May 21, 2024

Mark Calvillo, SVP of Product at Restaurant365 Photo: Adobe | by mark calvillo, Mark Calvillo — Senior Vice President of Product, Restaurant365 From contactless payments to data-driven loyalty programs, restaurants are tapping into technology to redefine the guest experience, meeting the demand for smoother interactions and personalized service. But modern technology isn't just reshaping how patrons engage with restaurants. Behind the scenes, it's helping operators automate tasks, create efficiencies and cut costs. According to 2024 data from the National Restaurant Association, 76% of operators believe technology helps attract younger consumers, enhance kitchen productivity and speed up ordering and payment. While the benefits are clear, many of them feel like they're lagging in terms of adoption. Fewer than half of operators surveyed by the NRA invested in technology to improve customer experience in 2023. Looking ahead, 60% say they plan to make the investment in 2024. But that's not to say you should implement every trendy solution. Instead, the key is to strike a balance between a tech stack that improves your restaurant's guest experience and streamlines back-office operations that could eat into your bottom line. Here's how to get started. Integrated platform at the heart Basing your tech stack on an integrated platform that streamlines repetitive tasks and provides simple, fast and accurate insight into ongoing performance is table stakes if you want to add new experience-enhancing tools into the mix. A centralized platform closely tied to your POS is a strategic asset, transforming your back-office professionals into invaluable business and operational advisors. The ultimate benefit, however, revolves around robust, automated reporting, which is critical to your ability to effectively launch, assess, and decide on the continued use of any new customer-facing technology. By aggregating data from various sources in real time, a centralized system can generate comprehensive reports that provide actionable insights into performance metrics, profitability analysis, and operational efficiencies. For restaurants, this means empowering you and your leaders with the information needed to meet and exceed guests' expectations in an ever-evolving landscape. Choose your tech and test With real-time data at your fingertips, it's easier to decide what additional technology is worth the investment, whether it be a solution for food delivery or a new loyalty program. According to the NRA, nearly half of adults believe technology delivers a positive impact on dining and crave more tech-forward solutions, such as: Delivery tech: More than half of consumers consider food delivery as a staple in their daily lives, and nearly 40% would like to see new and expanded tech options that speed up and simplify the ordering and delivery process. Loyalty perks: As consumers prioritize value, more than half of adults participate in restaurant loyalty programs. Many look for daily specials or discounts before deciding where to dine out, and some are even inclined to dine during less busy times and days of the week if a reward is involved. Tablet menus, mobile ordering, and digital payments: More than one-third of diners would opt for a restaurant that incorporates tech at the table, including solutions to expedite the beginning and end of a meal, like ordering or payment. It also helps to learn what your guests and employees want through direct surveys and gathering insights from industry peers. For example, data from Deloitte indicates a growing majority of customers are open to restaurants that use voice-automated ordering systems and kitchen automation, so long as it adds to a high-quality dining experience. As you evaluate, it's crucial to define what success looks like for each new tool. Metrics may include improvements in customer reviews, net promoter score (NPS), sales volume, or even the potential to tap into new markets. If possible, experiencing the technology firsthand by visiting other restaurants that have implemented it can provide a practical perspective, too. Additionally, consider the implications of technology adoption on your team. Will the new tools require additional training or resources to implement effectively? Assessing ease of use and compatibility with existing systems can help minimize disruptions and ensure a smooth transition. Technologies that streamline workflows, reduce manual tasks, and enhance staff communication can also contribute to higher levels of employee satisfaction and lower turnover rates. Build your long-term strategy around the winners Once the initial data indicates which technologies are paying off, it's time to solidify their role in your long-term strategy. As restaurants spend up to 10% of total gross revenue on IT, expectations should be clear: Any new tool should not only fill a current need but also adapt to future demands, contribute meaningfully to your business's growth, and drive value over time. For example, how do you envision them evolving to meet changing market dynamics and business needs? Are these anticipated changes improvements that add meaningful value to your business, or do they merely introduce complexity without significant benefits? Continuously measuring performance against predefined metrics is critical for determining success. Regular monitoring allows you to identify areas for improvement, optimize processes, and make necessary adjustments to ensure that the technology remains beneficial for both your customers and team. Transform your restaurant Implementing new technology without a comprehensive understanding of its impact on your business is akin to navigating a menu in the dark. By underpinning your business with a platform that not only integrates with new technologies but also helps decipher their value, your restaurant won't just keep up with the industry — it'll set the pace, remaining competitive and relevant while delivering truly memorable dining experiences.