Analysis of factors influencing USA households' choice of ethnic restaurants

Abstract

Purpose This study empirically identifies household demographic and socioeconomic characteristics as well as restaurant characteristics that affect the probability of households choosing an ethnic restaurant (American, Asian, European, Mexican and other) in the USA. Design/methodology/approach A multinomial logistic regression model is applied using the data derived from the information from the National Household Food Acquisition and Purchase Survey conducted between April 2012 and January 2013. Findings The empirical findings suggest that such factors as the unit cost on away-from-home food items (i.e. price), region of residence, primary respondent's ethnicity, race, education level, marital status and employment status as well as such restaurant characteristics as availability of loyalty program and presence of coupons significantly affect the probability of households choosing a particular ethnic restaurant in the USA. Research limitations/implications The original dataset employed in this study does not permit the quantification of information associated with size, location, and number of years in operation for the ethnic restaurants considered. Also, the dataset does not permit the classification of the ethnic restaurants included in the “other” category. Originality/value To the best of the authors' knowledge, there has been no empirical micro-level analysis associated with determining factors impacting households' choice of ethnic restaurants using a polytomous logistic regression model allowing for a wide range of ethnic restaurants and covering the entire USA, based on an extensive set of household demographic and socioeconomic factors and restaurants characteristics. As such, the current study plugs this research gap, with the empirical findings furnished by this study being of importance to ethnic restaurant operators (owners) in the operators' effort to develop effective marketing strategies.