9 restaurant trends that matter in 2019
By FSD Staff on May 22, 2019Consumers bring their dining-out expectations with them, regardless of where they eat. And those expectations are often born out of trend-driven innovation in the restaurant sphere—whether it’s at the fast-food place down the street or a fine-dining experience in downtown NYC. To help FSDs and chefs work hard to innovate within their own operations, FoodService Director has identified nine foodservice forces that are ready for their moments in noncommercial.
The trend: The Unique LTO
What:
The ingredients for successful limited-time offers can be as varied as the ingredients that actually go into them. All might have had success in terms of sales, traffic, buzz, brand-building or other less tangible goals, but some focused on innovation and uniqueness, while others tipped toward value, craveability or filling a void in the menu mix.
Launching a limited-time offer can be expensive, time-consuming, operationally stressful and risky. Yet more LTOs are coming into the pipeline, and at a faster clip, according to Technomic. Over the past five years, the number of limited-time menu items has increased 64% at Top 500 chain restaurants and retail operations.
Some LTOs have succeeded, while others have tanked. Although there’s no one winning formula, successful restaurant chains tapped into all their teams—culinary, marketing, supply chain, operations, finance and, often, franchisees—to develop multipronged strategies that worked for their brands.
The trend: The Unique LTO
Restaurant concept to watch:
Taco Bell is known as an innovator in the quick-service restaurant space, with LTOs such as the Naked Chicken Chalupa and Nacho Fries revving up fans and boosting traffic. But the chain doesn’t do innovation without offering value.
“At Taco Bell, we’re constantly imagining and perfecting what hasn’t been tried before and redefining value by providing menu items with bold, craveable flavors at a price our fans will go crazy for,” says Marisa Thalberg, global chief brand officer for Taco Bell Corp.
Affordability is certainly part of the value equation at Taco Bell, but convenience, craveability and excitement also define value for the chain. Those attributes forge connections with core customers, creating buzz and a dedicated following.
The Trend: The Unique LTO
Noncommercial application:
The dining team at Microsoft runs multiple LTOs throughout the year in its cafes and espresso stations, says Craig Tarrant, director of culinary operations for Compass Group, supporting Microsoft Real Estate and Facilities. While some are seasonal, others highlight local farm partnerships. A Cupid’s Collection box ($7) is on offer around Valentine’s Day, featuring multiple seasonal treats such as a pink housemade fortune cookie, a macaroon, ganache cake and a chocolate-dipped strawberry. Housemade peach tarts spotlighting a local farm partner are available at all espresso stations in August while peaches are in season.
The Trend: Ongoing Career Development
What:
Never mind recruitment and retention. The labor issue of the moment for restaurant employers appears to be how well current hires understand and fulfill their role in bringing success to the overall operation, or what the experts call engagement.
There is no strict definition of engagement, but it appears to be the mindset that drives managers and line-level employees to excel in their roles. It’s been described as a shared sense of mission or purpose that makes an employee feel like an important contributor to the operation. They may have a limited role, but that role is essential.
When employees are engaged, a restaurant is far more likely to operate smoothly and deliver on its financial objectives. With a shared focus instilled in the team, absenteeism drops 41%, accidents fall by 70%, turnover is curbed by 24%, productivity rises 17% and sales are 20% more likely to rise, according to GM Connect Engagement Index, a measure developed by TDn2K in collaboration with Gallup.
The Trend: Ongoing Career Development
Restaurant concept to watch:
Snooze, an A.M. Eatery doesn’t end managers’ training once they’re hired. Instead, all managers receive three hours of additional training every month, CEO David Birzon said at the Restaurant Directions conference last June.
The Trend: Ongoing Career Development
Noncommercial application:
“Our most successful line-level employees are given a full management training program,” says Steve Cameron, food and beverage director at The Springs Living in Hillsboro, Ore. These mentors are the first people management go to for input on their positions. They are the primary trainers for their positions, and are empowered to approach managers with ideas that will benefit dining services.
