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Skift Table is your source for news and analysis about the business
                               of restaurants. Get insight into the Megatrends shaping the future
                               of dining out in 2019 at table.skift.com/megatrends-2019.



                                                  6. Consumer Microfeedback Leads the Way on
                                                  Product Development
                                                  “Startups” are out of the spotlight. Instead, these
                                                  once-upstarts have become mature companies
                                                   focused on iterating and designing relevant, success-
       1. Franchisees Assert Their Power Over Chains  ful products. Now that they’ve proven their premise,
       Many decisions get made on a corporate level, but   reservations, delivery, and other restaurant-sup-
       implementation of these changes and policies rests   porting software providers are drilling down into
       squarely on the shoulders of individual restaurant   the smallest pieces of feedback to guide product
       owners in a franchise model. Toward the end of   development. Forget big picture and go deep on
       2018, we’re seeing franchisees in companies from   what people actually want.
       McDonald’s to Papa John’s assert their collective
       power to effect change and expect this trend to   7. The Lines Between Meal Times Have Been Erased
       continue.                                   Taco Bell pioneered this years ago with its wildly
                                                   successful “fourth meal” campaign, but again,
       2. Labor Crunch and Costs Determine In-Restau-  delivery services are leading the way, creating new
       rant Changes                                moments for dining that may not have existed for
       Labor and staffing issues plague every restaurant   restaurants before. At the same time, an all-day
       business f rom fast food corporation to one-off   cafe boom is sweeping the country as restaurants
       independent restaurants. Leaders are imple-  maximize their profits to offset fixed costs like rent
       menting plenty of solutions to help with the   — and customers are loving it.
       crunch and rising minimum wages, and some of
       these changes have begun to alter the way that   8. Front of the House Hospitality Seriously Ups
       restaurants operate.                        Its Game
                                                   Sorry, so-called “rockstar chefs,” front of house service
       3. Blockchain Brings Transparency to Sourcing   from GMs to hosts to waitstaff is stepping back into
       if Restaurants Care                         the limelight. New digital tools and technology
       Blockchain technology isn’t just for bitcoin — it’s   are making it easier for hospitality staff up f ront
       useful in tracking food sources, too. Restaurants   to remember, recognize, and serve guests. Stories
       can track and verify ingredients f rom meat to   of above-and-beyond service go viral online. As
       produce thanks to new technology, in turn reducing   restaurants work to set themselves apart from the
       errors and potentially illness or allergic reaction.   rest, an elevating front of house service works in any
       But the technology is only as good as it is applied.  setting, from fast casual to fine dining.

       4. Forget Second-Tier Cities, It’s the Year of   9. Google's Domination of Local Discovery Is
       the Suburb                                  Almost Complete
       As they race to dominate in the market, third-   Changes in Google’s Maps product have made
       party delivery companies are targeting large,   searching, booking, and navigating to restaurants
       suburban markets to fuel expansion. National   a seamless experience. Thanks to our reliance on
       chain partnerships boosted these efforts in 2018   smartphones and GPS, it’s become an indispensable
       and will continue to drive growth in 2019. At the   tool for restaurants. At the same time, Google’s ad
       same time, as costs of operation in cities rise,   search business, allowing keywords to go to the
       restaurants are re-thinking locations. Thanks to   highest bidder, change the way restaurants must
       digital marketing and social media, an address   market themselves.
       on the corner of Main and Main isn’t necessary
       for success.                                10. The Battle for Loyalty Takes Place on
                                                   Multiple Fronts
       5. Restaurants Finally Create Healthier Work   Customer loyalty is big business, and savvy restau-
       Cultures                                    rants are employing tactics from third-party vendor
       2018 was the year of #MeToo, and the message   contracts to building in-house programs. Credit card
       seems to have resonated among industry leaders.   providers are introducing more restaurant-facing
       Restaurant businesses of all sizes are imple-  loyalty programs. LevelUp, one of the biggest players
       menting new programs to hire, train, retain, and   in the loyalty space, was acquired by Grubhub this
       support staff.                              past summer. Who will own the space?


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