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It’s fair to say that the foodservice industry has had a tumultuous few years, and this year is no exception. In 2022, operators will face new challenges such as rising prices and labor shortages. The global online food delivery and grocery market continues to grow even as consumers return to indoor dining.
That’s because today’s consumers are so used to the convenience of online ordering — they’re even willing to cut back on other activities in order to continue enjoying restaurant-quality meals at home.
Why Restaurant Technology Matters
To meet customer expectations and adapt to changing trends, F&B operators must be nimble and agile – and this is nothing new. But today, restaurants must meet consumer demands across multiple channels and touchpoints, providing customers with a seamless experience anytime, anywhere.
This is where restaurant technology comes in. In today’s golden age of technology, many technological solutions are readily available to improve restaurant resource efficiency, paving the way for much-needed flexibility and adaptability.
Adoption of technology also enables restaurants to run efficient businesses across the board, as it automates tedious or error-prone processes, streamlines your back-office (BOH) and front-of-house (FOH) operations, and allows business systems to communicate. As such, technology can help owners achieve their ultimate goal of creating an exceptional customer experience and making their food service business as profitable as possible.
Let’s see what technologies will emerge next year.
#1 Automation, Artificial Intelligence and Robotics
Automation has been around for some time in manufacturing and food processing, but not so much for restaurants.
This is changing. Operators are looking at automation, robotics and artificial intelligence in response to high labor costs, staff shortages and menu inflation. These technologies automate specific tasks, or at least eliminate several steps for employees. As a result, they have increased efficiency and product consistency, helping them provide better service.
Additionally, the restaurant industry is turning to artificial intelligence. While you might think AI sounds extreme, some smart kitchen technologies are relatively simple, easy to implement and already in widespread use. Finally, drone food delivery took off this year (really!), allowing customers to get food delivered faster and at a lower cost. No doubt more delivery restaurants will start partnering with drone companies soon.
#2 Virtual Brand Marketplace
Due to the widespread success of virtual brands on food delivery platforms, more restaurants will launch their own virtual brands in the coming year. In a recent survey by Deliverect and Qoot, 70% of respondents said they planned to open a new dark/cloud kitchen business.
Why don’t they? ! Virtual brands can help expand reach and delivery radius, increase sales and try new dishes to meet demand. Kitchen space can also be optimized by preparing food during off-peak hours.
However, while building a virtual brand is easy, market research is required to identify market gaps, compare competitor offers, and develop a suitable marketing and branding strategy. This requires time and resources that are not necessarily available.
#3 Contactless payment and ordering system
Demand for contactless processes has grown significantly since the onset of the pandemic. Mobile ordering, payment apps and QR code menus offer many benefits to food businesses and their customers. They help increase table turnover, optimize operational processes and give restaurants access to customer data, helping them create meaningful connections with guests.
On the customer side, contactless ensures safer payment transactions, greater order accuracy and an overall improved dining experience.
#4 Digital Loyalty Program
As diners cut back on spending due to the global economic crisis, restaurateurs are investing in loyalty programs to boost customer spending and encourage repeat business.
It is five times cheaper to retain an existing customer than to acquire a new one. Existing customers are also more likely to try new dishes and spend more. So investing in your loyal regulars makes perfect sense.
While some companies prefer old-fashioned punch cards, digital loyalty programs are gaining popularity because they address consumer demand for a contactless experience. Digital loyalty programs allow customers to sign up online or through an app — for example, using a phone number or email. The program then tracks their spending and suggests rewards based on past purchases.
One of the best things about loyalty programs is that they come in different shapes and sizes. In other words, they can be as simple or as complex as you want. One of the trends we’re seeing today are programs that offer instant incentives, such as in-store discounts or reduced delivery prices. Or, you can offer a free drink, appetizer, or dessert after multiple visits or orders.
Finally, most digital loyalty programs can be integrated directly into your restaurant POS, making it easier than ever to track, personalize and redeem rewards.
#5 Online Order Aggregator Software
The global online food delivery industry shows no signs of slowing down and is expected to reach a size of $369.97 billion by 2030.
Foodservice operators and Q-commerce businesses have been turning to online ordering systems and (third-party) delivery services over the past few years to meet growing demand. Next, they will look to optimize their online ordering business and maximize its potential. This is why delivery aggregator software will gain wider adoption in 2023.
Online order aggregator software is designed to help restaurants easily manage online orders. At the most basic level, it aggregates all online orders and syncs them with the restaurant’s POS, improving the operational flow of the business.
But the most advanced delivery management platforms do much more than that. They also enable restaurateurs to efficiently manage their menus and inventory, and help you gain valuable insights into sales and consumer behavior. Best of all, the software integrates seamlessly with other software systems so you can get a real-time, 360-degree view of your business.
Restaurant tech is the way to go in 2023
Restaurant technology and automation can help restaurants remain flexible and adapt to changing realities, increase the efficiency of day-to-day activities, and provide owners with all the tools they need to build a profitable business.
While there are countless restaurant technology solutions you can adopt, some platforms will be extra handy in the coming year because they fit the needs of today’s consumers. We recommend researching contactless payment and ordering systems, digital loyalty programs, virtual brand marketplaces, delivery aggregator software, and automation and robotics platforms. Implementing these technologies can help food businesses go from surviving to thriving.
About the author: Naji Haddad is the Managing Director of Mena at Deliverect.
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