Restaurant traffic expected to slow as population ages

Restaurant traffic growth is projected to lag the nation's annual population growth over the next 10 years as aging baby boomers dine out less frequently, according to The NPD Group.

In its study, “A Look into the Future of Foodservice,” NPD projected that annual visits to restaurants would increase 8 percent by 2019. That works out to about 0.8 percent per year, which lags the 1.1-percent annual growth rate in the nation’s population expected during that time.

Demographic factors, mainly the aging of the American population, will provide significant headwinds to restaurants trying to build traffic over the next decade, NPD found.

“The aging effect on the restaurant industry will be slightly negative because of aging baby boomers,” said Bonnie Riggs, NPD’s restaurant industry analyst and the author of the report. “A greater share of visits will source to those 50 years and older in 2019, but as consumers age, they become less frequent restaurant users. This means the restaurant industry will have heavier dependence on lighter buyers.”