Sign in Subscribe
By Interviewy Team —

October 15th QSR Roundup: The Rise of Yuzu, Social Media's Influence on Dining Trends, and Innovative Strategies for Restaurant Growth

October 15th QSR Roundup: The Rise of Yuzu, Social Media's Influence on Dining Trends, and Innovative Strategies for Restaurant Growth
QSR news for Oct 15th, 2024. We reviewed 20 QSR publications, 6 subreddits, and over 85 articles to bring you the latest. Estimated reading time saved (at 200wpm): 221 minutes. It'll take you only 13 minutes to catch up.

Yuzu's Growing Popularity in U.S. Restaurants

Yuzu, a tart and floral citrus fruit, is gaining traction among U.S. diners. Originally prevalent in Japanese cuisine, it's now featured in:

  • Beverages: Both alcoholic and non-alcoholic drinks are embracing yuzu for its unique flavor.
  • Sauces and Dishes: Enhancing Japanese ponzu sauce and being incorporated into various culinary creations.

Statistics:

  • 29% increase in menu presence over four years.
  • Appears on 5.9% of U.S. restaurant menus.
  • Especially popular in high-end venues and among Asian consumers.

Yuzu's ascent reflects a growing consumer interest in exotic and bold flavors.

Sources:

  • Nation's Restaurant News

Social Media's Powerful Influence on Restaurants

Social media platforms, especially TikTok, are reshaping how restaurants engage with customers.

TikTok's Impact:

  • Chipotle's Experience: Faced backlash over portion sizes, leading to a viral campaign that compelled retraining staff.
  • Millennial Trends:
    • 53% of millennial TikTok users visit restaurants they've seen on the platform.
    • A single positive review can significantly boost traffic.

Case Study:

  • Danny Boy’s Pizza:
    • A TikTok review led to a surge in customers.
    • Highlighted the importance of authentic engagement.

Strategies for Success:

  • Authentic Engagement: Restaurants must interact genuinely with their audience.
  • Embrace Trends: Staying updated with social media trends can increase visibility.
  • Risk-Taking: Innovative and bold marketing can set a brand apart.

Leveraging social media effectively can turn customers into powerful brand ambassadors.

Sources:

  • Nation's Restaurant News

Boosting Restaurant Traffic Amid Economic Challenges

Restaurants are facing hurdles due to economic pressures, but innovative strategies are helping to attract customers.

Economic Factors:

  • 62% of consumers live paycheck to paycheck.
  • Menu prices have risen by 28% since 2020.
  • Full-service restaurants are more affected than limited-service ones.

Strategies to Attract Customers:

  • Limited-Time Offers (LTOs):
    • 46% increase in LTOs as a tactic to boost traffic.
    • Over 50% of diners prioritize LTO availability when choosing where to eat.
  • Menu Innovations:
    • Focus on non-alcoholic beverages and creative drink options.
    • Craveability and uniqueness are key to successful LTOs.
    • Incorporation of comfort food elements like cheese.
  • Menu Revamps:
    • 85% of operators have updated menus in the past year.
    • Emphasis on spicy and globally-inspired sauces.

By understanding consumer preferences and offering unique experiences, restaurants can navigate economic challenges successfully.

Sources:

  • Nation's Restaurant News

Success Stories: Insights from Leading Restaurant Founders

At the CREATE Event for Emerging Restaurateurs, industry leaders shared their secrets to success.

Cameron Mitchell - Ocean Prime

  • Operates 64 restaurants across 16 states.
  • Individual locations generate up to $22 million annually.
  • Key to Success: Setting clear goals and effective communication.

Nick Stone - Bluestone Lane

  • Australian-inspired coffee experience.
  • Prioritizes hospitality over customer service.
  • Expanded from 30 to 51 stores in 18 months.

Tim McEnery - Cooper’s Hawk

  • Wine Club Model attracts 99.7% member return rate.
  • Combines dining with community building.

Common Themes:

  • Adaptability: Being flexible to market changes.
  • Community Engagement: Building a loyal customer base through community involvement.
  • Innovation: Offering unique experiences and concepts.

These leaders demonstrate that a focus on people, community, and innovation is central to restaurant growth.

