By Interviewy Team — Oct 3, 2024

October 3rd QSR Roundup: Tasty Innovations, Profit Strategies, and Dining Trends Shaping the Industry

Now shorter! QSR news for Oct 3, 2024. We checked 20 QSR publications, 6 subreddits, and over 66 articles for you to bring the latest news. Estimated reading time saved (at 200wpm): 200 minutes. It will take you about 13 minutes to catch up.

Keynote Speakers and Industry Leaders

Carla Hall to Headline NRA Show 2025

Acclaimed chef and TV personality Carla Hall is set to keynote the National Restaurant Association Show in 2025. Formerly an accountant, Hall transformed into a culinary star, promoting her mantra to cook with love. On May 18, she will share her career-defining decisions and discuss empowering the next generation in foodservice. Attendees can expect to be inspired to embrace individuality and lead with purpose in a changing industry. The session includes a Q&A with Michelle Korsmo, offering further industry insights.

Hall, known from Bravo’s ‘Top Chef’ and ABC’s ‘The Chew’, actively supports initiatives like No Kid Hungry and Feeding America. Registration for the show is open, with early bird rates available until November 18.

Source: Nation's Restaurant News

CAVA Introduces New Garlic Ranch Pita Chips

CAVA is launching Garlic Ranch Pita Chips for the first time, featuring a Mediterranean-inspired ranch seasoning blend with onion, garlic, and paprika. Available starting October 7, this new flavor aims to tap into the popularity of their classic pita chips. The launch coincides with an enhanced loyalty program offering personalized rewards, aiming to boost customer engagement and traffic.

Additionally, CAVA is introducing a new Steak + Harissa Bowl, featuring grilled steak, SplendidGreens, and a medley of toppings, alongside a revival of their Pineapple Apple Mint juice.

McDonald's Launches Chicken Big Mac Nationwide

McDonald’s will launch the Chicken Big Mac nationwide on October 10 for a limited time, featuring two tempura battered chicken patties and the classic Big Mac toppings. Initially tested in 2022, it became a sensation in the U.K., selling out in just 10 days. CEO Chris Kempczinski notes that chicken sales are now on par with beef, presenting a significant growth opportunity.

To attract younger audiences, McDonald's is engaging in creative marketing, including a pop-up dining experience in Los Angeles called 'McDonnell’s' and a partnership with streaming star Kai Cenat.

The Budlong Southern Chicken Introduces Pumpkin Spice Chicken

The Budlong Southern Chicken, along with Evergreen, is introducing a seasonal Pumpkin Spice Chicken 'n' Waffles dish, available until November 30. This offering includes two hot chicken tenders, two Pumpkin Spice Pie Waffles, and a drizzle of honey. With 62% of consumers loving pumpkin spice in fall, this dish merges nostalgia with culinary innovation, promising a sizzling and delightful dining experience.

Sources: Nation's Restaurant News, QSR Magazine, Fast Casual

Operational Shifts and Layoffs

Panera Announces Second Round of Corporate Layoffs

Panera has announced its second round of corporate layoffs within a year, aiming for operational simplification. The exact number of layoffs was not specified. The company states that the restructuring will improve communication and decision-making speed, with affected employees receiving severance and support.

Previously, in November 2023, Panera had cut 300 corporate employees. Additionally, Panera is preparing for an IPO in 2024 and considering divesting from Caribou Coffee and Einstein Bros. Bagels amidst a valuation target of $1.5 billion.

Source: QSR Magazine

Enhancing Customer Experience

Portillo’s and 7 Brew Revolutionize Drive-Thru Experience

Portillo’s emphasizes human interaction at drive-thrus, boosting sales up to $4 million. Recent operational changes have streamlined processes, improving speed by 15 seconds. Meanwhile, 7 Brew focuses on friendly service and communication, highlighting a staff model of ‘texters’ equipped to engage customers.

