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Around 33 to 40 percent of food goes to waste each year. In this article, we’ll look at the smart strategies restaurants can enact in their supply chain management to minimize food waste, improve margins, and ease their environmental impact in the process. It’s the cost of waste.
One tactic could be to maintain or roll-back the prices of their most popular menu items, allowing operators to promote the products synonymous with their brand while also recognizing customer loyalty. With guests opting to skip appetizer and desserts, how can operators optimize purchasing dollars and reduce waste?
By Bailey Ramsey, Contributor Food waste is a critical issue in the restaurant industry. To put this in perspective, restaurants waste anywhere between 4% to 10% of the food they purchase. Predicting Customer Demand Accurately One of the leading causes of food waste in restaurants is overproduction.
Waste management is one of the challenges affecting the restaurant industry. Research from the University of Arizona shows that fast-food restaurants waste 9.55 percent, while full-service restaurants waste 11.3 Therefore, you should start by monitoring waste production before consolidating your efforts. Map Your Goals.
Real-time data helps with labor scheduling, adjusting menu items, reducing waste and improving profitability. In the competitive restaurant industry, data is crucial for controlling costs and boosting efficiency. Learn how harnessing data enables better decision-making and enhances operational success.
Sourcing the best ingredients at the right price requires a keen understanding of seasonal rhythms, strong relationships with suppliers, and flexibility to adapt menus on the fly. Strategies for Managing Food Costs During Disruptions Don’t be afraid to substitute ingredients Your menu is not set in stone. One way to stay agile?
Food waste is recognized as an endemic challenge around the world. is wasted each year, about 119 billion pounds, estimated at over $408 billion. For restaurants, an industry with challenging profit margins, minimizing food waste is nothing less than a survival strategy. But unchecked waste can threaten the bottom line.
At major chains like McDonald's, AI-powered drive-through systems are reducing order errors, predicting maintenance needs, and cutting waste. For example, Taco Bell is using AI-driven labor and inventory management tools to fine-tune staffing and reduce food waste. For independent restaurants, the same AI-driven efficiency applies.
While restaurants have always been intentional about food waste, menu offerings, and purchasing, I see operators doubling down on looking for any efficiency to help save money right now. Tap Into Technology to Make Menu Engineering Easier. This could include inconsistent portioning, kitchen waste, and employee theft.
You can have a crowd-pleasing menu, loyal regulars, and a packed dining roomand still watch your margins disappear. Too many restaurant menus are built on intuition and aesthetics, not real numbers. What Is Menu Engineering and Why Should You Care? Because not every dish thats popular is profitable.
Restaurant menu prices continue upward as the U.S. But with rising food and supply costs, how can operators keep menu prices low when they have to pay more for inventory? Run LTO’s to Reduce Food Waste. This edition of MRM's "Ask the Expert” features advice from Buyers Edge Platform.
We’re not slashing service or trimming the menu. And when those are off, waste and inefficiencies climb. That level of control has helped us reduce waste by nearly 75 percent during slower periods, in addition to serving our guests the freshest food possible. The key is control, not cuts.
Minimizing Menu Price Increases : Just because diners are still eating out and ordering in, does not mean they are happy about higher menu prices. Restaurant operators should limit significant menu price increases, explore value menus when possible, and avoid implementing any sneaky service charges.
Instead of constantly playing defence with menu updates, imagine a centralized system that allows you to make menu changes instantly across every delivery app and direct ordering platform. What is Menu Management Software? Think of menu management software as the control center for all your restaurants menus.
Steady Online Ordering Brings Food Waste, Donations to the Forefront of Priorities Ordering food online increases restaurant sales, but it also can potentially increase wasted food if proactive measures aren’t taken – for both the business and consumers at home.
While the cost of food waste isn’t a secret , you probably overlook it, considering it a part of doing business in this industry. The Problem with Restaurants’ Supply Chain Food Waste You’ve probably felt forced to raise menu prices to offset losses incurred by wholesale prices rising and fewer people eating out.
The survey examines top restaurant industry trends across categories including menu offerings, beverages, flavors, global inspirations, packaging/off-premises trends and industry macro-trends. Sustainability will continue to influence menus and how restaurants make decisions across the board.
Even your most reliable menu items can lose their shine over time. All of these things are ok, so long as you’re menu is evolving with the changes. Menus aren’t meant to stay static, and not adjusting to the ebbs and flows of business could be damaging your bottom line, and many times, you might not ever realize it’s happening.
The future of restaurant success depends on streamlining processes, reducing food waste, and enhancing customer experiences—all while making the most of existing resources. Restaurants need technology that’s as flexible as their menu offerings, capable of evolving with the industry without major overhauls.
This reduces waste and ensures menu availability, even during busy periods. However, inconsistencies across platforms and unanticipated errors, such as unavailable menu items or out-of-sync systems, often frustrate customers. Menu innovation has become a key way to deliver value.
These systems can understand various accents and dialects, process orders accurately, and even upsell menu items based on customer preferences. This level of precision in forecasting helps restaurants reduce food waste - a significant issue in the industry - by up to 20%.
From salted egg yolks and chili crunch fusions to mushroom-infused teas and freeze-dried fruit powder garnishes, Kimpton’s in-house experts share the standout ingredients, menu items and techniques that will come to the table in 2025. Despite the popularity of our events, we will continue to keep them small but mighty in 2025."
