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Innovation being adopted by hospo industry

Digital ordering, sustainable packaging and takeaway menus are just some of the innovations being adopted by hospitality business owners. These are some of the things we can expect to see appearing in more dining establishments according to a Restaurant Association survey of hospitality business owners.

The Restaurant Association, an industry body that represents more than 2500 hospitality businesses nationwide, asked its members to weigh in on how their businesses have innovated over the past two years. Sixty two per cent of respondents responded to say they have implemented new digital tools or technology since the start of the pandemic.

Advancements have accelerated over the last two years with the hospitality industry trialling ways it can be more efficient, productive and enhance customer experience through the use of innovative technologies.

From improving customer experience, to making manual processes more efficient modern technological advancements are reshaping the hospitality industry as a whole.

More than half of businesses are now allowing customers to order from a website or app and 21 per cent have implemented ordering from the table via a QR code or app. Four per cent had implanted a self-ordering tablet and nine per cent have implemented digital menus with enhanced features.

The reasons given for implementing the changes included COVID-related operational guidelines, more convenience for customers, plugging staff shortages and speeding up service. Interestingly 19 per cent of respondents believed the changes were being driven by tech savvy customers.

Forty one per cent of businesses said they had noticed improved customer experience as a benefit of implementing the changes.

Thirty per cent had reduced their staffing costs and 46 per cent had noted greater efficiencies.

Restaurant management software was the most widely adopted with 78 per cent of respondents saying they now used it. Fifty per cent of those surveyed are now using an online ordering system and 23 per cent a digital rewards programme.

Kiwi diners will have noticed a broader range of takeaway options as 75 per cent of those surveyed have implemented takeaway meals, 20 per cent, heat and eat meals and 15 per cent meal kits.

Fourteen per cent have branched into catering and 24 per cent have broadened their offer into new products.

When asked how they felt using digital technologies could enhance their business, the most common reason cited was improved front of house efficiency with 64 per cent of respondents giving this as their main motivation.

Sixty two per cent had seen improved customer experience, 45 per cent said they could reduce staffing costs and 28 per cent were now reducing food waste as a result of adopting new technologies.

Sustainability is also front of mind with 78 per cent of businesses saying they had implemented compostable packaging and 67 per cent recyclable packaging. Ninteen per cent are now employing a reusable cup system.

"Innovation and adaptability has been critical to the survival of our industry over the past two years," says CEO Marisa Bidois.

"In particular the adoption of new technologies is now playing an important role in restaurants around the world, helping to create efficiencies that can help plug the staffing shortage gap and over time, reduce staff costs.

"For example we’ve seen robots beginning to be used for some of the less desirable day to day tasks that enable people to focus on more of the skilled work in hospitality, so not necessarily replacing people but assisting them. We know that people and human interaction are integral to the hospitality experience so we wouldn’t want to see that lost.

"However, at the Restaurant Association we have a keen eye on digital capability and encourage our members to look at ways they can run their businesses more efficiently. We know that there are productivity gains to be made by utilising new technologies so over time we see that these will be adopted by a wider range of businesses."

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