First Retail, Now Amazon Is Undermining... Restaurants?
Weak same store sales in July have analysts questioning whether the tepid recovery in restaurants is over. After rising slightly in May and June, it appeared the industry was finally regaining its footing, but now that sales have turned south again, it may be that what's affecting retail in general is now spreading to restaurants. In short, Amazon.com (NASDAQ: AMZN) may be weighing heavily on dining out.
For all the hopefulness surrounding the two-month rise in comps, fewer people are still eating out, and it doesn't matter if it's fast food or casual dining chains. Customer traffic is down and has been for the last 17 months and for 21 of the past 22.
Image source: Getty Images.
Source: Fool.com
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