Spend on drinking on the up, but flat for eating out

Consumers are planning to spend more on drinking in bars and bars during the third quarter of 2019, according to Deloitte’s latest Leisure Consumer Report.

Spend in this category was up by 1pp on a quarter-on-quarter (QOQ) and year-on-year (YOY) basis, according to the figures for Q2 2019, with the number expecting to spend more or the same up 2pp for Q3.

Consumer spend in coffee and sandwich shops was up 3pp on a QOQ and YOY basis, however spend on eating out fell by 1pp on a YOY basis and remained flat in the last quarter in a trend which looks set to continue in Q3.

Across the 11 categories measured in the tracking report, eight saw QOQ spend either up or level, with net leisure spend up 1pp compared to the last quarter and the same time last year.

But despite spend increasing across the majority of categories in Q2, a third (32%) of the 3,000 consumers surveyed said they planned to spend less on leisure for the remainder of 2019.

No change was expected in spend on eating out or in coffee shops and sandwich bars, but spend in pubs and bars was predicted to rise.

Deloitte said that while consumers took greater pleasure in new experiences rather than material things, spend was up on everyday treats such as barista-made coffee.

Simon Oaten, partner for hospitality and leisure at Deloitte: “Following a strong start to the year, net leisure spending has risen marginally again this quarter.

“Whilst consumer confidence remained flat over the same period, strong leisure spending means consumers continue to power the economy. The question is how much longer they can continue to do so.”

Earlier this month Deloitte’s quarterly Consumer Tracker found that confidence was flat in Q2, down by 4pp compared to Q2 2018.