Skip to content
  • Order Now
  • Subscribe
  • Restaurant Directory
  • News
  • Videos
St. Louis Restaurant Review

St. Louis Restaurant Review

St Louis Restaurant Reviews & News

  • Home
  • Order Online
  • News
  • Directory
    • Brewery Guide
    • Music Venues
    • Missouri Wineries
  • Media
    • Picture Gallery
    • Videos
    • Submit/Create Video
  • eOrderSTL
    • How to increase restaurant sales
  • Contact
    • Services
    • Subscribe
    • About
    • Sitemap
  • Toggle search form
  • St. Louis - Next Great Food City by Food & Wine
    St. Louis – Voted Next Great Food City by Food & Wine News
  • Red Lobster® Introduces New Lineup of Signature Feasts
    Red Lobster® Introduces New Lineup of Signature Feasts News
  • Pizza Hut - Holiday Pizza-Themed Gifts
    Pizza Hut – Holiday Pizza-Themed Gifts News
  • Montelle Winery Live Music Schedule for August 2021
    Montelle Winery Live Music Schedule for August 2021 News
  • Restaurant Revitalization Fund Replenishment Act of 2021
    Restaurant Revitalization Fund Replenishment Act of 2021 News
  • Noodles & Company - Advancing Commitment to Diversity and Inclusion
    Noodles & Company – Advancing Commitment to Diversity and Inclusion News
  • Carreta's Mexican Restaurant
    Carreta’s Mexican Restaurant Removed from Directory News
  • 10 Best Steak Houses in St. Louis, Missouri
    10 Best Steak Houses in St. Louis, Missouri Reviews
Restaurant Industry in Free Fall - Thousands Closing

Restaurant Industry in Free Fall – Thousands Closing

Posted on January 13, 2021 By Editor

Washington, DC (StLouisRestaurantReview) On December 7, 2020, the National Restaurant Association sent a letter to Congressional leadership, sharing new survey findings that illustrate continued business deterioration across the restaurant industry and offering support for the moderate compromise proposal as a ‘down payment’ toward a larger relief package in early 2021.

“What these findings make clear is that more than 500,000 restaurants of every business type—franchise, chain, and independent—are in an economic free fall,” said Sean Kennedy, executive vice president for Public Affairs in the letter.  “And for every month that passes without a solution from Congress, thousands more restaurants will close their doors for good.”

The National Restaurant Association Research Group conducted the survey of 6,000 restaurant operators and 250 supply chain businesses Nov. 17-30, 2020, and the findings were stark:

  • Eighty-seven percent of full-service restaurants (independent, chain, and franchise) report an average 36% drop in sales revenue.  For an industry with an average profit margin of 5%-6%, this is simply unsustainable.  Eighty-three percent of full-service operators expect sales to be even worse over the next three months.
  • Although sales are significantly lower for most independent and franchise owners, their costs have not fallen by a proportional level.  Fifty-nine percent of operators say their total labor costs (as a percentage of sales) are higher than they were pre-pandemic.
  • The future remains bleak. Fifty-eight percent of chain and independent full-service operators expect continued furloughs and layoffs for at least the next three months.

The tide of restaurants closures and bankruptcies continues to rise—sweeping away jobs in some of the most venerated independent and chain restaurants:

  • As of today, 17% of restaurants—more than 110,000 establishments—are closed permanently or long-term.
  • The vast majority of permanently closed restaurants were well-established businesses, and fixtures in their communities.  On average these restaurants had been in business for 16 years, and 16% had been open for at least 30 years.
  • Only 48% of these former restaurant owners say it is likely they will remain in the industry in any form in the months or years ahead.  Our nation is losing a generation of industry talent, knowledge and entrepreneurial spirit.

“In short, the restaurant industry simply cannot wait for relief any longer,” said Kennedy.  “We appreciate the efforts of a group of moderate members of the House and Senate to advance a true compromise between the competing proposals from Democratic and Republican leaders.  If this moderate plan represents a ‘down payment’ for a larger relief package in early 2021, it will provide restaurants with immediate relief to hold on through the most dangerous point in our business year.”

In addition to support of the compromise proposal, the Association provided a plan for how a proposed second draw from the Paycheck Protection Program (PPP) could be strengthened to reflect the unique business model of the restaurant industry and highlighted other important measures in the proposal that would support restaurants in the short-term.

Read the full letter here and review the Association’s full Blueprint for Restaurant Revival that includes the long-term recovery needs of the industry here.