Sources:

  • Nation's Restaurant News

Texas Roadhouse's Recipe for Success: Enthusiasm and People-Centric Culture

Texas Roadhouse has seen exponential growth by prioritizing employees and customer experience.

Achievements:

  • Ranked No. 2 in casual dining sales, surpassing Applebee’s.
  • Maintained customer traffic without relying on delivery or discounts.

Strategies:

  • People-Centric Culture:
    • Emphasis on employee satisfaction.
    • Legacy of founder Kent Taylor focuses on prioritizing staff.
  • Unique Atmosphere:
    • Lively environment with music and line dancing.
    • Made-from-scratch offerings enhance customer appeal.

Expansion Plans:

  • Introducing Bubba’s 33 and Jagger’s concepts.
  • Aiming for domestic and international markets.

By fostering a strong internal culture and unique customer experiences, Texas Roadhouse continues to thrive.

Sources:

  • Nation's Restaurant News

Red Robin Attracts Activist Investors Amidst Challenges

Red Robin Gourmet Burgers has caught the attention of activist investors aiming to rejuvenate the brand.

Investor Details:

  • JCP Investment Management acquired 7.9% stake.
  • Jumana Capital secured 3.7%.
  • Combined stake amounts to 11.6%.

Reasons for Investment:

  • Belief that shares are undervalued.
  • Stock price has dropped nearly 60% year-over-year.

Company Initiatives:

  • New loyalty program launch.
  • Plans to enhance guest experience and profitability.

Activist investors see potential in reviving Red Robin through strategic changes and operational improvements.

Sources:

  • Nation's Restaurant News

Velvet Taco's Ambitious Global Expansion

Velvet Taco is set to take its globally inspired menu international, starting with the UK.

Expansion Highlights:

  • First international franchise opening in London's Soho in spring 2025.
  • Agreement with Velvet Taco UK Ltd. for multi-location expansion.
  • Goal: Up to 200 locations by 2030.
  • Unique tacos like Spicy Tikka Chicken Taco and Fish ‘n Chips Taco.
  • Emphasis on globally inspired and chef-driven recipes.

Leadership Vision:

  • CEO Clay Dover underscores international growth as a strategic goal.
  • Focus on transforming perceptions around tacos.

Velvet Taco aims to captivate international markets with its innovative and diverse menu.

Sources:

  • Nation's Restaurant News

Chili's Marketing Revamp: Embracing Nostalgia and Simplification

Chili's is revitalizing its brand by returning to its roots and simplifying offerings.

Marketing Strategies:

  • Reintroduced the iconic Baby Back Ribs jingle to leverage nostalgia.
  • Cut the menu by 25% to streamline operations and focus on core items.

Economic Insights:

  • 74% of consumers are reducing restaurant spending.
  • Quick-service restaurants faced traffic declines for 36 out of 38 months.

Industry Comparisons:

  • Chipotle finds success with strategic pricing.
  • Salad and Go offers affordable healthy meals starting at $6.79.

By reconnecting with its heritage and focusing on customer experience, Chili's aims to attract a wider audience.

Sources:

  • Nation's Restaurant News

Starbucks' Shift Towards a Premium Experience

Starbucks is rebranding to enhance the coffeehouse experience and move away from discounts.

Strategic Changes:

  • CEO Brian Niccol focuses on a premium coffee experience.
  • Phasing out discounts and promotions.
  • Encouraging customers to linger and enjoy unique beverages.

Customer Engagement:

  • Offering loyalty points instead of discounts during holidays.
  • Addressing concerns about long wait times by enhancing in-store experiences.

Challenges:

  • U.S. transactions fell 7% in Q2, the worst since the pandemic.
  • Competitors like McDonald’s continue with $5 meal deals.

Starbucks aims to rejuvenate its brand by focusing on quality and the traditional coffeehouse ambiance.

Sources:

  • QSR Magazine

Little Caesars Targets College Campuses for Expansion

Little Caesars is opening express locations on college campuses to cater to students.

Key Initiatives:

  • Launching at Eastern Michigan University and Washington State University.
  • Offering affordable meal options for students.
  • Menu includes grab-and-go items suitable for busy campus life.

