Consumers are planning to spend less in restaurants and takeaways this year in a bid to cut spending.
According to a survey by merchant services provider Paymentsense, over half (56%) of UK consumers are planning to make savings with 35% cutting back on eating out, 33% on ordering takeaway food and 23% on going to pubs or bars.
Expecting to save an average of £131 a month, or £1572 over 2019, the most popular reason for this planned spending cut is to keep up with rising living costs.
According to the research, millennials are more serious about saving than older generations with almost 80% of 25-34 year olds planning or considering cutting back their spending in 2019, compared to just 40% of those aged over 65.
London is reported to be the most saving-savvy region (62%) followed by the South East (47%) and the North East (47%). Wales has the smallest proportion (32%) of people planning to cut back on their spending.
Guy Moreve, CMO of Paymentsense, said: “Although it is common for people to make positive plans in the new year, our study reveals that instead of aspirational health or lifestyle goals many UK consumers are increasingly concerned about just keeping up as living costs climb more quickly than salaries. Many of the 70,000 small businesses we work with across the UK understand that shoppers are struggling to balance their monthly budgets at this time of year, and have been adapting with special offers, loyalty schemes and more advanced point of sale techniques.
“Another growing trend is ethical consumption, and over 2018 we saw increased awareness and attention to environmentally friendly lifestyle habits such as veganism and sustainable fashion. We feel that this coming year will see continued movement in this area, as more people adopt ethical attitudes. Small hospitality businesses should see this as an opportunity to review different aspects of their offering, and their suppliers, to look at what can be improved to tap into this growing consumer sensitivity.”
Top 10 hospitality and food areas that consumers plan to cut spending on in 2019:
1. Eating out - 35%
2. Takeaway food - 33%
3. Sweets, crisps, cakes, chocolate - 27%
4. Going to pubs or bars - 23%
5. Buying takeaway coffee - 19%
6. Holidays which require a flight - 17%
7. Cutting back on meat generally - 16%
8. Going to the cinema - 14%
9. High-end health food - 13%
10. Going to the theatre - 12%