Daily Bulletin

Food & Dining

  • Written by News Co

The pandemic of the Covid-19 virus hasn’t spared anyone. But, the worst was for the restaurant and hospitality industry. We’re not going to lie - the situation doesn’t look good. “New Normal” isn’t that normal for this industry.

Since February, 7.5 million people have lost their jobs in the restaurant and hospitality industry. That is all because of lockdowns, which forced people to stay home and not to travel. Those lucky ones, who kept the job, are working for reduced wages and hours.

The situation with revenue losses is alarming. In total, the projection of hotel losses is at a level of 50% for 2020, while restaurants have lost $120 billion during the first three months of the pandemic according to Kitchenall equipment research.

The hotel occupancy rate was at an unbelievable level. It was just 24.5% of capacity, which is under sustainable 35%. That put 33000 small businesses at risk of closure.

Because of all stuff that we mentioned earlier, a lot of businesses decided that the best solution for them is to be closed. In numbers, 1.163.735 businesses have closed on Yelp. It is clear that this industry will have a lot of problems in getting back on track.

So, what are the predictions for the period ahead?

Only 17% of people willing to stay in hotel rooms, but only when a vaccine becomes available. And, 50% of people have no intention to go to restaurants immediately.

There is a belief that technology will help in the minimization of human-to-human contact. Till then, ⅓ of restaurant customers and 40% of hotel customers have will to pay more for increased safety precautions.

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