Givex's Annual Survey: Impact of Rising Menu Prices and AI on Canadian Dining Behaviours and Attitudes
With restaurant prices rising, more Canadians are turning to promotions, coupons, and loyalty programs
According to the survey, conducted in
Meanwhile, restaurants are incorporating artificial intelligence (AI) technology into the guest experience–for instance, some are using AI-powered online order recommendations based on a customer's previous orders and preferences. AI is reshaping the foodservice industry, and the nation is divided about how it feels. A nearly even split within the public sentiment illustrates both optimism and reservation, with almost half (48%) of Canadians expressing comfort towards AI's growing role in their dining experiences.
"Amidst digital transformation and inflationary pressures, our survey reveals the driving factors behind dining decisions and emphasizes the vital role of value-centric loyalty programs and promotions for merchants," stated
Additional findings from the
Dining Motivations and Trends
- Canadians have reduced the frequency of dining out, with 49% dining out less often compared to 2023.
- This percentage increases to 52% among Canadians aged 18-34, marking a 79% surge compared to the prior year (29% in 2023).
- Rising prices are impacting everyone. Of those earning
$100 ,000+ household income, 80% said menu prices have made it challenging for them to dine out (compared to 85% of those earning$50,000 or less).
- Despite the reduced frequency of Canadians choosing to dine out this year, four-in-five Canadians say incentives such as BOGO promotions (80%) and coupons/discounts (77%) make them more likely to dine out at a restaurant.
- 48% of Canadians are also ordering less delivery compared to 2023.
- This change is accompanied by 59% of Canadians opting to cook more at home—a figure that rises to 64% among young Canadians.
Loyalty programs
- The role of loyalty programs is pronounced; 57% of Canadians find them appealing for dining purposes, with preference intensifying among younger Canadians.
- With rising menu prices, loyalty programs might be a win-win solution for restaurant operators and consumers: 44% of Canadians agree they're more likely to order takeout/delivery if a restaurant offers a loyalty rewards program.
- As food prices continue to rise, grocery loyalty programs are becoming increasingly important to consumers.
- 62% of Canadians rank grocery rewards as the single-most valuable type of loyalty program (up from 57% in 2023), widely outpacing any other category.
- The average Canadian is a member of four loyalty programs and the vast majority (97%) say they use rewards or points from a loyalty program when making a purchase, with 42% making a purchase at least once per month.
Restaurant Technology
- While feelings about the incorporation of AI in the dining experience are divided, younger Canadians (aged 18-34) show a higher level of comfort, with 59% expressing comfort with using AI in restaurants (in contrast to only 40% of individuals aged 55 and above).
The comprehensive insights from this annual survey empower restaurateurs to adapt to changing consumer behaviour, emphasizing the importance of promotions, rewarding loyalty programs, and strategic incorporation of technology.
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