US Black Consumers: Foodservice and Delivery Consumer Report 2022

Overview

• What you need to know
• This Report looks at the following areas:
• Definition
• Market context
• COVID-19: US context
• Economic and other assumptions

Executive Summary

• Top takeaways 
• Market overview 
• Opportunities and challenges
• Promote the novelty of local/regional food traditions
  • Figure 1: Types of restaurants where food is typically ordered, by region, 2021
• Black parents are finding a need for foodservice and delivery
  • Figure 2: Options of interest for home delivery, by parental status 2021
• Providing Black consumers with food options that are healthy and tasty
  • Figure 3: Important factors considered when choosing foodservice operator, 2021
• Key consumer insights
• Black consumers are focused on fast food
• Black consumers are interested in direct foodservice ordering channels
• Taste is top priority for Black consumers
• Young Black women are interested in seeking adventure in their foodservice

Market Factors and Current Opportunities

• The Black population in the US is growing
  • Figure 4: Population, by race, 2016-26
• Spending habits for Black consumers
  • Figure 5: Households by race and Hispanic origin, mothers, 2021
  • Figure 6: Households by race and Hispanic origin, female living alone under 65 vs male living alone under 65, 2021
• • Figure 7: Race of reference person: Annual expenditure means, shares, standard errors, and coefficients of variation, Consumer Expenditure Surveys, 2020
• State of health and nutrition for Black Americans
  • Figure 8: Age-adjusted prevalence of obesity among people aged 20 or older, by race and Hispanic origin and gender, 2015-16 and 2017-18
• Impact of inflation on foodservice and delivery
  • Figure 9: Changes in Consumer Price Indexes for food, 2019 through 2022
• Inflation calls for focus on affordable food options for Black mothers
• Explore partnerships with local community-based organizations
  • Figure 10: Martha’s Table Instagram post, 2022

Black Consumers’ Foodservice and Delivery: Fast Facts

Where Black Consumers Order Food

• Fast, casual and convenient are what Black consumers are looking for
• • Figure 11: Types of restaurants where food is typically ordered, 2021
• Black consumers are focused on fast food
• • Figure 12: Like the student union…but with fries, 2021
• Black moms are considering the diversity of the family when making food selections
• • Figure 13: Types of restaurants where food is typically ordered, mothers with under-18s at home vs overall, 2021
• • Figure 14: Reasons for ordering food from restaurants, mothers with under-18s at home vs overall, 2021
• Lifestage impacts needs across the Millennial generation
  • Figure 15: Select attitudes towards foodservice and delivery, by generation, 2021
• • Figure 16: Important factors considered when eating out, Older Millennials vs Younger Millennials, 2021
• Southerners value foodservice
• • Figure 17: Types of restaurants where food is typically ordered, by region, 2021
• Create meal options that are inclusive of local/regional food traditions
  • Figure 18: McDonald’s Thailand, Instagram post, 2021
• Remote workers need flexible space and resources
• • Figure 19: Ordered from coffee/tea shops, by employment status, 2021

Foodservice Ordering Methods

• Direct foodservice ordering channels are preferred for Black consumers
  • Figure 20: Foodservice ordering methods, 2021
• Utilize social medias’ influence on foodservice needs
• More-affluent Black consumers participate in more food ordering methods
  • Figure 21: Foodservice ordering methods, by household income 2021
• Parents are finding a place for delivery in everyday life
  • Figure 22: Options of interest for home delivery, by parental status 2021

Reasons for Ordering In/Dining Out and Attitudes towards Foodservice Vendors

• Foodservice helps Black consumers minimize daily tasks
  • Figure 23: Reasons for ordering food from restaurants, 2021
• Dining out is self-care for Black consumers
  • Figure 24: Attitudes towards foodservice and delivery (agree), 2021
• Brand spotlight: Domino’s Pizza incentivizes customers to help with delivery in light of labor shortage
• Young Black women are interested in seeking adventure in their foodservice
  • Figure 25: Reasons for ordering food from restaurants, by age and gender, 2021
• Create products that pique curiosity and encourage adventurous eating
• Married Black adults have greater diversity in food ordering
  • Figure 26: Routine as a reason for ordering food from restaurants, by marital status, 2021
• Make specialty nights apart of your weekly schedule: spotlight on The Melting Pot
  • Figure 27: The Melting Pot Instagram Post, 2022

Factors Considered when Choosing Foodservice Vendors

• Taste is top priority for Black consumers
  • Figure 28: Important factors considered when choosing foodservice operator, 2021
• There is novelty in foodservice for seniors
  • Figure 29: Important factors considered when eating out, by age, 2021
• Foodservice options provide variety for families
  • Figure 30: Reasons for ordering food from restaurants, by income, 2021
• • Figure 31: Important factors considered when eating out, parents of children under 18 vs non-parents of children under 18, 2021
• College students want ordering options that fit their dietary needs
  • Figure 32: Important factors considered when eating out, by student status, 2021

Future Opportunities and Strategies

• Meeting consumer needs through the lens of the Value Trend Driver
• Reduce stress by creating options to save without a major change in lifestyle
  • Figure 33: Gopuff Instagram post, 2022
• Meeting consumer needs through the lens of the Wellbeing Trend Driver
• Help Black consumers make healthier choices
• Meeting consumer needs through the lens of the Technology Trend Driver
• Consider development of omnichannel apps to increase engagement and incorporate hybrid concepts

Appendix – Data Sources and Abbreviations

• Consumer survey data
• Abbreviations and terms
• Abbreviations
• Terms