Commentary

Experience, Hospitality Remain Key Fast-Casual Dining Drivers

It’s (still) all about the experience, according to the annual "2024 Restaurant Trends and Diner Expectations" report published by SevenRooms, a restaurant industry CRM, marketing and operations platform. The online study, in conjunction with Censuswide Research, was recently conducted with 1,004 U.S. consumers over the age of 18, with additional data from SevenRooms restaurant customers.

As previously reported, this is by no means the first study revealing the high value of customer experience. Per the new report, restaurants are “filling the need for 'third places,' highlighting how [consumers need] connection spots outside the home and workplace.” Thus customers have come to expect more than food from their local fast-casual restaurant.

So what does that experience look like? The report highlights convenience, personalization and value from brands as being the top examples. And the focus on millennials especially pays off, as the study found “Millennials are … dining out most frequently, with 38% saying they dine out more than 5x a month.” Examples from the survey of the specific kinds of experience they want include “a menu with some theater” per respondents in Washington, D.C.

"New consumer demands are pushing restaurants to find the right balance between hospitality and automation to create the experiences guests crave and return for," said Joel Montaniel, CEO and co-founder at SevenRooms. "Diners want both access and recognition when spending their hard-earned dollars, and restaurants must embrace new strategies … to enhance hospitality at every touch point.”

Of particular importance to quick service chains is the focus on the loyalty experience with repeat diners. 34% of Gen Z respondents want personalized in-person surprises, like a free dessert, and 72% of those care most about free menu items.

Essentially customers spend their dining dollars on more than food: They want experiences and service they can’t get at home. And that front-o- house hospitality and uniqueness often takes a significant investment in back-of-house operations to create a seamless experience for the diner.

For example, Chili CMO George Felix told one publication that the company has “been on a mission to simplify operations” to “deliver great hospitality and a better guest experience.”

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