Trends | KRG Hospitality

Overhead view of Parkroyal Collection Singapore

January 22, 2024by David Klemt David Klemt No Comments

Conscious Construction: Biophilic Design

Conscious Construction: Biophilic Design

by David Klemt

One term you’ll likely be hearing more of as 2024 progresses is “biophilic design,” the practice of connecting people and nature through building design.

This design methodology was developed in part by the late Stephen R. Kellert, professor emeritus at the Yale University School of Forestry and Environmental Studies.

While Kellert didn’t coin the term “biophilia,” he is credited with coining the phrase “biophilic design.” However, the two terms share an intrinsic connection.

The biophilia hypothesis was first presented by psychoanalyst Erich Fromm in the 1960s. Simply put, the idea is that humans have an inherent drive to pursue connections with nature. Edward O. Wilson, a biologist, added to Fromm’s theory in the 1970s. Per Wilson, a key element of biophilia is “the rich, natural pleasure that comes from being surrounded by living organisms.”

In the 1980s, Kellert expanded on biophilia and applied it to design. Per Kellert and fellow biophilic design advocates, humans can experience a range of physical and psychological benefits when our living, work, and leisure spaces have a connection to nature.

According to biophilic design advocates, this methodology can reduce stress, affect mood positively, and improve cognitive performance, making us more productive. There are other benefits as well, of course.

When implemented with intention, biophilic spaces are sustainable; are capable of achieving significant energy efficiency; can reduce a building’s carbon footprint; and can even regulate temperature.

Clearly, this design approach speaks to a number of guest expectations and desires.

The Six Principles

There are, according to Kellert, two key aspects of biophilic design.

One over-arching aspect is organic. This is how shapes used in the design of a building connect people and nature.

The second aspect is place-based. As the term suggests, this is how design features connect a building to the local area in which it’s situated.

Within both the organic and place-based aspects or dimensions of biophilic design are six principles.

Environmental features, such as plants, natural materials, sunlight, water, and colors.

Natural shapes and forms that simulate natural forms. Think spirals, curves, arches, and other flowing design features. Put another way, biophilic design tries to limit 90-degree angles and straight lines.

Natural patterns and processes, which may seem, at first, to be the same as natural shapes and forms. However, these features resonate with our senses of sight, sound, smell, touch, and others.

Light and space, crucial to biophilic design, whether daylight, reflected, or diffused light. Designers who really go for it will come up with lighting programs that mimic how light changes throughout the day.

Place-based relationships, which helps a person develop a personal connection with a place.

Evolved human-nature relationships to evoke a range of reactions from humans in the space. This can be a desire to explore the space, or a feeling of safety and protection.

Examples

This article is just a crash course in biophilic design. Each of the above principles, for example, contains a number of key attributes.

So, let’s take a look at some examples of biophilic design in hospitality. The following hotels and restaurants should give you a clear understanding of this approach to design.

Parkroyal Collection Pickering

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To learn more about this amazing hotel, click here.

Fandi Mata

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Click here to learn more.

Café Lido

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Learn and see more here.

The West Hollywood EDITION

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To see more, click here.

Tsuki

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Click here for more.

Image: Lester on Unsplash

January 19, 2024by David Klemt David Klemt No Comments

The Shrinking Globe: 2024 Food Trends

The Shrinking Globe: 2024 European Food Trends

by David Klemt

It should come as no surprise that 2024 F&B trends are similar throughout Europe and the UK to those taking hold in North America.

Why do I refer to Europe and the UK separately? I’m aware that the UK is part of Europe. Regionally, one can think of the nation as northwestern Europe.

However, while geographers consider the UK part of Europe, many citizens of the UK don’t see things that simply. So, that’s why I mention the continent and nation separately.

With that out of the way: 2024 F&B trends. People like to say that the world is getting “smaller,” that the devices in our hands are making everything more accessible. That certainly seems to be the case with food and drink.

What you’ll likely notice is that the trends below follow what experts predict for North America rather closely. As David Allison says, people have far more in common with one another than they have differences.

The Consumer

Plants

I think it’s fair to say that plant-based diet mockery is defined by two characteristics.

One, people seem to aim their ridicule toward Americans. And two, it’s cliché at this point.

Much of the world already embraces plant-based diets. That doesn’t mean they’re only either vegetarian or vegan, either.

Estimates for how much of the world consists of flexitarians can reach over 40 percent. This particular diet limits or restricts the intake of animal-based foods. However, it’s not like veganism; flexitarians do consume some animal products. One can say that it’s a very individual diet. In fact, I doubt many flexitarians actually refer to themselves with that label.

Interestingly, though, plant-based brands must innovate if they’re going to succeed with consumers in Europe and the UK.

Hey, what do you know? That’s how it is in North America.

Now that plant-based protein alternatives are here to stay, people want to see innovative analogs.

They’ve seen nuggets and fingers. Burgers and patties aren’t anything new. People want plant-based counterparts for everything: seafood, steak, pork, etc.

Health & Wellness

Here’s a frighteningly hot take: People in Europe and the UK are concerned with their health. Shocking!

For the past few years, much has been made about North Americans and their “renewed” focus on their health and wellness. This is, of course, for obvious reasons.

Well, we can say the same about Europeans and Britons.

Generally speaking, people are trying to reduce their intake of processed foods. This ties to the section above in that many plant-based foods are highly processed. Brands will need to address this to achieve long-term success.

Along with avoiding processed foods, consumers in Europe and the UK are seeking out dishes that are higher in protein and fiber.

Across generations and Europe, people realize that a healthy diet is the top factor in feeling healthier.

The Operator

Happy Balance

Europeans and Britons have centuries upon centuries of history and tradition to contend with throughout their countries.

In some markets, this can lead to conflict or the misconception that operators can’t innovate.

This is, of course, an outdated way of thinking.

Whether operating in the UK or Europe, operators are embracing tech and finding ways to honor tradition while experimenting with the modern.

