Even fast-casual dining may be too much of a financial burden for younger generations.
Chipotle CEO Scott Boatwright said young diners between the ages of 25 and 35 are cutting back on dining at the Mexican-inspired fast-casual chain. But these millennial and Gen Z customers are not snubbing Chipotle for other fast food spots; they’ve stopped dining out as frequently altogether.
“This group is facing several headwinds, including unemployment, increased student loan repayment, and slower real wage growth,” Boatwright told investors at the company’s earnings presentation on Wednesday. “We’re not losing them to the competition. We’re losing them to grocery and food at home.”
It’s not just fast casual, but literally all food eating out is getting ridiculously expensive. Add in the fact that you can make much healthier meals at home for a fraction of the cost, and it just doesn’t make any sense to eat out any more.
It does if your overworked and too tired to make food. Yeah you can make a healthier, tastier, cheaper meal at home but it may take you an hour to do. That’s a lot of extra work a week especially if you live alone and don’t have anyone to share that work with and some people just don’t have time for that.
Good points all around. I cook 95% of my meals every week, so it’s always a bit stunning when I order out or walk to a restaurant, but yeah, I definitely plan to spend big when I go.
Groceries are getting expensive too though, at least in colorado. Seems like the only cost effective options anymore are costco and trader joes, and there are only 3 total in my city of half a million people. Safeway is crazy overpriced for no reason; often more expensive than eating out.