How crowdedness influences restaurant patronage in the COVID-19 pandemic
From the buzz of a crowded restaurant to the anticipation of a packed queue, the crowdedness of a service environment is a key signal to consumers that influences their perceptions of quality, value and image. Too many people, and the service space feels crowded and inhospitable, too few and the environment feels barren and alienating. Many retailers, particularly in hospitality, invest significant effort into to finding and maintaining the sweet spot of crowding, using their own patrons to build an inviting and engaging environment while positioning their brand as in demand.
Research into crowdedness in service settings shows that how crowded a service environment feels is the result of interaction between spatial density (the nonhuman components, such as the number of tables) and social crowding (the human element, crowds and the degree of social interaction taking place). In restaurants, moderate-density seating and large crowd numbers communicate quality and desirability to customers, while stimulating the need to belong. Large crowds also encourage purchases, by both increasing physiological arousal, and increasing the relative influence of emotions to inform snap decision making.
However, highly crowded environments magnify the risk of contracting communicable diseases such as the COVID-19 virus. This has resulted in restaurants facing the difficult balancing act of promoting an inviting service environment through crowd management, while also minimising the risk to patrons inherent in crowdedness in a closed space. This research seeks to inform these decisions by investigating how crowdedness and visibility of safety measures (such as physical barriers and hand hygiene) influence restaurant patronage across US and Australian customers.
Method and sample
This research used an online experiment to simulate restaurant scenarios with different densities and layouts. Participants were adults over 18 years of age and recruited online from Australia (n=591) and the USA (n=593) during September and October of 2020. Each participant was shown a different restaurant scenario, varied between degree of crowding (high vs. medium vs. low) and safety measures used (Protective partition screens vs. increased distance between tables vs. not using in-between tables vs. no safety measures). Participants were then asked to either eat at the restaurant, order takeaway from the restaurant or leave and look for another option. Questions regarding the establishment’s perceived comfort, popularity, price, reputation, quality, safety and COVID-19 preparedness were assessed via a seven-point scale. Demographic measures, as well as self-reported severity of the COVID-19 pandemic in their location were also assessed.
Key findings
1. US customers perceived the COVID-19 pandemic as more severe than Australians, and this perceived severity negatively impacted on customer’s decision to dine in across all simulated scenarios. This did not impact on the decision to order takeaway, however.
2. US customers were most sensitive to crowdedness, with even moderate crowding decreasing both dine in and takeaway intentions. Australians responded negatively to high crowdedness, but not medium crowdedness.
3. Australian customers are most sensitive to different types of safety measures, with their presence increasing both dine-in and takeaway orders. Social distancing measures led to more choosing to eat in, with not using in-between tables having a greater impact than just increasing the distance between tables. Partitions between tables had a positive, but lesser impact.
4. US customers were less sensitive to safety measures than Australians, but still dined in more when these were present. They preferred social distancing measures to partitions.
5. Lower levels of crowdedness and the presence of safety measures were found to significantly influence consumer perceptions of the restaurant in terms of safety, comfort, popularity, price, reputation, quality, effort to protect diners against the spread of COVID-19, the effectiveness of the safety measure, and social responsibility.
6. Analysis showed that the impacts of safety measures and crowdedness on patronage decisions was due to the effect these had on perceived safety, comfort, popularity, and quality.
Recommendations
Crowded dining environments greatly decrease consumers’ patronage intentions for both eating in and ordering takeaway, however, as the number of patrons directly influences sales revenue, managers much carefully balance these two opposing forces to determine the density that optimises revenue. Comparing results from US patrons and Australian patrons, this research also shows that the more severe the perceptions of the COVID-19 pandemic the more sensitive customers become to the impact of crowding. This suggests that managers need to consider their patrons perceptions of risk when managing this optimal density.
Both Australian and US consumers are more likely to patronise restaurants that use safety measures than restaurants without safety measures, and these measures also make it more likely for customers to eat in than order takeaway. These findings suggest that managers should include and accentuate safety measurers in their service space design, particularly those that increase spatial density while decreasing crowding, such as not using in-between tables, as these methods create clear signals to customers about the safety and comfort of the establishment.
Safety measures also support psychological feelings of safety, which increase both in-person and takeaway patronage. Importantly, these safety measures make customers feel safer, and thus more likely to order, even when they provide limited actual safety benefit (in the case of take-away orders which are not impacted by in-restaurant measures). This suggests that restaurant operators should continue their safety measures post-pandemic, not only to support consumer health and wellbeing, but to send clear signals to customers that their safety and comfort is a priority.
Researcher
More information
The research article is also available on eprints.