From the back of the house to the front, chefs and bartenders are drawing inspiration from culinary traditions. However, they’re also getting creative to put their own spins on the menu.

Perhaps more importantly, the guests they’re serving want to try these innovations.

From consumer-facing tech that enhances their visits to creative menu items that find inspiration from around the world, today’s guest is hungry and thirsty for what’s new. This is true regardless of how old and traditional a location may be.

Color

Just a few months ago, Frankfurt, Germany, played host to Food Ingredients Europe 2023.

One of the takeaways from last year’s show that stood out to me is the interest in color.

According to one market development specialist, it appears that Gen Z in Europe and the UK are over boring, bland shades. Instead, they want to be colorful.

From interior and physical menu design to food and drink items, European and British operators can deliver on that desire.

Of course, taking one’s concept in a more colorful direction necessitates knowing one’s guests. So, this is where exceptional service despite concept or category and robust tech platforms come into play.

If bold color is authentic to a concept and resonates with the guests, it could be time to reach out to an interior designer.

Speaking of reaching out, if you’re in Europe or the UK, have a concept you want to open or are already open and need some assistance, KRG Hospitality is excited to announce that we’re entering markets within both regions. Please contact us—we’re here to help.

Image: Ella Olsson on Unsplash

January 5, 2024by David Klemt David Klemt No Comments

HM Makes 2024 Culinary Predictions

Hotel Management Makes 2024 Culinary Predictions

by David Klemt

Two weeks before we rang in 2024, Hotel Management revealed a handful of compelling culinary predictions for the new year.

Of course, time will tell if these are accurate. After all, it’s just January 5. Still, they’re all worth a look.

One in particular stands out from the rest, at least for me. You’ll find that prediction at the bottom of this article.

Alright—let’s dive in!

Streamlining Menus

Perhaps it’s a validation of the paradox of choice. Maybe it’s that people are overwhelmed and want to make less decisions.

Either way, Hotel Management thinks operators will offer fewer choices to improve the guest experience.

That may sound nonsensical to some operators. Shrinking the menu to enhance a person’s enjoyment?

However, there’s more nuance than simply eliminating items. Indeed, Hotel Management points to focusing on local, seasonal ingredients to create curated menus.

Further, a smaller menu allows the kitchen team to innovate, develop their skills, and truly build impressive dishes.

There’s also, of course, the benefit of lowered costs. This is particularly true for operators who embrace the art of the cross-utilization of ingredients.

Don’t Hassle Me, I’m Local

Sourcing and highlighting local ingredients is mainstream at this point. At least in my opinion, it has gone from fad to trend and become a staple of successful operation.

That doesn’t make it any less important, of course. In fact, it appears more important than ever.

Guests want to connect with the restaurants and bars they visit. One effective method of making this connection is to offer a true taste of location.

Utilizing local ingredients—even better if they’re unique to the area—also supports the community. Fostering connections with guests, producers and other small businesses is a win-win-win.

Shroom, Shroom

It makes sense that when some people read or hear the phrase “plant-based” they think of Impossible or Beyond.

However, plant-based dishes and menus just consist primarily of vegetables, whole grains, legumes, nuts, seeds, fruits, or fungi.

It’s that last one that Hotel Management thinks will have a moment in 2024.

Among the reasons for this prediction? Mushrooms absorb flavors easily, impart umami, and are versatile.

Oh, and a fun bit of trivia: While often categorized as vegetables, mushrooms are considered neither plant- or animal-based; they’re a type of fungus.

One brand embracing the culinary magic of mushrooms is Meati. I expect these products to become as well-known as Impossible, Beyond, Gardein, and Morningstar Farms.

This is the One

So, this is the prediction that jumped out at me: seacuterie.

As the name suggests, it’s charcuterie but with seafood. Simply put, you salt, smoke, and cure seafood, then present it as you would charcuterie.

Hotel Management provides three interesting examples of seacuterie that will likely grab your guests’ attention:

pastrami-style tuna loin;
octopus salami; and
swordfish ham.

I know that if I saw at least the salami and ham, I’d raise an eyebrow.

Now, it’s all well and good to identify seacuterie as a menu item with potential to grow in 2024. But what if you’re not sure where to start with it? Well, I dug into it to learn more and provide you with a real-world example.

Chef Aaron Black, chef de cuisine at PB Catch Seafood + Bar in Palm Beach, Florida, is a seacuterie pioneer. And it just so happens that PB Catch provides guests the opportunity to build their own seacuterie boards.

Guests can choose three seacuterie items for $24 and six for $45, with the option to add an additional item for $8. Selections include salmon pastrami, octopus torchon, and mero bass jerky.

If it fits with your concept, seacuterie should re-energize your regulars and tempt new guests to check out your restaurant.

Image: jevgeni mironov on Unsplash

January 4, 2024by David Klemt David Klemt No Comments

Life is Peachy with These Cocktails

Life is Peachy with These Pantone-inspired Cocktails

by David Klemt

According to Pantone, the 2024 Color of the Year is Peach Fuzz, which communicates warmth, community, collaboration, and a sense of welcoming.

There’s a lot that operators can do with Pantone’s annual announcement.

For those who are curious, the 2023 Color of the Year was Viva Magenta, a bold, purplish shade of red. And in 2022, the color was Very Peri, a dynamic shade of blue.

If an operator is looking for a complete venue refresh, Peach Fuzz may be an effective choice. For example, people can leverage the 2024 Color of the Year with feature walls, seating, tablecloths, and physical menus.

Of course, not every operator is looking to undergo a redesign. In this case, there’s still plenty of opportunity to splash Peach Fuzz throughout a bar or restaurant. One simple and effective way is through the drink menu.

Below are three peach-forward cocktail recipes. They’re visually appealing, which is helpful since we tend to “drink” with our eyes first. And with peach brandy, puree, or bitters, they impart more than just color: peach fans will appreciate the flavor.

