Restaurant AI & Technology Report

Breaking down some of the emerging and fast growing brands in the fast-casual space had always been a passion of mine; even when I founded fastcasual.com, some of the most memorable takeaways from the segment were always in my conversations with CEO's and founders. This convo was no different with my long-time friend Clay Dover, CEO of the Dallas-based Velvet Taco.

So much has changed for the fast casual segment, and one of the areas that present the most curiosity is the evolution of drive-thru - Clay and I break down what is working and why this is a big strategy for fast growth for Velvet Taco.

Since Clay assumed leadership in March 2017, Velvet Taco has grown from 4 to 36 company-owned restaurants with 21 more in development and continues to see consecutive quarters of positive restaurant comparative sales. Dover attributes the brand’s success to quality, chef-driven recipes inspired by flavors worldwide served in a tortilla and a strong “Tribe” culture that allows Team Members to be bold, curious, and unconventional. Dover has successfully led the brand during recent unprecedented times, maintaining positive cash flow, improving margins, and continuing the development growth plan.

Takeaways from this conversation with Clay Dover

• Unit growth and the unit eco strategy?
• Recent consumer trends of dining more at home?
• How can restaurants continue attracting in-person dining experiences as more people dine at home/takeout?
• How have restaurants, particularly Velvet Taco, adapted to changes in restaurant technology to attract all ages?
• When planning to position itself for continued growth, what approach will the brand take?

Big Fast Casual News Coming here on Foodable, but if you're not following some of our hottest podcasts you should be!
Fast Casual Nation with Lisa Pepe
Accelerate Podcast with Rob Grimes
Turning Tables Podcast with Kathleen Wood

In this episode, we dive into the brand-building elements for legacy brands to break thru and connect with a new generation of consumers. Dawn Petite serves as the Chief Operating Officer for Friendly’s Restaurants, which operates over 130 (company-operated and franchised) friendly, full-service restaurants. Dawn began her career at Friendly’s Restaurants as an operations manager and has been with the Friendly’s brand for over 40 years. She oversees a multi-functional team of employees from corporate operations to franchise operations and training.

Casual Dining has seen a new challenge of consumer sentiment decline in the past couple of years, with 2023 scores already reaching a new high of declining consumer sentiment.

Data provided by Foodable Labs
We break down some of the key elements that are changing the future of casual dining and its place in the foodservice landscape - that is, to deliver hospitality back into the business and create a new generation of loyal fans.

Looking at the fast casual segment opens up some of the key categories as new movers based on consumer changes in the past few years. Operational restaurant trends in 2022 included an ongoing focus on off-premises dining, which put snacks and desserts front and center for operators seeking to optimize sales in the drive-thru and via carry-out and delivery.

This has led an array of brands like Orange Leaf, Red Mango, and others to excel in meeting the new demand of consumers. Our Foodable Labs rating for the dessert segment in Fast Casual has risen 4.8 points in sentiment vs. overall sentiment in the Fast Casual sector is down 3.4 points YOY.

Researchers report that consumers continue to gravitate toward savory flavors, citing popular dessert ingredients such as hot honey, salted caramel, Mexican hot chocolate, and smoked toffee. For menu food and beverage trends in 2023, look for new iterations of these savory-sweet combinations, particularly in sauces and other typically sweet toppings, such as spicy or hot maple syrup, caramel, toffee, butterscotch, and others.

In this episode, I dive in deep with Sherif Mityas, President of BRIX Holdings, to analyze this trend development and way. We get into consumer trends, demographics, shifts in tastes and dining and snacking habits, and what technology may bring to the sector.

Make sure to check our 2023 Trends to watch!

Building the right culture for your restaurant business could be the make or break this year as we see more and more operators facing one of the biggest challenges they have faced in the past decade, mainly since building teams and people are decade-lasting initiatives. CCI Consulting found that more than 50% of businesses lack one critical skill that can make a difference: "leading change." This is why, in 2023, we're likely to see an investment in leadership through coaching, courses, training, and exposure to diverse strategies that could work.
Jim Knight and I explore the keys for operators to lead change in your business every day, and best of all, we dissect the steps you need to take to make these changes happen. Understanding these predictions for 2023 is key to making your business improve.

•Building the right team
•Understanding strengths and how to apply them
•How to leverage technology
•What's missing from your roadmap and plan
•Long vision and what that means for your business
•What does the new team format look like in the next decades - things are about to get real!

If you have an idea for a great podcast topic or company, send us a note to [email protected]

In this podcast, we had a chance to dive deep into trends and styles for 2023 with Steve Schulze, the CEO of Nékter Juice Bar. Our conversation dove into the company's growth and what seems to be evolving into a new era for restaurants around consumer satisfaction and how the next generations perceive eating out.

The big analysis is that many shifts are starting to take aim at what has been a very favorable industry. With labor woes, price hikes, and service standards dropping - this is all beginning to be recognized by the next generation of consumers. Steve and I had a chance to dive into this idea of how restaurants need to address a new shift in the coming years.

