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Restaurant Trends 2013 and Beyond

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We are tracking hundreds of restaurant trends emerging around the world. The pace of change is accelerating. Success these days favors those companies who innovate; and that means not only knowing the restaurant trends, but creating them. Aaron Allen & Associates is here to provide you the guidance and resources you need to understand important restaurant trends, what’s influencing them, why they matter, and what it all means for your company.

Be sure to subscribe to our newsletter at www.aaronallen.com

Published in: Business
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Restaurant Trends 2013 and Beyond

  1. 1. RESTAURANT INDUSTRY TRENDS 1
  2. 2. AARONALLEN 25 TRENDS TO WATCH SHIFTING TECTONIC PLATES The tectonic plates of the restaurant industry are shifting at a faster rate than in decade’s prior.  The Fast Casual segment is growing at a faster rate than the industry overall and is cannibalizing others (currently generating around $20b annually but projected to hit $100b within a decade).  QSR’s are acting more like Fast Casual and up-scaling their products, guest experience and pricing.  Restaurants in general are acting more like grocery stores and grocery stores more like restaurants; Home Meal Replacement is their battleground. The casual dining players performing the best are migrating up the pricing continuum to make more room for Fast Casual and protect eroding margins. The unit economics have fundamentally and forever changed.  Today the worst place to be in the restaurant industry today is the Casual Dining segment with a check average of less than $20.  Much more at play here and it’s important stuff (we do half-day seminars on the subject). 2 © 2012, Aaron Allen www.aaronallen.com
  3. 3. AARONALLEN 25 TRENDS TO WATCH THE SHRINKING BOX Doing more with less has been a recession-era mantra for restaurants, especially when it comes to the unit’s footprint. Downsizing with a special emphasis on design innovation has become commonplace in chain concepts, as well as independents, with both operating out of less square footage than ever before. Photo Credit: Aaron Allen3 © 2012, Aaron Allen www.aaronallen.com
  4. 4. AARONALLEN 25 TRENDS TO WATCH WHOLE COOKERY The “Whole Cookery” style serving focuses on an all- inclusive experience to tantalize your tastebuds and appreciate every piece of the animal. At Cask & Larder in Winter Park, Florida, you get your own dedicated Chef for the evening and they deliver the whole animal to your table. The Whole Cookery Feast includes a starter course, sides with your animal & dessert. Photo Credit: http://www.caskandlarder.com/4 © 2012, Aaron Allen www.aaronallen.com
  5. 5. AARONALLEN 25 TRENDS TO WATCH MICRO-REVIEWS Gone are the days where a restaurant’s reputation could be decided by a single critic. Nowadays that job belongs to a cast of thousands and with it the responsibility of online reputation management. One tweet now can alert 10,000 instead of only the guy next door. Before, customers would tell 10 people, now they tweet 10,000 from the table through pictures and commentary. Photo Credit: http://twitter.com/Yardy_Shannon5 © 2012, Aaron Allen www.aaronallen.com
  6. 6. AARONALLEN 25 TRENDS TO WATCH SPICY VODKA INFUSIONS Infused vodkas are a staple in most restaurants these days. Cherry, orange, maybe even a blackberry if you’re lucky. But what about bacon? Watermelon-jalapeño? Habanero? Restaurants like Croce’s in San Diego have stepped outside the norm and started to play with bolder ingredients. Their bacon and ghost chili infused vodka (one of the hottest peppers known to man) is the fiery secret ingredient in their complex bloody mary. Photo Credit: http://www.croces.com/6 © 2012, Aaron Allen www.aaronallen.com
  7. 7. AARONALLEN 25 TRENDS TO WATCH PHILOSOPHICAL RESTAURANTS Ubuntu – an ethic or humanist philosophy focusing on people’s allegiances and relations with each other emphasizing community, sharing and generosity ~ essentially, the essence of being human. It’s also the name of a restaurant/wineshop/yoga studio in NYC. Restaurants are extending their missions beyond just good food, good service, and good atmosphere. It goes beyond the customer and includes providing a sustainable workplace environment and interconnectedness with their providers and local communities. Photo Credit: http://ubuntunapa.com/ubuntu-story/7 © 2012, Aaron Allen www.aaronallen.com
  8. 8. AARONALLEN 25 TRENDS TO WATCH INSTAGRAM IT A picture is worth… well… a lot these days. Instagram’s following has increased over 400% in the last seven months to 80 million users, and some of the most influential chefs and restaurateurs are taking advantage of the boom. New York Citys Comodo restaurant has capitalized on this foodie trend by launching an Instagram menu. By using hashtags, theyve assembled a collection of customer-taken photos of some of their most popular dishes. Favorites? The Comodos swordfish ceviche, seared duck breast and poblano pepper pasta. Photo Credit: http://extragr.am/chefjgv, http://tinyurl.com/cpveseh8 © 2012, Aaron Allen www.aaronallen.com