You’ll also find a recipe for the Cosmopolitan, the famous cocktail created by Toby Cecchini. It turns out Aubrey Plaza, the modern face of the Margarita, is also the spokesperson for the Cosmo. Just like they say there’s no Negroni without Campari, there’s no Cosmo without Cointreau.

Cheers!

Frankly, My Dear

0.75 oz. Cointreau
0.75 oz. Tequila
0.75 oz. Fresh lemon juice
0.5 oz. Peach puree
3 oz. Prosecco to top
Peach wedge to garnish

Prepare a Collins glass by filling it with ice. Add all ingredients except for the Prosecco and garnish to a shaker with ice. Shake well, then strain into Collins glass. Top with Prosecco, garnish with a peach wedge, and serve.

Fish House Punch

1 oz. Rémy Martin 300-Year Limited Edition VSOP
1 oz. Mount Gay Rum
0.75 oz. Fresh lemon juice
0.5 oz. Peach brandy
0.5 oz. Simple syrup
1.5 oz. Water
Lemon zest to garnish

Add ice to a rocks, Collins, or other glass. Fill a cocktail shaker with ice, then add all ingredients except for garnish. Shake well, strain, garnish with lemon zest, and serve.

METAXA Peach Spritzer

1.5 oz. METAXA 7 Stars
1.5 oz. Prosecco or other sparkling wine
0.75 oz. Tonic
3 dashes Peach bitters
Peach wedge to garnish
For winter: Star anise and tree leaf to garnish
For spring: Jasmine flower to garnish

For this cocktail, start by selecting a red wine glass. Add METAXA 7 Stars, then add bitters and ice. Stir, add tonic, then top with Prosecco or other sparkling wine. Garnish with a peach wedge.

Cointreau Cosmo

1 oz. Cointreau
2 oz. Vodka
1 oz. Fresh lime juice
1 oz. Cranberry juice
Orange twist to garnish

Your bartenders probably know how to make a Cosmo. But just in case, start by preparing a coupe or cocktail glass by chilling it. Add all the liquid ingredients and ice to a cocktail shaker. Shake well, then strain into the prepared glass. Garnish and serve.

Images belong to their respective brands.

December 19, 2023by David Klemt David Klemt No Comments

Grubhub Reveals 2023 Order Trends

Grubhub Reveals 2023 Order Trends

by David Klemt

Just under the wire Grubhub releases their annual end-of-year report, revealing their customers’ top ordering trends of 2023.

Uber Eats and DoorDash unveiled their reports at the end of October and start of November, respectively.

To revisit 2022 for a moment, the top food item ordered via Grubhub was the burrito. So, the unofficial theme of last year’s annual report was warmth and comfort wrapped in layers.

I’m providing that context because this year’s report also comes with a theme. This year, it’s “doing it for the vibes.” For Grubhub, this means that users of the service broke out of their comfort zones to try new F&B items.

Providing an example, one of the standout trends for 2023 is heat. As in, Grubhub users added spice to quite a lot of orders, as you’ll see below.

Click here to review Grubhub’s top 2022 food orders, and here for their 2022 beverage orders. To review this year’s Grubhub report in its entirety, click here.

Now, let’s take a look at a number of this year’s ordering trends.

Soft Drinks & Coffee

Usually, I start with food items when reviewing these reports. Well, once you become predictable, you become beatable. So, I’m going to shake things up and begin with beverages.

According to Grubhub, a TikTok trend—#dietcokebreak—is responsible for the growth of Diet Coke on the platform. In fact, the third-party delivery service says that in-office orders of Diet Coke grew by 17 percent. No surprise, then, that the soda grabbed the top spot in 2023.

Top 5 Sodas

Diet Coke
Coke
Sprite
Dr. Pepper
Ginger Ale

Next, coffee orders. Per this year’s Grubhub report, people weren’t shy about ordering coffee outside of the breakfast and lunch dayparts.

According to their data, more than 10 million coffee orders were placed after 5:00 PM.

Top 5 Coffee Orders

Iced Coffee
Caramel Frappe
Mocha Frappe
Cappuccino
Hot Coffee

Food & Flavors

Here’s an interesting revelation: more than 600,000 Grubhub users chose to order salads with a side of French fries.

In fact, the French fry is the top ordered side in 2023 on the platform. So, Grubhub ranked fries by style.

Top 5 French Fry Styles

Classic cut
Waffle fries
Cheese fries
Sweet potato fries
Curly fries

Hey, let’s reignite the pineapple on pizza debate. According to Grubhub’s year-end report, pineapple as a pizza topping grew by 33 percent in comparison to 2022.

However, Hawaiian pizza has some more growth to do if it wants to take the number one spot.

Top 5 Pizza Styles

Cheese Pizza
Margherita Pizza
Pepperoni Pizza
Buffalo Chicken Pizza
Hawaiian Pizza

Finally, top flavors. In short, heat is a hit.

Grubhub users added spice to a staggering 53 million orders this year. For further context, sriracha was added to more than 91,000 orders.

And when it comes to chicken wings, Buffalo was the dominant style. I find it interesting, though, that no style of wing made the top five for this category.

Top 5 Spicy Items

Spicy potato soft tacos
Spicy chicken sandwich
Spicy tuna roll
Hot and sour soup
Drunken noodles

Bringing this report to a close, the item with the most growth. Pickles grew by 89 percent in 2023, accounting for 6.9 million orders.

So, I guess make sure your pickles, French fries, cheese pizzas, and salads are on point as we head into the New Year.

Image: Nathan Dumlao on Unsplash

December 8, 2023by David Klemt David Klemt No Comments

af&co. x Carbonate: 2024 Trends to Watch

af&co. x Carbonate: 2024 Trends to Watch

by David Klemt

Marketing and creative agencies af&co. and Carbonate Group‘s 16th annual Hospitality Trends Report provides in-depth insight across several categories.

