Winter Is Coming: What’s In Store For Restaurants As Cold Air Hits

A third wave of the pandemic is here, which could lead to more restrictions and consumer pullback. But spending trends could help, says RB’s The Bottom Line.

Cold weather could potentially stall restaurants’ recovery as patio dining goes away and a third wave of the coronavirus keeps states from opening indoor dining. Yet a shift in consumer spending could keep some restaurants warm during the chilly months.

The industry has recovered much of its sales since spring, thanks to the popularity of takeout and a consumer that has grown more comfortable with eating out at a restaurant. The industry has recovered $25.6 billion in monthly sales since March but remains 14% lower than it was a year ago, according to the most recent federal data.

But that recovery has also slowed, largely due to mass closures of independents, continued restrictions on dine-in service and a slow recovery in certain sectors, like urban concepts, fine dining and eatertainment.