Nékter Juice Bar is one of the most successful concepts in the better-for-you segment. In addition to low build-out costs and competitive franchise fees, they have a full support and training program. While marketing services are at an equal level to other franchise systems of this size, they do have a high-performing customer sentiment rating on our Foodable Labs Restaurant Rating. We believe this may be driven by a healthy consumer and sentiment-driven for those who are looking to correct their lifestyle choices.

My Top five Predictions and Trends to watch in 2023 are a mix of brands, consumer trends, and the future of technology. In this episode, I will deliver trends and ideas for 2023 for your restaurant business and a special interview on operation trends with Andrew Gibson of CA Energywise.

Some of my trends to watch in 2023
Four Breakout Brands and why
Where will alternative proteins go
Web3 and Blockchain innovation
Why consumer satisfaction will break you

Is third party deliver on its last leg?
The restaurant industry has undergone its fair share of challenges in the past few years, and the effects of those changes are still being felt today. From the shockwaves of the COVID-19 pandemic to the innovations introduced by new technologies, the restaurant sector is poised for another year of fast growth innovation.
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Many of the most prominent restaurant trends of 2022 have grown in importance for the management teams of today as well as constructing the future of brands and teams direction.

The skills needed for the times ahead are not built overnight. Personal experiences and professional development form strong leaders through quality learning experiences and development. The key to a successful 2023 is the ability to be agile, committed, and innovative in your approach.

In today's podcast, we dive in deep with consultant an author Rudy Miick to discuss key areas that will make your mission to lead in the restaurant industry a reality.

Some key trends to watch in 2023
How to drive business performance
How to think critically and adapt.
Adopt the digital mindset
Biz Culture that Drives Engagement

This episode is Sponsored by Rever Networks - Your Blockchain advisory company.

-------------- https://www.revernetworks.com/nft-web3-restaurant-strategies --------------

Franchise programs continue to build in the re-birth of the fast-casual segment for 2022-23, and a handful of companies understand what it takes to grow these brands to the next level.

DMD Ventures owns and operates some of the most successful and spirited brands in the United States. We dive deep with Co-Founders & Co CEOs Fred Burgess and Jack Flechner to understand how they have been able to grow various brands under the DMD banner.

Big Chicken is the crown jewel in the DMD organization and the only immigration project that offers an EB-5 green card that can begin as an E2 visa. This is one of the key investment strategies with DMD to deliver The Big Chicken concept, which is built around Shaq’s remarkable life, and he puts his heart and soul into marketing the brand and ensuring it lives up to the trust he’s built with fans.

Listen in to this podcast and subscribe for more Foodable Network Updates!

Understanding the new model of hospitality is gaining some ground with a shifting tide to technology, consumer demand, and a new server for exploration by the next-gen consumer. Tech-enabled hospitality startup, CAMO, is democratizing hotel dining by reimagining room service, reinventing the way travelers experience cuisine, and helping hotels generate profits from traditionally underutilized kitchens.
Paul Barron breaks down the CAMO turnkey solution with Kevin Rohani Founder & CEO at CAMO. In this podcast, they break down the challenges that hotels face in growing their restaurant experiences as they recapture their guests’ dining experiences, fulfill room service needs, and keep the revenue on-premises.
When restaurants and hotels closed for indoor dining during the past few years, people switched to pick-up orders and home deliveries, ghost kitchens became the concept of the day, helping both restaurant operators and retail landlords survive the setback. But now that indoor dining is back action, ghost kitchens have had to adapt, with some transitioning to full-service restaurants and others building out food halls to expand their customer reach, according to industry experts. Recent research from Foodable Labs shows a significant slowdown in consumer demand for Ghost Kitchens, and the move to lowering takeout costs for guests has become one of the key areas in which they are focused.
CAMO currently operates in Anaheim, California, providing room service to the surrounding market of hotels as well as serving guests at their physical hubs, including the companies’ recently opened innovation lab, Oasis Food Hall. For more information, please visit www.camohospitality.com.

These days, part of building a brand is the commitment to digital and addressing the needs of the new consumer - Hawaiian Bros has put together a model for growth that causes some fast casual operators to scratch their heads.


GROWTH + EXPANSION: As one of the fastest-growing concepts in the country. they have built a fan base across Missouri, throughout Texas and Oklahoma, in Chicago and New York, and are expanding with a new strategy around franchising.

In 2020, they had only nine locations; now, 36 locations are in the process of franchising to a variety of new markets.
With an average unit volume (AUV) of over $4.4 million and sales of $55 million in 2021, a whopping increase of 169% from the previous years.
What makes them unique is the brand positioning between the fast-casual and quick-service restaurants, where they focus on speed and throughput.

Listen to our interview with Scott Ford, President & co-CEO of Hawaiian Bros.

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