The Trend: Beyond Compost
What:
With awareness growing about the scope of food waste in America, foodservice operators are ramping up zero-waste efforts—and coming up with more culinary-focused solutions. It’s estimated that 40% of food produced in the United States is wasted, according to the National Resources Defense Council. Although an increase in composting has redirected some of this food waste from landfills, chefs across foodservice are re-evaluating food scraps for their menu potential
The Trend: Beyond Compost
Restaurant concept to watch:
Chefs are repurposing compost into menu items and playing off the word in the item’s name. Compesto—a pesto made from vegetable trimmings that would otherwise end up in a compost bucket, such as carrot tops and parsley stems—is on the menu at Spice Kitchen & Bar in Cleveland. It is mixed with couscous as a bed for halibut. Similarly, Jehangir Mehta, chef at Graffiti Earth in New York City, created a soup with the hashtag #eatmycompost.
The Trend: Beyond Compost
Noncommercial application:
University of Connecticut in Storrs, Conn., has a long-standing composting program in place, with several nearby facilities transforming waste into biofuel. But the facility nearest to campus no longer accepts food waste because it’s too close to the residential halls, says Robert Landolphi, assistant director of culinary operations for the 30,000-student college. So last semester, he challenged his chefs to collect and repurpose food waste into menu items.
“We asked the staff to save all their food waste over a three-day period and come up with ideas for using it,” Landolphi says. One chef from Nepal created pakoras stuffed with scallion ends, while another turned cucumber peels into a chutney to top chicken burgers. But the biggest hit were the Tater Tumblers, he says. The kitchen blends a mashed potato mix with kale stems, chopped cauliflower and broccoli ends, carrot peels and other veggie scraps. The mixture is formed into tots and deep-fried, then served with a dipping sauce.
The Trend: Going Viral
What:
Restaurateurs are installing new lighting, purchasing new servingware and even cooking up more photogenic menu items to catch the attention of Instagram’s prolific food photographers. While these Insta-influencers may have thousands of followers, how much impact do they have on consumers’ choice of restaurant?
Word-of-mouth recommendations from friends and family have the greatest impact on choosing a restaurant, according to SevenRooms, a restaurant reservation and guest management platform—53% of consumers rely on this tried-and-true method. While solicited recommendations are still the most common, consumers are increasingly browsing friends’ Facebook pages, Twitter feeds and other personal social media platforms for ideas.
If the recent spate of LTOs seems especially wacky (Unicorn Frappuccino?), blame Instagram. Every operator, it seems, is trying to concoct the next over-the-top viral sensation. Regardless of where diners say they get their recommendations, restaurants are working hard to make sure their offerings, from food to decor, takes advantage of all the free marketing money can buy.
The Trend: Going Viral
Restaurant concept to watch:
When new steakhouse Boston Chops designed its layout, it included an Instagrammers table. The table, which cost $10,000 to build and outfit, includes customizable features that are controlled by the guests via an app, including movable arm lights and adjustable light intensities and color temperature settings. The Boston restaurant also features other spaces designed to be social media-friendly.
The Trend: Going Viral
Noncommercial application:
Students at North Carolina State University can follow @Wellfedwolfpack on Twitter to see the healthy and delicious food on the menu. The channel uses beautiful food photography to try and connect with student and staff “foodies,” says Lisa Eberhart, director of nutrition and wellness at the Raleigh-based university.
The Trend: Packaging for the Road
What:
Off-premise orders—including takeout, drive-thru and catering—now make up 38% of restaurant sales, or nearly $200 billion. And off-premise continues to grow, providing a prime opportunity for operators to nab incremental sales. But nobody wants to dig into a soggy salad or munch on a pile of cold french fries, no matter how convenient.
That’s why using appropriate and effective takeout packaging is key in driving repeat off-premise business. Operators are pushing the supplier community to come up with new solutions. Consumers have raised their expectations around off-premise food—and they don’t give restaurants as much of a pass on out-of-restaurant meals being of lesser quality.