This is an in-depth, insightful report operators should review in its entirety. The “Sweet Sixteen” edition of this yearly report is available for download here.

There are two interesting details toward the end of af&co. and Carbonate’s report. First, a list of 2023 clients. Second, an explanation for the design of the report itself.

This makes sense: Carbonate is a creative agency that works in the hospitality space, after all. Further, af&co. is a hospitality industry marketing agency.

Now, I won’t be sharing every trend or insight found in these two agencies’ report. Rather, I’m highlighting a number of items across four of the report’s six categories. Again, I think operators and leadership team members should download the report for themselves.

Food

While af&co. and Carbonate identify specific cuisines and items that are trending, it’s their 10,000-foot view of food that I find most compelling. In terms of the big picture, “rigid” adherence to authentic cuisine is falling out of favor.

Chefs, in the agencies’ opinions, are taking a more modern approach to menus. Instead of following the “rules” of certain cuisines, they’re creating dishes and programs that defy labels. Of course, for those who feel the need to label, one could call this approach “contemporary fusion.”

Examples given are Good Luck Gato’s Okonomiyaki Baked Potato, and the Birria Dumplings at Little Bull.

Cuisine Trends

Of course, af& co. and Carbonate also zoom in on food. Their Cuisine of the Year goes to Korean.

Dessert of the Year goes to the Pavlova or Eton Mess. So, one can argue that operators should connect with their back-of-house teams about meringue-based desserts.

Other food trends include making pastries with buckwheat; getting inventive with mortadella; serving borek in snack and entree size; and Brazilian-style pizza.

However, it’s a presentation trend that stood out the most to me. Accompanied by a timeline complete with images, the agencies state confidently that we’re in the “Crescent Moon” era of plating.

Visualize a plate, then place all of the food along the edge, with roughly two-thirds of the space open. That’s the crescent moon presentation.

Beverage

A number of the trends in this section aren’t exactly new. That tells me that some are likely on the brink of moving from trend to ubiquity.

That, or they’re at risk of bumping against their expiration date.

Two trends that have been popping their fins out of the sea of cocktails for a bit make it into the af&co. and Carbonate report. One is clarified cocktails.

Spend a bit of time looking up cocktails on social media and you’ll see these are a bit divisive. Some bartenders are all for them, some appear to absolutely despise this trend. Guests, however, seem to like the novelty of well-known, opaque or translucent classic turning transparent.

Another drink trend? Culinary cocktails. For food-driven concepts, it makes perfect sense to encourage the bar team to work closely with the kitchen team. Offering culinary cocktails is one method of pulling a concept’s threads tighter, telling a more complete story.

Along those lines, the agencies identify another divisive cocktail trend: cheese.

Personally, cocktails that feature cheese aren’t my thing. However, these drinks are, at the minimum, going to grab a guest’s attention. And those who order these drinks aren’t likely to forget the experience any time soon, good or bad.

That last point is important for operators and their teams to remember. A negative experience can be more powerful and stick with a guest longer than a positive one. So, pursue trends with caution.

Hotel

One of the biggest hotel developments the Hospitality Trends Report identifies is the dual-brand hotel. This is also a trend with which KRG Hospitality is well acquainted, both through industry research and client projects.

So far, the most common approach tends to include two towers, a shared lobby and fitness center, and shared F&B concepts. However, there are properties that incorporate not only brand-specific design for each tower but separate the bars and restaurants as well.

Notably, Marriott opened the first-ever tri-brand hotel in Nashville in 2019. The hotel and resort colossus combined an AC Hotel, a Residence Inn, and a SpringHill Suites.

Another interesting hotel trend? Eco-friendly, pre-fab construction. An excellent example of this approach is Moliving. To learn more about this brand, check out Bar Hacks podcast episode 68 with Jordan and Hanna Bem.

Interest by consumers in supporting eco-friendly brands informs two other trends identified by af&co. and Carbonate. One of these is hotels and resorts including e-bikes among their amenities.

Another is rewarding guests for engaging in a number of green initiatives. For example, cleaning up the beach in front of a hotel, or helping to plant trees on or near the property.

Speaking further of amenities, hotel and resort operators are likely aware that if they have courts for racquet sports, they need to include pickleball.

Design

Operators considering a refresh or starting from a clean slate for a new space may want to work with a designer on the following approach: maximalism.

According to the 16th annual Hospitality Trends Report, this bold, playful design language is on the rise. Following this trend, af&co. and Carbonate think that maximalism is working particularly well for “concept-driven, design-forward” bars.

As far as colors and materials operators may want to ask designers about, the agencies suggest pink, bronze, gold, and velvet. These colors are warm and welcoming, exactly what a hospitality venue should be.

To download the Hospitality Trends Report, click here. Two categories not covered in this article are Marketing Ideas and Social Media Trends, so follow that link!

Image: Mason Tuttle on Pexels

November 21, 2023by David Klemt David Klemt No Comments

2023 State of the Menu: Datassential

2023 State of the Menu: Datassential

by David Klemt

The annual 2023 State of the Menu by Datassential includes an interesting metric to gauge restaurant recovery: menu size by segment.

Hosts Jack Li, Mike Kostyo, and Claire Conaghan discuss a handful of topics during this webinar. Host Li touches on food-forward cities at the beginning of this presentaiton. Kostyo shares some of the most innovative menu items out there right now. And Conaghan dives deep into menu trends.

Industry professionals interested in watching this webinar on demand can register to do so here.

There are a handful of metrics people are using to measure post-pandemic restaurant recovery. Labor is, of course, receiving a lot of attention. People are also tracking traffic, average check size, revenue, and profits.

One metric Datassential is keeping tabs on is menu size per restaurant segment. Additionally, they’re tracking each segment’s top-growing food and beverage items.

Notably, however, in tracking menu size, Conaghan focuses solely on food and non-alcohol beverage items, omitting catering and alcohol.

