QSR and restaurant channels grow their share of UK delivery market

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Delivery and click & collect accounted for 44% of all out of home (OOH) occasions in the first quarter of 2021 – up from 42% during the three months before. 

Both the QSR and restaurant channels increased their share of delivery and click & collect sales, according to the latest Lumina Intelligence quarterly Eating & Drinking Out Panel report.

The QSR channel grew share by 20 percentage points, from 39% in Q4 2020 to 58% in Q1 2021 and the restaurant channel saw an increase of 8 percentage points, from 11% to 19%.

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In comparison, the coffee and sandwich shop channel saw its share of delivery and click & collect halve, from 29% in Q4 2020 to 15% in Q1 2021.

Dinner and lunch day parts both increased their share of delivery and C&C occasions at the expense of drinks only and brunch. However, average spend on delivery fell by 3.5% in Q1 2021, from £12.78 to £12.33.

Overall, across the whole eating out market, total spend fell 7% in the latest 12 weeks.

On-premise purchasing, limited to takeaway, remained suppressed. However, eating out penetration was 41% in the quarter and is slowly rising as restrictions begin to ease.

Blonnie Whist, insight director at Lumina Intelligence, said: “With OOH opportunities curtailed by restrictions throughout Q1 2021, it is unsurprising that delivery and C&C continue to dominate and average spend remains subdued. However, with restrictions beginning to ease towards the end of Q1, we see some green shoots appearing.

“Participation increased by 10 percentage points throughout the quarter and dinner and lunch are growing their share of occasions, indicating that appetite for eating out is increasing and will continue to do so as restrictions ease further and the vaccine roll-out continues at pace.”

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Andrew Seymour

The author Andrew Seymour

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