  9. 9. AARONALLEN 25 TRENDS TO WATCH RETRO COCKTAILS Retro cocktails such as the classic Martini, Sidecar, Gimlet, Manhattan and Tom Collins are back in vogue. Media, advertising and popular hit television shows such as Mad Men, are all celebrating the past in ways like never before. Photo Credit: http://strandedfoodie.com/2012/11/stranded-foodie-thanksgiving-pear-ginger-sidecar-cocktail-recipe/9 © 2012, Aaron Allen www.aaronallen.com
  10. 10. AARONALLEN 25 TRENDS TO WATCH ON-SITE GARDENS The path from farm to table might be shorter than you think. More chefs are turning to neighborhood and even rooftop gardens to procure the freshest ingredients. Seasonal menus are now dictated by rooftop gardens like the Bell Book & Candle on NY’s west side. Their menu revolves around local, organic, sustainable and overall responsible procurement. The menu cycles are seasonal and heavily influenced on production from the aerophonic roof-top tower garden. Photo Credit: http://www.bbandcnyc.com10 © 2012, Aaron Allen www.aaronallen.com
  11. 11. AARONALLEN 25 TRENDS TO WATCH COMMUNITY OWNED Community members invest in a local collective business that serves their needs and those of the community. Keeping it local focuses on the needs of the community and can be a powerful driver for social change. Seen as a plus by consumers, community-owned businesses keep it all in the family, so to speak. Photo Credit: http://www.standard.co.uk/incoming/article7599694.ece/ALTERNATES/w460/Co+ophttp://w ww.goinglocal-info.com/.a/6a00d8357edf6c69e20120a921e02e970b-320wi11 © 2012, Aaron Allen www.aaronallen.com
  12. 12. AARONALLEN 25 TRENDS TO WATCH GOURMET DOUGHNUTS The doughnut has dropped its humble origins and finds a gourmet side with flavors like pistachio, banana-salted caramel, and hazelnut praline. New fillings include crème brulee and maple bacon, even whiskey and foie gras at LA’s UMAMIcatessen. International takes on doughnuts are gaining popularity with European style kolaches, Turkish lokmas, Portuguese malasadas, and French Kouign-amann Photo Credit: http://doritedonuts.com, http://tinyurl.com/a2ant5u12 © 2012, Aaron Allen www.aaronallen.com
  13. 13. AARONALLEN 25 TRENDS TO WATCH PSYCHOGRAPHIC HIRING Psychographic hiring zeroes in on recruiting people on the basis of their attitudes and tastes. Beyond their skills, how do these individuals view themselves? Employers are looking to hire like-minded people in operations like Seasons 52, where employees buy into a healthy lifestyle and are all part of the mission statement. Photo Credit: https://www.facebook.com/seasons52/photos_stream13 © 2012, Aaron Allen www.aaronallen.com
  14. 14. AARONALLEN 25 TRENDS TO WATCH HOLD THE FUSS With a full-throttle emphasis on natural, simple, and fresh ingredients, chefs are finding that less is more. Less sauces, less processing and less calories are making these straight- forward menu offerings more nutritious and flavorful, with less guilt for consumers. Photo Credit: http://www.dmagazine.com14 © 2012, Aaron Allen www.aaronallen.com
  15. 15. AARONALLEN 25 TRENDS TO WATCH CAUSE MARKETING Starbucks not only engages in causes that tie into the brand’s promise but it does so in a seamless way. Consumers gravitate towards brands that reflect how they see themselves, and judging from the public’s embrace of this chain, a lot of folks see something of themselves here. Have a cause, not just a business. Photo Credit: http://starbucks.com15 © 2012, Aaron Allen www.aaronallen.com
  16. 16. AARONALLEN 25 TRENDS TO WATCH MINIMALISM Less is more is taking center stage in restaurant décor as well as the more simplistic center-of-plate offerings. Restaurant interiors are less fussy with a nod towards sleeker, more modern looks. Design elements are set out to expose the essence or identity of the restaurant through eliminating all non-essential forms, features or concepts. The simplest and fewest elements are used to create the maximum effect. Photo Credit: http://www.thecoolist.com/restaurant-design-10-amazing-temples-of-cuisine/16 © 2012, Aaron Allen www.aaronallen.com
  17. 17. AARONALLEN 25 TRENDS TO WATCH DOGGIE DINING More and more restaurants are becoming dog friendly in the same way that they have become kid friendly over the years. With 70 million dog owners in the U.S. alone it’s no wonder that restaurants and hotels have loosened their pet restrictions and are cashing in. In some operations not only are dogs allowed, but there are separate menus catering to their every whim. Photo Credit: http://www.gasparsgrotto.com17 © 2012, Aaron Allen www.aaronallen.com