Chains vs. Independents

Starting things off, Conaghan addresses the overall menu size trend. That is, menus are noticeably smaller in comparison to pre-pandemic sizes.

Interestingly, chain restaurants don’t appear to be in any rush to move away from this trend. In fact, Conaghan notes that chains appear to be further reducing the size of their menus. This has been the trend over the past 12 months.

According to Conaghan, fine dining also seems to be happy to shrink their menus. Menu size shrunk the most among restaurants in this segment. In comparison, quick-service menu sizes decreased the least.

However, independent restaurant operators appear to be going in the opposite direction from their chain counterparts. In contrast, indies have been growing the size of their menus the past 12 months.

Menu Size by Segment

Fast Casual

Per Conaghan, the only segment to reach pre-pandemic menu size is fast casual. In fact, this category of restaurant is often exceeding pre-pandemic items-per-menu size.

This increase in menu size is attributable to operators “leaning into” core cuisine items. For example, sandwiches, Mexican entrees, and pizza.

However, the fastest-growing food item on fast-casual menus is the chicken wing. According to Conaghan, it’s easy for operators to innovate with chicken wings.

A restaurant doesn’t have chicken wings? All they have to do is add them, starting with simple preparations. If a restaurant does have chicken wings on the menu already, innovation is as simple as adding new flavors.

As far as the fastest-growing drink for fast-casual restaurants, it’s dessert beverages.

QSR, Casual Dining, and Midscale

These three segments are “very, very close” to reaching pre-pandemic menu sizes.

As midscale operators are likely very aware, this segment tends to have the largest menus. I wouldn’t be surprised, therefore, if a number of midscale concepts review their items per menu, their costs, and decide they can perform well with slightly smaller menus moving forward.

Unsurprisingly, chicken wings are the food item growing most quickly on QSR food menus. Oh, and barbecue chicken wings are the fastest-growing food item among casual dining restaurants.

Perhaps a bit more eyebrow-raising is the fastest-growing beverage type for QSRs: energy drinks. Boba and flavored iced teas are growing fastest on casual-dining drink menus.

For midscale restaurants, dessert samplers are the fastest-growing food items. Think “dessert charcuterie” when trying to picture a dessert platter. Another way to think about the dessert sampler is a static dessert cart with small bites of each dessert on the menu.

Fine Dining

Again, this segment is the furthest from pre-pandemic menu size. And, again, operators in this category seem happy with this trend.

An interesting note Conaghan makes about this segment is what many operators are using to fill out their menus: desserts. This is, she says, an area where fine dining can differentiate itself from other concepts.

Per Conaghan, bao, applesauce, and summer squash are growing the fastest on fine-dining food menus.

Now, I may have slipped into a fever dream during this portion of the Datassential webinar. Because unless I’m mistaken, the Shirley Temple has been identified as the fastest-growing beverage in the fine-dining space.

Pricing

Okay, so this segment of the 2023 State of the Menu webinar isn’t really a recovery metric.

However, it’s interesting, and something Jack Li says about chain restaurant pricing made me chuckle.

Most Expensive vs. Least Expensive

First, some straightforward data.

The following list identifies the five most-expensive ZIP codes for chain restaurant menu pricing. Anyone who wants the full list of 15 most-expensive ZIP codes can watch the webinar.

10036 (New York, NY)
96707 (Kapolei, HI)
98902 (Yakima, WA)
96815 (Honolulu, HI)
99503 (Anchorage, AK)

It’s understandable to think this would consist entirely of New York City, Los Angeles, or San Francisco ZIPs. But when we consider what it costs operators to import food to Hawaii and Alaska. Additionally, Washington and New York are among the states with the highest minimum wage. Operators need to recover those costs somehow.

And now the five least-expensive ZIP codes:

78526 (Brownsville, TX)
75224 (Dallas, TX)
76106 (Fort Worth, TX)
31907 (Columbus, GA)
31701 (Albany, GA)

Pricing Logic

Now, on to what Li says during the webinar that makes me laugh.

Nationwide, the average price of a McDonald’s Big Mac in the US is $5.26. (A caveat: This webinar took place in October. This price may have increased or decreased by now.)

However, the lowest price for a Big Mac is $3.49 at a location in Wilburton, Oklahoma.

So, what’s the highest price, and where can one find these pricey Big Macs? Three McDonald’s locations sell the burger for $8.29. That’s nearly two-and-a-half times the lowest-priced Big Mac.

Summarizing pricing variations among chain restaurants succinctly, Li made me laugh with the following: “Store pricing often just doesn’t make sense.”

Going further, Li says Datassential shows that the more franchised a restaurant chain is, the more variances in pricing will occur.

The full webinar can be viewed here.

Image: Leonardo Luz on Pexels

November 17, 2023by David Klemt David Klemt No Comments

Wallethub Ranks Best Foodie Cities in US

Wallethub Ranks America’s Best Foodie Cities

by David Klemt

Comparing 182 cities across more than two dozen “food-friendliness” indicators, Wallethub has revealed their rankings for America’s best foodie cities in 2023.

Why 182 cities? Wallethub started with 150 of America’s most-populous cities. Then, they added “at least two” of the most-populous cities in each state.

Regarding the ranking itself, Wallethub compared the cities against two key measures: affordability, and diversity, accessibility, and quality. Those two measures consist of 28 key indicators, including:

cost of groceries;
restaurant meal cost;
sales tax;
food tax;
restaurants per capita;
ratio of full-service to fast-food restaurants; and
restaurant diversity.

Using a 100-point grading system, affordability was worth up to 30 points. Simple math shows diversity, accessibility, and quality indicators were worth up to 70 points.

Further, Wallethub valued indicators anywhere from half-weight (international grocery stores per capita) to triple weight (restaurants per capita).