Both brands address challenges like weather conditions, providing amenities such as fans and rain pods. Technology plays a key role, with loyalty programs enhancing personalization, engaged through 3.2 million members. The 7 Pass QR code boosts efficiency by tracking orders and customer preferences.

Drive-Thru Evolution in 2024

Chick-fil-A's innovative two-story drive-thru showcases the evolution of fast-food service in response to changing consumer demands.
Speed and accuracy remain essential as drive-thrus become a key battleground for brands.
Restaurants are adapting by implementing multiple lanes and voice-order technology to accommodate increased traffic.
Back-end changes, such as kitchen reconfiguration and labor adjustments, have been vital to meeting new demand patterns.

Sources: QSR Magazine

Energy and Sustainability Solutions

Budderfly Offers Energy Solutions for Restaurants

With 80% of restaurant operators worried about increasing utility costs since 2019, innovative company Budderfly provides energy savings with no upfront costs, managing installation and maintenance for updated equipment. McDonald’s franchisee David Singelyn praises Budderfly for allowing HVAC upgrades without upfront payments, enhancing employee and customer comfort.

Budderfly's partnership enhances energy management, proving beneficial as it decreases utility and maintenance costs significantly. Increased consumer demand for sustainability is addressed as 85% of buyers prefer purchasing from environmentally-conscious brands. Strategies like those from Budderfly pave the way for restaurants to lower costs and meet rising sustainability expectations, contributing to long-term success.

Source: QSR Magazine

Breaking Barriers: Women in Culinary

Kaitlyn Venable Becomes Shipley Do-Nuts' First Executive Chef

At age 35, Kaitlyn Venable became Shipley Do-Nuts' first executive chef, leading product innovation for the 88-year-old brand. Under her leadership, the company has seen 15 consecutive quarters of positive sales, introducing exciting new items like the Poptastic Donut with freeze-dried Skittles.

Venable emphasizes the importance of balancing innovation with legacy, aspiring to strengthen beverage offerings for all-day customers while mentoring young women in the culinary field. She highlights the challenge that only 12.5% of executive chefs are female, and is proud to create offerings that resonate with both the brand's tradition and modern tastes.

Chef Cheetie Kumar's Culinary Journey

Cheetie Kumar, a self-taught chef and musician, overcame challenges as an immigrant in the U.S. She opened Garland in Raleigh, blending Indian, Southeast Asian, and Southern influences, and received multiple James Beard nominations. In 2023, she launched Ajja, a nominee for Best New Restaurant by the Beard Foundation, focusing on Mediterranean and Middle Eastern cuisines.

Kumar highlights the need for diversity and inclusion in the culinary world to break down barriers for BIPOC chefs. She advocates for equitable pay and education for staff on culinary history, ensuring a transparent, employee-centered culture.

Sources: QSR Magazine, Foodservice Equipment & Supplies

Tech Innovations in the Restaurant Industry

AI Regulation Calls in Restaurants

Calls for oversight of AI technology in the restaurant industry are growing rapidly, emphasizing the need for regulations. Major stakeholders stress the importance of transparent and ethical AI use to safeguard consumer interests. The conversation around AI stresses not just innovation but also responsibility in deployment to enhance industry standards amidst technological advancements.

DoorDash Launches Ads Manager for Enterprise Restaurants

DoorDash introduces Ads Manager for Enterprise Restaurants, providing self-serve marketing tools designed to boost local business engagement. Features include advanced targeting capabilities, refined marketing insights, and promotional tools tailored to various times of day and customer behaviors. This platform aims to empower businesses to track campaign performance smoothly and optimize outreach based on real-time customer engagement.

Tech Innovations to Enhance Operations

Automated inventory management helps monitor stock, trigger orders, and identify trends.
Online ordering systems like Uber Eats boost growth and diversify income.
AI technology predicts peak times, optimizes staffing, and enhances supply chain management for greater efficiency.
The future of AI in restaurants includes generating data-driven menus and monitoring food waste.

