Pub catering market value to hit £7.7bn

By Mark Wingett

- Last updated on GMT

Related tags Meal Alcoholic beverage

A quarter of pub diners have cut back on the amount they spend on food in pubs over the last year
A quarter of pub diners have cut back on the amount they spend on food in pubs over the last year
The UK’s pub catering market is expected to grow in value from £6.57bn to £7.7bn by 2017, according to Mintel.

The research firm also found that some 60% of adults aged 18+ had visited a pub for a meal in the last three months, compared to 49% who have done so for a drink.

However, drinkers are more likely to visit pubs the most frequently, with a fifth of adults visiting pubs for a drink once a week or more, compared to 12% doing so for a meal.

It highlighted that only a fifth of diners state that price affects which pub they visit more than menu, highlighting the scope for venues to compete on grounds other than price.

The report, which questioned c1,500 people, found that a quarter of pub diners have cut back on the amount they spend on food in pubs over the last year, but only 13% state that they have been purchasing in-home meal deals (eg M&S Dine In For £10) instead.

Price promotions also appear to fuel scepticism, with some 12% of pub diners unsure about the quality of food when meals are advertised by price.

The report showed that menu innovation is crucial in a market where 25% of diners state that they prefer pubs with dishes that are different from standard pub food and where 29% often order from the specials board.

It said that despite the continual trend towards pub closures in the UK limiting the potential growth of the pub catering market, diners’ commitment to what is seen as a value-for-money category should support the sector’s growth, together with operators’ attempts to establish additional revenue streams.

It said: “The market is likely to continue to polarise, with concepts increasingly tailored to the needs and demands of specific consumer groups. Strong growth is predicted for both the Pre-/No Family and Retired lifestages, looking ahead to 2017.

“Whilst convenience-driven services such as takeaways appeal to the young age groups, the retired demographic are more likely to be looking for shorter menus to denote quality food, and to be drawn to comfortable seating.”

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