                    • Foodservice is closely connected to the economy
                                      • Restaurants will be impacted indirectly by other industries
                                        • Provinces instituted a temporary cap on third-party delivery fees
                                          • Impact of COVID-19 on dining out
                                            • Immediate impacts (2020)
                                              • Short term (2021)
                                                • Recovery (2022-2025)
                                                • Companies and Brands – Key Takeaways

                                                  • The pandemic has sparked an industry that was already evolving
                                                  • Competitive Strategies

                                                    • Restaurants Canada has been a collective voice for the industry
                                                      • Restaurant categories are becoming increasingly fluid
                                                        • Recipe Unlimited launches Ultimate Kitchens
                                                          • Figure 4: Recipe Unlimited Instagram post, April 2021
                                                        • Pizza Pizza adds beer to its menu
                                                          • Figure 5: Pizza Pizza Instagram post, June 2021
                                                        • Sustainability is a bigger focus for leading brands
                                                          • Companies are embracing technology at a faster rate
                                                            • Figure 6: Distance Selection Azkoyen 2020 (EN), May 2020
                                                            • Figure 7: Box’d by Paramount Instagram, June 2021
                                                        • The Consumer – Key Takeaways

                                                          • Restaurant usage
                                                            • How diners get their food
                                                              • When diners get their food
                                                                • Home cooking, takeout and dining in
                                                                  • Planning for post-pandemic measures
                                                                    • The role of local in dining out
                                                                    • Restaurant Usage

                                                                      • Most Canadians are using restaurants
                                                                        • Young consumers are the most likely to dine out
                                                                          • Figure 8: Dined out/ordered restaurant food in the past three months, by age, 2021
                                                                          • Figure 9: Dined out/ordered restaurant food in the past three months, by age and household income, 2021
                                                                          • Figure 10: Dined out/ordered restaurant food in the past three months, by parental status and number of people in household, 2021
                                                                        • Consumers who are worried about COVID-19 still ordered from restaurants
                                                                          • Figure 11: Restaurants dined at/ordered from in the past three months, worried vs not worried about COVID-19, 2021
                                                                        • Restaurant usage trails in Quebec
                                                                          • Figure 12: Dined out/ordered restaurant food in the past three months, Quebec vs overall, 2021
                                                                        • COVID-19 was not the cause of these regional differences
                                                                        • How Diners Get Their Food

                                                                          • Takeout was a vital tool for restaurants during the pandemic
                                                                            • Figure 13: Ways of getting food from restaurants in the past three months, 2021
                                                                          • Rural Canadians were the least likely to use takeout
                                                                            • Figure 14: Used takeout in the past three months, by living location, 2021
                                                                          • Over half of diners used drive-thru
                                                                            • Moms are the most common users of drive-thru
                                                                              • Figure 15: Used drive-thru in the past three months, by gender and presence of kids, 2021
                                                                            • Regional differences highlight what areas to prioritize
                                                                              • Figure 16: Used drive-thru in the past three months, by region, 2021
                                                                            • Delivery innovations have changed how people use restaurants
                                                                              • Figure 17: Ways of getting delivery food from restaurants in the past three months, 2021
                                                                            • Third-party delivery is driven by younger consumers
                                                                              • Figure 18: Ways of getting delivery food from restaurants in the past three months, by age, 2021
                                                                              • Figure 19: Ways of getting delivery food from restaurants in the past three months, by living location, 2021
                                                                            • Looking ahead to the future
                                                                                • Figure 20: Third-party delivery apps/site are my primary way of researching a restaurant’s menu (% agree), by age, race and living location, 2021
                                                                              • The unique Quebec market
                                                                                • Figure 21: Do what suits you / Fais les choses à ton goût, June 2021
                                                                              • Predicting post-pandemic consumer behaviours
                                                                                • Figure 22: Past three month restaurant activities, 2021
                                                                                • Figure 23: British Columbia: past three month restaurant activities, 2021
                                                                                • Figure 24: Ontario: past three month restaurant activities, 2021
                                                                              • British Columbia trends indicate a decline in curbside pickup
                                                                                • Figure 25: Ways of getting food from restaurants in the past three months, Ontario vs BC, 2021
                                                                            • When Diners Get Their Food

                                                                                • Full service restaurants lost breakfast/brunch and lunch traffic
                                                                                  • Figure 26: Full service restaurant occasions in the past three months, 2020 vs 2021
                                                                                • Older consumers are visiting for breakfast/brunch less often
                                                                                  • Figure 27: Full service restaurant breakfast/brunch visits in the past three months, by age, 2020 vs 2021
                                                                                • Dinner traffic from 18-24s illustrates another challenge for full service restaurants
                                                                                  • Figure 28: Full service restaurant occasions in the past three months, 18-24 year olds, 2020 vs 2021
                                                                                • A lack of regional differences in daypart usage
                                                                                  • Limited service restaurants see their biggest dayparts struggle
                                                                                    • Figure 29: Limited service restaurant occasions in the past three months, 2021
                                                                                  • Age trends align with FSR
                                                                                    • Figure 30: Limited service restaurant occasions in the past three months, by age, 2021
                                                                                • Home Cooking, Takeout and Dining In

