Deliveroo announced the survey results of its Q2 2022 Restaurant Confidence Index, a first-of-its-kind survey of restaurant partners that will uncover F&B trends in Hong Kong and the challenges faced by operators.
The survey, conducted from 29th June to 10th July, reveals business improvement of local restaurants in Q2, recording the highest business performance satisfaction score in over two and a half years of 6.4 up from 5.3 in Q1 2022. In addition to the rising satisfaction score, restaurants showed slightly higher confidence, up from 34 percent to 39 percent, in their outlook for the future of F&B as compared to the last survey. 36 percent also claimed to be more hopeful about the economic environment, up from 32 percent.
As business steadily increased as compared to Q1, many restaurants believed that the consumption voucher disbursement in April was a key factor in boosting business. 65 percent of surveyed restaurants believed that their Q2 revenue had slightly or significantly increased due to the consumption voucher scheme. Given the uptick in spending brought on by the vouchers, nearly half (48 percent) of F&B owners are now considering promotional or marketing plans related to Phase II of the Consumption Voucher Scheme in Q3. Meanwhile, 23 percent of restaurants already have promotional plans in mind.
In addition, extending dine-in hours and relieving social distancing have helped restaurants to gain more revenue in Q2 2022; restaurants are preparing for dine-in business expansion in Q3. Over 45 percent of F&B eateries recorded revenue increase in Q2, while 16 percent said it remains unchanged.
Dine-in business performance experienced an improvement in Q2, as 55 percent claimed revenue from dine-in business significantly or slightly increased compared to Q1 2022, with 19 percent saying it remains unchanged.
However, high rent and ingredient prices have put high pressure on the F&B industry in Q2 with rising concerns about a potential rebound in COVID cases. Over the spring and early summer months, many restaurants reported that the highest pressure they experienced was the operating costs, including food ingredients and rent (both at 39 percent), while labour costs were the next largest pressure area with 23 percent reporting a pinch in staff salaries.