Now, it’s important to contextualize Wallethub’s use of the word “foodie city” here. For their ranking, the company is identifying “the best and cheapest” cities for consumers for whom eating is an experience, hobby, and/or lifestyle.

“These wallet-friendly cities cater to diners who prefer to cook at home, explore the local flavors or both,” reads their post, which can be reviewed in its entirety here.

The Top 25

So, per Wallethub, the cities below are the top 25 among the 182 “best foodie cities in America in 2023.”

Orlando, Florida
Portland, Orgeon
Sacramento, California
Miami, Florida
San Francisco, California
Tampa, Florida
San Diego, California
Las Vegas, Nevada
Austin, Texas
Seattle, Washington
Denver, Colorado
Atlanta, Georgia
Los Angeles, California
Chicago, Illinois
Richmond, Virginia
Pittsburgh, Pennsylvania
Washington, DC
St. Louis, Missouri
Houston, Texas
New York, New York
Oakland, California
Phoenix, Arizona
Santa Ana, California
Grand Rapids, Michigan
Cincinnati, Ohio

Interestingly, you’ll find the “usual” foodie scene suspects on this list. However, a mere handful of those cities are ranked in the top ten: Miami, San Francisco, and Las Vegas.

Chicago (14), Los Angeles (13), and New York (20) don’t make the three or five. In fact, they’re out of the top ten entirely here.

If affordability is a major factor here, it raises an eyebrow that Miami is among the top five foodie cities. After all, sources show the cost of living in the city is 20 percent higher than the national average. The cost of living in San Francisco is nearly 80 percent higher.

At any rate, Orlando, per Wallethub’s methodology, is the number-one foodie city in America.

Compelling Comparisons

With the top 25 foodie cities out of the way, let’s check out a few other interesting comparisons.

Cost of Groceries

Lowest-cost cities, in descending order:

Brownsville, Texas
Corpus Christi, Texas
Laredo, Texas
Fayetteville, North Carolina
Austin, Texas

The cities with the highest cost of groceries are Honolulu and Pearl City in Hawaii.

Restaurants per Capita

The cities with the most restaurants per capita, again in descending order:

Miami, Florida
Orlando, Florida
Las Vegas, Nevada
San Francisco, California
Los Angeles, California

It’s important to note each of the cities on this list is, per Wallethub, tied for first place.

The city with the fewest restaurants per capita is Pearl City, Hawaii.

Ratio, FSR to Fast Food Restaurants

On this list, the five cities with the highest ratio of full-service restaurants to their fast-food counterparts (yes, in descending order):

Cape Coral, Florida
Santa Rosa, California
Portland, Maine
Burlington and South Burlington, Vermont

That leaves the city with the lowest ration, which is Jackson, Mississippi.

The Bottom Ten

Now that we know which cities Wallethub identifies the best foodie cities in the US, let’s take a look at the bottom of their list.

Augusta, Georgia
Fontana, California
Jackson, Mississippi
Moreno Valley, California
Mobile, Alabama
Montgomery, Alabama
West Valley City, Utah
Nampa, Idaho
Shreveport, Louisiana
Pearl City, Hawaii

Personally, I find the data regarding restaurants per capita and the FSR to fast-food ratio the most useful.

To review this report in its entirety, including Wallethub’s methodology, please click here.

Image: Mick Haupt on Unsplash

A candy cane surrounded by red smoke in a studio

November 14, 2023by David Klemt David Klemt No Comments

Peppermint is the Latest Flavor Superstar

Peppermint is the Latest Flavor Superstar

by David Klemt

Just when you think you have a handle on seasonal flavors, along comes the latest and greatest demand from consumers: peppermint.

Perhaps it’s because pumpkin spice shows up earlier each year. Maybe it’s because that hit of frosty peppermint hits the nostalgia button.

It could be as simple as consumers thinking:

pumpkin is for fall; and
peppermint is for winter.

Regardless, it appears that people are turning their attention to peppermint.

Of course, that doesn’t mean that pumpkin and pumpkin spice are out of favor completely. A recent trip to a grocer with shelves devoid of pumpkin butter and other pumpkin spice flavors show me people are still snapping it up.

And no, it wasn’t a product shift; staff says those products are flying out the door after each restock.

Instead, I think people are just ready for the next thing. In this case, the next flavor thing. And that flavor, it seems, is peppermint.

Considering that pumpkin spice LTOs appeared in early August this year, it makes sense for many consumers to want something new. After all, they’ve had four months to indulge their pumpkin and pumpkin spice cravings. That’s a third of the year.

Peppermint on the Rise

When delving into F&B and hospitality trends I tend to look at Datassential and Technomic. Both are credible, reliable sources of information.

However, I’m turning to another source, Tastewise, to dive into pumpkin spice and peppermint. For the unfamiliar, Tastewise is an F&B insight platform that uses artificial intelligence to collect real-time consumer behavior data.

First up, pumpkin spice. According to Tastewise, the flavor is up nearly 75 percent in terms of social conversations in 2023. Additionally, four percent of restaurants in the US have pumpkin spice items on their menus. That may not sound like a lot, but that’s more than 33,000 restaurants.

Now, let’s look at peppermint. Per Tastewise, social conversations about this frosty flavor are up almost 22 percent this year. However, peppermint liqueur conversations are up just over 77 percent.

Interestingly, according to Tastewise, peppermint items are on almost eight percent of menus in the US. That’s more than 67,000 restaurants, over double the amount of pumpkin spice.

One note: peppermint is not the same as mint. While peppermint is trending (most likely due to seasonal shift), mint is down nearly 109 percent. So, not all mint flavors and items are equal. This seems particularly true at the moment.

Takeaway

Is everyone on social media, talking about food? No, of course not.

It’s important to note, though, Tastewise’s current market overview. At the time of publication, Tastewise is scanning:

8,151,698 people on social media;
57,220,294 social media posts;
937,070 restaurants;
136,278,759 dishes; and
5,878,416 recipes.

