Outlook for Cafes and Restaurants positive

Posted by Steve Swann - Specialist Hospitality Business Broker

December 15, 2009

Retail Sales figures released on Monday by Statistics New Zealand report an encouraging rise in Cafe and Restaurant turnover for the month of October.

Actual retail sales in the Cafes and Restaurants Sector for October were $345 million dollars. This was up a massive 12.37%, or $38m, on the previous month. When compared to the same period last year, the figures for October 2009 were up 8.15%, or $26m stronger than 2008.

This trend echoes feedback we’re getting from our Clients. Many of the Restaurant and Cafe operators that we’re speaking with are reporting improves in their trading numbers. Some are enjoying better pre-Christmas demand in particular, an improvement on the same period last year.

We are also noticing more buyers in the market. The improving positive outlook is a sign that many are recognizing that Restaurants and Cafes are often the first sectors to benefit from a strengthening economy.

Cafe and Restaurant Sales Trends