• MHTavakoli

Embrace off-premises technologies, then get ready for a financial comeback in 2021

(Time to read: 2 minutes)

Category: Consumer Trends

The Canadian foodservice industry is going to recover from the financial losses of the pandemic, according to Technomic’s expert predictions. However, overall sales results vary across segments, and not every restaurant will be able to recover; especially, ones that ignore the following tips.

Although the Canadian foodservice industry suffered from a 25% to 28% crash in sales on account of the pandemic, the good news is that the industry is expected to experience 14% to 17% growth in 2021. The implementation of the off-premises initiatives is imperative and pivotal to trigger a financial comeback.

Here are some useful statistics that lend support to the value of investing in off-premises initiatives:

  • More than half (53%) of the off-premises orders are generated by millennials and they are more likely to order from a restaurant when there is an alcohol to-go option on the menu

  • 32% of Canadian consumers aged from 18 to 34 are currently placing off-premises orders more often than one year ago

  • While half of them have not decided what restaurant they are going to order from and 27% of them are deliberately ordering from a wider range of restaurants

  • 63% of Canadian consumers contend that they prefer a restaurant’s own delivery drivers over those of third-party apps or sites

  • 51% of Canadian consumers state that they prefer to buy from local restaurants to support the community

  • And 40% of them are buying more comfort foods from restaurants during the pandemic than one year ago

With respect to the aforementioned statistics, investing in off-premises seems inevitable during the pandemic. Here are some sustainable off-premises strategies.

First and foremost, restaurants should develop their own website or mobile ordering app to make the off-premises experience seamless. Using digital menus or online pre-ordering alternatives instead of traditional menus is a must for contactless ordering and payments. Moreover, creating multiple drive-thru lanes and designating curbside pickup spots, along with in-store pickup and the grab-and-go station would minimize the interaction with customers and reduce time at the restaurant. Last but not least is the further adoption of ghost kitchen models that can efficiently fulfill the influx of delivery and takeout orders with minimum contact with customers.

Fooreco enables restaurants to provide an end-to-end contactless dining experience for guests and staff. No trade of cash, terminals, or cards. After being seated guests can access the digital menu, add items to their order, and pay their bill securely using their phone. Once guests place the order, it is displayed on the tablet next to the POS device.

This article used Technomic’s consumer research and predictions in the foodservice industry, 2021 version.

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