  18. 18. AARONALLEN 25 TRENDS TO WATCH COFFEE PAIRINGS Forget wine and cheese. This year you are more likely to have your cheese paired with coffee. Food writer James Chatto touts coffee from the breakfast table straight through dessert, comparing it to wine in complexity and versatility. At Splendido, a fine dining establishment in Ontario, coffee is just as complex an accompaniment to food as wine. Just as a winemaker changes grape juice so dramatically through fermentation, so a coffee expert creates a unique product by roasting to different levels. Photo Credit: http://nycmugged.com/blog/wp-content/uploads/2011/01/1993-David-and-Martha-Dallis.jpg18 © 2012, Aaron Allen www.aaronallen.com
  19. 19. AARONALLEN 25 TRENDS TO WATCH GYPSY KITCHENS Kitchens are popping up in places never imagined. Underground supper clubs and off the grid secret locales all add a sense of excitement and discovery to the already alluring and evolving culinary landscape. This air of mystery and secrecy plays directly to the consumers heightened sense of discovery. Photo Credit: http://velocult.com/wp-content/uploads/2010/11/supperclubopening.jpg19 © 2012, Aaron Allen www.aaronallen.com
  20. 20. AARONALLEN 25 TRENDS TO WATCH HOUSE SODAS & HEIRLOOM BEVERAGES At home soda kits have made it easier for both the home cook and restaurateur to build their own beverage. Some restaurants are perking up their menus simply by bringing fresh ideas to the beverage section like Dat Dog in New Orleans. Sodas with surprising new flavors like lavander-vanilla, tangerine, and persimmon are popping up on drink menus. One featured at Dat Dog is nectar infused, with a splash of chardonnay. Photo Credit: http://www.torontolife.com/daily/wp-content/uploads/2012/05/may12Soda.jpg Photo Credit: http://l.yimg.com/ea/im_siggkuPuL8Vuf9djvGwT5HjxaQ---x240-q80/img/-/110510/sodasiphon_16shn89-16shn8d.jpg20 © 2012, Aaron Allen www.aaronallen.com
  21. 21. AARONALLEN 25 TRENDS TO WATCH CLANDESTINE DINING Want to really experience a foodie’s ultimate head trip: eat in the dark. In customer’s unrelenting search for the new and different, gourmands find a little bit of darkness brings the lightness of being to their favorite pastime. Not fit for the masses, but for a select few it’s nirvana. Photo Credit: http://opaque.com21 © 2012, Aaron Allen www.aaronallen.com
  22. 22. AARONALLEN 25 TRENDS TO WATCH NUTRITIONAL DISCLOSURES Consumers are demanding more nutritional information and that puts the burden of compliance squarely in the hands of restaurateurs, which can be costly and time consuming. With an appetite for quick analysis through apps like the popular ‘Lose it,’ which allows people to track daily food consumption, foodservice operators need to stay ahead of the curves. Photo Credit: http://caloriecount.com, http://www.loseit.com/22 © 2012, Aaron Allen www.aaronallen.com
  23. 23. AARONALLEN 25 TRENDS TO WATCH iPAD MENUS iPads are turning up everywhere so it’s no surprise that restaurants would be turning to the iPad as a way to bring today’s menu offerings to its clientele. There are numerous upsides to using iPads and other methods of digital paper, including the halo of being “with it,” and the environmental “greenness” of it. Outback Steakhouse co- founder Chris Sullivan sees not just the current novelty but future potential and is investing his fortune and know-how in this trend. Photo Credit: http://www.apple.com/ipad/business/profiles/carmel-cafe/23 © 2012, Aaron Allen www.aaronallen.com
  24. 24. AARONALLEN 25 TRENDS TO WATCH WIRELESS PAYMENT Money is slowly but surely becoming a thing of the past, at least when it comes to cash on hand. Wireless payments have surpassed the green stuff in a big way and are being utilized not only in online transactions but in virtually all points of commerce. Restaurateurs who have not embraced this mode of payment should rethink it. Photo Credit: http://technology.inc.com/wp-content/uploads/2011/05/Google-mobile-payment-2.jpg24 © 2012, Aaron Allen www.aaronallen.com
  25. 25. AARONALLEN 25 TRENDS TO WATCH THE SNACK OCCASION With an emphasis towards smaller more frequent meals the foodservice industry gave birth to a fourth daypart. Consumers who needed or desired that snack in the middle of the afternoon helped feed that pipeline and simultaneously fatten bottom lines.25 © 2012, Aaron Allen www.aaronallen.com
  26. 26. AARONALLEN 25 TRENDS TO WATCH AMERICANS WILL START TO SPEND MORE AS A % OF INCOME With an economy that continues to tighten the screws on the middle class it was only matter of time until Americans would be forced to spend more as a percentage of income. For the poor this is nothing new but for the vast majority of Americans the shifting reality is something that is playing out daily in their lives. Source: BRS/USDA, Euromonitor Data, complied July 2012, data for 2009 Data represents money spent on food at home26 © 2012, Aaron Allen www.aaronallen.com
  27. 27. BONUS TRENDSWe believe hospitality is about always giving a little extra, so heres our version of a "bakers dozen."