Operators can and should take industry insights with a grain of salt. Not every fad, trend or item works for every operator and concept.

However, it’s important to know what consumers are talking about and posting to social media. Being a part of some conversations can be a boon for an operator and their bottom line.

So, if introducing a peppermint LTO (or LTOs) will appeal to an operator’s guests—because they take the time to understand them and track their menu item sales—and works with their concept authentically, they should consider becoming a part of this conversation.

Image: Shutterstock. Disclaimer: This content was generated by an Artificial Intelligence (AI) system.

November 13, 2023by David Klemt David Klemt No Comments

Gen Z Shifting the Restaurant Landscape

Gen Z Shifting the Restaurant Landscape

by Nathen Dubé

I think we can admit every demographic snaps pics of their food now.

The next wave of restaurant guests is ready to be won over. Our industry is on the cusp of a monumental shift, and Generation Z is at the helm.

As they come into their own, both socially and economically, this vibrant generation is poised to redefine dining as we know it. With their digital-first mindset, staggering spending power, and penchant for loyalty, Gen Z is a demographic that no restaurant can afford to overlook.

Comprising nearly a quarter of the American economy, Gen Z is a force to be reckoned with. Born in 1993 or later, they command an awe-inspiring $250 billion in spending power.

But what’s truly remarkable is their approach to dining. Generally speaking, eating out is not an occasional indulgence for this generation; it’s a regular part of life.

In fact, the majority of Gen Zers frequent restaurants at least once a week, a statistic that’s all the more astonishing when you consider that many are not even old enough to drive.

As this generation matures and their financial standing improves, they are set to become the next wave of loyal restaurant patrons. To capture their attention and build lasting relationships, restaurants must focus on three pivotal areas: cutting-edge technology, customizable menus/personalization, and one-of-a-kind experiences.

By proactively adapting to meet the unique needs and desires of Gen Z, restaurants can not only win their business but also secure a prosperous future in an ever-evolving industry.

So, the question isn’t whether to adapt to Gen Z. Rather, the question is, how quickly can you do it?

The next generation of restaurant-goers is not just knocking at the door, they’re already here. And they’re ready to dine.

Technology

Generation Z is a digitally native cohort, seamlessly integrating smart technology into every facet of their lives—from smart cars to smartphones.

To engage with this generation of guests effectively, it’s imperative for restaurants to have a mobile-optimized online menu. Given Gen Z’s penchant for quick, easily digestible information, a streamlined, fast-loading menu is key.

Highlighting elements like flavors and health-conscious options can serve as compelling selling points.

The Digital Investment Dilemma

While the allure of digital innovation is undeniable, it comes with its own set of challenges, primarily financial.

However, there is good news.

Investing in robust digital systems is essential for ensuring a smooth guest experience. This investment often yields dividends in the form of operational efficiency and heightened customer loyalty—two factors crucial to long-term success.

Gen Z, in particular, is quick to embrace modern conveniences like alcohol delivery and digital ordering, signaling a clear trajectory for the restaurant industry’s future.

Additionally, many innovative tech solutions integrate with platforms operators use currently. Where this is the case, the new tools can enhance operations, automation, marketing campaigns, back of house, etc., which justifies the initial outlay.

Augmented Reality: A New Frontier in Dining

Augmented reality (AR) in the dining space is an emerging trend with boundless potential. Although the initial costs of integrating AR can be steep, the payoff in terms of guest engagement is substantial.

Imagine a dining scenario during which guests can use AR glasses or goggles to access nutritional information about their meal instantly. The possibilities are as limitless as they are exciting.

Staying ahead of the curve with tech ensures restaurants not only attract Gen Z but also offer an enhanced dining experience that sets them apart in a competitive market and attracts guests of all ages.

The future of dining is here, and it’s digital, customizable, and incredibly interactive. Are you ready to be a part of it?

Social Media

When it comes to capturing the attention of Gen Z, social media is a goldmine.

While Facebook may not be their platform of choice, YouTube, Instagram, and TikTok are where they’re most active.

These platforms are ideal for sharing quick, engaging six- to 15-second videos that resonate with Gen Z’s fast-paced and humorous nature. Bear in mind, video not only killed the radio star, it has surpassed static photography as the engagement format of choice.

And don’t underestimate the influence of even the youngest among them; they often have a significant say in family dining decisions.

Social Media: The Modern-Day Word-of-Mouth

In today’s digital landscape, social media isn’t just a platform—it’s a potent marketing arsenal.

Gen Z is particularly vocal about their dining experiences, often sharing them online for their followers to see. This user-generated content serves as invaluable, organic marketing that can drive both foot traffic and revenue.

In essence, social media has become the new word-of-mouth, and restaurants should actively encourage this form of authentic promotion.

The WiFi Factor

Offering free WiFi isn’t just a courtesy, it’s strategic.

By becoming a wireless hotspot, you’re also positioning yourself as a dining hotspot.

Free WiFi enables Gen Z patrons to stay connected, even while enjoying a meal with family or friends. They can easily share texts, photos, and perhaps even a glowing review, providing your restaurant with the kind of word-of-mouth advertising that money can’t buy.

By embracing these digital and social strategies, restaurants can not only attract the Gen Z audience but also create a dynamic, interactive dining environment that appeals to all.

The future of the restaurant industry is undeniably digital, and those who adapt will not just survive but thrive. Are you prepared for this exciting new chapter in dining?

Authenticity

The culinary landscape is evolving, and Gen Z is at the forefront of this transformation.

Authentic and Global Flavors: The Culinary Passport

In an era marked by globalization, Gen Z’s palate is as diverse as their worldview.

Their affinity for authentic, global flavors is more than a trend, it’s a reflection of a world where borders are increasingly blurred. As international cuisines become more accessible, they’re also becoming a staple on restaurant menus.

For restaurateurs, this provides an opportunity to diversify and enrich their culinary offerings.

