The recession certainly isn't letting up on restaurants. The industry saw 5,204 closures between last spring and the same period in 2009, according to a report by the NPD Group. Full-service outlets accounted for just over half of those closures, while the rest were in the fast-food arena.
Getting hit the hardest are independent operators, NPD says, while large chains' unit counts remained largely unchanged. Another interesting fact: Total spending at restaurants declined 1% over the period, the first time NPD has tallied a decrease since it started following the industry in 1976.
According to NPD, as of last spring there were 316,641 independent restaurants across the country and 267,868 operated by chains.
With the unemployement rate not turning around a whole lot, we doubt this number will turn around soon. Or are we wrong?
Also, is this a problem of over storing? Are there just too many restaurants out there?
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