The Trend: Packaging for the Road
Restaurant concept to watch:
As IHOP expanded more into off-premise, it ran into a problem with its signature combo meals not traveling well—so the chain created a proprietary packaging system. The result: a multitiered container. The bottom vessel holds eggs and other parts of breakfast, while the piece that sits on top has a place for pancakes. The heat from the pancakes keeps the bottom components warm while preventing the pancakes from getting soggy.
The Trend: Packaging for the Road
Noncommercial application:
Packaging of grab-and-go options at Windham School District in Windham, N.H., can be the deciding factor in a menu item’s popularity. “Half of it is how it’s packaged,” says Rhonda Peckham, nutrition services director. Peckham and chef-manager Lauren Crowley say they play around with different containers to see what draws students. “We have this chip-and-dip container where it’s all in one,” Peckham says. “We found that when we took hummus and produce and packaged it all in one container instead of offering it separately like we had originally, the students were more eager to take it.”
The foodservice team recently debuted salad shaker cups in the to-go section at Windham High School. While students reacted positively to the new offering, Peckham says the eye-catching and portable menu item became most popular with faculty.
The Trend: Cash in on Catering
What:
There’s no denying that it’s a rough time for restaurant operators. Competition is fierce, labor and rent are increasingly costly, delivery is taking a bite out of profits and new technologies are forcing operators to spend on smarter equipment and upgrades. To make up for some of those lost dollars and maintain revenue flow, more and more brands are ramping up their catering efforts.
“It can add significant revenue to a brand that embarks on doing it right,” says Melissa Wilson, principal for research firm Technomic. “It’s hot, hot, hot.”
The numbers prove it. The overall catering market reached upwards of $58 billion in 2017, from a strong $37 billion in 2011. The total foodservice industry brought in $537.2 billion last year, according to Technomic, meaning that catering accounted for 11% of the market. And the dollars from catering continue to increase, with Technomic forecasting a 5.6% compound annual growth rate through 2019.
The Trend: Cash in on Catering
Restaurant concept to watch:
Catering customers have to comply with a budget, which is frequently broken down per person, often in the $9 to $11 range, says Bruce Schroder, president of Moe’s Southwest Grill. As a percent of total sales, Moe’s catering revenue is in the double digits, and those sales have grown in the double digits for at least three years, Schroder says.
Because of customer budgets, Moe’s has explored ways to upsell without pushing the final check over the limit. Last summer, for example, the chain offered a package of seasonal salsas and quesos for an upcharge, which appeals to both the business and social catering customers—of which Moe’s sees about a 50-50 split. Desserts, too, have been a way to drive incremental sales, especially over the holidays, Schroder says.
The Trend: Cash in on Catering
Noncommercial application:
The traditional passed appetizers are disappearing from Lucas Oil Stadium and the Indiana Convention Center in Indianapolis, says Anthonie Lardiere, director of catering for Centerplate at those locations. “Action stations are taking over,” he says.
He likes to incorporate Indiana products into the menu, and pork is big. At large receptions, one specialty is candied pork belly served on a crisp wonton and garnished with microgreens, all prepped at a station. A slider station usually offers three choices, such as Indiana pork tenderloin, pot roast with caramelized onions and Buffalo chicken with creamy blue cheese sauce.
The Trend: The Meatless Value Proposition
What:
Long perceived as a mere side dish, vegetables have made headway in the battle for center-of-plate status. Yet even as some consumers embrace more plant-forward dining, veggies often still labor under the appearance of being less satisfying and cheaper than animal proteins. Also, just 15% of consumers follow even a semivegetarian diet, according to Technomic, leaving operators to decide whether it’s worth it to menu veg-centric entrees. So chain operators are working hard to get the most value out of plant-based meals while making sure consumers feel that way, too.
The Trend: The Meatless Value Proposition
Restaurant concept to watch:
“It’s easy to come up with a vegetarian or vegan dish, but then you might only sell three a day and then everybody’s angry it’s on the menu,” says Matt McMillin, vice president of culinary and beverage innovation for upscale-casual Cooper’s Hawk Winery & Restaurants. The Orland Park, Ill.-based chain has evolved from offering one off-menu vegetarian pasta to featuring an entire specialty veggie entree section with seasonal gnocchi, a vegan ancient grain dish and roasted vegetable enchiladas—a top seller.