Franchisee Insights:

  • Franchisee couple at EMU express enthusiasm for the investment.
  • Collaboration with universities to enhance food options on campuses.

By tapping into the college market, Little Caesars expands its reach and meets the needs of a key demographic.

Sources:

  • QSR Magazine

L&L Hawaiian Barbecue's East Coast Expansion

L&L Hawaiian Barbecue is bringing authentic Hawaiian cuisine to New York City.

Expansion Details:

  • Three new locations opening in NYC by the end of 2024.
  • Increasing East Coast presence to 13 locations.
  • Global count to 231 restaurants.
  • Signature Hawaiian dishes like the popular 'Plate Lunch'.

Franchisee Story:

  • Henry and Sephra Engel, with personal ties to L&L, lead the NYC expansion.
  • Aim to share authentic Hawaiian cuisine with a broader audience.

L&L continues to grow by bringing a taste of Hawaii to new markets.

Sources:

  • QSR Magazine

Chipotle's Investment in Mediterranean Brand and AI Supply Chain

Chipotle is diversifying its portfolio by investing in Brassica and enhancing supply chain transparency.

Brassica Investment:

  • Fast-casual Mediterranean chain known for customizable meals.
  • Founded by brothers with Lebanese roots.
  • Chipotle's Cultivate Next fund supports Brassica's expansion.

AI Supply Chain:

  • Partnership with Lumachain to improve supply chain traceability.
  • Aims to reduce waste and enhance efficiency.

Commitment to Innovation:

  • Investing in regenerative farming, plant-based innovations, and food robotics.
  • Focus on sustainable growth and operational efficiency.

Chipotle leverages its resources to foster innovation both within and outside its core brand.

Sources:

  • QSR Magazine
  • Restaurant Business

Chuck E. Cheese's Major Revamp Post-Bankruptcy

Chuck E. Cheese undergoes a $350 million transformation to modernize and attract families.

Revitalization Efforts:

  • Introduced a Grown-Up Menu crafted by Chef Buddy Valastro.
  • Revamped game rooms with updated technology.
  • Launched a monthly membership program starting at $7.99.

Strategic Focus:

  • Aimed at multi-generational appeal.
  • Flexible pricing strategies led to selling over 350,000 Summer Fun Passes.

Chuck E. Cheese reinvents itself to meet modern family entertainment needs.

Sources:

  • QSR Magazine

Drive-Thru Efficiency Boosted by Voice AI Technology

Fast-food chains are enhancing drive-thru experiences with AI ordering assistants.

Notable Implementations:

  • Bojangles' Bo-Linda: Operating at over 200 locations, improving efficiency.
  • Taco Bell's AI System: Enhances customer experience in over 100 stores.
  • Wendy's FreshAI:
    • Reduced service times by 22 seconds.
    • Plans to expand further due to success.
  • White Castle's Julia: Introduced at 100 locations to improve interactions.

Industry Impact:

  • Despite some setbacks, AI is seen as a transformative force.
  • Focus on improving speed, accuracy, and customer satisfaction.

Voice AI is revolutionizing the drive-thru experience, offering benefits for both customers and businesses.

Sources:

  • QSR Magazine

Coffee Shops' Loyalty Program Challenges

While loyalty programs are key, many coffee shops struggle to implement them effectively.

Common Pitfalls:

  • Complexity: Programs that are hard to understand deter customers.
  • Lack of Personalization: Generic rewards fail to engage users.
  • Poor Promotion: Without proper marketing, customers remain unaware.
  • Rewarding Disloyalty: Offering perks to infrequent customers can devalue the program.

Best Practices:

  • Simplicity: Clear and straightforward rewards encourage participation.
  • Personalized Rewards: Tailoring offers to customer preferences boosts engagement.
  • Effective Promotion: Utilizing sign-up incentives and marketing channels to raise awareness.
  • Focus on Loyalty: Reward frequent customers to strengthen relationships.

An effective loyalty program can significantly enhance customer retention and sales.

Sources:

  • QSR Magazine

Vitality Bowls Celebrates 13 Years with Promotions

Vitality Bowls marks its anniversary with deals and community engagement.

Anniversary Offers:

  • 13% off orders for Loyalty Program members from October 13-19.
  • Daily free açaí bowl giveaways on Instagram.

