Restaurant Chains Preferred by Younger, Hispanic and Democrat-leaning Consumers Could Be More at Risk

[GreatGazoo]

Famously Panera Bread had a swing district strategy named for it during the Ossoff special election in 2017. Panera Bread was near its peak of popularity and profitability in 2017. Clinton strategist Brian Fallon argued that Democrats’ path to control of the House “runs through the Panera Breads of America” in districts like Ossoff’s.

Eight years later, a restaurant industry analyst is using political affiliation data to forecast trends in a tough environment for restaurants.

That demographic {democrats who are economically pessimistic}, therefore, is more likely to cut back on spending. Charles found a correlation between exposure to those diners and declines in same-store sales.

Charles argues that the consumer sentiment gap between Democrats and Republicans could also explain why fast-casual chains more broadly, including Chipotle, Cava, Shake Shack and Sweetgreen, have seen sales decline this year. Like Wingstop, those brands also tend to serve a demographic that is younger and more urban.

And this is heartbreaking:

Hispanic consumers have been dining out less in this era of aggressive deportation tactics and frightening headlines, Charles contends.

https://www.restaurantbusinessonline.com/consumer-trends/restaurant-chains-preferred-younger-hispanic-democratic-leaning-consumers-could

At risk in the quick service category: Popeyes, Raising Cane’s, Jack in the Box, KFC and Sonic.

Is Wingstop a large chain? Never heard of it.