# Restaurant Deals Stalled, Traffic Down Since 2018 > Restaurant deals in holding pattern as traffic drops 21% since 2018. - Title: Restaurant Deals Stalled, Traffic Down Since 2018 | Shortify - Summary: Restaurant deals in holding pattern as traffic drops 21% since 2018. Restaurant deals are stalled due to private equity shifts and traffic down 21% since… - Keywords: restaurant finance, traffic decline, private equity, convenience stores, noodles & company, chili's, black box intelligence, technomic, placer.ai, baird, savory fund, garnett station partners - Source: Nation's Restaurant News — https://nrn.com/restaurant-finance/takeaways-from-the-restaurant-finance-development-conference - Read time: 1 min - Topics: restaurant finance, traffic decline, private equity, convenience stores, noodles & company, chili's, black box intelligence, technomic, placer.ai, baird, savory fund, garnett station partners ## Deals aren’t getting done Restaurant deals appear in holding pattern as private equity firms shift focus. > Fewer private-equity firms have been interested in the restaurant space because they’re getting outsized gains in other areas ## Traffic down 21% since 2018 Restaurant traffic has dropped 21% since 2018 with same-store sales up 1.7% for the year. > That’s a lot ## Value definition changing Consumers now prioritize experience over price for restaurant value. > It’s no longer just product. It’s not just price point. It’s experience and that includes QSR ## Convenience stores compete Convenience stores like Casey's are increasingly difficult competitors to restaurants. > Convenience stores are competing directly with fast-food chains like McDonald’s ## Customer base growth key Growth in customer count drives sales more than frequency of visits. > Traffic largely tracks the size of your customer base ## Buyer base shrinking 50-60% of restaurant buyers have evaporated due to portfolio constraints. > 50%, 60% of the buyer base has just evaporated ## Private equity shift Private equity firms focus on other sectors due to higher returns. > Fewer private-equity firms have been interested in the restaurant space because they’re getting outsized gains in other areas ## Sellers need realism Sellers must be realistic about valuations for deals to happen. > Sellers need to be 'realistic' about the valuations they can expect ## Traffic decline impact Lost visits add up over years with industry expanding beyond demand. > That’s a lot ## Value focus shift Experience and quality drive consumer value perception. > It’s no longer just product. It’s not just price point. It’s experience and that includes QSR ## Supermarkets as competitors Supermarkets compete with restaurants as consumers dine at home more. > consumers became more comfortable dining at home during the pandemic ## Independent restaurants up Independent restaurants see higher sales due to better value proposition. > Independent restaurant sales are also up, thanks to their better value proposition and higher perceived quality ## Chili’s growth Chili’s grew customer count by 17% since 2017 with same visit growth. > Chili’s grew customer count by about 17% since 2017 ## Market for deals Some buyers remain but market for deals is shrinking. > There are some buyers out there, like Savory Fund or Garnett Station Partners ## Key takeaway Restaurant deals are stalled due to private equity shifts and traffic down 21% since 2018.