As older millennials near their mid-40s, age isn’t the only thing that’s increasing; the generation born between 1981 and 1996 totaled 72.7 million people at the end of 2024, making it the largest segment of the U.S. population after boomers, per Statista.
So, restaurant operators are paying close attention to the needs and wants of this significant demographic – which bodes well for them, at least according to the latest research from Technomic, reporting millennials are increasingly looking to dine out more than previous years.
The food service research company's Industry Insights, published this week says, “restaurant occasions” for millennials are on the upswing as compared to previous years and are especially prevalent among younger millennials aged 32-39.
Almost half of all millennials surveyed (49%) said they were looking to spend their discretionary income on dining out, mostly on weekend dinner (55%) and on “special” occasions (50%). Conversely, their “older” millennial counterparts, ages 40-47, “who may be moving toward a more settled life stage” per the report, aren’t as big on eating out.
So why are younger millennials’ spending their expendable income on dining out? Perhaps due to the “current life stage and stronger financial footing (which) may be contributing to their increased foodservice usage,” per the report.
And when dining out, millennials definitely have expectations. The demo mostly prioritizes “taste, fresh ingredients and variety.” Their choice of dining establishment is often motivated by social media and influencers.
While millennials are dining out more, however, their choice of restaurants and menu items have changed overall to those resulting in lower check totals.
A recent PYMNTS Intelligence study of locations and menu selections by millennials differs from their older and younger counterparts: “Baby boomers and seniors are the most likely to purchase from restaurants less often in the face of inflation, while millennials and Gen Z consumers are the most likely to switch to restaurants with lower prices, and millennials and bridge millennials are the most likely to choose cheaper items from the menu and decrease the amount of food per order.”