Aussies want bigger portions, sharper deals and a side of value with their meals out

Running a café, restaurant or bar in 2025 isn’t for the faint-hearted. Rising costs, tighter household budgets, and shifting customer habits make it difficult for hospitality owners to make a profit. New research from the Foodservice Association of Australia (FSAA) and insights platform Vypr has revealed exactly what diners want.  No surprise: Consumers are voting with their wallets, and value is king.

Value for money is the order of the day, according to the Consumer Preferences and Dining Habits report. “Today’s Australians are most drawn to good deals in restaurants. They’re looking for price discounts, generous portion sizes and meal bundles,” the report states.

So, if you’re still holding back on meal deals or ‘two-for-one’ nights, it might be time to sharpen the pencil.

Gen Z and Millennials are keeping restaurants busy

Despite the headlines about everyone tightening their belts, more than half of Aussies (57 per cent) are still eating out at least once a week. The real MVPs? Older Gen Zs and Millennials.

The report suggests this 25–44 year old crowd is “even normalising daily dining out, albeit with smaller average spends”.

In practice, what this means is weekday coffee runs, cheap bites between meetings, or Friday night takeaways rather than three-course sit-downs.

In contrast, over-65s are the least likely to leave the house for a feed. Almost seven in ten eat at home daily, and nearly two in five rarely or never eat out. For hospo operators, that means the growth market isn’t retirees, it’s the younger generations who treat dining out as part of their lifestyle.

Fast food tops the charts, but cafés hold their own

When it comes to where Aussies are spending their dollars, quick-service restaurants are miles ahead. More than three in five (62 per cent) visit the likes of Macca’s, KFC or Guzman y Gomez regularly. Casual dining chains (47 per cent) and cafés (33 per cent) follow close behind.

Interestingly, older Gen Zs and younger Millennials are leading the café charge. For over-65s, cafés are the one venue type they still enjoy, with two in five saying they pop in regularly.

While delivery apps like Uber Eats are part of the mix, it’s mainly the 25–34 age group that drives this demand. They’re twice as likely as the average Aussie to order through an app.

Diners are watching their wallets

The cost-of-living crunch is showing up on restaurant receipts. Three in ten people say they’re eating out less than last year, with one in ten ditching it altogether. And when they do splash out, they’re keeping it modest.

“Over a full week of eating out, four in five Australians spend less than $60,” the report notes.

Not to say you can’t win them over. You just have to be strategic. Price discounts are the clear winner, with 63 per cent of diners saying deals like “$5 off” or “two-for-one” grab their attention. Combo meals and value bundles (45 per cent) and freebies (37 per cent) are also strong pull factors.

Comfort food wins over experimentation

When budgets are stretched, Aussies don’t want surprises on the plate. More than one in three prefer restaurants serving up classic favourites or familiar dishes. Comfort food was the second most popular dining experience overall, scoring almost one in four votes.
Healthy choices and sustainability still matter, they’re just secondary. More than two-thirds of Australians are checking the healthier options on menus, and 42 per cent are considering sustainability when choosing a venue. Yet the report suggests “sustainability is less important than health factors”. So operators should focus on behind-the-scenes changes rather than heavily marketing sustainability as a core unique selling point. In other words: keep the schnitty on the menu, but maybe serve it with local veg and eco-friendly takeaway packaging.

Social catch-ups drive dining out

For all the talk of price, Aussies are still heading out for a laugh with mates or to mark a special occasion. The research found the top reason for heading out to eat is to socialise with friends and family, with almost one in three picking it as their number one motivation.

Celebrations were the next biggest driver, alongside convenience. That’s a cue for venues: highlight birthday deals, group bundles and celebration-friendly offers. Even if it’s just throwing in a slice of cake for the birthday guest, little touches can go a long way.

Reviews can make or break you

One of the sharpest warnings from the report is the growing weight of online reviews. More than one in four people check reviews before trying a restaurant, and one in five say it’s their top deciding factor.

That means it’s no longer enough to rely on word of mouth or a good location. Keeping your Google ratings and Facebook feedback in check could literally decide whether new customers walk through the door.

So, where does all this leave small hospitality operators? The FSAA and Vypr have a few suggestions.

Five strategies to keep consumers coming back:

• Lead with value: discounts, bundles, bigger portions.
• Play to your best customers: Millennials and Gen Zs are dining out the most, so tailor deals and quick-serve options to suit their habits.
• Mix in health and sustainability carefully: offer healthy or local options, but don’t overdo the messaging.
• Polish your online presence: reviews and ratings now carry as much weight as location or menu.
• Package the fun: social dining and celebrations are key drivers, so make your venue the go-to spot for catch-ups.

The report concludes that restaurants that deliver value, maintain quality, and subtly weave in health and sustainability cues will be best positioned to secure loyalty in 2025.

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