Weekly Roundup – Week of 12.12.2022
December 16, 2022
This week’s roundup covers food and beverage-related stories and the latest food tech news – all curated by our team of strategists and food enthusiasts:
Is Tipflation Hurting the Hospitality Industry?
Tipping, what was once an acceptable, routine habit after a meal, is appearing to cause an uprise as new tipping practices are leaving some patrons feeling pressured and overburdened, according to a recent The Food Institute article. Consumers are choosing delivery instead of onsite dining to avoid higher tipping costs. Furthermore, a study from Popmenu shows, “forty-three percent of consumers said they tip their servers at least 20% of the check, down from 56% of consumers last year. Similarly, 32% of people reported tipping delivery workers 20% of their order, down from 38% a year ago.” Consumers are now determining what services warrant tips as many businesses are using tipping prompts to offset costs for goods and services. Bob Vergidis, chief visionary officer of pointofsale.cloud, cautions, “Businesses should be extremely strategic during this time. Avoid using standard tipping prompts, just because there is a default option in many point-of-sale systems doesn’t mean you have to use it. Customers can feel pressured to tip in an establishment where it typically wouldn’t be required and that is driving business away.” Read the Full Story.
C-Stores Are Gaining Ground On Fast-Food Competitors
Convenience Store foodservice is becoming a destination for consumers due to higher perceived value and a place where consumers look to spend time and hang out, especially younger patrons. “Consumers are into the type of seating and offering in a c-store that invites you to stay a while. For that younger consumer to come in for half an hour, watch TikTok, there’s an opportunity to build that,” said Donna Hood Crecca, principal for market research firm Technomic. Technomic’s c-store report indicates that one way to increasingly attract these consumers is by offering more discounts, as 31% of c-store consumers said they’re looking for food deals because of inflation. In addition, the report showed that about a fifth of consumers said indoor seating would increase how often they dine in at a c-store and lounge-type seating would be even more appealing, especially to younger consumers. Key takeaways: c-store operators that offer discounts and a comfortable space for consumers to unwind are in a good position to steal traffic from QSRs and increase sales. Learn More.
Doritos Jumps On The Ghost Kitchen Train
While it’s common for casual dining brands to shift to quick-service ghost kitchens – think Applebee’s Cosmic Wings, Chili’s Just Wings, and Outback’s Tender Shack – one prominent, consumer-loved brand is staking a claim in the ghost kitchen trend. In partnership with Popchew and PepsiCo’s Foodservice Digital Lab, Doritos announced its ghost kitchen platform, Doritos After Dark. From the Frito-Lay Snack Index, the company revealed that nearly half of the sought-after young consumers believe snacking after dark is more satisfying. Offerings will focus on snacking and late-night bites catered to Gen Z’s tastes including nachos, Doritos Flamin’ Hot Cool Ranch Corn Puppies; Spicy Sweet Chili Chicken Bites; a Cool Ranch Loaded Pita; and a Spicy Sweet Chili Sammie inspired by a banh mi. Read More.
Top Ordered Foods in 2022
According to Grubhub’s “2022 Delivered” report, comfort foods topped the list. At number one, burritos were the most-ordered food with more than 4 million orders placed through Grubhub – up from being the eighth most-ordered food in 2021. Cheeseburgers and pizza claim the second and third spots, respectively. And global flavors such as pad Thai (#4) and chicken tikka masala (#9) also made it in the top ten. There appeared to be a preference when certain items were ordered depending on the daypart. Burritos and pizza were lunchtime favorites while items like chicken quesadillas (#5) were preferred for late-night eating. Both cheeseburgers and fried chicken sandwiches (#7) were equally loved throughout the day. See the Full List.
Let’s Get Techy
From robots preparing foods to meat growing in labs to mobile units delivering food throughout campuses, food technology has significantly changed how we eat and live. Experts at Remy Robotics predict that single-task automation will shift to having whole meals prepared by robots, reducing labor demands and providing better, less stressful working conditions for humans. Using robot technology can also standardize quality and help eliminate waste, according to Remy’s CEO. AI voice technology is also forecasted to grow in 2023. New advancements in food ordering will make it easier to understand the natural cadences of human speech, saving time and reducing food errors. And Kiwibot is building its reach across college campuses with its recent launch of 25 automated delivery robots circling Loyola Marymount University. Kiwibot partnered with Grubhub last week and Sodexo earlier this year to bring more than 1,200 delivery bots to 50 U.S. campuses. These bots use satellite-powered GPS technology to improve location accuracy and use data from camera sensors and AI to avoid obstacles.
We’ll see you next week for more newsworthy stories and trending topics.