New Concepts Are Planned to Spur Sales, Experts Say : State’s Restaurants Going Exotic
Californians should brace themselves for an invasion of restaurants with Australian themes, 1950s-style diners, “custom” menu items and savory Caribbean foods.
That’s the word from the accounting firm of Laventhol & Horwath, which just completed its annual survey of California restaurant operations. The new concepts have already begun to surface in Southern California, according to Robert T. Patterson, managing partner of the Los Angeles office of the accounting firm, which specializes in hospitality, entertainment and other industries.
California, a trend-setter when it comes to new eateries, will see only moderate growth in the restaurant business. Sales are expected to continue to grow over the next two years at about the 5% gain in 1985 from 1984, he said in a wide-ranging interview Wednesday that expanded on the study.
That is down from the double-digit increases in the late 1970s, but it still is better than the nationwide growth rate for restaurants, he said. Changing consumer tastes, a saturation of restaurants in prime metropolitan locations and a low inflation rate are slowing growth for the restaurant industry.
California restaurant sales totaled $17.4 billion in 1985 and are expected to rise to $18.6 billion this year, according to Janet Lowder at Laventhol & Horwath’s restaurant and food service group. Restaurants in the state generated $8,123 in sales per restaurant seat last year, compared to $5,002 for restaurants nationwide.
Lowder and Patterson said gourmet burgers, cafeterias, flame-broiled chicken and yogurt are waning in growth. Meanwhile, restaurant patrons are still enjoying “grazing”--where they partake of a variety of appetizers. They also are continuing their interest in ethnic restaurants and are buying more fast foods at convenience stores.
Of the future, Patterson says: “The most interesting is that you’ll see an Australian invasion of the restaurant industry.” He foresees menu items such as crocodile soup, buffalo burgers and kangaroo steaks. In addition, he expects restaurants to develop products on the “concept that you can only get this product here.” Consumers also are expected to move away from fast food toward pampering themselves with Continental cuisine.
