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Scorching Summer Of 2024 Slashes Delhi NCR Restaurant Business By 40%

For non-mall restaurants in Delhi-NCR, the summer of 2024 has been particularly harsh, with a significant drop in reservations, foot traffic, and nearly empty lunch hours

When temperatures soar past 40 degrees Celsius and the summer heat becomes unbearable, venturing out for lunch seems impractical. Even as the hot winds persist into the night, dining out for dinner is hardly appealing. As per media reports, for non-mall restaurants in Delhi-NCR, the summer of 2024 has been particularly harsh, with a significant drop in reservations, foot traffic, and nearly empty lunch hours, leading to an estimated 25 per cent decline in business. Some eateries report the drop could be as high as 40 per cent.

Rahul Arora, the owner of The Big Tree Cafe in Gurgaon, is facing this challenge. His restaurant, known for its al-fresco dining experience, typically thrives during much of the year. However, the relentless heat has left him staring at empty tables and substantial losses.

Arora mentioned, "Typically, we do see a slight reduction in footfalls during the hotter months, but this year, the decline has been more pronounced due to the extreme temperatures. This has had a substantial impact on our business, affecting both our revenue and the overall dining experience that we pride ourselves on."

He added, "We have suffered a huge 40 per cent drop in business due to the record-breaking sweltering heat." 

Temperatures in and around Delhi have reached unprecedented highs this summer. On 29 May, the Safdarjung Observatory recorded a maximum temperature of 46.8 degrees Celsius, the highest in 79 years, breaking the previous record of 46.7 degrees Celsius set on 17 June, 1945. In the Najafgarh area, temperatures soared even higher.

According to industry insiders, lunch hours have been particularly affected, as office workers and regular shoppers opt to stay indoors. Additionally, avid foodies are skipping their weekly dine-outs in favour of staying home. The noticeable drop in foot traffic in major market hubs like Connaught Place is a concern, said Manpreet Singh, treasurer of the National Restaurant Association of India (NRAI) and owner of multiple restaurants, including Zen and Fujiya.

Singh pointed out, "Usually, even in summer, people during the afternoon would come out to shop and then to take a break they would head to a restaurant, where they would rest, have a cooler or take a bite. This has not been the case this year... There has been a 25 per cent drop in business in general."

To counteract the heat, restaurants are offering attractive discounts, adjusting their menus, and improving outdoor cooling with mist fans and additional shaded areas. 

For example, the casual dining chain Anardana is hosting a refreshing plant-based summer event. They feature dishes made with seasonal ingredients and cool mango beverages at multiple locations to help customers beat the heat.

Shruti Malik, founder of Anardana underlines that this year's unprecedented heatwave has significantly impacted footfall, particularly at lunchtime. 

For those staying in, ordering out is the alternative. While home deliveries have somewhat eased the concerns of restaurant management, food delivery agents are bearing the brunt of the heat.

As they zip through the streets of Delhi-NCR, these young men and women face a gruelling time, sweating under their helmets in the blistering heat for modest earnings—sometimes as low as Rs 40 for a 10 km ride plus the occasional tip. 

A 36-year-old delivery worker described working between 11 am and 3 pm as a ‘living nightmare’.

"We have to stop multiple times for shade. The sun is so bright that we can't even see our mobile screens for maps. All I can do to keep cool during rides is place a wet handkerchief on my head beneath my helmet," he said, speaking anonymously. 

He added that there are no bonuses for working in the summer.

In an unusual move, food aggregator Zomato recently urged customers to avoid ordering during peak afternoon hours amid the heatwave. 

The appeal, posted on social media (on X), sparked a debate. Some appreciated the company's concern, while others suggested alternative solutions to the problem.

Rushabh Jhaveri, Founder, Recipe Cup, also a food aggregator platform, praised Zomato's initiative but suggested a more nuanced approach that prioritizes delivery partners while ensuring a smooth customer experience.

His recommendations include offering incentives for delivery partners during peak afternoon hours and encouraging customers to place pre-orders during the morning and evening to avoid the extreme afternoon heat.

For restaurants located in air-conditioned malls, the impact of decreased afternoon foot traffic has been offset by an increase in evening visitors, according to industry insiders.

Outlets such as Birch at Netaji Subhash Place's Pacific Mall, Harajuku Tokyo Cafe at Saket's Select Citywalk Mall, and Bira 91 Taproom, with locations in various malls, have reported a ‘significant increase’ in evening and nightlife sales. 

"The heatwave hasn't disrupted our business. In fact, we've had the best May ever and are expecting a stellar June. Most of our outlets are in malls, where people are spending more time to escape the heat. This is boosting our business," said Rahul Singh, Senior Vice President – Pubs, Bira 91.

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