Restaurant Industry News Roundup: February 2019
Even though February was a short month, it was full of restaurant industry news. This month’s appetizer consist of OpenTable’s efforts to reduce no-show reservations and last-minute cancellations. The main course includes kiosk implementation and the ability to lift ticket sizes up to thirty percent, with a side of millennial trends to consider in 2019. We’ve finished off this healthy portion of technology trends for takeaway in Britain. This month’s roundup is a full course!
OpenTable Report Shows 34% of Diners Fail to Show for Table Reservations
In the UK, a third of diners fail to show up for restaurant reservations. Specifically, 4.6% of the no-shows occur from mobile bookings and 4.4% online bookings. Young adults between the ages of 16 to 24 years are the group that is most likely not to show up for their restaurant reservations. London has been reported as the largest city for no-shows, with 40% of diners saying they have not shown up for their reservations at restaurants.
In response to this trend, OpenTable has launched a campaign called Book Responsibly. The campaign strives to decrease the number of reservation no-shows and to ultimately make diners think twice about not showing up once they’ve booked a reservation.
“We have launched this campaign to help build awareness amongst diners of the issue and showcase how we continue to leverage our technology and diner network in ways that only OpenTable can to help reduce no-show rates and mitigate the impact of late cancellations,” according to OpenTable’s Vice President of EMEA.
Additionally, if customers do not show up for four reservations in the course of a year, OpenTable will stop them from making reservations on the app and the website.
How Effective Kiosk Deployment Can Lift Ticket Sizes Up to 30 Percent
Recently, restaurant operators wondered if customers would use kiosks at restaurants or whether kiosks would harm guest services. However, kiosks are becoming more common place and the question has become how kiosks can be used effectively. Kiosks have become a proven concept because customers are choosing to patronize restaurants that offer self-service opportunities. ZIVELO, a company that has helped restaurants install restaurant ordering kiosks, has seen its partners experience an increase in customer loyalty, satisfaction, and sales (up to 30 percent). ZIVELO recommends having a strategy before rolling out a kiosk system because restaurants will face challenges without one.
If customers experience a fully-immersive kiosk, they are more likely to spend time customizing their orders and create larger tickets. In addition to creating an immersive experience and larger tickets, other factors to consider include placement, scheduling, and maintenance.
What do Millennials Want in a Restaurant? Five Key Trends
Millennials make up one-third of the annual revenue for restaurants. The goal of millennials when they visit a restaurant is to “find the balance: human touch vs. high tech.” According to research, millennials spend 13% of their income dining out.
There are five particular things millennials are looking for in a restaurant including unique dining experiences; affordable food and connecting with technology. When it comes to a unique dining experience, social media platforms like Instagram are driving factors for millennials choosing where to eat. Millennials want to show their peers what they are eating and why it is different based on the experience and the food. Considering affordability, research shows that 35% of millennials prioritize saving money. Additionally, global law firm CMS reports that millennials have more money to spend when it comes to food. Thus, 36% of millennials are willing to pay more in restaurants that have outstanding service.
Order Up: The Technology Trends Powering Takeaways in 2019
British consumers are expected to spend 22% more on takeaway deliveries by the end of 2020. As restaurant technology continues to evolve, these predictions are only going to increase. What technologies are driving the takeaway industry this year? Mobile apps are giving customers more options than before right at their fingertips. Jurgen Ketel, a restaurant industry executive in the UK, predicts that restaurants will have to create their own delivery app to remain competitive.
Technology is also changing delivery methods, customers can track their delivery to their doorstep. Automated delivery drones and robots are also entering the industry to create efficient and effective delivery methods. These and other technology trends are expected to continue to increase in the future.
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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.