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Menu pricing isnt just about covering costsits about finding that sweet spot where profitability, customer perception, and operational reality meet. Set prices too low, and youre leaving money on the table. Most operators aim for food costs to be around 28-35% of the menu price, though this can change from restaurant to restaurant.
based diners who recently ordered from a QSR, fast-food or fast-casual chai also found that value is about more than just price. At the same time, 21 percent say they’ve increased their budgets in 2025 – showing that while some are pulling back, others still see dining out as a worthwhile indulgence.
What can you expect to see on menus in 2025? Read on for predictions from industry insiders that include chili crunch, black limes, newstaglia, stealth health, and elevated snacking. ” Guests will have the opportunity to experience many of these trends come to life at Kimpton restaurants and bars across the globe.
"While technology has the potential to enhance the dining experience, the research shows that AI integration isn’t a top priority for most consumers,” said Carly Fink, President, Head of Research & Strategy for Provoke Insights.“Patrons This was only topped by grocery store increases at 79 percent.
RMS just released our latest findings around consumer sentiment for Q1 , which revealed, among other things, that price is starting to matter—and not by an insignificant amount. When asked why they were getting less value from a restaurant visit, 82 percent reported higher prices. But the industry has a new problem: inflation.
" Among the key findings: Consumers crave interactive dining : 70 percent are interested in tasting events, 52 percent in private dinners with a chef, and 50 percent in cooking classes at restaurants. 90 percent of fine dining operators say in-person dining is key to their 2025 success.
The NCR Voyix 2024 Digital Commerce Index revealed nearly half (48 percent) of consumers dine out less than they used to because inflation is top of the menu. Loyalty Reigns Supreme Although consumers may be more selective on where and when they dine out, they still want to frequent their favorite restaurants and access any deals possible.
Understanding your target market is the foundation of making smart decisions for your menu, pricing, and overall guest experience. Key customer factors that influence dining preferences, from demographics to behavior. Every successful restaurant has one thing in common: they know exactly who they are serving.
Quick-serve restaurants (QSRs) experienced four-percent growth over the past year, which helped to offset the declines seen in full-service dining. Long after the restaurant industry felt the most significant impacts of the pandemic, echoes still reverberate in the form of workforce realities and operational challenges.
According to a study conducted by Technavio , the fast casual restaurant industry will witness a compound annual growth rate of over 12 percent from now until 2026. I believe that fast casual continues to be a great place for savvy multi-unit restaurant franchisees to diversify. Which brings us back to the restaurant industry.
The Hospitality Recovery Coalition includes DISCUS, the American Distilled Spirits Alliance (ADSA), the Council of State Restaurant Associations (CSRA), the National Restaurant Association and TIPs. “Without assistance at all levels of government, many of these businesses will be forced to close their doors. .”
The research stems from in-person chef interviews and a nationwide survey of more than 400 restaurant owners and operators spanning 47 states with respondents ranging from fine dining establishments to fast-casual venues, breweries, and caterers. "This Revenue growth in 2024 was largely driven by menu price adjustments.
Restaurant industry challenges are pushing operators to be more creative and efficient with many opting for more multifunctional spaces – especially in a fast-casual setting. We're seeing a shift away from larger-scale traditional layouts towards compact designs that can seamlessly pivot between dine-in, takeout, and delivery.
based architecture and design firm / /3877, newly-available real estate offers prime locations and cheaper rent for fast casual restaurants such as taco shops and upscale burger joints. However, with prices rising, customers are choosier about where they spend their money. According to the hospitality experts at Washington D.C.-based
With those stats in mind, Causeway Solutions conducted consumer research* on today’s dining trends compared to our research over the past few years. In August 2023, only eight percent of consumers we surveyed say they do not eat out, so dining out is “in” again. 29 percent said they rarely ate at casual restaurants.
Sixty-nine percent of consumers would dine out more often if it were more enjoyable, and that number goes up to 78 percent for adults under the age of 35, according to a report from ChangeUp. 66 percent of consumers believe a desirable experience is more important than price and convenience.
Despite a general decline in dining frequency, families have shown resilience and an increased appetite for dining out, according to Revenue Management Solutions' Q1 Consumer Survey, “ Dining Dynamics in 2024: The Shifting Landscape of Consumer Tastes.” Strategies for Attracting Family Business Given a -2.1
In response, consumer searches for budget-friendly dining and grocery options are higher than Q3 2021. In response, consumer searches for budget-friendly dining and grocery options are higher than Q3 2021. It’s possible that price fluctuation for specific goods and materials have disproportionately impacted some restaurants.”
Dining rooms are open, but staff isn’t available. Its Q3 Quarterly Survey asked questions about vaccination mandates, changing work habits, current restaurant usage and future dining intentions. Dine-out will continue to drive full-service traffic. Why Takeout Still Reigns (And How Operators Should Price).
While three in four survey respondents believe restaurant prices are higher, other factors, such as flavor, outweigh price when ordering specialty beverages, particularly in the full-service segment. During a time of increased price sensitivity, beverages create an opportunity to increase the total check.
Moving to Multichannel Dining Experiences Dining out is… back? Moving to Interactive Menu Boards Speaking of dining being back – it’s back to being… different. According to the National Restaurant Association, competition in the restaurant sector is strong. So, what’s the solution?
For dining establishments that rely on in-person traffic, a simple way to track new customers is by asking them directly when they place an order or through digital receipts that prompt a brief survey. Instead of casting a wide net with generic ads, use targeted marketing to reach the people most likely to dine at your restaurant.