Fusion: The Art of Culinary Innovation

Fusion foods are not merely a passing fad. Truly, fusion is a celebration of culinary creativity.

This trend allows chefs to push the boundaries of traditional cooking, often creating unique, high-value dishes that enhance a restaurant’s revenue potential.

In many ways, fusion embodies the inclusive and diverse spirit of Gen Z, making this culinary approach a hit among this demographic.

Experiential Dining: The Rise of the Experience Economy

The move towards experiential dining is part of a larger shift in consumer behavior, where experiences are valued over material goods.

Restaurants offering interactive experiences like cooking classes, wine tastings, or farm-to-table events are tapping into this lucrative trend.

Gen Z, in particular, is drawn to such experiential dining options, as well as to culinary fusions and fresh, natural ingredients.

A New Wave of Flavors and Dining Options

Unique flavors like yuzu, tamarind, and lemongrass are more than just exotic additions. These flavors and ingredients are becoming mainstream, particularly among Gen Z.

Educational food services, from grade schools participating in the National Restaurant Association’s Kids LiveWell program to college campuses offering “campus cuisine,” are also playing a role.

These institutions are introducing Gen Z to a wide array of international flavors and dietary options, including vegan, vegetarian, and gluten-free choices.

By understanding and embracing these trends, restaurants can position themselves as forward-thinking establishments ready to meet the diverse needs and preferences of Gen Z.

The future of dining is here, and it’s as varied, interactive, and global as the generation it serves. Are you ready to be a part of this culinary revolution?

Crafting the Ultimate Customizable Dining Experience

When it comes to dining, Gen Z values customization above all else. They want their meals tailored to their preferences, and they want them now.

While staples like burgers and pizza remain popular, it would be a mistake to pigeonhole their tastes.

According to Technomic’s The Generational Consumer Trend Report, Gen Z has a broader palate, embracing a range of global cuisines like Chinese, Mexican, and pasta at rates higher than any other generation.

A Melting Pot of Influences

This global appetite is more than just a random preference. Rather, it’s a reflection of Gen Z’s diverse background and the adventurous spirit of their Gen X parents.

But the driving force behind it all is the allure of customization.

Imagine a dining table where each person has their own uniquely crafted taco, creating a communal dining experience rich in personalization. This aligns perfectly with insights from Flavor & The Menu’s Generational Flavors report, which highlights the importance of affordability, value, and convenience to Gen Z diners.

The Customization Kings: Why Subway and Chipotle Reign Supreme

It’s no coincidence that eateries like Subway and Chipotle are among Gen Z’s favorites. These establishments have mastered the art of customization while also offering affordability and convenience—three key factors that resonate with this generation.

By recognizing and capitalizing on these trends, restaurants can craft the ultimate dining experience that not only appeals to Gen Z but also sets them apart in a highly competitive market.

The future of dining is customizable, diverse, and incredibly exciting. Are you prepared to meet the demands of this new generation of discerning diners?

Social Responsibility

A Win-Win for Brands and Consumers

For Gen Z, social responsibility isn’t just a buzzword, it’s a way of life. And this focus translates into tangible economic gains for restaurants.

Brands that actively engage in social responsibility have seen a four-percent uptick in sales. This demonstrates that doing good is also good for business.

This generation is more likely to patronize establishments that resonate with their values, making corporate social responsibility not just an ethical imperative but a savvy business strategy.

Health and Wellness: The New Currency

Gen Z’s emphasis on better-for-you options extends to their dining choices.

According to Technomic, features like recycling, sustainable food practices, and health-conscious menu items can significantly boost restaurant traffic.

But it doesn’t stop there.

This generation is willing to pay a premium for quality and health benefits, opening up lucrative revenue streams for restaurants that offer premium, health-focused menus. This is not a fleeting trend but a market shift, propelled by Gen Z’s prioritization of quality over quantity.

Sustainability: The Green Dividend

The push for sustainability is evolving from an ethical stance to an economic imperative. With government incentives encouraging eco-friendly practices and a consumer base willing to pay extra for sustainable options, going green is increasingly profitable.

This creates a virtuous cycle where businesses can contribute to environmental conservation while also boosting their bottom line.

By aligning with these core values—social responsibility, health and wellness, and sustainability—restaurants can attract the discerning Gen Z but also position themselves for long-term success in a rapidly evolving market.

The future of dining is socially responsible, health-conscious, and eco-friendly. Are you ready to embrace it?

The Social Hub

Coffee Shops as Gen Z’s Gathering Grounds

Starbucks and similar coffee shops have become social hubs for Gen Z.

Offering specialty coffee experiences in an adult-like setting, these establishments have become the go-to spots for socializing among those too young for adult beverages.

A Diverse Palette of Beverages

When it comes to drinks, Gen Z’s preferences are as diverse as their food choices.

While soda remains a popular option, this generation is also more inclined than others to opt for healthier alternatives like lemonade, bottled water, fruit juice, and smoothies.

Highlighting these better-for-you options can be a smart move for restaurants looking to cater to this health-conscious demographic.

Nutritional Transparency: A Win for All

In a world where regulatory scrutiny around food labeling is intensifying, transparency is key.

Restaurants that provide nutritional information voluntarily not only cater to the health-focused mindset of Gen Z but also position themselves as responsible businesses in the eyes of both regulators and the broader community.

In Conclusion: The Future of Dining is Here, and It’s Gen Z

As we’ve explored, Gen Z is redefining the dining landscape in numerous ways—from their penchant for customization and global flavors to their focus on social responsibility, health, and sustainability.

By understanding and adapting to these multifaceted preferences, restaurants can not only attract this influential demographic but also set themselves up for long-term success in an ever-changing industry.

The future of dining is not just about food; it’s about creating an experience that resonates with the values and lifestyles of the next generation of consumers.

Are you ready to be a part of this exciting culinary evolution?

Image: Yoav Aziz on Unsplash