Sales of alcohol were prohibited in Oslo from November 2020 to 26 May 2021, which came as a big blow to many full-service restaurants, which were already under intense pressure due to the impact of COVID-19. Some players found it hard to encourage consumers to visit their outlets during this period with many people unwilling to go out for lunch or dinner without the opportunity to enjoy a glass of wine or beer with their meal.
While consumers started returning to full-service restaurants in the second half of 2021 business customers remained largely absent. This was largely due to a shift to home working and the use of video conferencing over in-person meetings.
The lack of international travel due to COVID-19 was partially compensated for by the inclusion of new and more exotic menu items in 2021. For example, Egon (chained European full-service restaurants) introduced a few Belgian specialities as well as Asian sweet and sour delicacies to add interest and excitement to its menu.
The rise of third party delivery services during the COVID-19 pandemic presents a new threat to full-service restaurants. These third party delivery companies are charging high fees which reduces the margins for those full-service restaurants that sign up to these services.
Staffing issues could present a significant obstacle to the recovery of full-service restaurants, especially in the short term. Some employees of full-service restaurants that were temporarily laid-off during the COVID-19 measures that were put in place between November 2020 and May 2021 have since moved on to other work opportunities or have moved location.
Mobile payments are already widely available and integrated into full-service restaurants with this being set to remain a permanent fixture. In contrast, digital menus are expected to be abandoned.
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FSR (full-service restaurants) encompasses all sit-down establishments where the focus is on food rather than on drink. FSR is characterized by table service and a relatively higher quality of food compared to quick-service units. Menus offer multiple selections and may include breakfast, lunch and dinner. Preparation of food products is often complex and involves multiple steps. NOTE: restaurants types catalogued in this segment refer to table-service only (outlets with a proper “full table service:” wait staff attending customers and taking orders at the tables). Outlets with “limited table service” are excluded from FSR. For example: outlets where customers order their food at the counter are excluded (even though the waiter will then bring the food at the table).See All of Our Definitions
This report originates from Passport, our Full-Service Restaurants research and analysis database.
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