Sources: Restaurant Business, MarketingDoorDash, FSR Magazine

Global Expansion and Chain Strategies

Subway Secures Commitments for 10,000 New International Restaurants

Subway has secured commitments for 10,000 new international restaurants, a significant growth move representing a 63% increase in international units. In the last three years, Subway signed 20 master franchise agreements, marking a strategic shift. New locations will be opened in Paraguay and Mongolia, increasing its footprint in several European and Latin American countries.

Despite past struggles and losing its title as the largest chain by unit count, Subway is slowly rebuilding its international presence with a positive trajectory.

P.F. Chang's Rapid Airport Expansion

P.F. Chang's is rapidly expanding in airports, opening five new locations in 2023 across the U.S., India, and Mexico. The brand leverages international expertise to cater to local tastes while maintaining menu favorites. They've incorporated grab-and-go options for travelers and maintained speedy service with their traditional cooking methods. Future destinations could include Orlando and Chicago, as P.F. Chang’s pursues available RFPs to grow their airport presence.

Yum Brands: CEO Prep School

Yum Brands has become a prominent training ground for restaurant executives, influencing a new wave of chain leaders. Recent notable hires include Brian Niccol at Starbucks and Rob Lynch at Shake Shack, showcasing Yum's leadership legacy. This trend mirrors the past when figures like Norman Brinker shaped casual dining leadership.

Sources: Restaurant Business, FSR Magazine

Challenges and Trends in the Foodservice Industry

Subway Faces Supply Chain Crisis

Several Subway locations in Atlanta have closed temporarily due to distribution issues, lacking necessary supplies for two weeks. Problems stem from a new distributor that failed to deliver products; Subway is collaborating with the Independent Purchasing Cooperative to find alternative solutions.

This supply issue follows the closure of a 23-unit Subway operator in Oregon and Washington, showcasing broader operational challenges.

Barbecue Chain Challenges

Barbecue restaurants face a unique struggle in going national despite their popularity.

Popularity: Barbecue is beloved in America but isn't thriving as a major national chain.
Market Barriers: Competition and regional preferences make it tricky to expand beyond local favorites.
Niche Appeal: Many barbecue spots may thrive regionally, but the concept lacks a solid blueprint for national success.

Mochi Desserts on the Rise

50% of consumers know about mochi, but only 31% have tried it.
There's been a 7% growth in mochi-related items over four years.
The Boiis Co. in NYC is expanding its mochi menu with creative dishes like mochi-filled cookies and mochi cheesecake.

Sources: Restaurant Business, Foodservice Equipment & Supplies

Customer Engagement and Marketing Campaigns

Wendy’s Celebrates SpongeBob's 25th Anniversary

Wendy’s is launching a limited-time Krabby Patty Kollab burger and Pineapple Under the Sea Frosty to celebrate SpongeBob SquarePants' 25th anniversary. The Krabby Patty features a quarter-pound burger with two slices of melted American cheese, lettuce, tomato, pickle, onion, and special sauce. The Pineapple Under the Sea Frosty is a Vanilla Frosty blended with pineapple mango purée.

Available in the U.S., Canada, and Guam starting Oct. 8, with an early preview in Panorama City, CA, on Oct. 7-8. This collaboration aims to highlight Wendy's commitment to quality and resonate with fans of all ages.

Pizza Hut's Free Pizza Celebration

Pizza Hut is celebrating the 40th anniversary of its Book It! program by giving away 1 million free pizzas, but they require a minimum $8 purchase. Many customers reminisce fondly about their experiences with the program, noting the pride in earning their free personal pan pizzas by reading books.

