A quarter of US restaurants will go out of business due to the COVID-19 pandemic, according to a forecast by OpenTable, which reported that total restaurant reservations and walk-in customers have fallen 95% over the previous year ending May 13.
At the state-level, Florida showed the greatest statewide gain, with foot traffic only down 83% y/y after launching a phased reopening May 4 during which restaurants were allowed to operate at one-quarter capacity.
Indiana, which is now in phase two – allowing restaurants to operate at 50% of capacity – has come in second. The state is planning on a full reopening by the Fourth of July.
“Restaurants are complicated beasts,” said Steve Hafner, CEO of OpenTable parent company, Booking Holdings. “You have to order food and supplies. You have to make sure you’ve prepped the kitchen and service areas to be easily disinfected.”
According to Hafner, state unemployment benefits with the federal booster is one reason why restaurants have struggled to hire help. “A lot of people are making $1,200 a week doing nothing. That’s good pay.”
Meanwhile, restaurateur Danny Meyer – who shut down all of his 19 New York restaurants on March 13, says his dining rooms will stay closed for the foreseeable future, according to Bloomberg…CLICK for complete article