The key for keeping the underperformers viable, McMillin says, is cross-utilization: “We may not sell 20 red quinoa plates a day; however, every item on that vegan platter gets used elsewhere.”
The Trend: The Meatless Value Proposition
Noncommercial application:
At Bowdoin College, dining and campus services has reorganized its salad bars to not only include the traditional DIY salad ingredients, but also several daily entree salads. The students requested 32-ounce heavy glass salad bowls that have been wildly popular. The big bowls allow them to load up on their favorite salads and customize with additional ingredients from around the servery. The Brunswick, Maine-based school has seen a significant surge in usage that cuts across all groups, including athletes.
The Trend: Paying Attention to Sourcing
What:
Animal welfare is important to today’s consumers, with roughly half saying it’s important that meat is sourced from cattle and pigs that have been treated humanely. Hormone-free and antibiotic-free meat is also a priority. While quality and taste are the leading drivers behind beef and pork orders in restaurants (43% and 37%, respectively), operators who market sustainability and ethical sourcing can spur purchase, especially among women and younger diners, according to Technomic’s Center of the Plate: Beef & Pork Consumer Trend Report. As plant foods continue to move to the center of the plate, operators can appeal to meat eaters by experimenting with new cuts, flavors, cooking techniques and portion sizes.
The Trend: Paying Attention to Sourcing
Restaurant concept to watch:
Wendy’s has partnered with Progressive Beef, a program from the Kansas-based Beef Marketing Group that seeks to improve the sustainability of the beef supply. At least 50% of Wendy’s beef supply will be raised under the program’s standards by 2021, according to the restaurant. The standards include providing a safe environment for cattle, using only antibiotics under a supervision of a veterinarian and improving the environmental sustainability of cattle raising.
The move follows the chain’s commitment earlier in 2018 to get all of its beef from Beef Quality Assurance sources—BQA is an industry-led effort to improve the quality of beef on the market.
The Trend: Paying Attention to Sourcing
Noncommercial application:
“Meat is the most resource-intensive and environmentally impactful part of our diet. It’s also one of our biggest spend categories,” says Kevin Krueger, procurement and sustainability manager for St. Jude Children’s Research Hospital in Memphis, Tenn. “I realized years ago that when I would look at a restaurant menu for the first time, I would always find myself scanning it for meat dishes to see if it told me where they came from, or if they were sustainably raised, and feeling like that told me a lot about what the restaurant’s priorities were.”
St. Jude’s buys all its hamburgers from a Tennessee farm that is Global Animal Partnership Step 4-rated. It also purchases some local pork and other beef items through a local food hub.
The Trend: Israeli Cuisine
What:
Growing interest in Israeli cuisine over the past few years has led to increased flavor innovation from Israel’s surrounding countries. Specialties from Lebanon, Syria and Turkey especially are finding momentum in trendy independent restaurants. Sauces such as s’chug, pomegranate molasses, toum, labneh and tahini are finding new and innovative applications, in addition to ingredients such as urfa, lavash and even schmaltz. But once exploration throughout the Levantine matures, what’s next? A likely winner, by way of Turkey as a bridge, is the Balkans.
The Trend: Israeli Cuisine
Restaurant concept to watch:
Fast-casual chain Miznon, which has a dozen international units, opened at Chelsea Market in New York City last year. The concept comes from chef Eyal Shani and is known for its stuffed pita sandwiches, whole roasted cauliflower and the Run Over Potato, a baked potato smashed with a meat tenderizer and topped with sour cream and herbs. Miznon is opening an outpost on the Upper West Side this year.
The Trend: Israeli Cuisine
Noncommercial application:
Tyler Betzhold, executive chef at the University of Richmond, has started using s’chug in his cooking. “We have added flavors from all over the world. I would say I’m very excited about finding s’chug,” he says. “We are using Israeli red s’chug to fire roast cauliflower for our new Mediterranean bowls. I’m also doing a few Indonesian dishes with lime leaves and fresh turmeric root. I’m incorporating great flavors into healthy benefits for the guest.”
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