Dinova LLC reported today that overall restaurant spending by its corporate clients grew 8.3 percent year-over-year in the second quarter of 2014, supporting restaurants nationwide as they recovered from a challenging first quarter. Second-quarter metrics in both the restaurant and business travel industries reinforced Dinova’s results, as American companies continue to put staff on the road to deepen client relationships and win new business.
The average check from Dinova’s corporate clients increased 3.8 percent year-over-year in the second quarter, up to $53.92. Dinova’s clients, which include one-quarter of the country’s highest-travel-spending firms, spend more than $1.5 billion on dining and/or catering annually. Dinova’s nationwide network includes more than 10,000 independent and chain restaurants, encompassing all price levels and cuisines.
Several reports issued in recent weeks support Dinova’s data, including:
· Restaurants hired 33,000 people in June, with the National Restaurant Association sharing that restaurant employment is up 3.1 percent through the first six months of the year, nearly doubling the 1.7 percent increase in total U.S. employment.
Dinova clients continue to successfully steer employees to in-network dining options. The company’s clients spent 13 percent more at network restaurants in the second quarter of 2014 than in 2013.
“The trend lines continued in positive directions in the second quarter, with corporate dining increases keeping restaurants healthy in the midst of sluggish transient traffic,” said Dinova founder and CEO Vic Macchio. “What’s more, price increases across the business travel ecosystem help stimulate increased interest in our rebate model. Dinova helps companies gain value for their dining spend, including expenditures by road warriors and on catering/private dining by event planners.”
Third Quarter Indicators Point to Continued Growth
GBTA reported that its proprietary index of business travel activity, the GBTA BTI™, is anticipated to “continue rising” for the remainder of the year. The National Restaurant Association’s Restaurant Performance Index, which tracks the health and outlook of the industry, recently rose to its highest level in more than two years, with results “indicating that restaurant operators remain optimistic about future business conditions.”
“Companies have more insight into their spend patterns than ever, so even as they acknowledge growing travel and dining expenses, they are aggressively seeking creative avenues to manage those increases,” said Macchio. “Dinova will enhance its marketing efforts to American companies over the rest of 2014, helping them understand more about our model and the value it adds to any company’s travel management program.”
Dinova will have an exhibit at booth # 2445 at the GBTA Convention in Los Angeles on July 27-30. More than 1,500 business travel managers representing more than $123 billion in travel spend – and approximately $12 billion in dining spend – are anticipated at this event.
Dinova LLC (www.dinova.com) connects restaurants and corporations in a nationwide network, driving valuable business dining to restaurants and enabling corporations to reduce travel and entertainment expenses. Automation makes the process seamless to both diner and restaurateur, with no loyalty cards or key entries required. Dinova is headquartered in Johns Creek, GA, a suburb of Atlanta.