Spending time on the floor of the National Restaurant Show in Chicago can teach a lot about restaurant management and technology. Nine lessons that we can take from the National Restaurant Show are:
Tech Innovations Steal the Spotlight
Though it's not particularly shocking or new, it is still worthwhile to pause and consider how important technology has grown at the Show. There were times when the traffic from the booths in the Tech Pavilion was so heavy that it was difficult to even navigate the aisles. The amazing booth designs undoubtedly increased interest and showed how the restaurant industry is becoming more and more receptive to tech solutions. Even though vendors weren't giving away free samples, the attraction of new hardware and software demos was enough to generate a lot of buzz.
The All-in-One Tech Race
While browsing the tech booths, the number of suppliers touting their status as the only tech platform required by restaurants was the most obvious trend. In response to the need for more streamlined solutions from restaurants, vendors have been moving in this direction for years. The entry of Square into the kiosk market is a good illustration. This year, the POS company—which is renowned for its ability to integrate with other kiosk providers—unveiled its kiosk. "When are you going to build our kiosk?," sellers on the Square platform would frequently inquire, according to Ming-Tai Huh, Square's head of food and beverage. Many of the Show's vendors agreed with this statement.
Mixed Tech Stacks Offer Flexibility
Even with the demand for all-inclusive solutions, some operators think there is more flexibility with a mixed tech stack. Owner of the Union Hospitality Group in Tucson, Arizona, Grant Krueger, made the case that it can be advantageous to diversify your IT suppliers. Concerning the challenges of modernizing a point-of-sale system, he stated, "It's going to be better to have a tech stack with different players rather than having all your eggs in one basket."
Mergers and Acquisitions on the Horizon
Smaller vendors are searching for ways out as a result of the move toward all-in-one platforms. Many want to be bought out by bigger companies. For example, back-office technology supplier Restaurant365 recently raised $175 million, to use a portion of the funds for acquisitions. This pattern points to a market that is consolidating, with specialized vendors having the option to either change or merge with larger companies.
Building a Tech Community
An increasing number of people are working to create a feeling of community in the dispersed tech industry. The many podcasts that were live-recorded on the show floor made this clear. Veteran podcaster and restaurateur Shawn Walchef underlined the value of these platforms for networking and industry learning. Additionally, through online forums and meetups, businesses like Toast and SpotOn are helping their users develop a sense of community.
Otter’s Quiet Entry into POS
This year, CloudKitchens CEO Travis Kalanick's digital ordering startup Otter made a quiet but noteworthy debut in the point-of-sale (POS) industry. Operators are taking notice of this move. Rafael Alves, CEO of Snack Mania, a company based in New Jersey, pointed out that Otter's system is the only one at the Show that even remotely matched Toast's offerings, suggesting the arrival of a possible new POS rival.
AI: The Future of Restaurant Operations
Numerous applications of artificial intelligence were on display at the Show, making it a hot topic. AI has the potential to completely transform restaurant operations, from software that automates invoicing to cameras that monitor the quality of burgers. It was evident that everyone there was excited. The vice president of operations at Bobby's Burgers by Bobby Flay, Patric Knapp, emphasized how AI can turn data into useful insights. "AI is capable of taking today's data, utilizing it, and presenting it in a way that is helpful to humans," he stated.
Challenges in Tech Support
Many operators voiced their displeasure with the tech support situation as it stands. A shift towards self-service and the challenge of contacting human representatives were observed by many. Patric Knapp stressed how crucial it is for suppliers to offer partnership-level assistance in addition to goods. He remarked, "We weren't looking for a POS system; instead, we were looking for a POS partner who could help you in this way."
Data-Driven Decisions Are Crucial
Even with technological advancements, some restaurants continue to be blind to their best-selling items and sales figures. Operations may suffer from this lack of data, particularly in a market that is changing quickly. SpotOn's chief product officer, Bryan Solar, emphasized the value of data in contemporary restaurant operations. "Data is king in the future of restaurants," he declared. With significant investments in data capabilities, SpotOn provides operators with real-time performance dashboards to enhance decision-making and productivity.
The National Restaurant Show brought attention to how important technology will be to the restaurant business going forward. The conference emphasized the dynamic and quickly changing landscape of restaurant technology, from AI breakthroughs to the drive for all-in-one platforms and the creation of tech communities. Navigating this shift, operators and vendors alike are looking for ways to use technology to improve operations, customer service, and overall business performance.
Disclaimer: This article is informative and not for promotional purposes. Moreover, the content belongs to the owner and there are no affiliations or marketing motives behind it.
