COVID-19 Impact Analysis Series Article Three: Ordering and Delivering
off-prem orders as % of total orders are increasing rapidly
Author: Shubham Goyal (March 24, 2020)
THIS COVID-19 impact Analysis Series designed by Punchh’s data team aims at sharing the real-time insight we have discovered when we study our consumer behavior data set. In this third article, we investigate the shift in consumer consumption behavior from dine-in to off-prem.
On March 13th, President Trump declared a national emergency over Coronavirus, stating that “next eight weeks are critical”. As we are coping with the lockdown, there has been a sharp increase in percentage-share of off-prem orders among the total orders from 40% to 59% in a matter of 3 weeks.
(dine-in orders are those where customers consume the orders within the premises of the restaurant. off-prem orders are those where customers consume the orders elsewhere)
To further understand the impact at state level, we picked the top 5 states based on the total orders at each state. Together, they contribute to 60% of total orders across the nation in our data-set. We check for changes in the %-share of off-prem orders at these states, starting from 13th of March. We found that each state has witnessed an increase of 20 to 30% in the % share off-prem orders among the total orders.
In the map below, we displayed the decline in % share of dine-in orders among total orders for each state since the 13th of March. It can be seen that every single state experienced a significant decline, with states in East and West coasts heavily affected. Wyoming saw the least decline in % share of dine-in orders, implying that consumers are still consuming meals on premises at the restaurants to a certain extent.
In light of these recent trends, businesses need to ramp up efforts to build infrastructure and systems that capture the shift in trend from dine-in to off-prem.
ABOUT THE DATA
The underlying data for this analysis is from 10K+ restaurant stores across the country covering 12 brands for the period of Feb 01 — Mar 31.