The latest report from NetFinancials is out and they say that Atlanta restaurant sales volume increased 4.18% this year when measured against the same time frame in 2018. That's a fantastic result that We Sell Restaurants is excited to see. In addition to overall strong sales, the report shows the results are strong across the board. The positive sales growth was observed in 73% of the 102 independent Atlanta restaurants that are part of the quarterly survey conducted by the firm.
They draw their data from 102 non-franchise restaurants in the market. The total volume covered by this report was $160 million for year to date 2019. It included Atlanta restaurants in all segments, fast-casual, casual and fine-dining open at lease eighteen months.
How does that compare?
One of the best resources for tracking national restaurant sales data is TDn2K’s Black Box Intelligence. They reported that year to date sales on the national level are only .5% ahead of last year. That means Atlanta restaurant sales are far outperforming the national trend by a difference of more than 4 percentage points which indicates the health of the industry in this market.
The same firm reported that national restaurant traffic counts remain in a decline. However, as We Sell Restaurants continues to interact with sellers, we see more and more market share shifting to delivery options like UberEats, DoorDash and similar models. For that reason, store traffic count reductions must be viewed through the lens of a dramatically changing consumer model who is ordering in versus dining in.
The Black Box index is based on weekly sales from more than 170 brands that operate more than 31,000 locations and generate nearly $72 billion in annual sales.
The president of NetFinancials, Lori Johnson, was quoted in the report saying, "The first quarter of 2019 saw a tremendous increase in sales due to the Atlanta Superbowl festivities. The national spotlight was on Atlanta and visitors were given the opportunity to experience the food culture locals love. Not surprisingly Q1 2019 saw an increase in sales at most restaurants surveyed, a startling 78%!
Was all the increase attributed to the first quarter? No. The report goes on to state that second quarter sales were up 1.72% versus a national average of plus 1.0 percent.
There continues to be growth in new restaurant openings in the Atlanta market along with ever increasing transactions for those buying and selling a restaurant from our database. The economy overall was strong in the market with NetFinancials further reporting job growth among the industry in June. They cite the addition of 9,000 new hospitality jobs in the market or more than 18% of the jobs added during the month.
The table from the NetFinancials report is shown below.
Eric Gagnon, president of We Sell Restaurants said of the latest results, "There is no doubt the entire hospitality industry received a strong boost from the Superbowl. We are glad to see that the trend for second quarter continues to outpace the national results. Our restaurant buyers and sellers continue to be bullish on results and are finding new opportunities each day."
Our list of Atlanta Restaurants for sale can be found online at this link along with resources for buying and selling a restaurant.