Food Industry Trends 2023: 5 Restaurant Technology Trends to Watch
In 2022, operators faced new challenges like high inflation and labor shortages. More importantly, droves of diners worldwide flocked back to their favorite restaurants and bars, revitalizing the food industry and creating exciting new opportunities.
While consumers returned to in-house dining, the global online food delivery and grocery markets also continued to grow. That’s because today’s consumer has grown used to the convenience of online ordering – and they’re even willing to cut back on other activities to keep enjoying restaurant-quality meals from home.
Now, with the year coming to an end, it’s time to look ahead and see which trends and opportunities 2023 will bring. In a series of three blogs, we’ll reveal all the major food industry trends we expect to see in the coming year.
This post outlines five up-and-coming restaurant technology trends that will become even more essential in 2023.
Why restaurant technology matters
To meet customer expectations and adapt to changing trends, F&B operators must be flexible and agile – nothing new there. But today, restaurants must satisfy consumer demand across multiple channels and touchpoints, giving customers a seamless experience wherever they are and whenever they want it.
That’s where restaurant tech comes in. In today’s golden age of technology, many tech solutions are readily available to improve your resource efficiency, paving the way for that much-needed flexibility and adaptability.
Adopting restaurant technology enables you to run an efficient business across the board because it automates tedious or error-prone processes, streamlines your BOH and FOH operations, and allows your business systems to communicate. As a result, technology helps you achieve your ultimate goal: creating an extraordinary customer experience and making your food-service company as profitable as possible.
It’s no wonder 75% of US operators claim they’re likely to adopt new technology in the year ahead. Meanwhile, 44% of UK restaurateurs strongly agree technology has been essential to their survival over the past two years.
Let’s see which technologies will be on the menu next year.
#1 Automation, AI, and robotics
Automation has been around in manufacturing and food processing for some time, but it hasn’t been as important for restaurants.
That’s changing. Operators are looking into automation, robotics, and AI in response to high labor costs, staff shortages, and menu inflation. These technologies automate specific tasks or, at the very least, eliminate a few steps for staff. As a result, they increase efficiency and product consistency, helping you offer better service.
For instance, restaurants are starting to explore automation software tools to facilitate back-of-house operations like payroll. Restaurant payroll software helps you process salaries and offers automated pay runs with tax payments, filings, and end-of-year reports.
Restaurant automation tools also enable you to fully or partially automate price adjustments based on demand and timing. Dynamic pricing is relatively new to the restaurant industry. Yet, more restaurants are ready to adopt dynamic prices today as they navigate higher food costs due to supply chain and material shortages.
Additionally, the F&B industry is taking to Artificial Intelligence. While you may think AI sounds a bit extreme, some smart kitchen technologies are relatively simple, easy to implement, and already commonly used. Just think about automatic conveyor belt ovens for pizza, kitchen display systems (KDS), and intelligent appliances like dishwashers and freezers.
Other AI-driven solutions are more advanced and highly customized. Panda Express, for instance, uses robotic woks that work 25% faster than manual ones. Meanwhile, Chipotle has invested in an automated tortilla chip maker called ‘Chippy’ while other restaurants are testing robot waiters or busboys.
Finally, drone food delivery took off this year (literally!), making deliveries faster and less expensive for customers. Undoubtedly, more delivery restaurants will start teaming up with drone companies soon.
#2 Virtual brand marketplaces
Thanks to the widespread success of virtual brands on delivery platforms, more restaurants will launch their own virtual brand in the year ahead.
And why shouldn’t they? Virtual brands help you expand your reach and delivery radius, improve sales, and experiment with new dishes to meet demand. You can also optimize your kitchen space by preparing food for delivery at off-peak times.
While setting up a virtual brand is easy, it requires market research to define gaps in the market, compare competitors’ offers, and develop a fitting marketing and branding strategy. That takes time and resources you may not necessarily have. If that’s the case, you can turn to a virtual brand marketplace.
Deliverect’s virtual brand marketplace is the first of its kind. It helps food-service operators find their ideal virtual concept. Restaurants can browse proven virtual brands, pick the right fit, and get in touch with the brand to start licensing it. This way, operators can streamline efficiencies and focus on building the best customer experience.
#3 Contactless payment and ordering systems
The demand for contactless processes has been growing considerably since the onset of the pandemic. Next year, even more restaurant operators will respond to that call as US research suggests 63% plan to invest in tech for menus, ordering, or payment.
Mobile ordering, payment apps, and QR code menus offer plenty of benefits for food businesses and their customers. They help increase table turnover, optimize your operational flow, and give you access to customer data, helping you build a meaningful connection with guests.
On the customer’s side, going contactless ensures more secure payment transactions, increased order accuracy, and an overall improved dining experience.
If you, too, decide to invest in mobile ordering and payment apps, we recommend configuring them to your restaurant POS for a real-time overview of your sales and revenue.
#4 Digital loyalty programs
With diners cutting expenses due to the global economic crisis, restaurateurs are investing in loyalty programs to increase customers’ spending and encourage repeat business.
Retaining an existing customer is five times cheaper than acquiring a new one. Current customers are also more likely to try new dishes and spend more. So, investing in your loyal regulars makes a lot of sense.
While some companies prefer old-school punch cards, digital loyalty programs are trending because they fulfill consumers’ need for contactless experiences. A digital loyalty scheme allows customers to register online or through an app – using a phone number or email, for instance. The program then keeps track of their spending and suggests rewards based on past purchases.
The best thing about loyalty programs is that they come in different shapes and sizes. In other words, they can be as simple or complex as you want. One of the trends we’re seeing today is programs that offer immediate incentives, like in-store discounts or reduced prices on delivery. Alternatively, you can provide a free drink, appetizer, or dessert after several visits or orders.
Finally, most digital loyalty schemes can be integrated directly into your restaurant POS, making tracking, personalizing, and redeeming rewards easier than ever.
#5 Online order aggregator software
The global online food delivery industry is showing no signs of slowing down and is estimated to become a $369.97 billion business by 2030.
Over the past few years, food service operators and Q-commerce businesses have been turning to online ordering systems and (third-party) delivery services to meet increased demand. As the next step, they’ll be looking to optimize their online ordering operations and maximize potential. That’s why delivery aggregator software will gain even wider-spread adoption in 2023.
Online order aggregator software is designed to help restaurants manage online orders without effort. At its most basic level, it aggregates all your online orders and synchronizes them with your POS, improving your restaurant’s operational flow.
But state-of-the-art delivery management platforms do much more than that. They also enable you to efficiently manage your menus and stock and help you gain valuable insights into your sales and consumer behavior. The cherry on top is the software’s ability to integrate with other software systems seamlessly, so you get a 360° view of your business in real-time.
Restaurant tech is the way forward in 2023
Restaurant technology and automation can help you remain flexible and adaptable to changing realities, turning your day-to-day more efficient and giving you all the tools you need to build a profitable business.
While you can adopt countless restaurant tech solutions, some platforms will be extra handy over the coming year because they fit today’s consumers’ needs. We recommend looking into contactless payment and ordering systems, digital loyalty programs, virtual brand marketplaces, delivery aggregator software, and automation and robotics platforms. Implementing these technologies can help your food business go from surviving to thriving.
Are you curious to discover more restaurant and food delivery trends for 2023? Stay tuned for our next post about trending food that will shake up the industry in the year ahead.
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