Restaurant Industry in All 50 States to Grow Sales, Add Jobs in 2008 and Beyond, According to National Restaurant Association Research

The restaurant industry will enter its 17th consecutive year of real growth in 2008, according to the National Restaurant Association's 2008 Restaurant Industry Forecast. Industry sales -- driven by growth in local economies, disposable income and population -- will post the strongest growth in the states of Nevada, Arizona and Utah, Arizona and Nevada, along with Texas, will also lead the nation in restaurant employment growth by 2018. With expected national sales of $558 billion, a total economic impact of more than $1.5 trillion, and 13.1 million employees in 2008, the nation's restaurants are a driving force in national and state economies.

"Restaurants are firmly rooted as an essential part of Americans' lifestyle, and the restaurant and foodservice industry will show a respectable 4.4 percent sales growth in 2008 despite the challenging overall economic climate," said Hudson Riehle, senior vice president of Research and Information Services for the Association. "On the state level, the strongest growth will again be seen in the Western and Southern states, with Nevada leading sales growth and Arizona leading job growth."

Nationally, restaurant-industry sales are expected to increase by 4.4 percent in 2008, or 0.9 percent real (inflation-adjusted) growth. Among the states, Nevada is expected to lead the nation with 6.5 percent sales growth, Arizona follows with 6.4 percent, Utah with 5.9 percent, Texas with 5.8 percent, and Colorado with 5.7 percent. The highest restaurant-sales volume is expected in California, where sales are expected to reach $56.4 billion, Texas at $33.7 billion, New York at $28.1 billion, Florida at $26.9 billion, and Illinois at $18.3 billion.

With the number of restaurant locations in the United States growing to 945,000 in 2008, the number of restaurant jobs will also increase, the industry is expected to add two million jobs in the next 10 years. Arizona is expected to show the highest restaurant job growth by the year 2018 at 26.9 percent, followed by Nevada at 25.8 percent, Texas at 22.9 percent, Alaska at 22.8 percent, and Utah at 22.5 percent.

In 2008, California will have the largest number of restaurant-industry employees (1,456,000), followed by Texas (995,300), Florida (878,200), New York (656,400), and Ohio (549,200).

Below are listed state-by-state 2008 restaurant-industry sales in billions, the percentage of sales growth over 2007, and the job growth by 2018:

  State: 2008 sales in billions, 2008 sales growth, Job growth 08-18



  Alabama: $5.4, 4.1%, 19.5%

  Alaska: $1.2, 5.0%, 22.8%

  Arizona: $8.4, 6.4%, 26.9%

  Arkansas: $3.1, 4.5%' 19.7%

  California: $56.4, 4.6%, 15.8%

  Colorado: $8.5, 5.7%, 20.4%

  Connecticut: $5.2, 4.1%, 8.5%

  Delaware: $1.4, 4.0%, 17.4%

  District of Columbia: $2.3, 4.6%, 13.1%

  Florida: $26.9, 5.0%, 23.7%

  Georgia: $14.0, 5.1%, 20.2%

  Hawaii: $3.1, 4.0%, 6.7%

  Idaho: $1.6, 5.5%, 16.6%

  Illinois: $18.3, 3.8%, 10.9%

  Indiana: $8.5, 3.5%, 13.0%

  Iowa: $3.2, 3.7%, 11.0%

  Kansas: $3.5, 4.6%, 15.0%

  Kentucky: $5.5, 4.0%, 14.1%

  Louisiana: $4.8, 3.7%, 17.1%

  Maine: $1.8, 3.7%, 13.6%

  Maryland: $8.4, 4.5%, 14.2%

  Massachusetts: $12.1, 4.0%, 9.1%

  Michigan: $13.1, 3.2%, 8.7%

  Minnesota: $7.7, 4.4%, 14.2%

  Mississippi: $2.9, 3.8%, 17.7%

  Missouri: $8.4, 4.1%, 11.3%

  Montana: $1.2%, 4.3%, 10.4%

  Nebraska: $2.2, 4.2%, 11.5%

  Nevada: $4.3, 6.5%, 25.8%

  New Hampshire: $2.2, 4.8%, 14.2%

  New Jersey: $12.4, 4.8%, 11.8%

  New Mexico: $2.7, 5.0%, 20.8%

  New York: $28.1, 4.7%, 6.7%

  North Carolina: $12.4, 5.1%, 22.4%

  North Dakota: $0.7, 4.1%, 13.8%

  Ohio: $16.5, 3.4%, 5.6%

  Oklahoma: $4.5, 4.2%, 15.3%

  Oregon: $5.5, 5.0%, 19.5%

  Pennsylvania: $15.7, 4.1%, 7.0%

  Rhode Island: $1.9, 4.5%, 12.6%

  South Carolina: $6.1, 4.7%, 22.0%

  South Dakota: $1.0, 4.5%, 16.3%

  Tennessee: $8.5, 4.5%, 15.6%

  Texas: $33.7, 5.8%, 22.9%

  Utah: $3.0, 5.9%, 22.5%

  Vermont: $0.8, 3.8%, 12.1%

  Virginia: $11.2, 4.8%, 16.7%

  Washington: $9.2, 5.2%, 19.8%

  West Virginia: $2.0, 3.7%, 8.5%

  Wisconsin: $6.8, 4.0%, 10.9%

  Wyoming: $0.7, 4.7%, 11.5%



  Source: National Restaurant Association, 2008 Restaurant Industry Forecast

n addition to containing a national, regional and state-by-state sales and employment outlook, the 2008 Restaurant Industry Forecast provides details on the latest economic, consumer, menu, operator, and workforce trends.

For more information, visit the National Restaurant Association's Web site at www.restaurant.org/forecast . For additional local perspectives, contact the appropriate state restaurant-and-hospitality association, a complete list of which is available on the Association's Web site.

Reader Comments:

Be the first to leave a comment for this article