Chained limited-service restaurants were equipped with stronger financial capabilities to retain workforce, cope with the downturn and respond swiftly to constantly changing restrictions compared to street stalls/kiosks during the pandemic. Street stalls/kiosks suffered stronger declines early in 2021, but the model of takeaways helped businesses pivot and adapt, although lower home delivery penetration definitely hindered growth.
Given the locations of street stalls/kiosks, most of which are outdoors or in shopping centres, operators faced a tough period during 2021 as many were forced to close due to the lockdown and social distancing measures, which greatly reduced outdoor activities and gatherings as well as time spent in shopping centres during the pandemic. Independent operators continued to dominate value sales and outlet numbers in street stalls/kiosks in 2021.
Despite lower operating costs and the government assistance programme for Dine & Discover, many independent outlets located in tourist locations, travel destinations and city centres closed permanently during the pandemic. While small businesses often have to contend with lower revenues and savings, they are also more flexible in terms of operations as they usually employ fewer people.
Strong sales growth of bubble tea through street stalls/kiosks is expected to boost revenue streams while encouraging an increasing number of players to offer this product. As consumers seek new food experiences, bubble tea in Australia has witnessed strong growth as multiple brands introduced creative reinventions of the traditional “boba” drink to appeal to a new generation of Australians.
Consumer foodservice performance suffered in 2021 after being on the road to recovery in the first half of the year. The Delta outbreak sent the nation into lockdown starting from June 2021, and caused the shift of consumer spend onto retail and away from foodservice.
Technological developments are expected to support the gradual recovery of street stalls/kiosks over the forecast period. Examples of technology used during the pandemic included Where The Truck, an app that allows users to find a food truck, order and pay for their food to be delivered to them.
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Small, sometimes mobile, foodservice providers characterised by a limited product offering and by low prices. Includes street stalls, street hawkers and foodservice kiosks where food is prepared in some way and served through a hatch or over a display counter to take away. Also includes kiosks and carts located externally or internally eg in shopping malls etc. As a rule, street stalls/kiosks outlets tend to be smaller than 100% home delivery/takeaway outlets, while menus are more limited, often (though certainly not always) with a greater emphasis on snack items, rather than full meals.See All of Our Definitions
This report originates from Passport, our Street Stalls/Kiosks research and analysis database.
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