  28. 28. AARONALLEN 25 TRENDS TO WATCH ANALYTICS/KPI’s Restaurateurs are analyzing more data than ever before through KPI’s, or key performance indicators. Virtually everything and every employee’s performance can be analyzed, from a pizza delivery’s stats to just about anything else that can be quantified. A deep dive into an operations’ analytics reveals all sorts of usable information in real time that translates into time and money savings. Photo Credit: http://www.rdspos.com/portals/0/Images/ncr%20aloha%20pulse.png Photo Credit: http://www.retailresellernews.com/July_09_2012/Posiq-Analytics-7-9-12.jpg28 © 2012, Aaron Allen www.aaronallen.com
  29. 29. AARONALLEN 25 TRENDS TO WATCH INTELLECTUAL PROPERTY & TRADEMARKS Following on the heels of anti- smoking and nutritional laws the legal system is taking aim at intellectual property and trademarks. Moving forward restaurateurs will have to take greater care protecting properties and trademarks, including recipes and trade dress. It pays to be proactive on this so that years of sweat and hard work isn’t stolen by a copycat with a thumb drive. Photo Credit: http://www.schneidermike.com/wp-content/uploads/2010/08/mcdowells-mcdonalds.png29 © 2012, Aaron Allen www.aaronallen.com
  30. 30. AARONALLEN 25 TRENDS TO WATCH GROCERY STORES CLAW BACK CUSTOMERS The grocery and foodservice industries have been locked in a competition for share of dollar for as long as anyone can remember. While restaurants have gained market share in recent decades, grocery businesses have said enough and are pulling out all the stops to reduce the trend.30 © 2012, Aaron Allen www.aaronallen.com
  31. 31. AARONALLEN 25 TRENDS TO WATCH FARMS VERSUS GOLD With the world’s population growing at an unprecedented rate it will take a 25% increase in food agriculture production to keep pace. Because farms are shrinking at the same time food consumption is increasing, farmland is good as gold. In the future farmland will become even more precious because if you can’t eat, who will care about gold.31 © 2012, Aaron Allen www.aaronallen.com
  32. 32. AARONALLEN 25 TRENDS TO WATCH CELEBRITY FARMER Thanks to their local celebrity chefs, many farmers are enjoying a newfound rock star status. With their names featured on menus, their food celebrated in tasting demonstrations and a growing presence in media, viral and otherwise, these farmers are learning the value of their own brands. Photo Credit: http://images.teamsugar.com/files/upl1/1/15259/41_2008/Top-Farmer_0.xlarger.jpg32 © 2012, Aaron Allen www.aaronallen.com
  33. 33. Contact us about tailored workshops for at least 75 more trends presented in person that are specificallyrelevant for "your audience" (whether that be a handful of senior executives for your company or a publicprogram for a few hundred of your colleagues.) www.aaronallen.com United States Central Europe 390 North Orange Ave 1051 Budapest Suite 2300 Október 6. utca 17, Orlando, Florida 32801 Budapest, Hungary 407-936-1010 (US) +36-1-798-3578 (Europe) (866) 436-4002 (US fax)33 © 2012, Aaron Allen www.aaronallen.com 33

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