Company Growth:

  • Expanded to over 120 cafés in 18 states.
  • Known for healthy and allergy-conscious menu options.

Innovations:

  • Launched Harvest Kitchen, a virtual brand for protein meals.
  • Menu features items like Superfood Bowl and Chimichurri Steak Wrap.

Vitality Bowls continues to innovate while celebrating its commitment to health and community.

Sources:

  • QSR Magazine

Shaq-a-Roni Pizza Returns to Papa John’s

Papa John’s brings back the popular Shaq-a-Roni pizza with a community-focused initiative.

Key Details:

  • $1 from each Shaq-a-Roni sold goes to The Papa John's Foundation.
  • Over $13.1 million raised in four years.
  • Supports over 250+ organizations through the Building Community Fund.

Pizza Features:

  • Extra cheese and over 60 pepperonis.
  • Available for $12.99 starting October 14 for members.

The Shaq-a-Roni combines indulgence with social impact, benefiting communities nationwide.

Sources:

  • QSR Magazine

Chipotle's Strategic Investments in Growth and Sustainability

Chipotle invests in innovative companies to advance its mission.

Investments:

  • Brassica: Mediterranean sandwich chain focusing on fresh ingredients.
  • Lumachain: AI-driven supply chain platform enhancing transparency.

Objectives:

  • Foster sustainable growth.
  • Support concepts aligned with Chipotle's commitment to quality and innovation.

Through strategic investments, Chipotle is shaping the future of the dining industry.

Sources:

  • Restaurant Business

Smart Lockers Enhance Delivery Driver Efficiency

Automated pickup solutions like smart lockers are improving third-party delivery experiences.

Delivery Industry Insights:

  • Over 31% of Americans use third-party delivery frequently.
  • Drivers face challenges like long waits and complex pickups.

Benefits of Smart Lockers:

  • Preferred by 85% of drivers.
  • Save 2-5 minutes per order.
  • Ensure meals arrive hot and fresh, boosting customer satisfaction.
  • Increase delivery capacity for restaurants.

Implementing smart lockers streamlines operations and enhances the overall dining experience.

Sources:

  • Restaurant Business

Canlis Settles Wage Theft Lawsuit

Seattle's fine-dining restaurant Canlis agrees to a settlement over wage theft allegations.

Settlement Details:

  • Paying $1.45 million to about 300 workers.
  • Claims involved unpaid trial work and lack of breaks.

Industry Context:

  • Highlights issues like unpaid trials ("stages") in the industry.
  • Similar cases, like the Willows Inn, faced legal challenges leading to closure.

The case underscores the importance of fair labor practices in the restaurant industry.

Sources:

  • Restaurant Business

Texas Oysters and Sustainable Practices

Southerleigh Fine Food & Brewery champions sustainability in the oyster industry.

Achievements:

  • Chef Aaron Juvera becomes the first San Antonio chef certified by the Oyster Master Guild.
  • Introduces three unique Texas oysters to the menu.

Sustainability Efforts:

  • Partnership with Sink Your Shucks to recycle oyster shells.
  • Plans to create an oyster-infused craft beer.

By focusing on sustainability, Southerleigh promotes environmental responsibility and local industry support.

Sources:

  • FSR Magazine

Chicken Salad Chick's Midwest Expansion

Chicken Salad Chick signs franchise agreements to grow in the Midwest.

Expansion Plans:

  • Opening new restaurants in Coralville, IA, and Kansas City, MO in Fall 2024.
  • Additional locations in Illinois and Ohio expected by 2025.

Company Growth:

  • Reported a 38% increase in system-wide sales.
  • Reached over $353 million in sales.
  • Achieved an average unit volume of $1.5 million.

The brand's unique concept and community focus drive its successful growth strategy.

Sources:

  • QSR Magazine
  • Restaurant Dive

Restaurants Embrace Technology Amid Labor Shortages

Facing staffing challenges, restaurants turn to tech innovations.

Labor Shortage Facts:

  • Over 8.2 million job openings with only 7.2 million unemployed workers.
  • 62% of restaurant owners anticipate worsening shortages.
  • 28% of workers plan to quit by end of 2024.

