CRG predicts healthy Q4 for restaurants

Central Restaurants Group (CRG) believes Thailand’s restaurant industry looks promising in the fourth quarter thanks to the year-end spending season and rising foreign tourist arrivals.
Between Jan 1 and Oct 13, Thailand welcomed 27.2 million foreign arrivals, led by Chinese, Malaysian and Indian nationals, according to the Economics Tourism and Sports Division of the Tourism and Sports Ministry.
Nath Vongphanich, president of CRG, said he wants the government to consider launching stimulus measures to boost the tourism sector.
“The increase in foreign tourists could lift the economy, which benefits restaurants,” said Mr Nath.
Referring to the government’s 10,000-baht cash handout to vulnerable groups, he said the scheme will have a minimal impact on the company’s quick-service restaurant businesses such as KFC.
CRG is also monitoring the government’s planned daily minimum wage hike to 400 baht nationwide, said Mr Nath.
Initially slated for Oct 1, the increase was postponed because of insufficient attendance at the wage committee meeting.
As demand increases at restaurants, the company is monitoring the impact of the labour shortage on the industry.
CRG regularly adjusts its work processes by embracing technological solutions, aiming to simplify its workflow and increase productivity, Mr Nath said.
Mr Nath said the local restaurant business is becoming more competitive as new players move into the industry.
With the industry’s low barriers to entry, the company must be adaptable to the changing needs of customers and the market to provide them with the best meals and high-quality service.
To be relevant in consumers’ minds, the industry must consistently deliver excellent service, maintain high hygiene standards, offer new experiences through innovative products, and launch attractive promotions at their stores, he said.
Moreover, as social media plays a pivotal role in people’s lives, operators must consider store decoration and dish presentation to make them more “Instagrammable”, said Mr Nath.
“Expanding new stores is achievable, but sustaining a business is not that easy,” he said.
The company aims to reach 16.6 billion baht in revenue this year, up 14% from 2023, said Mr Nath.