Virus concerns will cut restaurant revenues by about 8% this year – Kasikorn Research Centre
Public concern over COVID-19 is expected to slash the revenues of the restaurant sector this year by 25.6-36.5 billion baht to between 402 and 412 billion baht, according to Kasikorn Research Centre.
The research centre says that the public’s fear of COVID-19 is impacting many industries, including the restaurant trade, many foreign tourists have cancelled their visits to Thailand and Thais are reluctant to dine out at busy restaurants.
The grim economic outlook, and the possibility of layoffs, have also led people to spend more carefully and limit their dining out.
The report predicts that the impacts of public concern over the spread of the virus will significantly affect most businesses during the first half of the year, but that the situation may improve gradually during the second half as the contagion is expected to ease.
The report said that restaurants, which base their revenue on in-house dining, will be hardest hit, whereas restaurants offering home delivery will be impacted less.
The report said, however, that revenue to be earned by restaurants also depends on other factors, such as their location and hygiene management.