Consumers like a limited-time offer: Whether it has to do with short attention spans or a desire for something new and different, there has been a 64 percent spike in LTOs in the past five years, according to Technomic. Their research also found that a majority of female consumers and millennials are drawn to innovative dishes, new flavors and menu launches when they choose a restaurant, and 30 percent of quick-service customers would visit a restaurant they wouldn’t normally visit if it meant taking advantage of a unique LTO. Restaurant Business advises operators to consider several factors when developing an LTO to attract guests. First, set a goal you’re hoping to achieve and design your LTO around it. (An LTO that will bring in guests for several weeks or months will need to have broader, more mainstream appeal than an LTO designed to generate a lot of buzz for a short time.) Second, consider your demographics and let your data guide your decisions. Preferences will vary across generations and genders, so consider everything from your LTO’s ingredients to its portability when anticipating how guests are likely to perceive your offer. Finally, use language that describes the sensory experience of eating what you’re selling (e.g. think “crunchy” vs. “breaded”) and promote the health-conscious aspects of your LTO. Words like “fresh,” “local” and “made from scratch” tend to score especially well with consumers.
Facial recognition technology has become a trend to watch in restaurants this year. While it may sound Orwellian, its potential for streamlining the payment process and loyalty programs is difficult for restaurants to ignore. A number of quick-service restaurants around the country have begun using biometric facial recognition to profile each customer’s order history, demographics and loyalty points. The technology appears to be best suited for the quick-service space at the moment but as rollouts occur across categories, note the effects (positive and negative) it has on customer experience.
Is your restaurant known for its local flavor? Do you (or could you) offer a creative dining experience or other event that could become a memorable part of a person’s vacation or business trip? Consider who may be passing through town in search of a good meal. Skift Research found that 43 percent of tourists plan their travel with food as the main purpose. Tourists and business travelers are often looking for an authentic, local dining experience — and then posting about it to their friends online. Local Airbnb hosts, hotel companies, delivery providers and other complementary businesses can be helpful partners who can connect you with potential customers. Consider DoorDash’s new partnership with Wyndham Hotels & Resorts, which allows guests at its 3,700 U.S. hotel properties to bypass room service and get restaurant delivery for free from DoorDash member restaurants. (InterContinental Hotel Group already has a similar relationship with OpenTable and GrubHub, while Resy also works in partnership with Airbnb, allowing guests to make in-app reservations at a curated selection of restaurants in a number of cities.) But even without formal partnerships you can get the word out to people visiting your area. At the very least, get to know the travel bloggers who cover your region so you’re on their radar when they suggest local dining options.
Do you know your business case for managing food waste? According to a recent report from the World Research Institute and the Waste and Resources Action Programme, restaurants can earn $7 for every dollar they spend on food waste management. AgFunder reports that the research behind the study assessed the food waste management practices of more than 100 restaurants in 12 countries, including restaurants ranging from international quick-service brands to upscale, sit-down restaurants. The participating restaurants tried a “target, measure, act” approach to food waste, which involved measuring the food being wasted to identify the biggest pain points, then engaging staff, reassessing inventory and purchasing practices, reducing overproduction and repurposing excess food. Participating restaurants reduced food waste by 26 percent on average, and more than 75 percent of the restaurants had earned back the investment they made to cut food waste in the first year alone.
Build a culture of positive customer experiences
Do you have a culture of customer service? It’s not something you can achieve in a one-day training seminar. Justin McGurgin, who has spent 30 years in hospitality and currently runs Zealifi, a company that coaches operators about how to build a culture that provides positive, memorable experiences for guests, spends most of his time working with leaders, not staff. In a podcast on Profitable Hospitality, he said staff are simply a reflection of the leadership they’re getting (or not getting). One-off training seminars are little more than a band-aid fix, motivating your team only as long as your trainer is in the building. So what does McGurgin suggest instead? In year-long training modules he conducts with operators, McGurgin typically spends the full 12 months with the organization’s leaders – junior team members join in for just five months across that time frame. When working with leaders, he focuses on engagement and empowerment. Do you build connections with your team by saying hello when they walk in the door? Scheduling one-on-one meetings with them in addition to group meetings? Acknowledging their accomplishments with a personal note and in group meetings, emails or texts? When something goes wrong, have you empowered staff to handle it, instead of having them come to you for guidance when a customer complains? When you can answer “yes” to those questions, you have the makings of a strong culture. That has important benefits: You’ll be able to attract more stars to your team (and have a better chance of enticing them to stay), you’ll have a team that won’t tolerate weak links (so you won’t be the only one managing quality control) and you’ll have more time to focus on firing up the creativity at the top of your organization, so you can ensure you continue to bring customers through the door.
Where to innovate first? Try your back office.
