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National Restaurant Association - RPI falls 0.7 percent in November

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RPI falls 0.7 percent in November

As a result of softer same-store sales and customer traffic levels, the National Restaurant Association’s Restaurant Performance Index (RPI) declined in November. 

The RPI stood at 101.3 in November, down 0.7 percent from October’s level of 102.1.  Despite the decline, November represented the 33rd consecutive month in which the RPI stood above 100, which signifies expansion in the index of key industry indicators.

The RPI consists of two components – the Current Situation Index (measuring current trends) and the Expectations Index (measuring restaurant operators' six-month outlook) – and tracks the health of and outlook for the U.S. restaurant industry.

The Current Situation Index stood at 100.9 in November – down 1.5 percent from a level of 102.5 in October.  Despite the decline, the Current Situation Index remained above 100 for the 21st consecutive month, which signifies expansion in the current situation indicators.

For the first time in nearly two years, less than a majority of restaurant operators reported higher same-store sales.  Forty-four percent of restaurant operators reported a same-store sales gain between November 2014 and November 2015, down from 61 percent who reported higher sales in October.  In comparison, 33 percent of operators reported a same-store sales decline in November, up from 22 percent in October. Restaurant operators also reported mixed customer traffic results. 

The Expectations Index stood at 101.7 in November – up slightly from a level of 101.6 in October.  November represented the 37th consecutive month in which the Expectations Index stood above 100, which indicates restaurant operators remain optimistic about business conditions in the months ahead.

More details are available at Restaurant.org/RPI and Restaurant TrendMapper (subscription required).

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