Sources: Salon, /r/fastfood

Trends and Influences in Food Culture

TikTok's Cooking Grandmas Gain Popularity

TikTok is a treasure trove of nurturing cooking videos featuring grandmas from diverse backgrounds. Popular figures include Mamaw Gail from Kentucky, known for her garden-fresh recipes, and Nonna Pia from Brooklyn, who offers Italian culinary flair. These grandmothers share heartfelt moments while preparing beloved family dishes, revitalizing traditional recipes for a modern audience.

Their genuine cooking approach contrasts favorably against superficial social media content. Viewers benefit from practical cooking lessons infused with family love, eager to keep these food traditions alive.

Apple Pie Spice vs. Pumpkin Spice

Apple Pie Spice positions itself as a versatile contender for fall flavors.
Blends spices like cinnamon, nutmeg, allspice, ginger, and a hint of cardamom.
Challenges Pumpkin Pie Spice by highlighting its ability to perform well in savory dishes.
Consumers are feeling saturation from Pumpkin Pie Spice, craving freshness and versatility.

Sources: Eater, Food & Beverage

Restaurant Owners Discuss Industry Challenges

Sales Decline in Restaurants

A restaurant owner faces declining sales over the past five months, attributing the downturn to economic issues like inflation and the election. Many commenters share similar experiences, indicating a broader trend across the industry.

Strategies suggested include:

Offering take-home meals
Running themed nights or special events
Improving delivery service
Adopting value-focused menu items like combo deals

A consensus emerges that economic trends and consumer behavior significantly impact restaurant performance, particularly during election years.

Understanding Restaurant Value

Restaurant owners discuss the disconnect between the costs of dining out and customer perceptions of value. Customers often express surprise at menu prices, indicating a lack of understanding of the value provided by restaurants. Owners emphasize the importance of quality ingredients, skilled preparation, and the overall dining experience.

There's a consensus on the need for educating customers about the value of premium products, with suggestions for improving customer experiences through attentive service and honoring their requests.

Sources: /r/restaurantowners

Food Safety and Sustainability Initiatives

Removing PFAS from Drinking Water

PFAS, or 'forever chemicals', are harmful substances found in drinking water, causing health concerns. They’re typically found in non-stick coatings and food packaging. Domestic water filters are key to reducing exposure.

Tests revealed that Zerowater and Clearly Filtered pitchers achieved over 96% PFAS removal.
Brita Elite showed just 20-48% removal.
Boiling water does not eliminate PFAS.
Modernizing treatment plants is essential for widespread safe drinking water access.

Fire Safety Essentials for Restaurants

Fire Prevention Week 2024 emphasizes smoke alarms with the theme: Make Them Work For You! Over 1.5 million fires were reported in the U.S. in 2022, resulting in 3,790 civilian deaths and $18 billion in property damage.

To enhance safety, restaurants are urged to improve alarm systems with AES connections for better reliability. Kitchen fires, a major risk, can be mitigated through proper maintenance and training on appliances. Class K fire extinguishers are indispensable for tackling grease fires, ensuring safety with UL 300 certification.

Sources: Salon, Modern Restaurant Management

Community and Cultural Impact

Immigrants: Backbone of the Food System

Immigrant workers play a crucial role in the U.S. food system, often facing significant challenges yet contributing positively. They hold some of the most strenuous jobs, mainly in restaurants, farms, and food processing. Despite being underpaid and vulnerable, immigrants demonstrate resilience, introducing cultural traditions that enrich society.

Success stories include:

Maximina Hernández Reyes' journey to starting a farm.
East New York Farms enhancing food security.
Farmworkers striving for ownership through ALBA.

Their efforts highlight the necessity of embracing immigrants to reform and revitalize the food economy in America.

Goats for Good: Community Engagement in California

Happy Goat of Mariposa leverages goats for wildfire risk reduction and community engagement in California. The nonprofit aims to educate youth about agriculture and conservation through its programs and help local residents with grazing services, potentially free through a lottery. With an expanding herd and a focus on sustainability, they incorporate regenerative farming practices while promoting mental well-being with goat therapy.

Source: Civil Eats

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!