SOURCE: National Restaurant Association – December 7, 2020

News Tags:covid-19, restaurant industry

Post navigation

Previous Post: St. Louis Restaurant Review Content is Now Shown in Google News
Next Post: St. Louis Restaurant Review Referenced on STL.News

Related Posts

  • Candicci's Valentine's Day Special - 2022
    Candicci’s Valentine’s Day Specials – 2022 News
  • Candicci's is undergoing minor remodeling
    Candicci’s is undergoing minor remodeling News
  • Red Robin Hiring Day Announced For November 4
    Red Robin Hiring Day Announced For November 4 News
  • Investments Dedicated Exposure to Hotels - Restaurants
    Investments Dedicated Exposure to Hotels – Restaurants News
  • Wendy's - New Ghost Pepper Ranch Sauce
    Wendy’s – New Ghost Pepper Ranch Sauce News
  • Cracker Barrel Fiscal 2021 Second Quarter Conference Call
    Cracker Barrel Fiscal 2021 Second Quarter Conference Call News

More Related Articles

Andie @ Thai Kitchen St. Louis Restaurant Review – Restaurateur of the Year Award – 2022 News
New Mexican Restaurant Tradicional 314 to Offer Online Ordering New Mexican Restaurant Tradicional 314 to Offer Online Ordering News
La Bonne Bouchee Patisserie & Cafe Added to Directory La Bonne Bouchee Patisserie & Cafe Added to Directory News

Video Gallery

Online Ordering – eOrderSTL

Online Restaurant Menu Distribution & Management

Featured Online Ordering

  1. Candicci’s Restaurant – Ballwin
  2. Dao Tien Bistro – St. Louis
  3. Pearl Cafe – Florissant
  4. Sweetie Cup Thai Cafe – Kirkwood
  5. Tradicional 314 – Creve Coeur
  6. Thai Kitchen – 4 Locations
  7. Viet Thai Restaurant – St. Peters

Information for Restaurants

eOrderSTL

Social Media & Syndication Partners

  • Google Business Page
  • Facebook
  • Twitter
  • Pinterest
  • YouTube
  • Blogarma
  • Flipboard

St. Louis Caterers

STL.Catering - Online Ordering for Catering
Find the best caterers in the St. Louis region.

Restaurant Digital Services

Restaurant Marketing Services

Restaurant Directory

St Louis Restaurant Review

St. Louis County Restaurant Health Inspections

St. Louis County Restaurant Health Inspections
St. Louis County Restaurant Health Inspections

Relevant Links

  1. St. Louis City Restaurant Inspections
  2. St. Louis County Restaurant Inspections
  3. St. Charles County Restaurant Inspections
  4. How to increase restaurant sales
  5. Submit Guest Post
  6. National Restaurant Association
  7. Missouri Restaurant Association

Categories

  • Entertainment
  • Guest Posts
  • News
  • Press Releases
  • Reviews

Contact

STL.News, LLC
17005 Manchester Rd
Wildwood, Missouri 63040

Marty Smith – Editor in Chief
Email: Marty@STLMedia.Agency
Phone: +1 314-808-1870

Kevin Amant – Business Manager
Email: KAmant187@gmail.com
Phone: +1 314-803-8727

  • Crown Valley Winery
    Crown Valley Winery Reviews
  • Milo's Bocce Garden
    Milo’s Bocce Garden Reviews
  • BBQ ASAP
    BBQ ASAP Reviews
  • Top-10 Restaurants in St. Charles offering Local Cuisines
    Top-10 Restaurants in St. Charles offering Local Cuisines Reviews
  • Top-10 Korean Restaurants in St. Louis
    Top-10 Korean Restaurants in St. Louis Reviews
  • Manee Thai Restaurant, Ballwin, MO
    Manee Thai Restaurant – Restaurant Review Reviews
  • Top-10 Restaurants with Outdoor Seating in St. Louis
    Central West End Reviews
  • DD Mau Vietnamese Eatery
    Restaurant Review – DD Mau Vietnamese Eatery Reviews

Contact

St. Louis Restaurant Review
17005 Manchester Rd
Wildwood, MO 63040

Phone: +1 417-529-1133
Email: Marty@STLMedia.Agency

Partners

  • STL.News
  • STL.Directory
  • WebTech Group
  • UltimateHost.Domains

Online Ordering

  • Place Orders
  • Offer Online Ordering at Your Restaurant
  • Other Restaurant Services
  • Contact Us

Copyright © 2021 STL.News, LLC d.b.a. St. Louis Restaurant Review -

Powered by PressBook Premium theme