This Valentine's Day edition of Modern Restaurant Management (MRM) magazine's Research Roundup features dining and gifting trends including the importance of experience. Restaurants saw 41 percent more transactions The busiest dining hour? Analyzing data from full-service restaurants on Feb. percent in 2024. percent in 2024.
From full service to fast-casual to legacy fast-food brands, the one constant was disruption. This approach required fewer front-of-the-house staff to maintain a dining room, complied with government orders, and kept many brands from closing. Just as one issue seemed fixed, another presents itself.
QSRs Shift Focus from Slow-Paced Dining to Swift, Transactional Experiences Quick Service Restaurants (QSRs) are reimagining their dining spaces to prioritize speed, convenience, and personalization over traditional, slow-paced dining experiences. Read the first part, here. For the second part, click here.
And while automation and robotics can help streamline some elements of operations, in the wake of the COVID-19 pandemic, there's a newfound appreciation for human connection and dining experiences. We've reached a point where we're recognizing the value and limits of these technologies.
Patience and grace go a long way right now, when dining out. . What were common menu items where prices were raised? . Sixty-seven percent of respondents raised prices throughout their entire menu, and 25 percent on a few items. Did any results surprise you and, if so, what and why? .
It also reveals the importance of loyal-to-dining customers, or as we call them, “frequent users.” The younger generations were also the most likely to order takeout and dine in. Move value menus from low-price to abundance. How can restaurants best appeal to frequent users?
Net sales are primarily driven by average check increases and pricing opportunities are diminishing. When asked if they had ordered more or less from full-service, fast-casual and QSRs in the past month, respondents were primarily bearish, except when it came to QSRs. When and How Are Consumers Dining? percent YOY.
Since 2006, Tender Greens had established its presence as a go-to fine-casual restaurant that offers more than a meal. Looking to continue on the tangent of delivering a unique fine-casualdining experience to its customers, Tender Greens aimed to double its physical footprint and grow its revenue to reach $100 million.
Restaurateurs may very well look to expand beyond the typical pop up, food truck, festival or off-premises event to more interesting, intimate venues like social influencer kitchens, dining rooms and gardens. For part two, click here. A tightly integrated technology strategy will be key to workplace satisfaction and profitability.
Fast casual restaurants are popping up faster than you can say "build your own grain bowl." " They're somewhere between a full-service casualdining restaurant and a quick-service restaurant or fast food chain. Looking for tips on starting your fast casual restaurant?
We are witnessing the evolution of fine dining. A rise in number of vegan restaurants is witnessed as younger population especially women are preferring vegan diet over traditional fine dining options. Plant-based eating was previously limited to some selected restaurants and casual cafes. percent in 2021.
Many dining establishments found ways to use AI to track and flag stock quantities, automate schedule-making for staff, implement customer service chatbots and process online orders. Each year, Modern Restaurant Management (MRM) magazine asks experts for their views on the state of the industry. Here are some of their insights.
The research found that businesses worldwide – particularly restaurants – intend to experiment more in 2025, especially with customer retention programs like loyalty, as they face the triple challenge of sustained high inflation, shrinking consumer wallets and the need to raise prices across the board.
Come June, the Labor Department's Consumer Price Index saw that annual rate climb even further to 9.1 In addition, RMS asked 750 diners across all generations throughout the US about their current and future dining behavior. Consumers see a drop in gas prices , bringing them back to drive-thrus. QSR net sales are up 1.4
. "The Great Resignation" that ramped up over the summer saw more than 706,000 food service workers leave their jobs in restaurants, dining facilities, bars, and hotels during May alone. Even well-funded university dining halls are closing their doors. Even well-funded university dining halls are closing their doors.
Most notably, consumer spending at restaurants appears to be holding-up relatively well this summer despite aggressive menu-price increases in the first-half of the year." Consumer spending at restaurants appears to be holding-up relatively well this summer despite aggressive menu-price increases in the first-half of the year.
Technomic’s revised predictions for 2024 revealed a challenging road ahead for the restaurant industry, which has been plagued by rising prices and shifting consumer behavior since the onset of the pandemic. percent rise in prices means that sales growth may barely keep up with inflation. percent sales increase by 1.5
No doubt, while several restaurant chains in the quick service space (QSRs) have seen double-digit, same-store sales growth, COVID-19 has provided an additional untimely blow to the casualdining space that cannot transition as nimbly to a takeout-only model. providing and requiring PPE; taking reservations only for seating).
A casual brunch spot in a college town will attract a different crowd than a high-end steakhouse in a business district. Consumer insights: Beyond the basics, think about why people dine at your restaurant. 4 Reasons Why You Cant Ignore Restaurant Marketing in 2025 Restaurant marketing in 2025 isnt just a nice-to-haveits a necessity.
From the rise of Instagram food bloggers and selfie walls to paying outrageous prices for the #SaltBae experience , consumers are now expecting restaurants to deliver an experience beyond flavor. If they take the risk of stepping outside their homes, diners look for more than casual, throw-away experiences.
Marketing trends, mobile data insights show that Gen Z has a considerable appetite for restaurants, clean eating, fast-casual, and exciting twists on healthy dining options. And wow, does this young generation have some incredible spending power! billion in spending by others. billion in spending by others.
In March, Revenue Management Solutions surveyed more than 800 restaurant-goers across the US to find out how they’re dining in 2023. On the bright side, sales continue to perform positively compared to last year, primarily driven by price increases throughout 2022. percent YOY) exceeded Food-At-Home prices (+8.4
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