Square has recently published its latest quarterly Restaurant Industry Report, which examines dining trends, changes in consumer spending, and restaurant compensation.
While overall delivery rates have decreased since the pandemic’s peak, Square’s data shows that as of December 2023, customers are more likely to choose breakfast delivery than any other meal. This trend could be due to companies using breakfast to encourage workplace attendance or the continued prevalence of remote and hybrid work models in America. As a result, consumers are increasingly opting to have breakfast delivered directly to their door.
Square has also identified a distinct seasonal trend. For example, customers are more likely to rely on delivery during the colder months, particularly from December through March, rather than braving inclement weather. Summertime delivery naturally declines as people prefer outdoor dining and eating out to enjoy the nice weather.
When analyzing data from 2023, Square discovered that restaurants have some of the highest conversion rates for Square Loans compared to all other businesses. On a monthly basis, restaurants are around 10% more likely to accept a loan offer than the average Square seller. Last year, the average Square Loan taken out by a restaurant was approximately $27,000, higher than the average but lower than the minimum required by many traditional lenders. This allowed businesses to obtain better-tailored financing to meet their specific needs.
Restaurants can also use custom folders from Square Savings to budget and allocate money for specific company needs. Given the varying complexity of their operations, the most commonly used folders by restaurants are labeled for taxes, rainy day funds, rent, and payroll.
