Weekly Roundup – Week of 5.6.24

May 10, 2024

Explores the week’s trending food and beverage-related topics – all curated by our team of strategists and food enthusiasts:

Instacart Expands Its Delivery Service to Restaurants

Instacart, known for its grocery delivery service, is expanding its offerings to include restaurant deliveries through a partnership with Uber Eats. A new ‘Restaurants’ tab will be added to the Instacart app for this purpose. Instacart Plus members, who already enjoy free grocery deliveries for orders over $35, will also receive free restaurant delivery for orders meeting the same threshold. However, regular Instacart members will incur Uber Eats delivery fees. With the aim of catering to the increasing demand for both groceries and restaurant deliveries, Instacart aims to provide a convenient solution for its customers. Read More.

Are Casual Dining Restaurants in Crisis?

A recent article from The Food Institute suggests that casual dining chains are grappling with significant declines in foot traffic, with potential long-term repercussions that may prove difficult to reverse. Many once-popular chains from two decades ago are now closing units or filing for Chapter 11 bankruptcy. This trend is evident among well-known restaurant groups like TGI Friday’s, Red Lobster, and Boston Market, all struggling with declining sales, retention of quality staff, and relevance in today’s fiercely competitive fast-casual market. Consumers are seeking more than just food; they desire an immersive experience, attentive service, and streamlined ordering and payment processes. While high discounts like “all-you-can-eat” promotions may initially attract customers, chains risk losing them due to subpar experiences. Read Story.

Brunch Is Bigger And Better Than Ever

The brunch scene is undergoing a resurgence, driven by soaring popularity and an appetite for culinary creativity. Restaurants are pushing the boundaries of the morning menu, introducing savory twists that defy traditional mealtime standards and decadent sweets adorned with dazzling toppings. Establishments are embracing global influences, infusing their menus with exotic flavors, and elevating beverage offerings with inventive boozy concoctions. Full Service Restaurant delves into the strategies of some standout hot spots that are not only meeting but exceeding the expectations of a diverse clientele, including the discerning Gen Z demographic hungry for variety and exceptional dining experiences. Learn More.

Starbucks Pours In Profits With Late-Night Delivery

Starbucks recently piloted a late-night delivery service in partnership with a third-party provider, operating between 5 p.m. and 5 a.m. This initiative, which saw a significant increase in business during the test phase, aims to generate a $2 billion revenue stream over the next five years. CEO Laxman Narasimhan highlighted the potential for overnight delivery to drive incremental growth and complement the company’s existing U.S. delivery business, which experienced double-digit growth in both order size and total transactions in Q2. The success of Starbucks’ late-night delivery model mirrors similar strategies adopted by popular chains like Wendy’s, Pizza Hut, and Taco Bell to meet the demand for late-night cravings. Read Article.

Two Powerhouse Brands Launched New Products

Coca-Cola and Mondelēz International introduced new products to the market this week. Coca-Cola unveiled Sprite Chill, a limited-time offering with a cherry lime twist designed to deliver a refreshing experience with a unique cooling sensation. Kate Schaufelberger, brand director at Sprite, emphasized the brand’s commitment to innovation while maintaining its signature refreshing taste. Meanwhile, Mondelēz International launched its first gluten-free Chips Ahoy! cookie, catering to the increasing demand of consumers with gluten sensitivities. With approximately 25% of Americans following a gluten-free diet, Mondelēz aims to appeal to a wider customer base while retaining the delicious taste of its classic cookie.

Every week we deliver industry trends and insights and the latest food and beverage news from CPG companies, retailers and foodservice. Enjoy!