Published: March 27, 2024 | Updated: May 17, 2024
Read time: 3 minutes
The restaurant industry has been surging post-pandemic recovery. This year will see an industry that is still attracting consumer spend and showing plenty of room to grow, according to 5 trends in the restaurant industry to watch in 2024.
These are the core industry trends that are top of mind.
Consumers will continue prioritizing their resources
The last three years saw macroeconomic factors impacting spending, yet a resilient and empowered consumer emerged. In 2024, consumers will seek dining experiences, but will make careful decisions about spending based on prices and priorities. The industry may see a rebalancing of spending as consumers shift some of their budget from experiences to goods, but it will likely continue to grow.
Key considerations for restaurants:
Brands will align with consumers on loyalty and personalization
The presence of loyalty programs is felt everywhere in the market, but the traditional approach is no longer enough in 2024. Restaurants are trending towards more personalized programs with dynamic offers, benefits and rewards as diners seek to form authentic relationships.
Loyalty
Restaurants are moving away from bulk offers and are leveling up with more engaging loyalty experiences:
Personalization
The industry is in an era where consumer-centric personalization leads the way in restaurant engagement. Relevant, convenient and engaging experiences include:
Digital channels will increase reach
Using mobile apps, virtual brands, social media and other digital channels to increase consumer engagement is not a new trend, but emphasis is shifting as restaurants further increase connectivity in 2024. Third-party aggregators are one channel on everyone’s radar as restaurants and consumers weigh both sides to using this service:
Considerations:
- Restaurants are questioning the high costs of collaboration and lack of control in the customer experience
- Consumers are discouraged by the costly final price
Upsides:
- Restaurants find it easier to acquire new customers and see the improved perception of brand availability
- Consumers have grown familiar and reliant on third-party aggregators through continued usage
Technology will further optimize operations and the employee experience
Restaurants have been traditionally slow to adopt new tools but investments in newer technology can improve operational performance, creating positive outcomes for employees and consumers. Various restaurant technologies are trending in popularity and implementation in 2024:
Consumers will resonate with commitments to sustainability
Customers are willing to stay engaged when their favorite brands align with generous giving and social causes. Younger generations have been especially vocal about supporting corporate ESG (environmental, social and governance) practices. Restaurants are set up to tackle trending ESG initiatives in many ways in 2024:
- Reducing food waste
- Eliminating single-use plastic and other packaging
- Enhancing the menu to include healthier, less carbon-heavy options
- Offering condensed employee work weeks
- Providing education reimbursement
Read the full 5 trends in the restaurant industry to watch in 2024 report for further insights.
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