Restaurant Industry Roundup: November 2019
With one month left in the decade, it’s hard to believe how fast this year has gone. ‘Tis the season for all things peppermint flavored! We shared earlier in November how to market for Thanksgiving in your restaurant, and just like Jay-Z, we’re on to the next one. This month’s news is refreshing with minty notes of increasing restaurant profit and traffic with delivery; industry predictions through 2030; Wingstop’s partnership with Twitch and Olo’s BMW trial. The weather outside may become frightful, but this restaurant industry roundup is delightful!
3 Ways Delivery Can Increase Your Restaurant’s Profitability
Off-premise is now a way of life for customers. When it comes to getting their food delivered, customers expect the food to be the same quality to the food they would order directly in a restaurant. Nikki Neuburger, Uber Eats’ Senior Marketing Director, says “restaurant-specific food delivery sales will increase 77% by 2020.”
How can operators overcome the challenge of implementing their own delivery service? Uber Eats, provides three ways to increase restaurant profitability and traffic.
- Increased visibility – According to Neuburger, “Joining a delivery platform allows operators to reach customers who might not have discovered them otherwise. Customers are selecting more for convenience.”
- Customer relationships – It’s suggested that restaurants partner with third-party delivery services to be able to stay in front of increasing demand from their customers during busier times of the day. A third-party delivery service will also allow restaurants to cover a larger area geographically.
- Valuable insights – With a third-party delivery service partnership, restaurants have access to customer data and key business insights. Per Neuburger, managers can recognize customer buying trends based on specific parameters.
Restaurant Industry Projected To Hit $1.2 Trillion In Sales By 2030
The decade is coming to an end and the restaurant industry has seen technologies focused on convenience, industry labor issues, and an ever-growing, oversaturated market. In fact, the past few years has affected the restaurant industry more than any years in the past. What will the restaurant industry look like in the next 10 years?
According to the National Restaurant Association’s “Restaurant Industry 2030 Report”, the conclusion drawn is that the industry will continue to change at the current lightning speed pace and competition within the industry will continue to become fiercer. Check out the report’s ten predictions for the next decade of the restaurant industry:
- The definition of “restaurants” will change.
- Off-premise opportunities will grow.
- Margin pressures will continue to occur.
- Prioritization to make data-driven decisions.
- Consumer demographics will change.
- Change in labor recruitment and retention will continue to be an industry focus.
- Technology will have a hand in supply chain logistics.
- Regulation and legislation will have huge effects on the industry.
- The industry will still focus on sustainability.
- Industry’s foundation of hospitality and service will not disappear.
Wingstop lets Twitch users order food while watching livestreams
According to a company announcement, Twitch users don’t have to leave the platform without leaving their livestreams. Wingstop created a Wing Calculator, in which, viewers answer a series of questions to complete their orders. Once they answer the questions, a Twitch streamer will provide them menu suggestions. Then users will be taken to Wingstop’s website to complete their order and pay. The Wing Calculator is an extension within Twitch.
This extension is one of a few examples that demonstrates Twitch’s flexible Extension apps. Twitch is adding these Extensions as another channel for e-commerce revenue. Wingstop’s goal is to reach younger audiences and has been experimenting with multichannel campaigns throughout 2019. In May, the company let their customers “vidbomb” a commercial. Additionally, during its “Flavor World” tour, Wingstop had several pop-up locations with special video booths for fans. Once fans recorded these videos and they were shown in Times Square and across social media.
Portillo’s Hot Dogs, Nekter Juice Bar Test In-Car Ordering
Olo has launched a food ordering trial through BMWs in the U.S. until the end of the year. This trial will allow BMW owners to send orders to Portillo’s Hot Dogs and Nekter Juice Bar locations across the country through the BMW Labs website. The purpose of this trial is to explore how a guest ordering experience can be translated to an in-car setting. The trial is only available to BMW compatible vehicles that are 2015 models or newer.
When users log into the BMW Labs site, their vehicle compatibility will be verified to see if they can order from these two companies. Through this online ordering experience, trial participants can simply order and pay with the push of a button. Then they are provided driving directions to the location to pick up their orders. Nekter Juice Bar and Portillo’s Hot Dogs are the first brands to be a part of the trial.
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About the Author
Devyn Nance is the Marketing Coordinator at QSR Automations. She graduated from the University of Louisville with a bachelor’s degree in Communication and from Loyola University Chicago with a master’s degree in Global Strategic Communication. She considers herself an (amateur) profiler – trained solely from watching every episode of Criminal Minds. Outside of work, Devyn loves to shop, travel, hang out with friends and family, read, and watch shows on various streaming platforms.