“Today’s delights are tomorrow’s expectations,” according to the Culinary Institute of America’s Tim Ryan, who spoke at the recent Restaurant Leadership Conference. It’s true of your food, service and technology. If you’re unsure of where to innovate across your operation, automating your back office is a good place to begin, according to Alister & Paine, a magazine for company executives. As the nucleus of your operation, running it smoothly can help you manage your scale and achieve goals with less effort. If you’re comfortably paying vendors by check, for example, the number of checks you need to write each month can escalate quickly (and become a chore) when you invest in marketing, increase your customer volume or hire additional employees. Electronic payments can help you accomplish more tasks more quickly and with less effort. Vendors are increasingly expecting shorter payment terms, so providing payment with the click of a mouse can help you keep valued suppliers and stay a step ahead of competitors. And if your competitors are automating their back office, it will quickly become compulsory – not just nice to have. That said, what works for your competition won’t necessarily work for you. FSR Magazine recommends you audit your operation to identify process improvements you can make to enhance any automation you introduce. That could mean synching different processes or software programs, identifying ways to ensure all invoices are processed correctly, or using a special barcode on invoices if it helps you save money on each invoice. Consider outsourcing your accounts payable if you find your back-office work is taking attention away from providing great food and service. When outsourcing gives you access to a dedicated customer management team that handles your invoices and vendor requests, for example, it can help you gain some visibility and control over your finances while freeing up time for focusing on other parts of your operation.
What’s the next kale?
What is it about kale that made it skyrocket in popularity and become consumers’ favorite superfood? According to Nielsen data, frozen breakfast entrees featuring kale experienced a whopping 391 percent growth in sales between 2016 and 2017. David Sax, who wrote The Tastemakers, said it comes down to three traits: versatility, availability and cultural significance. As Food Dive reports, kale can be eaten raw or cooked, has a long growing season in a range of climates and has become a symbol of health, which in combination made it a must-have on menus and consumers’ dinner tables. The ubiquity of food images and experiences on social media can help foodservice operators predict the next foods and beverages poised for a big break. Food industry analysts say drinking vinegars could be the next big thing to go mainstream. While they’re appearing on menus as kombucha or alcoholic mixers, there’s plenty of room for them to grow.
It is really organic? Buyer beware.
Food labels can mean the difference between winning new customers and losing the ones you have. A recent Washington Post report detailed the story of a 36 million-pound shipment of soybeans that originated in the Ukraine, passed through Turkey, was fumigated with pesticide like regular soybeans, priced like regular soybeans, then labeled “USDA organic” and increased significantly in price upon arrival in the U.S. That shipment, along with two other grain shipments that passed through Turkey and subsequently sparked questions about organic labeling, demonstrate weakness in current U.S. standards determining what commodities are organic. (Approximately half of organic commodities, including corn, soybeans and coffee, come from outside the U.S.) The Post report says although organic food imports from Turkey, China and other countries have invited increased scrutiny, gauging the level of fraud in imported organics is difficult because organic companies have little incentive to announce their suspicions about suppliers.
Swap out the sugar
The message is finally taking hold around the globe: Cut the sugar. Food Quality & Safety reports that sugar sales may grow at their slowest pace this year and next as consumption drops in developed countries. Many such countries have proposed or implemented taxes on sweetened beverages, have banned vending machines in schools and introduced warning labels on high-sugar foods, among other measures. The analyst group Platts Kingsman forecasts sugar consumption to increase just 1 percent, half of the annual growth it has experienced in the past decade. While some countries are accommodating consumers’ cravings for sweet foods by using sugar stand-ins like high-fructose corn syrup, many foodservice operations are reformulating products to decrease the amount of sweeteners overall. Now is the time to consider creative ways to bring sweetness (but not added sugar) to your menu.
Facebook brings (some) restaurants one step closer to customers
Soon, it may not be sufficient to simply have a restaurant page on Facebook – your neighborhood restaurants might be accessible directly from Facebook users’ homepages. Facebook recently made it possible to order food directly from its app menu on the main login page. It allows users to find a restaurant list, review the menu, include a tip and pay for the meal without having to navigate away from their Facebook page. The Next Web reports that on the app menu on the left-hand side of the Facebook home page, a new hamburger icon links to local restaurants that deliver (it currently includes just restaurants using Delivery.com or Slice). While the functionality isn’t universally available yet, look for it to expand and give some restaurants first dibs on hungry customers.
What makes for a professional-looking post? Here’s a cheat sheet.
Social media is a must for any foodservice operation – unfortunately, having a professional presence on Facebook, Twitter, Pinterest, LinkedIn, Instagram or other networks requires you to meet different standards for the photos and logos you post. To help, Louise Myers Visual Social Media, which advises companies about using graphics, photos and other images effectively on social media, provided a cheat sheet to help you navigate the requirements of various sites and the recent updates that could alter what you can post. Visit http://louisem.com/2852/social-media-cheat-sheet-sizes for a handy chart you can reference when posting images to a variety of networks.
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