COVID-19 negatively affected a number of consumer foodservice channels, especially those that function as a place for social gatherings. Although some lost sales were recovered through online deliveries and increased spending in restaurants due to the COVID-19 relief fund distributed by the government, full-service restaurants overall took a hit since the number of eat-in customers significantly declined due to fears of crowded places and therefore a heightened risk of exposure to the virus.
Major players that enjoy greater awareness amongst consumers increasingly launched meal kits in order to respond to changing demands. Although such a movement had already been observed prior to the emergence of the pandemic, 2020 particularly stood out as consumer foodservice players adopted the direct-to-consumer model rather than selling the products through other retailing formats.
The steep decline in value sales experienced by full-service restaurants was largely caused by external factors. As the vaccination timeline is launched by the government, it is likely that the channel will start to recover in the second half of 2021, enabling it to mostly recover to pre-COVID-19 levels in early 2022.
Ghost kitchens were not a widespread concept in South Korea’s consumer foodservice market at the end of the review period, despite their growing popularity in other countries. However, as full-service restaurant players seek ways to better utilise their existing outlets to generate revenue, the idea of the ghost kitchen is emerging as an effective way to rent a space for small brands that wish to reduce fixed costs.
Delivery:
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
Understand the latest market trends and future growth opportunities for the Full-Service Restaurants industry in South Korea with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
If you're in the Full-Service Restaurants industry in South Korea, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
This report originates from Passport, our Full-Service Restaurants research and analysis database.
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE! Home Page