[ad_1]
The National Restaurant Association released its annual State of the Industry Report for 2024, and not surprisingly, technology is one of the top concerns for consumers and operators. In fact, according to the report, more than three-quarters of industry players believe technology gives them a competitive advantage. But they still believe they have a long way to go, as only 13% of operators said their restaurant technology is leading the way. To bridge the technology investment gap, 60% of businesses said they plan to invest in consumer-facing technology in 2024, while just over half plan to invest in kitchen-facing technology.
“To the extent that there is any experience with technology in restaurants, the pandemic has accelerated the adoption of technology in restaurants,” Hudson Riehle, senior vice president of the research and knowledge group at the National Restaurant Association, told National Restaurant News. It shows that across all aspects of restaurant technology, more operators expect to invest more this year than last. “
Here are other technology-related insights gleaned from the State of the Industry report:
Full-service restaurants should step up their tech game
The data shows that consumers are more likely to say technology has had a positive impact on their experience at full-service restaurants (46%) compared to limited-service restaurants (39%).
However, consumers aren’t looking for kiosks and robots in their full-service restaurants: More than a quarter of respondents are looking for technology that makes ordering easier and faster, while 30 percent Respondents are looking for technology that makes it easier to pay (perhaps to avoid having to greet the waiter at the end of the meal).
While consumers acknowledge that technology enhances their experience, a majority (64%) still prefer a traditional service experience over the high-tech experience of a dine-in restaurant.
An easier ordering experience beats shorter wait times
For a quick-service restaurant experience, the top item on their restaurant technology wish list is anything that makes ordering easier and faster (such as kiosks, digital menu boards and order-ahead meals). Ease of use was even ranked higher than speed of service, proving that technology availability is more important to many customers than getting their food faster.
Technological adaptation completely cuts across generational lines
For every question asked of consumers about technology needs and adaptations, overall, younger generations prefer more technology, while older generations prefer traditional hospitality services with less technology.
For example, 73% of Gen Z prefer to order from restaurants that offer third-party delivery (27% prefer to order directly from the restaurant), while Baby Boomers are the exact opposite of their younger counterparts, with 73% preferring to order directly from the restaurant. When ordering from restaurants, only 27% prefer third-party delivery apps.
Even more surprising, Gen Xers are more likely to align with younger Millennials than with older Baby Boomers. For example, Millennials and Gen Xers are most likely to want technology that facilitates faster and easier ordering. Millennials are also the most likely to sign up for a digital loyalty program, with two-thirds saying yes. Younger Gen Z are most likely to prefer a high-tech restaurant experience to traditional hospitality.
Most people prefer ordering from delivery apps
Now that dining out is firmly established in the American restaurant experience (more than half of respondents said takeout is an important part of their lifestyle), where are customers ordering food? While this may have reversed before the pandemic, 53% of adults said they would prefer to use technology like third-party delivery in their food ordering experience. In addition, 59% of respondents said they had ordered goods through a third-party app in the past year, and nearly three-quarters of Gen Z had done so.
Automation augments, rather than replaces, workers
Technology encompasses more than just consumer experience. Nearly half of operators say automation will become more common in 2024 and beyond. However, operators should not rush to replace human workers with artificial intelligence: Some 69% of operators said automation will enhance rather than replace workers, and only 14% use automation to replace workers.
For more complete details on the report, including sales forecasts and labor force data, read here.
Additional reporting by Alicia Kelso, Nation’s Restaurant News executive editor.
[ad_2]
Source link