In 2025, more plant-based menu items will be appearing at an incredible rate of speed as well. Controlling food waste is a hot topic in the industry as well. Food Waste Management Food waste management has always been a challenge for the restaurant industry. This is a trend I hope will go away. For $14.99
Growing your produce is an especially great way to: Choose fruits and vegetables you want to feature on a menu. Waste Reduction. Another way to make your restaurant more sustainable is to reduce the amount of waste you produce through daily operations. You can also cut back on waste by simplifying your menu.
Operators are leaning into four types of AI—Artificial Intelligence, Generative AI, Conversational AI, and Predictive AI—to streamline operations, reduce waste, and personalize the guest experience in ways that weren’t possible just a few years ago. Goliath Consulting Group is a restaurant consultancy group based in Atlanta, Georgia.
How each area contributes to the whole is a lesson learned in large properties like hotels, resorts, and clubs. [] MENU DIVERSITY A multi-outlet hotel, as an example, will likely have a breakfast restaurant, a family oriented mid-priced restaurant, and a fine-dining operation.
Staff productivity plays the largest role in restaurant revenue, which is why it’s so important to invest in your recruiting and hiring strategies, finding like-minded individuals to move your restaurant forward while minimizing time waste. According to Forbes , 50% of employees waste parts of their day on their phones.
If this means deleting menu items, don't be afraid to do it. Otherwise, these products may go to waste. Maybe the menu item needs a better menu description. If there is a menu item listed as "Roasted Turnips," it may not be a top seller. They have to price it on the menu and add it to the inventory.
AI-driven tools can help optimize everything from labor scheduling to inventory management, reducing waste and improving margins. Data Analytics – Leveraging real-time sales and customer behavior data allows operators to make smarter decisions about menu offerings, promotions, and staffing.
From managing actual water use to reducing waste tied to drinking water, restaurants have a significant opportunity to save money and minimize unnecessary spending. Adjusting menu prices may have worked in the past, but it’s no longer enough to offset rising costs. One often-overlooked area is water consumption.
Is this bringing in customers that tend to order from the dinner or lunch menu? How far are customers driving for this new menu item? This all equates to less wasted ad spend and a more loyal user base. Adding Location Insights to the Menu. Has there been a decrease in the share of visits to competitor locations?
Restaurant operators searching for something versatile that will cross the dayparts need to look no further than their breakfast menu as waffles have been breaking out of the morning. Profitability: Waffles are a low-cost, center-of-the-plate item and one of the most profitable breakfast item menu offerings.
From identifying low-performing menu items, anticipating staffing needs before shifts go off‑balance, and even forecasting how events and weather impact guest flow. Tools that automate prep lists, or show real-time menu data don’t replace chefs and managers–they give them more time to lead. Where did we miss a moment?
AI-powered analytics are giving operators clearer visibility into their performance—from tipping patterns and top-selling menu items to bottlenecks in service flow. AI and automation are being used to forecast demand, optimize labor scheduling, and even guide menu development. And it’s not just for large enterprises.
Approximately 70 percent of the menu items at the breakfast and brunch brand with 34 locations features eggs as an ingredient. Other things to do: manage food waste and examine your P&L. "It's "An egg contract, in this case – is a time-tested safeguard when dealing with fluctuating food costs. ."
As a step further, offering a flexible menu catered to solo diners – with smaller portions to reduce food waste and allow the diner to taste more dishes – provides waiters with an additional opportunity to make personalized recommendations specific to these menu offerings. Cuisine type?
Whether that be via restaurant operations, menu improvements, or services, there are quite a few criteria that restaurant owners constantly juggle to create the perfect balance. Reduce Your Food Waste. To fully utilize the food you have purchased, you should track the waste in your restaurant. Conduct a Competitive Analysis.
Menu engineering is a top-down approach to increasing revenue while Actual versus Theoretical (AvT) – tracking the difference between theoretical food costs and actual food costs – is a bottom-up approach to controlling costs. Create More Profitable Menus with Menu Engineering. Prioritize Accurate Recipe Costing.
Health-Focused Restaurant Concepts Smaller or Streamlined Menus As diners prioritize healthier options, smaller menus are emerging as a strategic approach. By focusing on nutrient-dense dishes, restaurants can reduce waste, optimize ingredient sourcing, and provide curated choices that align with current wellness trends.
When inventory management is done the right way, operators can reduce costs, reduce waste, and reduce the number of hours spent managing this important variable of their business. When you don’t know the true cost of each of your menu items, there is no way to accurately order the right amount of ingredients. Recipe Costing.
This will also allow the operator to concentrate on the operational and menu aspects, ensuring that both customer service and menu innovation remain exceptional and continuously evolving. In what ways should restaurants be tapping into AI for marketing? Restaurants should tap into AI for marketing in a few key ways.
Bars that effectively manage their inventory and reduce waste tend to maintain higher margins. Reevaluating the prices of your drinks and knowing the types of drinks you sell can help you earn more for each bottle, as well as implementing portion control and even redesigning your menu. Did you know that just 1 oz.
Every order placed at a kiosk generates valuable data, allowing restaurants to better understand customer preferences, forecast demand, and optimize menu offerings. Self-service technology allows restaurants to focus on what really matters–customer satisfaction. Technology is quickly becoming a lifeline for survival.
This exercise can also help you identify – and resolve – issues that are wasting money, like over portioning, over ordering, and theft. Reduce food waste. In the US, we waste between 30-40 percent of our food supply, which equates to an astonishing 133 billion pounds and $161 billion in waste, according to the USDA.
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