Get updates delivered to you daily. Free and customizable.
Axios Philadelphia
Philadelphia restaurants on track for their biggest year ever
By Jennifer A. KingsonIsaac Avilucea,
2024-06-14
2024 is expected to be the U.S. restaurant industry's biggest year ever in sales — and the trendline is looking promising in Philly too.
Why it matters: The COVID-19 pandemic devastated the restaurant industry, but sales are now far higher than before it started — and climbing.
The intrigue: That's despite big financial pressures on restaurateurs, such as tech investments and the cost of labor and food.
The big picture: The National Restaurant Association estimates the U.S. restaurant industry will rake in $1.1 trillion by the end of December.
That's up from $1.049 trillion last year and $864 billion in 2019, the year before the pandemic.
Meanwhile, more than a million jobs went unfilled in restaurants and accommodations at the end of March, per Bureau of Labor Statistics data.
Competition for restaurant staff is "not as intense as it was before" — during the pandemic and coming out of it — but restaurant owners "definitely feel that they are in competition for the best workers," Michelle Korsmo, CEO of the National Restaurant Association, tells Axios.
Zoom in: Local restaurant insiders tell Axios they expect Philadelphia's food scene to surpass sales records this year — and that city leaders are making it easier to succeed.
Mayor Cherelle Parker has pledged to make Philly more welcoming to businesses, says Ben Fileccia, a VP at Pennsylvania Restaurant & Lodging Association.
And he says city lawmakers are doing their best to ease streetery regulations that were a boon for restaurants during the pandemic.
The restaurant industry is the state's fourth-largest private employer, comprising about 9% of total jobs.
The state expects to add 44,100 restaurant workers by 2032, an 8.5% increase that'll bring the industry workforce to more than 562,000 people.
What we're watching: Some restaurants are looking to technology, social media, and increased catering and delivery options to improve business.
But locally, Fileccia says restaurants are focused on tried-and-true tactics, such as early dinner specials and zero-proof cocktails as fewer people drink alcohol .
Peak dinner hours have shifted from 7-11pm to 5-8pm, Fileccia says.
What they're saying: Philly's restaurant scene survived many of Fileccia's early "doomsday predictions" through sheer "resilience and creativity."
"They found a way not only to get through one of the worst periods for restaurants. They came out on the other side stronger than ever."
Get updates delivered to you daily. Free and customizable.
Welcome to NewsBreak, an open platform where diverse perspectives converge. Most of our content comes from established publications and journalists, as well as from our extensive network of tens of thousands of creators who contribute to our platform. We empower individuals to share insightful viewpoints through short posts and comments. It’s essential to note our commitment to transparency: our Terms of Use acknowledge that our services may not always be error-free, and our Community Standards emphasize our discretion in enforcing policies. We strive to foster a dynamic environment for free expression and robust discourse through safety guardrails of human and AI moderation. Join us in shaping the news narrative together.
Comments / 0