Technomic finds wicked winter weather pummeling foodservice across most of the United States

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Mar 06, 2014, 11:10 ET

CHICAGO, March 6, 2014 /PRNewswire/ -- Forty percent (40 percent) of foodservice operators nationally indicate that the weather since January 1 has had a negative impact on sales according to new research conducted by Technomic. That figure rises in specific geographic regions, with 53 percent of operators in New England and 49 percent in Mid-Atlantic states reporting that the weather has had a negative effect on business.

Further, consumer survey results show that many people across the country have been constrained by the weather, with 60 percent of consumers stating that the weather has been a drag on their normal activities and lifestyle. Again, residents of the Northeast (82 percent) and the Mid-Atlantic (76 percent) have been most affected.

Ultimately, the harsh weather conditions translate into foodservice sales being down 3 to 4 percent nationally and down 7 to 8 percent in weather-affected markets in January and February. As a consequence, full year industry projections suggest growth will be +2.5 to 3.0 percent versus an initially expected +3.5 to 4.0 percent.

"Consumers across two-thirds of the country have been reluctant or unable to leave their homes for the better part of two months," said Wade Hanson, Technomic Principal. "We expect that consumers will enthusiastically return to foodservice in the spring, but January and February have to be considered lost dining occasions for foodservice operators."

"What is particularly troublesome is that the snow, cold, and ice are continuing into March," explained Hanson. "The longer the weather patterns continue, the more consumers will be confined to their homes and subjected to higher heating bills and unexpected weather-related expenditures. Plus, the impact of higher heating bills may be felt into April or May."

Additional details on Technomic's analysis, entitled "The Wicked Weather of 2014: The Impact on Consumers Eating Out and Operator Sales" can be obtained by contacting Chris Urban at Technomic by email or phone (312-506-3929).

Press Contact: Chris Urban, 312-506-3929 or [email protected]

About Technomic

Technomic provides clients with the facts, insights and consulting support they need to enhance their business strategies, decisions and results. Its services include numerous publications and digital products, as well as proprietary studies and ongoing research on all aspects of the food industry.

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SOURCE Technomic