Mouth-watering: Rising incomes and high consumer sentiment have boosted demand

The Cafes and Restaurants industry has benefited from a surge in customer patronage over the past five years. Rising discretionary incomes and positive consumer sentiment have fuelled growth in industry revenue over the period. Households have felt more optimistic about their financial situation, and higher incomes have provided greater purchasing power to spend on food and beverages sold by cafes and restaurants. Casual dining options have become increasingly popular, with consumers dining out more often but spending less per meal. The range of dining choices available has also expanded, supporting customer patronage. Industry revenue is forecast to grow by an annualised 4.2% over the five years through 2017-18, to be worth $5.3 more.

Industry Statistics & Market Size
Annual Growth 13-18
Forecast Growth 18-23
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Report - Industry Locations Chapter

The geographical spread of industry participants largely correlates with New Zealand's population and income distribution. Consequently, the Auckland, Canterbury and Wellington regions account for the largest shares of industry establishments. These regions are the most populous in New Zealand and have greater exposure to consumer traffic, resulting in many restaurants and cafes being based in these regions. While the Canterbury and Wellington regions are similar in terms of their population distribution, the Auckland region is overrepresented in terms of its population share. Discretionary incomes are greatest in Auckland, with many premium restaurants set up in the region to benefit from higher income customers. Mos...purchase to read more.

Additional Insights for the Cafes and Restaurants Industry

IBISWorld identifies 250 Key Success Factors for a business.The most important for the Cafes and Restaurants Industry are

  • Having a good reputation
  • Access to niche markets
  • Ensuring pricing policy is appropriate
  • IBISWorld analysts also discuss how external factors such as Consumer sentiment index and Real household discretionary income in the Cafes and Restaurants industry impact industry performance..

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    What's in this report

    What is the Cafes and Restaurants in New Zealand Industry?

    The industry primarily provides food and beverage services for consumption on the premises. Customers generally order and are served while seated, and pay when they finish eating. The industry includes cafes and coffee shops, and licensed, unlicensed and BYO restaurants. Catering services, takeaway food services, theatre restaurants and pubs are excluded from the industry.

    Industry Products
  • Premium restaurants
  • Other restaurants
  • Cafes and coffee shops
  • Industry Activities
  • Restaurant operation
  • Cafe operation
  • Bistro operation
  • Coffee shop operation
  • Grill bar operation
  • Sushi and sashimi restaurant operation
  • Tea room operation
  • Brasserie operation
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Consumer sentiment index
  • Real household discretionary income
  • Average weekly hours worked
  • Health consciousness

  • Current Performance
  • Consumer demand
  • Industry trends
  • Industry participation
  • Profit
  • Chart: Revenue Growth

  • Industry Outlook
  • Consumer demand
  • Profit
  • Industry structure
  • Table: Cafes and Restaurants Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Cafes and Restaurants Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers in New Zealand

  • Key Selling Industries
  • Fruit and Vegetable Wholesaling in New Zealand
  • General Line Grocery Wholesaling in New Zealand
  • Liquor and Tobacco Product Wholesaling in New Zealand
  • Meat, Poultry and Smallgoods Wholesaling in New Zealand
  • Soft Drink and Pre-Packaged Food Wholesaling in New Zealand

  • Products & Services
  • Other restaurants
  • Cafes and coffee shops
  • Premium restaurants
  • Chart: Cafes and Restaurants Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Fifth income quintile
  • Fourth income quintile
  • Third income quintile
  • Second income quintile
  • First income quintile
  • Chart: Major Market Segmentation for the Cafes and Restaurants Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Cafes and Restaurants

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Cafes and Restaurants Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Cafes and Restaurants Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Cafes and Restaurants Industry
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Inbound Tourism
  • The act of a non-resident visiting a country, which in this case is New Zealand.
  • Point Of Sale
  • The point at which a retail transaction is carried out.
  • Zero Hour Contracts
  • A work contract where the employer is not obliged to provide minimum working hours. In addition, the employee is not obliged to accept any work offered.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Cafes and Restaurants in New Zealand market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Cafes and Restaurants in New Zealand:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Cafes and Restaurants in New Zealand market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Cafes and Restaurants in New Zealand, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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