I stumbled across this incredibly insightful infographic from Deloitte UK exploring some of the key trends impacting the casual dinning sector.
The reasons are mainly put down to margin pressures mounting as a result of higher labour costs, higher business rates and increased food costs. At the same time, consumer confidence is falling, with inflation and sluggish wage growth beginning to squeeze disposable incomes.
It also explores some of the interesting trends shaping the industry of which are mainly been led by millennials, such as the desire for more healthy eating, informal and experiential dining experiences, as well as increased consumer focus on food provenance and sustainability.
Most interestingly is the part technology is now playing within the sector which is increasing its impact across the whole of a restaurantâs operations, whether it be to provide delivery and pre-ordering services, or connecting to consumers in-store to offer customization, menus and dynamic pricing.
Definitely worth a read if you work in this sector
connecting to consumers in-store to offer customization menus and dynamic pricing
Just wondering who actually asks for this? The last thing I want when Iâm at a restaurant is to fiddle around with a phone (or other âdigitalâ thing), have to agree to 100 page-long terms & privacy policies. Whatâs wrong with a paper menu already?
Is this going to be another stick to beat millennials with? I refer to Russell Howardâs rant about it this week on âThe Russell Howard Hourâ in that millennials are being accused of killing everything from marmalade to breasts. Now I imagine we will be accused of killing casual dining and putting people out of jobs.
Self service is growing massively outside the supermarket sphere. Businesses like MacDonaldâs, Odean, Weatherpersons, Pizza Express just to name a few, have all adopted this kind technology for two reasons.
1, A clear demand for improved convenience and personalization amongst consumers.
2. A Need for businesses to alleviate the pressures of rising costs around staffing.
Also look at the success of services like just eat and deliveroo, their popularity is a clear indication of people asking for this type of technology.
The reality is if the technology is easy to interface with then its not a matter of fiddling around with a device.
Itâs one thing using technology when Iâm grabbing a quick bite to eat from McDonaldâs. But when I go to a restaurant for a nice meal I donât want to be pissing about with an iPad on the tackle or a phone app. For a sit-down restaurant, thatâs a bit too gimmicky.
Just because you are not been asked to order your food through an iPad does not mean this kind of technology is not been used, you just donât see it.
POS technology has advanced massively in recent years, and its not to benefit you, its to benefit the business.
When you order your meal from a server that order is processed through a POS device, that device tells your server what to upsell and cross sell to you based on what you have ordered. This can mean the difference between increasing the average spend per head by up to 30%. Thats a big deal for businesses.
When your order goes through to the kitchen it enters the KDS where your order along with every other order is managed to more efficiently ensure your table is turned over within the shortest time possible.
If the demand for service is there, itâll stick around. If people would rather use technology, then itâll get implemented. Itâs not a matter of the company doing it just to be awkward in some way. Yes, it may help them keep costs down and make more money but ultimately they wouldnât do it if their customers didnât want it.
On another note, I really hate this term âmillennialsâ, particularly when a lot of the time it has negative connotations which I donât even identify with. Yes, I eat smashed avocado, but I also like marmalade, napkins and especially boobs. Oh and I own my own house
To be honest, this point of view occurs with every generation. My generation, Gen X, inherited that derogatory moniker from its elders because it was the first generation perceived to be aspiring to less than its predecessors.
The generation which came to be known as the Baby Boomers was criticised as being too frivolous postâwar in the era of rock and roll.
This is quite meta, but it does seem particularly Millennial to feel it is the first generation to be picked on.
Us millennials werenât around to witness you Gen X lot being picked on but you can relate to us millennials as weâre now facing the same treatment. Be the change, break the cycle, hug a âmillennialâ.
Next news headline: âMillennials ruin bullying for older generationsâ