                                                                                    • Reasons to order takeout instead of cooking at home
                                                                                      • Ordering restaurant food is a treat
                                                                                        • Figure 31: Reasons to order restaurant food to eat at home rather than cooking, 2021
                                                                                      • Avoiding cooking is more important than avoiding cleaning
                                                                                        • Food drivers are more common among younger diners
                                                                                          • Figure 32: Reasons to order restaurant food to eat at home rather than cooking, by age, 2021
                                                                                        • Supporting restaurants cannot be a primary message
                                                                                          • Figure 33: Restaurants Canada Instagram post, November 2020
                                                                                          • Figure 34: Supporting restaurants as a driver for eating restaurant food at home, by age and household income, 2021
                                                                                        • Reasons to visit the restaurants instead of dining at home
                                                                                          • Food quality is a leading motivator
                                                                                            • Figure 35: Advantages of dining in instead of eating restaurant meals at home, 2021
                                                                                            • Figure 36: Advantages of dining in instead of eating restaurant meals at home, Quebec vs overall, 2021
                                                                                          • Restaurants are a needed change of scenery
                                                                                            • Figure 37: Advantages of dining in instead of eating restaurant meals at home: change of scenery, by gender and marital status, 2021
                                                                                          • The most valuable restaurant service is a cleaned table
                                                                                            • Figure 38: Advantages of dining in instead of eating restaurant meals at home: no need to clean up after, by gender and parental status, 2021
                                                                                        • Planning for Post-pandemic Measures

                                                                                          • Most consumers expect some lasting changes to restaurants
                                                                                            • Figure 39: Restaurants should go back to how they were pre-COVID-19, by concern about exposure to COVID-19, 2021
                                                                                            • Figure 40: Restaurants should go back to how they were pre-COVID-19, by age, race and living location, 2021
                                                                                          • Diners appreciate masks, but would prefer not to see them
                                                                                            • Figure 41: Pandemic-related practices that should continue post-COVID-19, 2021
                                                                                          • Kitchen staff masks are more widely accepted by consumers
                                                                                            • Asian Canadians are the most open to masking policies
                                                                                              • Figure 42: Masking practices that should continue post-COVID-19, by race, 2021
                                                                                            • Separators can be used to minimize contact between different parties
                                                                                              • Figure 43: Physical barrier practices that should continue post-COVID-19, by living location, 2021
                                                                                              • Figure 44: Falcon Products Instagram post, September 2020
                                                                                              • Figure 45: Moz Designs Instagram post, December 2020
                                                                                            • Adding to the dining experience without taking anything away
                                                                                              • Figure 46: Curbside service/pickup windows should continue post-COVID-19, by gender and parental status, 2021
                                                                                            • Non-shareable menus are an easy way for restaurants to improve the dine-in experience
                                                                                              • Figure 47: Poynt Facebook post, January 2021
                                                                                            • Using vaccine status as a potential solution
                                                                                            • The Role of Local in Dining Out

                                                                                                • Diners appreciate locally-sourced foods
                                                                                                  • Figure 48: Harvey’s Instagram post, June 2021
                                                                                                  • Figure 49: Importance of locally-sourced menu items, 2021
                                                                                                • Quebec consumers are the most interested in locally-sourced foods
                                                                                                  • Figure 50: Importance of locally-sourced menu items, Quebec vs overall, 2021
                                                                                                  • Figure 51: Toujours Mikes Instagram post, June 2021
                                                                                                • Importance of local correlates with importance of ethics
                                                                                                  • Figure 52: Importance of locally-sourced menu items, by importance of ethics in food and drink, 2021
                                                                                                • Older consumers have the most interest in local dishes
                                                                                                  • Figure 53: Importance of locally-sourced menu items, by age, 2021
                                                                                                • Diners prefer to support local restaurants
                                                                                                  • Chains need to inform consumers about their roles in the local community
                                                                                                    • Restaurant support initiatives were more common among young people
                                                                                                      • Figure 54: Participated in restaurant-supporting initiatives since the beginning of the pandemic, by age, 2021
                                                                                                  • Appendix – Data Sources and Abbreviations

                                                                                                    • Data sources
                                                                                                      • Consumer survey data
                                                                                                        • Consumer qualitative research
                                                                                                          • Mintel Trend Drivers
                                                                                                            • Abbreviations and terms
                                                                                                              • Abbreviations
                                                                                                                • Terms

                                                                                                                About the report

                                                                                                                This market report provides in-depth analysis and insight supported by a range of data. At the same time, introductory and top-level content is provided to give you an overview of the issues covered.

                                                                                                                Market

                                                                                                                Mintel provides a range of market information, frequently through the category level, including market size and forecasting, complete with market drivers that illustrate the forces that shape a category or market.

                                                                                                                Consumer

                                                                                                                Mintel’s proprietary consumer research provides our analysts with the attitudinal and behavioral data used to provide valuable insight to topical issues.

                                                                                                                Brand/Company

                                                                                                                Mintel provides overviews of the top brands and manufacturers, and uses consumer research to explore attitudes and reactions to brands, as well as insight into what will resonate with consumers.

                                                                                                                Data

                                                                                                                Market reports provide appendices of data to support the research and insight produced. Our databooks* are easily manipulated and downloadable to support your research needs and covers factors from consumer attitudes to market forecasts.

                                                                                                                *databooks not available with UK B2B Industry reports.

                                                                                                                Below is a sample report, understand what you are buying.

                                                                                                                Click to show report
                                                                                                                2024 Sample Consumer Cover

                                                                                                                Please Note: This is a sample report. All of the figures, graphs, and tables have been redacted. Our reports are available to download in PDF and PPT formats.

                                                                                                                Trusted by companies. Big and small.

                                                                                                                Want to speak to us directly?

                                                                                                                Contact us with your enquiry and our expert global team can help.

                                                                                                                Get in touch