Digital Ordering to Triple by 2020

Restaurant mobile app

Restaurant digital orders have grown an average of 23 percent, per year since 2013, and will triple by the end of 2020, according to a report from NPD Group.

The report, called Delivering Digital Convenience, found that 70 percent of a restaurant’s digital orders come through its mobile app or its website, with the remaining orders coming through third-party apps or websites. Customers used the restaurant’s own app most of the time because of rewards points or savings, and other brands appeal to customers because they want to create a custom order or take friction out of the ordering process.

Third-party apps like DoorDash, UberEats or Grubhub/Seamless accounted for 40 percent share of the 20 most used apps, and are used by consumers who want to look up various food items and check prices.

“Digital orders will remain an outsized source of growth for the restaurant industry over the next few years, and operators who desire to grow need to embrace a digital strategy,” said David Portalatin, NPD food industry adviser and author of Eating Patterns in America, said in the announcement. “There are clear leaders in the digital ordering space, and third-party providers who have achieved critical mass the fastest.”

See more here.

Impact of Min Wage Increase / NYCHA Survey & Results

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See here NYCHA Survey and Results on Minimum Wage Increase

Key Ingredients For Successful Organizational Change

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As we approach the end of 2018, many of you are probably planning business transformations for the New Year. However, the loftier the goals, the more care needs to be given to the process in achieving them. All organizations today face the need for more frequent and ongoing change in order to maintain their competitive advantages and relevance in the the marketplace. But change is exceedingly difficult in today’s more complex business battlefield. In the Navy SEAL Teams, we operated in what we referred to as VUCA environments: volatile, uncertain, complex, ambiguous. Sounds just like modern business doesn’t it?

Five Key Ingredients

Successful change formulas involve (1) vision, (2) benefits, (3) sponsorship, (4) resources and (5) methodology. If any of these five ingredients are left out, the outcome won’t taste all that great. For example, if aligned vision is lacking confusion sets in quickly. The key word being aligned. If senior leaders have varying ideas of what success looks like, things get messy really fast. When the benefits aren’t clear (or not clearly communicated), ambivalence occurs. Without full sponsorship from leadership, resistance spreads. Without resources, frustration. Without a clear methodology and approach, procrastination becomes the norm.

Read more in Forbes article here.

Survey: Walmart builds on largest share of grocery loyalty

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“Walmart is quickly extending its grocery dominance in brick-and-mortar into the online realm.

Consumer market researcher Packaged Facts said Thursday that 23% of online grocery consumers cited Walmart as the retailer they use most for groceries. That’s second only to Amazon, named by 38% of purchasers, according to Packaged Facts’ “U.S. Grocery Market Focus: The Walmart Shopper” report.

About 27% of in-store grocery purchasers said Walmart is the brick-and-mortar retailer they get groceries from most — over two times as many as Kroger, the next most cited retailer, the study revealed.

In a relatively short time, Walmart has transformed itself into an omnichannel retailer by accelerating investment in e-commerce to develop a seamless shopping experience between its massive store base and digital properties, Packaged Facts noted. What’s more, Walmart has turned its thousands of stores — an apparent cost disadvantage versus pure-play online retailers — into a competitive strength in distribution, the researcher said.”

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Coca-Cola Backs Restaurant Tech Company

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“Coca-Cola’s 2018 investment binge continues with a contribution to Hayward, Cali.-based restaurant tech company Omnivore.

The Coca-Cola Co. (NYSE: KO) was a lead investor in a $10 million Series A for Omnivore, a universal point-of-sale connectivity platform, alongside Performance Food Group and additional funds from Tampa Bay Lightning owner, Jeff Vinik.

Omnivore promotes an “end-to-end suite of solutions” to help optimize the digital restaurant experience, such as online ordering, paying at the table, third-party delivery, kiosk/digital menus and analytics. The financing will be used to accelerate current development and growth of proprietary Omnivore products that minimize friction for restaurant brands, third-party technologies, and POS companies, according to a news release.”

View more here.

Simple Tactics for Building a Solid Business Reputation

“According to new studies, one of the top ways you can go the extra mile for your customers is by personalizing their shopping experiences.

One report predicted that by 2020, the customer experience will be more important than price and product when it comes to setting your brand apart. And according to another source, this data is already starting to take effect. Forty-four percent of consumers said a personalized shopping experience would likely result in brand loyalty.

Going the extra mile for your customers by making sure their shopping experience is memorable isn’t just a recent trend, though. Treating customers as individuals has always been essential for business reputations. Who wants to talk to someone who is ushering them out the door? Some other ways you can show customers you care is by listening to complaints, rectifying problems, and establishing a loyalty program for small business.”

See more here.

Designing a Chain Restaurant for 40 Million Travelers

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“The estimated 40,000,000 people that pass through Washington D.C’s Union Station annually were a major consideration throughout the 6-month development of one of its newest bars and restaurants. Legal Sea Bar (part of the 37-Restaurant Legal Sea Foods chain) opened this past July on the West side of the station’s mezzanine level, was designed with high traffic in mind.

And so the casual bar/restaurant combo is “primarily designed for people trying to catch a train.” Small details take travelers’ needs into account: there are designated areas to put suitcases aside where visitors are still able to keep an eye on them, sufficient space between tables to store luggage, and ample hooks underneath the bar for easier purse and backpack storage.”

Read more here.