Tech Solutions:

  • Digital Kiosks: Used by 42% of diners, with demand for more in quick-service restaurants.
  • Inventory Management: Digital tools reduce waste and enhance efficiency.
  • Cellular Signal Boosters: Improve connectivity for better customer experience.

Adopting technology helps restaurants navigate labor challenges and improve operations.

Sources:

  • Modern Restaurant Management

Sustainable Agave Spirits Highlighted at Oaxaca Club

Oaxaca Club focuses on sustainability and authenticity in agave spirits.

Innovative Offerings:

  • Tu Compa Cocktail: Combines high-proof tequila with pulque.
  • Use of QR codes on cocktails to educate customers.

Sustainability Efforts:

  • Emphasizes relationships with local producers in Mexico.
  • Addresses challenges like climate change affecting mezcal production.

Oaxaca Club blends tradition with modern techniques to promote sustainable practices.

Sources:

  • FSR Magazine

Restoring Native Food Sovereignty Through Culinary Media

Various media spotlight the revival of Indigenous food systems.

Notable Works:

  • "Gather" by Sanjay Rawal: A film showcasing the reestablishment of traditional food systems.
  • "Chími Nu’am" by Sara Calvosa Olson: A cookbook integrating traditional ingredients.
  • Sean Sherman's Owamni: An acclaimed restaurant promoting Indigenous cuisine.

Themes:

  • Resistance and Reclamation: Food sovereignty as an act against colonization.
  • Cultural Revival: Honoring Indigenous traditions and educating broader audiences.

These efforts highlight the importance of preserving and celebrating Indigenous foodways.

Sources:

  • Salon

Addressing Food Insecurity and Enhancing WIC Accessibility

Efforts are underway to improve the reach and effectiveness of the WIC program.

Current Challenges:

  • Over 6.7 million enrolled, but gaps remain.
  • Structural barriers hinder access for immigrant and working families.

Initiatives:

  • Increased funding of $1 billion for WIC in 2024.
  • Permanent higher cash benefits.
  • Modernization efforts, including hybrid services and expanded eligibility.

Enhancing WIC accessibility is crucial for reducing hunger and supporting families in need.

Sources:

  • Salon

Nutrition Bars: Reducing Sugar and Enhancing Taste

Webinars focus on innovating nutrition bars to meet consumer demands.

Key Topics:

  • Understanding consumer trends in the nutrition bar market.
  • Strategies for reducing sugar without compromising taste.
  • Utilizing natural sweeteners and fibers to improve nutritional profiles.

By adopting these insights, producers can create healthier and more appealing nutrition bars.

Sources:

  • Food Industry Executive
  • Prepared Foods

D’Arrigo California's Commitment to Breast Cancer Research

Celebrating 25 years of partnership with the Breast Cancer Research Foundation.

Milestones:

  • Contributed over $2.3 million to BCRF.
  • Funded over 47,000 hours of research since 1999.

Impact:

  • Supported advancements in early detection and personalized treatments.
  • Emphasized the link between healthy diets and reduced cancer risk.

D’Arrigo California demonstrates corporate responsibility by supporting critical health research.

Sources:

  • Food Industry Executive

Labor Shortage and the Need for Legislative Support

Restaurants face ongoing staffing challenges requiring policy interventions.

Factors Contributing to Shortages:

  • Early retirements.
  • Higher childcare costs.
  • Restrictive immigration policies.

Potential Solutions:

  • Expand the Work Opportunity Tax Credit.
  • Streamline work authorization for asylum seekers.
  • Legislative actions to support workplace growth.

Addressing labor shortages is essential for the sustainability of the restaurant industry.

Sources:

  • Modern Restaurant Management

Stay tuned for more concise news updates delivered right to your fingertips, saving you valuable time. As industry professionals and restaurant operators, your time is precious—spent on running your businesses, innovating menus, and enhancing customer experiences. Let us keep you informed with quick, comprehensive summaries so you can focus on what you do best. Subscribe now and join us again for the latest insights in the restaurant industry!

Subscribe to Interviewy's Blog

Don’t miss out on the latest issues. Sign up now to get access to the library of members-only issues.
jamie@example.com
Subscribe