For the restaurant industry, it is the time when we attempt to forecast what’s to come in the near term and many of the recurring images appearing in our crystal balls have to do with technology.
According to Datassential’s 2023 predictions, for example, artificial intelligence will have a “huge” impact on the industry, not just by helping to develop new items but also by easing the continuing labour shortage.
Several restaurant brands have adopted AI technology for tasks such as automating phone orders, receiving drive-thru orders or monitoring coffee systems.
AI-powered self-service technology is also a 2023 prediction from Oracle Food and Beverage.
“Technology like AI-powered voice will optimize phone orders and the drive-thru experience, while self-service kiosks will help take pressure off staff and offer customers additional customization options and flexibility during the visual ordering experience,” said Chris Adams, VP of strategy, adding that self-service ordering capabilities will continue to evolve as customers become more familiar with the technology, pointing to in-car digital assistants as an example.
Notably, tech-related predictions extend well beyond AI ordering and self-service. Adams expects restaurants to become more reliant on data pulled from systems that are increasingly more integrated to best achieve efficiencies.
Technologies like kitchen display systems, end-to-end payment processing and streamlined point-of-sales systems will better enable concepts to simplify their business while achieving more workplace satisfaction and profitability.
Technology has also become an important catalyst for driving and maintaining the customer experience.
This includes loyalty, with Adams noting that loyalty programs now need to cultivate an authentic relationship that demands an emotional connection, beyond transactional rewards.
“The objective is to create more engagement and stay top-of-mind with customers, including when they’re not hungry.”
We’re already starting to see this loyalty evolution take shape and the benefits extend beyond meeting customer expectations. New data from BentoBox, for instance, finds that revenue from loyalty program promotions jumped by nearly 75 percent year-over-year.
These predictions just scratch the surface of what the 2023 crystal balls can show.
There is, of course, menu, marketing, pricing, financing, growth, real estate and labour implications to consider – among other trends. But, for now, the tech piece seems to be particularly critical to both meet changing consumer expectations and achieve efficiencies amid a persistently challenged environment.
Notably, and well beyond 2023, tech investments are also likely to help with future proofing. As Datassential pointed out, Gen Alpha – those born between 2010 and 2024 – are starting to gain a significant amount of influence. In fact, the generation is expected to have the greatest spending power in history, and restaurants are wise to take notice sooner than later.
“They already impact what their family buys, while a generation of kid influencers are having wider impacts,” noted Datassential.
“This generation was largely raised by their Millennial parents, will be more diverse than ever, and have used technology since they were babies.”
